All content in this article is based on official and reliable sources, and the specific information is detailed at the end of the article
Preface
When it comes to the name Ren Jianxin, many people may not be clear, but when it comes to China National Chemical Corporation, it is estimated that few people do not know.
This Fortune 500 company, China's largest chemical group, is from the hands of Ren Jianxin.
Although he personally has the title of "M&A King", he does not have a single personal stake in ChemChina and its more than 100 companies.
All of his income comes from the wages paid by the group.
So, how did Ren Jianxin create this chemical kingdom? What kind of belief does it make him serve the country even if he is not rich?
10,000 yuan to start a business
The reason why we are unfamiliar with Ren Jianxin is that this M&A king hardly attends forums, does not accept interviews, and has never published so-called success books.
So it's normal that his name isn't well known, because even when you go to look up Ren Jianxin's information, you'll find a little pitiful.
However, I believe that many people have tasted the restaurant chain "Maran Ramen", which he founded.
For such a selfless, responsible and responsible entrepreneur, his case should be known.
Ren Jianxin was born in 1958, when he was just sensible, he experienced a special period of ten years in the mainland, influenced by the times, Ren Jianxin went to the countryside in 1974 to join the queue, day after day in the field.
Although this period was very difficult, it also allowed him to gain experience, hone his will, be able to endure hardship, and at the same time understand the thoughts of the peasants.
After the resumption of the college entrance examination, Ren Jianxin was successfully admitted to the university, and after graduation, he returned to the city to work in a research institute under the Ministry of Chemical Industry.
In 1978, the mainland ushered in a major turning point, the beginning of reform and opening up, so that the mainland opened the era of private industry and commerce, at the same time, many civil servants also resigned one after another, and Ren Jianxin was one of them.
At that time, Ren Jianxin had only worked for a few years, so he didn't have any connections, so what prompted him to decide to start a business?
Information source: Lanzhou University News Network - Ren Jianxin of Lanzhou University alumni: 30 years ago, he borrowed 10,000 yuan to go to sea; Today, he bought a foreign company with 292.4 billion yuan (2017.6.12)
In 1984, six years after the start of the reform and opening up, Ren Jianxin discovered a strange phenomenon, when the mainland's coal production was growing rapidly every year, but there was an unwarranted loss of 17.5 million tons every year, and this problem was the boiler ditch.
But at that time, there was no company in China that cleaned the ditches, and it can be said that there was no such industry at all.
Ren Jianxin saw an opportunity from this, because he also discovered a patented technology about "nitric acid pickling corrosion inhibitor", and this patent was only priced at 250 yuan at that time.
After Ren Jianxin decided to start a business, he borrowed 10,000 yuan from the unit with his family property as collateral, and in this way, Ren Jianxin founded China Bluestar and attached it to the name of the research institute.
No one's entrepreneurial road will be smooth sailing, Ren Jianxin also encountered a lot of difficulties, Blue Star started from cleaning tea scale, then to industrial boilers, then to 400 meters of oil pipelines, and finally to manned spacecraft launch facilities.
Under the leadership of Ren Jianxin, Bluestar has gradually become bigger and stronger, occupying more than ninety percent of the Chinese market, and has created a new industry, allowing hundreds of cleaning companies to emerge in a short period of time across the country, but there is no doubt that Bluestar has firmly sat on the throne of the king of cleaning.
However, this is only the beginning for Ren Jianxin, and his real wish is to become bigger and stronger through mergers and acquisitions.
Source: China Industrial Economic Information Network - Ren Jianxin: The Dream of the "King of M&A" (2018.11.12)
M&A with ChemChina
After growing up in Bluestar, Ren Jianxin acquired more than 100 state-owned chemical companies and became a veritable "M&A king", and then in 1992, he made a shocking decision to move the company's headquarters to Beijing.
It is important to know that relocating a company is not a simple matter, in addition to selecting a site for a new factory and office building, it is also necessary to consider the placement of thousands of employees.
After all, once relocated, employees who want to stay in the company can only move with their families, and then housing, children's schooling, etc. are all problems.
But Ren Jianxin still insisted on this decision, and in 1995 successfully relocated to Beijing, and in the same year, he also led Bluestar to successfully ring the bell and become a listed company.
After coming to Beijing, Ren Jianxin still did not stop the pace of mergers and acquisitions, for the acquisition and growth, Ren Jianxin seems to have a special emotion, so in the following time, Ren Jianxin continued to merge and transform those difficult state-owned enterprises.
By 2002, Bluestar's total assets had expanded from 500 million to 4 billion, and after having enough assets, Ren Jianxin could finally start his dream: big chemical.
However, rapid expansion also brought problems, and by 2003, the company's overall profit was only about 100 million, but the debt ratio was more than 70%.
If he is not careful, Ren Jianxin will not only fail to realize his dream, but may even lose the whole game, but he is very optimistic about it, believing that even if "1 grain out of 1,000 grains of rice is successful".
So in 2004, Bluestar merged with Haohua and Huashen, the former enterprises of the Ministry of Chemical Industry, and then formed the third largest petrochemical industry in the mainland, ChemChina, and Bluestar became a subsidiary.
After the establishment of ChemChina, Ren Jianxin began to take the pace of overseas mergers and acquisitions, and he hoped that in this way, ChemChina would quickly go global.
Since 2006, ChemChina has acquired 9 foreign companies in many countries around the world, and these companies are still in a leading position in the industry.
For example, in 2006, ChemChina acquired Adisseo Group, making the mainland the world's second-largest producer of methionine, and in 2017, ChemChina also acquired Syngenta, the world's largest pesticide company and the third-largest seed company.
It is necessary to know that the seed industry has a long investment cycle, high consumption amount, and large risk, and it will take several years to study a seed, so this acquisition can be said to be of great significance, allowing ChemChina to fill the gap in the seed field, and also allowing the mainland to be promoted in the seed field.
Compared with the entrepreneurs of his time, Ren Jianxin has a strong ability, but a stronger sense of responsibility, and in a few decades, he has the ability and reason to realize the privatization of this enterprise that he has developed by himself.
However, Ren Jianxin has always kept in mind the original intention of "serving the country with industry", he once said that he first founded the enterprise in order to let the institute earn more income, and he also believes that the interests of the enterprise and the interests of the country can not conflict.
It is precisely because of these ideas that Ren Jianxin will retire in 2018 without any personal shares in any enterprises, and after retirement, his treatment is only the pension issued by the state, but what he left behind is a complete state-owned enterprise.
文 | ZYG
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