Chapter 907
Parting Ways
The last day before New Year's Day 1999.
The heavy solid wood door of the Lu residence slowly closed behind us with a dull "click," as if severing the last faint connection.
Duan Yongping stood under the porch, the afternoon sun of winter shining obliquely on him, but he felt no warmth at all, only a weariness and coldness seeping from his bones.
The equity transfer agreement in his hand, which had just been signed and whose ink seemed not yet fully dry, was a few light sheets of paper, but at this moment it weighed more than a thousand pounds, making his arm feel heavy and his chest feel suffocated.
Shen Wei and Chen Mingyong followed behind him, one on each side, also remaining silent.
Shen Wei's face still showed a hint of relief after the "success" of the transaction, but more than that, it was a sense of resentment and frustration. His lips were tightly pursed, and his gaze toward the villa was filled with obvious hostility.
Chen Mingyong was much calmer. He simply pushed up his glasses, his gaze sweeping complexly over the imposing yet oppressive mansion before him, finally settling on Duan Yongping's slightly hunched back, and he sighed softly.
The three of them walked silently along the bluestone path they had come from, toward the black sedan parked not far away.
The sea breeze was stronger than when we arrived, carrying a sharp whistling sound, swirling up fallen leaves from the roadside and pelting people.
Duan Yongping subconsciously tightened his suit jacket, but he still felt the chill seeping into every part of him.
The driver had already gotten out of the car and respectfully opened the door.
Duan Yongping bent down and sat in the back seat, casually placing the agreement on the empty seat next to him, as if he didn't want to look at it again.
Shen Wei got into the passenger seat, while Chen Mingyong sat next to Duan Yongping.
The doors closed, cutting off the outside wind, and the interior fell into a deathly silence, broken only by the low rumble of the engine, signaling the imminent return journey.
“Boss…” Shen Wei couldn’t help but break the silence first, turning around with a forced smile on his face, “No matter what, we finally got the shares back! Although it cost 150 million, at least we’ve kept control! That Lu Yang guy, in the end, didn’t he still not sell to Li Er or the foreigners? I think he was just bluffing; when it really came down to it, he still…”
"Xiao Wei!" Duan Yongping interrupted Shen Wei, his eyes closed and headrested, his voice heavy with weariness. "Be quiet for a while, let me think."
Shen Wei choked for a moment, looking at the heavy shadows and furrowed brows under Duan Yongping's tightly closed eyes. He opened his mouth, but in the end, he turned his head away dejectedly and muttered something under his breath.
Chen Mingyong glanced at Shen Wei in the rearview mirror, shook his head slightly, and then said softly to Duan Yongping, "Boss, regarding the equity pledge loan, I'll keep an eye on the follow-up procedures with Manager Zhou at Minsheng Bank and get them done as soon as possible to fill the funding gap. However… the interest and repayment pressure…"
"It's alright." Duan Yongping still didn't open his eyes, just waved his hand. "I can handle it. Not a single penny of the company's money can be touched. The MP3 project is in a critical period, with production line expansion and market promotion, and money is needed everywhere. The 4000 million US dollars from Hong Kong capital and Intel must be used wisely."
He paused, his voice lowering as if to himself, "This is our only 'chance' now."
Chen Mingyong nodded and said no more.
Silence fell again in the carriage, with only the regular, monotonous rustling of the wheels on the road, unable to soothe the turmoil in anyone's heart.
Duan Yongping's mind was replaying the last scene in the study uncontrollably.
Lu Yang's indifferent gaze, his casual wave as if to dismiss someone, and his nonchalant "Goodbye, don't bother seeing me off"—there was no anger, no accusation, not even much emotional fluctuation; only a complete, cold severance.
This kind of severance is more chilling than a heated argument, because it means that in the other person's mind, it's no longer worth the emotional investment.
"Compare prices from three different vendors"... "Sowing discord"...
Duan Yongping felt bitter.
How could he not know Lu Yang's scheme?
What was bought back for 150 million was not just a 15% stake, but a hot potato, a potential source of future suspicion among the new shareholders.
What will Li Zekai think? What will Intel think? Will they believe that Lu Yang sold the shares back to the founding team out of "old friendship"? Or will they think that this is some kind of tacit "understanding" between Duan and Lu, or even a hidden plot?
Lu Yang's move, seemingly a concession, actually pushed him and BBK into a more delicate and dangerous situation.
From now on, within BBK, the founding team and the two new capital shareholders will forever be separated by a thin layer of suspicion sown by this transaction.
Externally, its relationship with the Century Group and its affiliated companies, such as Xiaotiancai, Xiaoshentong, and Century Langke, has completely changed from "ally" to "enemy".
There is no room for maneuver.
The car sped away from Pengcheng toward the headquarters of BBK Electronics in Dongguan.
The view outside the window gradually transitioned from the bustling coastal area to the orderly industrial zone, but Duan Yongping had no heart to appreciate it.
He felt an unprecedented sense of isolation.
Having lost the great tree that once sheltered them from the storm, and now holding capital from different regions with their own agendas, can BBK truly sail "freely" through the waves as Shen Wei envisions?
Or will they lose their way amidst the undercurrents both inside and outside?
……
A few hours later, the car drove into the BBK headquarters campus.
The core team members, who had already received the news, including several vice presidents and heads of key departments, had gathered in the small conference room outside Duan Yongping's office, waiting anxiously.
The atmosphere was heavy and uneasy.
They knew that their boss was going to complete a crucial transaction today, one that would determine the ownership of the company and the final determination of their future relationship with the Century Group.
When Duan Yongping, Shen Wei, and Chen Mingyong appeared at the conference room door, everyone's eyes immediately focused on them, filled with inquiry and anticipation.
"Boss!"
"President Duan!"
"How about it?"
Everyone stood up and started asking questions all at once.
Shen Wei straightened his chest, wanting to say something, but seeing Duan Yongping's solemn expression, he swallowed his words.
Duan Yongping walked to the head of the conference table, but did not sit down immediately. His gaze slowly swept over the familiar faces. These were his brothers who had fought alongside him for many years, the cornerstone of BBK's success.
He took a deep breath and tried to make his voice sound steady: "Please sit down."
Everyone sat down as instructed, their eyes still fixed on him.
Duan Yongping sat down, placed the file bag in his hand on the table, and unconsciously rubbed the smooth leather surface with his fingers.
"The shares," he said, his voice exceptionally clear in the quiet conference room, "we've bought them back. The 15% that President Lu held has been transferred to my name." "That's wonderful!"
"We managed to save it!"
A collective sigh of relief and hushed discussion filled the conference room, and many people smiled.
This means that the founding team still firmly holds control of the company, and external capital cannot easily shake it.
But soon, someone noticed that Duan Yongping did not show any joy, Shen Wei also had a tense face, and Chen Mingyong seemed to be deep in thought.
The relaxed atmosphere gradually became stagnant again.
A vice president in charge of marketing tentatively asked, "Boss, this is great news! Why do you look like..."
Duan Yongping gave a wry smile and placed his hands together on the table: "A good thing? Maybe, from the perspective of control."
He paused, his gaze sharpening. "But from this day forward, BBK, Century Group, and all of President Lu's companies will be on completely different tracks. Any past ties will be completely severed after this signing."
He looked at the vice president who had just spoken: "Old Zhao, you're in charge of the market, you should know best. Little Genius and Little Prodigy have been battling us in the learning machine field for so many years. In the past, we were somewhat mindful of being part of the 'Century Group,' so we didn't use all our tactics and avoided direct competition in some markets. But what about the future? The chip supply cutoff is just the beginning. Given President Lu's style, how will he make his moves in the VCD, DVD, and even the MP3 market where we're about to invest heavily?"
The vice president, known as Lao Zhao, changed his expression slightly, clearly thinking of the fierce competition behind this possibility.
Chen Mingyong added at the opportune moment, his tone calm but his words heavy: "It's not just about market competition. Technology licensing, supply chain resources, even talent mobility... all the conveniences and potential protection we used to enjoy within the 'Century Group' will disappear. What we will face next is an opponent who is familiar with almost all of our tactics, has strong technological reserves and capital strength, and no longer has any scruples."
The meeting room was completely silent.
The slight joy I felt just now from retaining control was completely washed away by the immense pressure of reality.
They suddenly realized that what they bought back for 150 million might not just be a portion of the equity, but also a "ticket" to an even more brutal business war.
Seeing the somber atmosphere, Shen Wei couldn't help but stand up again, his voice carrying its usual impetuousness: "What's there to be afraid of! We were only holding back before because of our relationship, but now that we've torn off all pretenses, let's have a real fight! We're rich now, we have Intel's flash memory support, and we have Hong Kong capital's distribution channels, so we're not necessarily afraid of Lu Yang! Boss, our BBK isn't made of clay!"
"Xiao Wei!" Duan Yongping stopped him again, this time with an even harsher tone, "Stop acting rashly! Business warfare is not a fight! Haven't you experienced enough of President Lu's methods? Do you really think he's doing us a favor in this equity transaction?"
He picked up the file folder on the table, but didn't open it. He just slammed it down heavily: "This 150 million is a loan I personally secured from the bank by pledging almost all of my shares! Not a penny of the company's working capital has been touched. Why? Because the 40 million US dollars from Hong Kong capital and Intel is the lifeline of our MP3 project, and even the company's future for the next year or two! We can't touch it, and we dare not touch it!"
He scanned the room, his voice heavy with sorrow: "And Mr. Lu, he could have easily sold his shares to Li Zekai or Intel for $20 million or even more! But he 'chose' to sell them to us, and 'only' accepted 150 million RMB. Why do you think that is?"
The crowd exchanged bewildered glances, and some of the quick-thinking individuals had already vaguely grasped the situation, their expressions turning grim.
Duan Yongping provided the answer, each word striking like a hammer blow to everyone's heart: "Because that's exactly the effect he wanted! He wanted me, Duan Yongping, to personally shoulder enormous debt; he wanted our founding team to be completely exhausted and trembling with fear just to maintain control! And more importantly—"
He paused, letting each word resonate deeply in everyone's ears: "What will Li Zekai think? What will Intel think? Will they believe that Lu Yang suddenly softened, or will they believe more that I, Duan Yongping, made some kind of deal with Lu Yang in private, or even... that this 15% stake is actually a spy planted among them? From now on, will Yingke and Intel still 'trust' and 'support' our founding team as stated in the agreement? How will everyone be suspicious of each other?"
Cold sweat silently seeped from the foreheads of some people.
Only now have many people truly glimpsed the chilling implications behind this deal.
This is not the end, but the beginning of a more complex and dangerous situation.
While BBK Group appears to have resolved its current equity crisis, it has simultaneously fallen into a triple predicament: founders' debt, new shareholders' suspicion, and former allies turning into formidable enemies.
"Then... what should we do?" a technical lead asked in a hoarse voice.
Duan Yongping slowly leaned back in his chair, as if he had used up all his strength.
He stared at the bright lights on the ceiling of the conference room, his eyes somewhat vacant, yet gradually gathering a resolute determination that seemed to have reached its limit.
"What do we do?" he repeated, his voice not loud, but carrying a heavy weight. "There's no turning back. Having chosen this path, we must persevere, even if it means crawling on our knees. From today onward, BBK has no allies, only ourselves. The MP3 project must succeed, failure is not an option! It's our only chance to prove our value to our new shareholders and to build the strength to face any future challenges!"
He looked at Chen Mingyong: "Mingyong, expedite the loan procedures. The R&D department must provide me with a feasible timeline for an alternative plan to the chip supply disruption!"
He then looked at Shen Wei and the others, "Supply chain, production, marketing, sales, get everything moving! We need to get the products out there as quickly as possible, distribute them, and make a name for ourselves! Time is what we lack most and what we value most right now!"
"Yes!"
"understand!"
Everyone responded enthusiastically. Although their hearts were heavy, they were also moved by the determination in Duan Yongping's words to fight to the death.
A somber and tense atmosphere filled the meeting room.
While a heavy atmosphere and a sense of determination filled the conference room at BBK's headquarters, the definite news that Century Group had divested its BBK shares and that founder Duan Yongping had taken over had spread like wildfire through various channels to all relevant parties.
Hong Kong, headquarters of PCCW Digital.
Li Zekai toyed with a pure gold fountain pen, listening to his subordinates report accurate news from the mainland, a playful sneer appearing on his face.
"Duan Yongping took it all himself? Pledged all his shares? Ha... Lu Yang, are you being sentimental or trying to sabotage me and Intel?"
He muttered to himself, his eyes gleaming, "Duan Yongping... you'd better really cut ties with Lu Yang completely. Otherwise, I don't want to have invested 2000 million US dollars in a dog that might turn around and bite me."
He pressed the intercom button: "Connect me to the head of Intel Greater China. Also, I need to see two progress reports on the BBK MP3 project every week, one official and one... I need to know who their core team met and what they said each day."
Across the ocean, at Intel headquarters, the relevant department head was also evaluating this latest equity change report from China.
A stable supply of low-priced flash memory is an olive branch they've extended, but it also comes with an assessment of BBK's market potential and the team's controllability.
The low-key and secretive transaction between Duan Yongping and Lu Yang undoubtedly casts a shadow over this assessment.
"Increase the frequency of communication between the technical liaison team and BBK's R&D department. We need to gain a deeper understanding of their product roadmap, and... ensure that our technological advantages are always the most important factor in the cooperation." An internal directive was quietly issued.
Pengcheng, Lu's study.
Lu Nini placed a briefing on Lu Yang's desk: "Chairman, regarding BBK, President Duan has completed the equity pledge loan, the funds are in place, and the transaction is officially completed. In addition, according to feedback from some channels, Yingke and Intel seem to be quite interested in this transaction."
Lu Yang stood by the window, looking at the dark, yet turbulent sea under the night sky, holding a glass of water in his hand.
"Just keep an eye on it," he said calmly, his voice blending into the sea breeze outside the window. "Both of them contacted me, offering as much as 20 million US dollars, which is far more than 150 million at the current exchange rate. But I chose to sell to Duan Yongping, preferring to earn 10 million less than sell to those two. The seed has been planted; now, let's see how it grows. It's time to turn our attention back to them."
He turned around, his gaze clear and sharp: "What's the progress of Little Genius's next-generation DVD/VCD development? When will Century Netac's new strategy regarding flash memory USB flash drive patents become a deterrent?" (End of Chapter)