#194 - Joint venture to establish a new brand

Lu Haifeng looked at Li Li and asked, "President Li, what do you think of this model? Do you like it?"

Li Li replied without even thinking, "President Lu, it's not just that I like it, I'm absolutely satisfied!!!"

Li Li was smiling from ear to ear, but then he began to ponder in his heart.

The model has been designed, but it's just a design drawing. If they really want to develop it, with Liliji Automobile's R\u0026D capabilities, it would probably take a year or two to develop it.

By the time the new car is developed, the A-class car market will probably have already been occupied by the Honda Civic.

So now Li Li is focusing his attention on Lu Haifeng, to see if he can get Lu Haifeng's Audi Automobile to help with the development.

If possible, Li Li even wants to cooperate with Lu Haifeng and jointly establish a brand new automobile brand.

That way, he will have a backer in the future, and Li Li won't have to worry about new cars anymore, after all, it's good to be under a big tree.

However, since Li Changcheng of Great Wall Motors is here, Li Li doesn't want to bring up this matter, so he decides to have a good chat with Lu Haifeng when he has time.

So Li Li directly bypassed this matter and said, "President Lu, thank you for designing the model for us. Although I know you have plenty of money, the design fee is a must."

After Li Li finished speaking, he immediately picked up his phone and called his company's finance department, asking them to transfer 100 million to Lu Haifeng's personal account.

This design fee is quite a lot. Nowadays, the world's top designers only charge tens of millions for designing a car.

Lu Haifeng saw that Li Li had already arranged it, so he couldn't refuse any longer, so he said with a smile, "Since President Li has said so, then I won't refuse."

Hearing that Lu Haifeng accepted the design fee, Li Li felt relieved. He knew that Lu Haifeng and Li Changcheng still had things to talk about, so he tactfully took the design drawings and left.

Before leaving, he also made an appointment with Lu Haifeng to treat him to dinner in the evening, so that they could have a good chat.

After Li Li left, Lu Haifeng started talking to Li Changcheng about the Haval brand.

He showed Li Changcheng the design drawings of the Haval H series, and also told him to consider jointly building a brand new Haval Automobile brand.

Lu Haifeng originally thought that Li Changcheng would consider it, but he didn't expect that after hearing this proposal, Li Changcheng agreed without saying a word.

Li Changcheng saw that Lu Haifeng seemed very surprised, so he immediately explained, "President Lu, to be honest,"

"I have been wanting to cooperate with you for a long time, but I was always afraid that you would look down on the scale of our Great Wall Motors, so I didn't dare to bring it up."

That's the reason, now Lu Haifeng knows.

Since both parties have this idea, then the following things will be much simpler.

Soon, the two of them discussed the matter of investing in the establishment of a brand new Haval Automobile brand.

Huaxing Venture Capital invested 1 billion, Audi Automobile invested 2 billion, and Great Wall Motors invested 4 billion to establish a brand new Haval brand, which belongs to Great Wall Motors.

As for the equity structure, Huaxing Venture Capital occupies 10%, Audi Automobile occupies 20%, and Great Wall Motors occupies 70%.

The reason for sacrificing a little in equity is because Audi Automobile will not participate in the R\u0026D work of the Haval Automobile brand, and Huaxing Venture Capital will not participate in management and R\u0026D, but only act as a technical consultant.

Of course, the powertrain of the Haval Automobile brand will also use Audi Automobile's powertrain in the future. Lu Haifeng promised that the price will be reduced a little, but not too much.

After Lu Haifeng made a little concession, he believed that with Li Changcheng's ability, he would definitely be able to build the Haval brand in the shortest possible time.

And Lu Haifeng only needs to provide a set of design drawings for all models in the early stage, and he doesn't need to worry about all the subsequent things.

It will be completely operated by Great Wall Motors, and he only needs to rest assured and receive dividends.

Li Changcheng seemed afraid that Lu Haifeng would go back on his word, so he immediately asked someone to draft a memorandum of cooperation, and after the two signed it.

It was decided to hold a press conference on a selected day to announce the joint establishment of a new automobile brand by Great Wall Motors and Audi Automobile.

Li Changcheng's trip to Piaocheng can be said to be very fruitful. He not only solved the problem of the powertrain, but also established a new automobile brand with Lu Haifeng.

In Li Changcheng's opinion, as long as he can get on the ship of Audi Automobile, then it is certain that the development path of the Haval brand in the future will be bright.

After signing the memorandum, Li Changcheng left with his people that day. He was going back to prepare various procedures so that he could formally sign a contract with Audi Automobile.

And when he left, Li Changcheng also took away the design drawings of the Haval H series, and after returning, he asked the engineers of Great Wall Motors to start R\u0026D and design, striving to develop it within a year and put it into mass production.

After Li Changcheng left, Li Li found Lu Haifeng and pulled him into a very luxurious restaurant private room, and talked to Lu Haifeng about the R\u0026D of Qin PRO.

"President Lu, you have to help me."

"If our Liliji Automobile's R\u0026D team wants to develop this model, it will probably take at least more than a year. By then, the A-class car market will probably be dominated by Honda Civic."

"So, can you ask your company's R\u0026D team to help us with the R\u0026D? After all, you have more experience in this area, and our R\u0026D technology cannot be compared with yours."

"Don't worry, the cost is definitely not a problem."

"Of course, if possible, I want to ask if you are interested in investing in our Liliji Automobile, or we can jointly invest in establishing a brand new automobile brand."

Li Li belongs to the kind of person who has a very straightforward personality, and is impatient in doing everything, so after seeing Lu Haifeng, he told his thoughts.

Perhaps it is this kind of resolute personality that is one of the reasons for his success.

"Okay"

Lu Haifeng readily agreed. He was originally planning to cooperate with Liliji Automobile to jointly establish a brand new automobile brand.

Since Li Li himself proposed it now, of course he would not refuse.

Lu Haifeng said to Li Li with a smile: "I also just signed a joint venture agreement with Li Changcheng of Great Wall Motors this afternoon. Our two companies will jointly establish a brand new SUV automobile brand."

Lu Haifeng told Li Li about the things he discussed with Li Changcheng in the morning. Even if he didn't say it now, Li Li would know after the press conference in a few days.

Li Li almost exploded when he heard Lu Haifeng's words: "That damn Li Changcheng, signed a contract with you without saying a word, no, let's sign a contract quickly too."

As he spoke, Li Li took out his phone and prepared to call someone to draft a contract.