Chapter 634
Rise of a Branch
Milan, LEDiN's headquarters.
LEDiN is a clothing brand founded in 1984 by Donatella and Monica, but it has always operated under a professional management model. LEDiN's model is based on the 'fast fashion concept,' sharing the same origins as Hong Kong's 'Uniqlo.'
After its establishment, LEDiN developed rapidly, leveraging Italy's garment supporting facilities (ranked among the top three global garment exporters and number one in Hong Kong) to quickly build a complete supply chain.
At the same time, LEDiN, being closer to the fashion center of Europe, has attracted a large number of young designers who frequently travel to major fashion shows to reinterpret new designs and stay at the forefront of fashion.
Today, LEDiN has more than 600 stores in 36 countries around the world, and its valuation has exceeded 40 billion euros.
meeting room.
Donatella and Monica, in their capacity as Chairpersons of the Board and Executive Directors, participated in an important pre-IPO meeting for LEDiN, which was chaired by CEO Dixon.
Dixon said, "Several large financial institutions have extended offers to us, with UBS promising to raise at least €10 billion for us in the secondary market."
The top executives were delighted. UBS Group is a top financial institution in Europe. If they act as underwriters, the amount of funds raised and the smoothness of the process will naturally be guaranteed.
A senior executive immediately stated, "With this 10 billion euros, we can rapidly expand, including entering countries such as Puerto Rico, Jordan, Ireland, Iceland, Switzerland, Luxembourg, the Czech Republic, and Singapore. Simultaneously, we can intensify our offensive in the women's lingerie market."
Another senior executive said, "The second distribution center can also be completed quickly. In this way, we can quickly surpass ZARA in Europe."
ZARA and LEDiN in Europe are global fast fashion brands, as are GAP in North America and Fast Retailing (Uniqlo) in Hong Kong.
Then, everyone looked at Donatella, the 'Chairwoman of the Board,' since the founder's opinion was crucial for such a major decision.
Over the years, everyone's impression of the boss has been that she is "rich, has ideas, and is very beautiful".
The ideas (creativity) of Donatella, the chairwoman of the board, have been crucial to LEDiN's development to where it is today.
Donatella was 45 years old at this time, but she was still very beautiful, and it wouldn't be an exaggeration to say that she was a perfect young woman. Of course, at this time, she was dressed formally and exuded a strong, capable aura.
Her aura wasn't innate, but rather the confidence and guidance she received from the man behind her.
Donatella calmly stated, "The IPO will be spearheaded by President Dixon, and the final plan will be submitted to the board for approval. However, the IPO is just the beginning for LEDiN. I often summarize my experiences and have come to a conclusion. To become a global giant in the fast fashion apparel industry, four points must be adhered to:"
First, we have a large pool of designers. Therefore, we need to continue recruiting young designers and gain firsthand fashion resources from major fashion shows.
Secondly, the company owns a large number of garment factories, and the process from new design planning to production can be completed within a week at the fastest. Currently, we have four large garment factories, with the main factory supporting the entire town, but we still need to continue to add more garment factories.
Third, delivery speed must be fast. This is the fundamental reason why we need to build distribution centers (logistics centers).
Fourth, adopt a diversified, small-quantity business model, ensuring that all merchandise in the clothing store is completely replaced every three weeks.
As soon as he finished speaking, applause broke out.
Donatella received the highest praise from everyone.
In fact, Uniqlo in Hong Kong did the same thing, and LEDiN and Uniqlo even learned from each other, since their markets did not overlap much at that time.
At the same time, both sides have already set their sights on North America.
End of the meeting.
“Sister, this is incredible! LEDiN is developing so fast, its valuation is already 40 billion euros. So, your net worth is already…” Monica excitedly followed Donatella back to the office.
The two women addressed each other as sisters, served Chen Guangliang together, and their careers were also intertwined.
Donatella was also excited. She and Monica had already cashed out $20 billion from the internet, and with their assets in Europe, her personal wealth had actually reached $50 billion (including the valuation of LEDiN shares), making her one of the top billionaires.
"I'm afraid even Sir Chen didn't expect LEDiN to develop so rapidly."
Monica, dressed in a uniform skirt and black stockings, was even more beautiful than Donatella. She walked towards Donatella with sexy steps, each step stunning the man. Her voluptuous breasts indicated that she was a top-tier young woman, after all, she was already 36 years old.
Monica linked arms with Donatella, and the four of them made the space feel suffocating.
"No way! LEDiN was created by Sir Chen. He not only personally offered advice but also sent LEDiN's team to Uniqlo in Hong Kong for research and learning. This fully demonstrates his confidence in this business!"
Donatella tapped Monica on the forehead and smiled, “What he wants to do is, of course, succeed. I’m just saying he didn’t expect it to be this successful. After all, he always said that LEDiN would be successful enough if it became a billion-euro brand, but now it’s valued at 4 billion euros.”
Monica nodded and said, "That's true. He himself didn't expect that those plans and experiences would be so valuable!"
At each gathering, they would report on LEDiN's business operations, and they would always hear some suggestions and advice from Chen Guangliang.
Donatella exclaimed, "He's amazing, so great!"
As Donatella and Monica spent more time with Chen Guangliang, they developed a sense of worship, almost like a faith.
Chen Guangliang went to Milan for vacation, accompanied by Donatella, Monica, and his three sons and one daughter.
"Father"
"You've grown a lot taller, you'll be going to college soon!"
"There's still a year left."
A mixed-race boy, standing at 1.89 meters tall, excitedly interacted with Chen Guangliang. He is the eldest son of Donatella and Chen Guangliang, and is already 16 years old this year. In just over six months, he will indeed be going to university.
Chen Guangliang spent very little time with these 'illegitimate children,' but that didn't prevent them from showing their admiration and respect for their father when they met.
Of course, there are two important reasons for this: first, the mother's teachings and second, Chen Guangliang's ability to offer them "benefits".
Then, Chen Guangliang put his arms around Donatella and Monica and sat down on the sofa.
This scene was nothing new to the children; since they were old enough to understand, they had known that their mother was a mistress and that they were illegitimate children. But they had also witnessed their father's charm and what he could bring to the family!
In her mother's words, all the wealth came from her father, and they also inherited his good genes (wisdom and strength).
"You four, remember this: you possess something ordinary people don't have—high intelligence and good health. If you use these advantages to merely live the life of a hedonistic rich kid, you'll find that you're no different from a useless person, or even wasting your time. But if you study hard, inherit your mother's business, and demonstrate your value in the market, then you're truly making the most of my good genes!"
Upon hearing this, none of the four children disagreed.
When they are studying, they will find that they have excellent memory and comprehension skills, and they can get good grades without much effort.
Moreover, they had witnessed their father's "good genes," as he truly possessed a photographic memory, spoke dozens of languages, and was incredibly knowledgeable.
Therefore, they were influenced by such role models from a young age, which had a significant impact.
Yes, Father.
There was no need for detailed communication with these children, and Chen Guangliang had long since lost patience for educating them. After simply fulfilling his duties as a father, he let them retire.
in the bathroom.
Donatella wore a pale white deep-V long dress with black stockings, showcasing her still-impressive cleavage, sexy red lips, and captivating face, which must have charmed countless men.
Monica, on the other hand, wore a black bodycon jumpsuit with sexy black stockings. Her long, wavy, reddish-brown hair gave her a sophisticated, mature look, no longer that of a young girl. They were gently washing away Chen Guangliang's travel fatigue with their delicate hands, their touch just right.
Even though Chen Guangliang's skin, now at ninety years old, has many wrinkles, they showed no disgust and their eyes still held an adoring gaze.
Of course, Chen Guangliang is indeed ninety years old, but if you say he's in his fifties or sixties, people who don't know him well would definitely believe it.
"LEDiN is about to go public, with a valuation of 40 billion euros!" Donatella said gently.
Chen Guangliang was somewhat surprised. LEDiN was a brand he had planned, originally intended to grab some of ZARA's market share, but he hadn't managed to take such a large piece of the pie.
Between 1976 and 1984, ZARA had already opened stores in major cities in Spain. In 1988, it opened its first overseas store in Porto, Portugal, marking the first step in the group's overseas expansion.
LEDiN was conceived in 1984, but thanks to sufficient planning, goals, and funding, it developed rapidly in major Italian cities from 1984 to 1986, and entered the Netherlands in 1987.
The philosophy was instilled in the 'professional managers', and with sufficient funding and clear goals and directions, it actually worked.
Although LEDiN was not as successful as ZARA's parent company, Inditex Group, at this time, its valuation of 40 billion euros was already something to be proud of.
Of course, when it comes to 'fast-fashion brands,' Uniqlo in Hong Kong is the 'founding father,' and LEDiN has studied under its master.
"Yes, this business can be passed on to our children. Your business is not limited to investing in real estate and securities, which is great."
What a pleasant surprise! He really didn't expect LEDiN to develop so rapidly.
Italy itself is a hub for small factories in Europe, and its garment exports have always lagged behind Hong Kong's.
After its inception, LEDiN took off rapidly by leveraging these resources in Italy, along with Chen Guangliang's 'advanced concepts' and 'sound systems'.
Although Donatella and Monica are not 'business elites', the LEDiN brand itself implements a 'professional manager' system, so Donatella only needs to grasp the general direction.
In the bathroom, Chen Guangliang quickly became imposing.
Even in his old age, he still possessed an indomitable chivalrous spirit.
In addition to the 'LEDiN Apparel Group', Donatella and Monica own a large number of other assets, including $20 billion cashed out from internet stocks, as well as shares in many well-known European companies and properties in Europe.
Taking advantage of this opportunity, Chen Guangliang planned a 'trust plan' for the two women.
First, both women hold shares in 'high-quality' Italian companies, including Ferrari, Intesa Sanpaolo, Eni, Generali, Prada, Moncler, and more than twenty others. They also hold shares in high-quality companies in other European countries such as Switzerland and Sweden. The advantage of these stocks is their stable upward trend; short-term fluctuations are irrelevant. A quick cash-out before 08 would have allowed them to expand their gains.
Secondly, both women each hold a significant number of properties in Italy, the UK, Germany, France, and other regions, with approximately 60% located in Italy. These, along with the previously mentioned securities, form the cornerstone of the trust plan.
"Thirdly, you can use the $20 billion you cashed out this time to continue buying property and securities. This time, the scope can be broader, including securities and property in North America, and you can also hold a small amount of physical gold."
In this way, Donatella's 'trust fund' would have $20 billion, while Monica's 'trust fund' would have $15 billion.
This does not include the equity of LEDiN Group.
Regarding the assets of the LEDiN Group, Chen Guangliang did not make the decision on 'allocation' now, but will wait until the children grow up before making appropriate suggestions.
Donatella immediately chimed in, "That way, my children and I can remain wealthy for a long time, perhaps forever. You're amazing, my dear!"
Chen Guangliang said with a smile, "It's not just about maintaining wealth, but also about the return on this trust fund, which is enough to make many family trust funds look good."
Of course, establishing a 'trust fund' does not mean that money will only come in and not come out. A major function of a 'trust fund' is to 'provide stable and long-term living expenses for family members'.
In addition to receiving salaries from the LEDiN Group, Donatella and Monica themselves naturally need to regularly receive a sufficient living allowance from the 'trust fund'.
After all, the two women's spending habits are not cheap!
Therefore, Chen Guangliang not only left his two daughters a certain amount of money as a guarantee for their personal expenses, but also planned to have the 'trust fund' pay them and each of their children a huge monthly living allowance of US$100 million.
For example, Donatella has two sons, and Monica has a son and a daughter. This means that while their children are minors, each of them can receive $300 million per month, which would amount to $3600 million per year.
This expense is already quite high.
Similarly, Donatella's 'trust fund' has a total capital of approximately $2 billion and must maintain a 20% annual return due to management fees.
Of course, according to Chen Guangliang's plan, their trust fund can maintain a return of more than 10% every year, and even up to 15%.
“If you have no objections, I will assign a team later to assist you in establishing this trust plan,” Chen Guangliang said, looking at the two women.
This move is mainly to protect the future of the four illegitimate children, and even has a bit of an idea to 'kidnap' the two women.
Chen Guangliang is getting old, and he doesn't want these women to use their wealth to support other people in the future.
"Yes, I agree."
"We will definitely agree to whatever arrangement is made by you."
Donatella and Monica both took Chen Guangliang's arm at the same time, showing their loyalty.
They weren't fools; they knew this man was making plans for the future, primarily for their sake and that of their children.
As for whether they have ulterior motives, they would definitely scoff at it. Even if their lover is ninety years old, it's not something other men can take advantage of.
“Honey, we’re having a small party on the yacht the day after tomorrow!” Donatella suddenly said afterward.
After retiring, Chen Guangliang gradually faded from social gatherings, making it difficult for many friends to see him. For example, the renowned David Rockefeller was also his friend, but the two had not seen each other for several years, during which time Chen had extended invitations, but ultimately missed the opportunity.
So he laughed and said, "I'm not really interested in parties."
He thought Donatella wanted to use his connections!
Donatella said mysteriously, "You'll definitely be interested in this party. Maybe something that can make you younger will appear at the party?"
Chen Guangliang was taken aback, then realized what was happening.
The only thing that could make him younger is probably a young person.
"Ahem, well..."
Monica chuckled, then added, "And she's blonde and blue-eyed."
"Row"
As the owners of a clothing giant, it's not surprising that the two women hire young models; that's their resource base. (End of Chapter)