In 1993, Taiji Industrial was successfully listed on the Shanghai Stock Exchange, becoming the first listed company in Jiangsu Province. Most people may not know that the history of Taiji Industry can be traced back to 1966, and its predecessor was Wuxi Synthetic Fiber Factory.

Talking about Taiji Industrial , I believe that old investors across the country will be familiar with it. In 1993, Taiji Industrial was successfully listed on the Shanghai Stock Exchange, becoming the first listed company in Jiangsu Province. Most people may not know that the history of Taiji Industry can be traced back to 1966, and its predecessor was Wuxi Synthetic Fiber Factory. Looking at Wuxi old state-owned enterprises, Taiji Industrial has a very high starting point. It is the earliest enterprise in China to produce civilian polyester staple fiber and the first enterprise in the country to produce polypropylene tow for cigarettes. Half a century of entrepreneurial development has seen glory and silence; acceleration and hesitation. But no matter how tortuous the road is, the belief in serving the country through industry has always been rock-solid. After three entrepreneurships, the company has achieved innovation and leaps. The recently published book "A Personal Experience of the Development of Wuxi Industrial Enterprises" (1949-2019) published the memoirs of Zhao Zhenyuan, chairman of Wuxi Taiji Industrial Co., Ltd., which introduced in detail the three entrepreneurial journeys of Taiji Industrial. This article was written by Zhao Zhenyuan Excerpts from the manuscript.

A business start-up: Integrate industries, go public and seek to leapfrog

In the early days of reform and opening up, China's chemical fiber industry was in full swing, but Wuxi's chemical fiber industry fell into an ice hole. The first synthetic fiber factory and the second synthetic fiber factory that were once very popular in the market The fiber factory is in deep trouble of slow sales, with inventory reaching more than 700 tons. The director of the Municipal Textile Industry Bureau decisively decided to "change managers to save themselves" and implemented it on a pilot basis at the Second Synthetic Fiber Factory. The new factory director started by opening up sales channels. In just over 40 days, all the backlog of products was turned into real money, with a year-end profit of 1.02 million yuan. Seeing the recovery of the Second Synthetic Fiber Factory, and considering that several state-owned enterprises in the city were still having a hard time, the Textile Industry Bureau and the city made the decision to merge the factories, betting that the "weak-weak combination" could turn from weak to strong. In 1987, Wuxi Synthetic Fiber Factory was established with the First Synthetic Fiber Factory and the Second Synthetic Fiber Factory as the main body, and merged with Jianxin Carpet Factory and other enterprises.

Wuxi Synthetic Fiber General Factory, which produces national-level major new products such as polypropylene tow and polyester cord,

History always favors those who make progress. After the establishment of the new factory, it was identified by Wuxi City as one of the first batch of enterprises under the factory director contract management responsibility system, which provided a guarantee for the company to carry out drastic reforms. The company first directly linked wages to labor by issuing "value stocks", which greatly activated employees' enthusiasm for production. After resolving internal production conflicts, the company turned its attention to the market and focused on research and development. In 1988, a total of two national-level major new products were launched: one was the first cigarette filter material in China - polypropylene tow; the other was polyester cord that filled the gap in the country at that time. The birth of new products doubled the company's output value. In 1990, the company's output value reached 280 million yuan.

In order to maintain its market advantage, after the successful development of polyester cord, the company is preparing to launch a mass production plan. But the problem is right in front of us: the huge funds needed to put into production will come from nowhere. Going public and looking for opportunities in the capital market is the final decision made by the company after weighing the pros and cons. As a result, the company was renamed "Tai Chi Industrial". In 1993, after seven years of hard work, the company emerged from the second batch of more than 100 applying companies across the country and became one of the 13 companies approved to be listed. On July 28 of the same year, the company issued 63 million shares at 3.6 yuan, successfully raising 227 million yuan. The successful listing of Taiji Industrial is the first of its kind for Jiangsu enterprises to enter the capital market.

On July 25, 1993, Wuxi Taiji Industrial Co., Ltd. held a general meeting of shareholders

Second Entrepreneurship: Entering high-tech, transforming and seeking to leapfrog

In 2008, Wuxi Industrial Development Group Co., Ltd. was established, and the financial crisis was raging around the world, and the world economy "Cliff-like" decline. In the collision between prosperity and decay, Taiji people insisted on taking industrial development as the foundation and capital operation as their technique, vigorously promoted transformation and upgrading, and launched a head-to-head "hand-to-hand battle" with the economic decline.

In 2009, with the strong support of the Wuxi Municipal Government and industrial groups, the company established a joint venture with South Korea's Hynix with an initial investment of US$400 million, transforming from a traditional chemical fiber enterprise into a high-tech enterprise.After it was officially put into production in 2010, the company started from scratch and worked hard on key aspects such as production capacity, quality, and cost. In just three years, it ranked among the "Top Ten Packaging and Testing Companies in China" and quickly established itself in the semiconductor industry with many high-tech barriers. The industry found its footing. However, the enterprising Taiji people are not satisfied, but are working hard on technological innovation and production capacity upgrades. Between 2010 and 2017, Haitai's process evolved from 6X nanometer to 1X nanometer, its revenue increased from US$247 million to US$519 million, and its product appearance quality surpassed that of SK Hynix. The persistent pursuit of technology and quality has won Haitai market praise. Haitai has been selected as a "High-tech Enterprise in Jiangsu Province" three times in a row and among the "Top Ten Packaging and Testing Enterprises in China" seven times in a row.

Haitai Semiconductor production line

has gone through the arduous entrepreneurial journey of "building tall buildings from the ground up". Taiji people know very well that only by being independent and self-reliant can the red flag of semiconductor be kept intact. In 2012, the company aimed at the domestic semiconductor M&A boom and established Taiji Semiconductor (Suzhou) Co., Ltd. and Taiji Microelectronics (Suzhou) Co., Ltd. through the acquisition of Italian EEMS Semiconductor, and began to build independent semiconductor brands. In 2015, after studying and judging the economic growth trend, the company, under the leadership of the new leadership team, set three-year goals, namely to significantly reduce losses in 2016, stop operating cash flow losses in 2017, and fundamentally turn losses around in 2018. At the same time, the company combined the technical advantages of Memory packaging and testing with the trend of automobile intelligence, and formulated a development strategy of "integrating into the mainstream and deepening car regulations". Through the two-pronged approach of financial savings and business openness, Taiji Semiconductor's platform functions have resumed and improved.

has achieved positive monthly operating cash flow since March 2017; in July, monthly revenue exceeded US$4 million, turning losses into profits in a single month, ending 54 consecutive months of losses since the company was founded. After optimizing the customer structure, a tripartite trio of world-class customers has been formed, and the operating capabilities have been improved. In addition, the company actively invites customers for certification, focusing on building Flip-Chip high-end production lines, and has successfully attracted the cooperation of many newly established domestic semiconductor manufacturers. A good trend of breaking bottlenecks through reform and promoting development through transformation has been formed.

Taiji Semiconductor's production workshop, which provides high-end packaging and testing services,

, while laying out integrated circuits , the company is also actively integrating traditional industries. In 2008, in order to resolve the contradiction between energy, environmental protection and production, the company established Jiangsu Taiji Industrial New Materials Co., Ltd. in Yangzhou Guangling Industrial Park, creating a favorable environment for expanding production capacity and developing new materials. In 2013, in accordance with the relevant policy of "withdrawing from the city and leaving the market", the company decided to relocate the entire curtain canvas production capacity of the headquarters to Yangzhou , completely solving the long-standing operating problems between the two places, in order to further concentrate resources and create the "materials sector" of Taiji Industry "The foundation was laid.

Three Entrepreneurships: Deeply cultivate the main business, reorganize and seek to transcend

In recent years, with the promulgation and implementation of the " National Integrated Circuit Industry Development Promotion Outline " and the "National Energy Development Strategic Plan", provinces and cities have issued policies to speed up the development of integrated circuits, new energy, etc. Industrial development policy opinions, Taiji Industrial has clarified the industrial tone of further strengthening the integrated circuit.

At that time, Eleven Technology was seeking to be listed on the market, and it hit it off with Tai Chi Industrial, which wanted to "strengthen muscles and bones." On one side is the comprehensive Grade-A design institute that was the first to be restructured in China, and on the other side is the "No. 1 shareholding company in Jiangsu" with mature capital operations. Mergers and reorganizations have positive development prospects in terms of extending and strengthening the industrial chain and revitalizing capital factors. Realistic value. With the strong support of the Municipal Party Committee and the Municipal Government, and led by the main leaders of the industrial group, the restructuring plan with a total scale of 4.4 billion yuan completed the asset transfer on October 30, 2016.

This restructuring project was awarded the Best Capital Operation Award for Wuxi Listed Companies in 2016. Its success is not only a new highlight in the reform of state-owned assets and state-owned enterprises in Wuxi, but also creates a new situation of "win-win for all parties".For industrial groups, the shareholding ratio has increased from 32.79% to 36.09%, and the state-owned economic control has been further strengthened; for Taiji Industrial, it has fundamentally improved asset quality and enhanced the ability of listed companies to develop sustainably and healthily; for Eleven Technology, it has leveraged its listing With its platform advantages, it strongly defends its leading position in integrated circuits; for cadres and employees, the "old shares" held by the company are flexibly converted into current shares of listed companies, achieving a deep binding of employee interests and corporate development. After the powerful forces joined forces, the aggregation and fission effect was immediately released, and the main operating indicators showed leapfrog growth. In the year of

's reorganization, the company's consolidated revenue was 9.616 billion yuan, an increase of 2.19 times compared with before the reorganization; profits were 233 million yuan, a surge of 9.86 times; total assets were 15.491 billion yuan, an increase of 10 billion yuan. In 2017, the brand-new Taiji Industry achieved revenue of 12 billion yuan in just 2 years. It took the lead in completing the historical task of a municipal single state-owned enterprise with revenue exceeding 10 billion yuan, and established a good example in the history of the reform and development of Wuxi state-owned assets and state-owned enterprises. New milestone.

The reorganized headquarters building of Taiji Industrial Co., Ltd.

The results of the collaborative development of both parties have accelerated the in-depth integration. In March 2018, Taiji Industrial and its wholly-owned subsidiary Taiji International Trade successfully acquired 10.55% of the equity held by natural person shareholders of Eleven Technology with 586 million yuan of self-raised funds, achieving 100% control of Eleven Technology. Immediately afterwards, the adjustment of industrial structure was accelerated. The company purchased a 5% stake in Taiji Semiconductor and a 5% stake in Taiji Microelectronics held by Ketu Youlian in a package for US$1.55 million, achieving full control of Taiji Semiconductor. Simultaneous equity acquisition, the company transferred 100% equity and related assets of Jiangsu Taiji to the industrial group with a transaction amount of 830 million yuan, returning funds to strengthen its main business. Through a series of capital operations, the company's strategic positioning of "highlighting the main business and focusing on industry" has become clearer, clearing the direction for Taiji Industrial's "three entrepreneurial" high-quality development.

As Taiji Industrial becomes more and more famous in the domestic IC packaging and testing industry, the company has entered the national strategic investment horizon. The National Integrated Circuit Industry Investment Fund comprehensively considered the company's R&D and production capabilities in the memory packaging and testing business and decided to acquire 130 million Taichi shares from the industrial group for a total price of 949 million yuan, becoming the second largest legal person shareholder. After joining the "national team" of integrated circuits, Taiji people are more determined to make the semiconductor industry bigger and stronger. Haitai Semiconductor's investment has maintained high growth on a high base, and its products have shifted from BOC packaging to Flip-Chip packaging. It ranks among the top 100 companies in China's outsourcing services. Taiji Semiconductor received a capital increase of 428 million yuan from its parent company after completing its wholly-owned holding. This capital increase not only reduces the financial burden of Taiji Semiconductor, but also meets the development needs of building a high-end packaging and testing service system. The company also relied on years of technology accumulation and innovation and was selected as a "High-tech Enterprise in Jiangsu Province" for the first time in 2018. Based on the national macro-policy and enterprise development plan , Eleven Technology has made strategic adjustments to "shrink new energy and increase integrated circuits", and has won heavyweights such as Wuxi Huahong, Yixing Zhonghuan Large Silicon Wafer, and Wuxi Haichen Semiconductor. The project has consolidated its position as the number one provider of integrated circuit engineering services in China.

Since Eleven Technology Wuxi Huahong Construction Site

started its business for the third time, Taiji people have adhered to the corporate spirit of "competition, transcendence, and striving for the first place", insisting on not slowing down the intensity of reform and not slowing down the speed of innovation, and refreshing the achievements they have created time and time again. Operating results. Focusing on the theme of high-quality development of the times, companies have taken advantage of the trend and created a new industry model for mutual benefit and win-win results in IC packaging and testing and high-tech engineering services. In the future, Taiji Industrial will continue to use independent innovation as its economic engine, quality services to dominate brand value, and through new means of group management and control, Taiji Industrial will truly build a world-class enterprise with high-end industries, international operations, and modern management.

"Personal Notes on the Development of Wuxi Industrial Enterprises" (1949-2019) contains 423 memoirs with 2.22 million words and 2,088 photos. If you want to read the articles in this book, please pay attention to the recent continuous tweets of "Calling the Distance" on today's headlines.