Tycoon: From Rags to Riches

Gu Heng remained smiling as he said, "It’s all the same who pays, isn’t it? Or was Chairman Wang just exchanging empty pleasantries with me?"

"Chairman Gu, if you’re going to put it that way."

"Then I have no objection. You can host today."

Wang Junjin spread his hands, no longer deferring to Gu Heng.

"Shall we head over now, then?"

"Does Chairman Wang have any other work to attend to?"

Gu Heng asked Wang Junjin.

"The most important matter today was holding the board meeting for you, Chairman Gu. Now that the official business is done, there’s nothing else. We can head straight to the restaurant."

Wang Junjin shook his head. "Chairman Gu, let me help you greet everyone. I’m sure they’d all appreciate the opportunity to get to know you better."

"Then I’ll have to trouble you, Chairman Wang."

The two settled the matter. Wang Junjin then walked over to the other directors to inform them that Gu Heng would be hosting a dinner for everyone shortly. Meanwhile, Gu Heng went to the edge of the room by the wall. He first greeted Wang Yan and Jiang Ruan, telling them about the upcoming dinner, before making his way to Yang Wenjie and Xu Ke.

Today, Junyao Group held a board meeting to nominate and appoint Gu Heng as a new director. On such a momentous occasion, it was only natural for Yang Wenjie and Xu Ke to be present to offer support and observe.

"Chairman Gu, congratulations!"

"Congratulations on your new position, Chairman Gu!"

Seeing Gu Heng approach, Yang Wenjie and Xu Ke immediately offered their congratulations.

"You’ve both worked hard during this period."

Gu Heng smiled at the two of them. "However, this is just the first stage of our victory. After we return to Beichun in a couple of days, I’ll have to trouble you both to continue working hard on the acquisitions of Xingchuan International and the Beichun Junlan Hotel."

"Chairman Gu, it’s our duty."

Yang Wenjie responded to Gu Heng with great humility.

"Chairman Gu, regarding the due diligence report for Xingchuan International, we at Deloitte China have already completed it. We’ve also assembled a team of 30 professional accountants from our offices across the country, and we’re planning to send them to Beichun ahead of schedule tomorrow. What do you think?"

Xu Ke, ever the refined and scholarly gentleman, sought Gu Heng’s instructions while pulling a thick document from his briefcase.

"Chairman Gu, our due diligence report on Xingchuan International from Jun Cheng Law Firm is also complete. And since both Jun Cheng Law Firm and Xingchuan International are local businesses in Ji Province, we’ve also included information on the personalities and preferences of Xingchuan International’s management team in our report."

After Xu Ke finished his report to Gu Heng, Yang Wenjie, not to be outdone, also produced a thick document and handed it to him.

Gu Heng took the two due diligence reports from Xu Ke and Yang Wenjie, then casually passed them to Jiang Ruan beside him to hold.

Although both were due diligence reports, their focuses were entirely different.

The due diligence report submitted by Deloitte China focused on reviewing aspects like financial status, assets and liabilities, business model, and market position. In contrast, the report from Jun Cheng Law Firm concentrated on investigating areas such as corporate governance, legal compliance, credit status, and public reputation.

If Gu Heng’s current understanding of Xingchuan International was at 10%, then after carefully reading these two due diligence reports, his understanding would soar to 90%.

As for why Gu Heng hadn’t opted for a due diligence investigation when he received the Ruyi Airlines shares, it was because there was little point in doing so.

Although Gu Heng was nominally the second-largest shareholder of Ruyi Airlines, he only actually controlled 13.67% of the shares. He had no real control over the airline. Even being appointed as a director of Junyao Group by the Wang Family was merely a title without substance.

As long as core interests weren’t at stake, everyone could get along harmoniously.

If core interests were involved, Gu Heng at most had the right to make suggestions.

But Xingchuan International was different. He controlled 34% of the shares, which met the threshold for a controlling stake, automatically granting him veto power.

This meant that for any major decisions Xingchuan International needed to make in the future, Gu Heng would have to make sound and correct judgments, because the prerequisite for implementing any major resolution was its approval by over two-thirds of the shareholders’ equity.

If Gu Heng gave his approval, major resolutions could move forward.

If Gu Heng shook his head, major resolutions would have to be sent back for reconsideration.

Holding a position means fulfilling its duties.

Fully understanding the specific situation at Xingchuan International was both a way to protect his own rights and interests from being infringed upon, and a responsibility to the other shareholders of Xingchuan International.

"President Xu, Lawyer Yang, I will review the due diligence reports you’ve provided over the next two days. After the dinner tonight, you can head to Beichun tomorrow to prepare for the transfer of Xingchuan International’s equity assets."

Gu Heng responded to Xu Ke and Yang Wenjie.

"Understood."

"Then we’ll set off tomorrow."

Having received Gu Heng’s approval, Xu Ke immediately confirmed that their original plan remained unchanged.

"Jun Cheng Law Firm’s headquarters is in Beichun, so we’re not in a hurry to go back. We’ll just return to Beichun with you, Chairman Gu."

Yang Wenjie thought for a moment and decided it was better to play it safe.

There wasn’t much point in them returning to Beichun a day early.

On the contrary, if they stayed in Zhonghai, they could immediately intervene and handle anything that might come up on Gu Heng’s end.

"You can manage your own time as you see fit."