In mid-November, Lin Zuhui took a private plane to Dublin, the capital of the Kingdom of Ireland, to attend the unveiling ceremony of "Times Airlines".
Why choose ‘Dublin’ as the headquarters of ‘Times Airlines’?
This is because the development of the aircraft leasing market in Ireland has gone through a process of about 30 years. After continuous improvement and enrichment, a complete supporting system has been established in terms of taxation, law, financing channels and professional services, forming a system to promote the development of the aircraft leasing industry.
With its unique advantages, it has become one of the global aircraft leasing industry centers.
Ireland’s aircraft leasing market is relatively mature and has four characteristics:
First, at present, the global aircraft leasing business is relatively concentrated in a few large leasing companies, and many of these companies are headquartered in Dublin.
Second, Ireland’s unique advantages in supporting the development of the aircraft leasing industry can be summarized into two aspects: tax incentives and other supporting policies: low interest and low tax rates; at the same time, Ireland’s aircraft maintenance industry is very developed, with thousands of aircraft maintenance workers. Just imagine
The aircraft is not a building. The leasing company rents the aircraft to customers in China, but when it comes to maintenance, it will fly the aircraft to Ireland for maintenance, which can save money and effort.
Third, the advantages in the external environment mainly include: applicable British and American legal systems, a good policy environment to attract external investment, a good capital market and abundant financing channels, a developed and mature GEM trading market, and convenient and smooth international market connections.
We have established extensive cooperation opportunities with various local companies and companies in the same industry, and have a well-educated workforce with the ability to provide professional services.
In addition, after on-site inspections by Yuan Tianfan, Morris and others, the Royal Government of Ireland provided the most sincere conditions for attracting investment.
On the day of the unveiling, Irish Prime Minister Bertie attended the ceremony. Ireland's top minister attaches great importance to relations with China. Coupled with Lin Zuhui's influence in the world and the huge asset value of New Era Group, he will not hesitate.
gave great support to 'Times Airlines'.
Bertie and Lin Zuhui each delivered speeches at the ceremony, followed by speeches by Morris, the president of Times Shipping, and Ahern, the president of Times Airlines. After doing this, the guests and media below were also very excited.
Times Airlines is a subsidiary of Times Shipping and belongs to one of the core businesses of "sea transportation/aircraft"; Times Airlines stated that it is committed to developing into one of the world's top aircraft leasing companies.
Undoubtedly, the guests and the media were convinced that its boss, Lin Zuhui, had always been the overlord in various industries and was born to be a king.
After the unveiling ceremony, the organizer prepared a cocktail reception.
Lin Zuhui and others, as well as Bertie and others from the Irish government, were holding glasses of wine and talking together.
Bertie said friendly: "Thank you Mr. Lin for your trust in Ireland and choosing Dublin to be the headquarters of Times Airlines. As a government, we will definitely provide full support in all aspects to ensure a good investment environment."
The name of a person is like the shadow of a tree. Lin Zuhui is a big sign. Since Dublin is committed to becoming the global leader in aircraft leasing, it is naturally very eager for Lin Zuhui to choose "Dublin".
Lin Zuhui raised his glass and said: "Prime Minister Bertie, we chose Dublin as our headquarters because of the environment and sincerity here. I believe this is a win-win choice. The president and most of the management of Times Airlines,
They are all from Ireland and I trust these colleagues."
Ahern and the management on the side suddenly felt very happy.
In fact, Lin Zuhui is very good at "using one to control another". Many of his senior executives are foreigners, such as the president of Langham Hotel, the president of Times Shipping, etc., and there are countless foreign executives.
New Era Group has a management photo, and half of the photos are foreign executives.
Bertie nodded, and then asked curiously: "Now that Times Airlines has been established, how much money are you planning to invest in purchasing aircraft?"
Lin Zuhui said: "We have invested US$3 billion in Times Airlines to purchase aircraft or acquire aircraft leasing companies; at the same time, we will adopt a loan model, so the total investment will not be less than US$5 billion."
What he said was very conservative. In fact, the follow-up is far more than just investment.
In aircraft leasing companies, the average cost of an aircraft is HK$300-400 million, mainly narrow-body aircraft, supplemented by wide-body aircraft. In its previous life, AerCap, the world's largest aircraft leasing company, managed and owned more than 1,100 aircraft and assets.
Valued at nearly 60 billion US dollars.
Why does Lin Zuhui invest in the aircraft leasing industry?
First of all, this is a cyclical industry, and any industry with strong cyclicality is suitable for Lin Zuhui to enter. He is currently buying the aircraft leasing industry at the bottom, and before Lehman broke out, he did a wave of T (selling part of the aircraft ownership), and then he
Buy the bottom on a large scale and make another wave of big T before 2020. According to this operation method, the original return rate of more than 9% can be turned into a return rate of more than 15%.
Secondly, in the entire aircraft industry chain, aircraft leasing companies have the highest return rate of 9%, followed by aircraft manufacturing at 5%, and finally airlines at only 3%. Since Lin Zuhui knows that the aircraft leasing industry will be the trend in the future, why not enter
Well, he has a historical advantage and can enter this industry 13 years earlier than Li Chaoren and Buffett. This is the biggest advantage.
Finally, the prospects of aircraft leasing companies are the best. Leaving aside Lehman and Yiqing, aircraft leasing is a sure profit because 70% of the aircraft of global airlines are leased. This is the market demand. Aviation
The reason why companies are willing to lease aircraft is because the aviation industry's cycle is too strong. Buying aircraft can easily lead to financial ruin. Moreover, due to the sudden increase in demand, airlines may not be able to afford the money to purchase aircraft all at once.
Overall, this industry (aircraft leasing) is a big fat industry. Later, several major mainland banks, Citigroup, Standard Chartered and other financial institutions have entered the "aircraft leasing" industry. This is the best portrayal.
When Bertie heard that it was no less than 5 billion US dollars, he was immediately very happy and even more enthusiastic.
"Mr. Lin is worthy of being a businessman of the era. His investment skills are huge and admirable. But here, I have a personal question. I wonder if I can raise it?" Bertie said seriously with a desire for knowledge in his eyes.
Lin Zuhui said calmly: "Of course, Prime Minister Bertie please speak!"
Bertie asked curiously: "When the world was affected by the September 11th incident, the aviation industry was the hardest hit area, but why did Mr. Lin choose to enter this industry at this time?"
Lin Zuhui said with a smile: "Overcoming fear may take one year, maybe two years, but it will never take more than three years."
There is no need to speak too clearly!
Bod and others nodded, showing admiration.
They understand what Lin Zuhui is saying. The reason why the aviation industry is affected is because passengers are now afraid. Of course, there are also reasons for the poor tourism industry and the economy, but fundamentally people are still afraid. But as time goes by, this fear will definitely be forgotten.
, won’t the aviation industry recover by then?
Bertie said with admiration: "I have read many reports about Mr. Lin, and I know that you are a businessman who is very good at seizing opportunities. Now it seems that this is indeed the case. Of course, maybe many people understand the truth just now, but they don't
I don’t have the guts and don’t have enough cash flow.”
Indeed, many people know that they should buy the bottom, but when is the bottom? How long will this bottom last? Can they survive the cold winter?
These reasons all restrict people who want to buy the bottom.
Therefore, on the contrary, people prefer to chase high prices because they think chasing high prices means they can make money immediately.
........
The unveiling ceremony of ‘Era Air’ has created a great sensation in Ireland and the aircraft leasing industry.
However, these were not Lin Zuhui’s considerations. After the unveiling ceremony, he convened a management meeting of Times Airlines; in addition to the management of Times Airlines, Morris and Yuan Tianfan, as presidents and directors of the parent company Times Airlines, attended the meeting.
Lin Zuhui first asked: "The next step is to purchase aircraft and start business, so how is the current market? Are there any difficulties in finding aircraft?"
President Ahern immediately said: "The current market is bleak, and it is easy to buy second-hand aircraft or brand-new aircraft that have not been used for a long time. As for business, although the European and American aviation industries have been greatly affected, Asia, as a supermarket, especially
China, so we are very confident."
Ahern missed one point, that is, if you want to enter the Chinese market, you must have an airworthiness certificate. Without background and connections, there will be some trouble. Of course, this is no problem for Lin Zuhui's industry.
Lin Zuhui nodded and said: "We can package and acquire those small and medium-sized aircraft leasing companies, and we can also learn from their experience; at the same time, we can purchase newer second-hand aircraft and order new passenger aircraft in three directions at the same time. In short, I like to do both.
Within this year, Times Airlines will become one of the top five aircraft leasing companies in the world."
Ahern immediately sensed the boss's ambition. As expected, he wanted to become the overlord of the industry in any field.
"No problem, we are very confident!" Ahern said confidently.
A large part of his confidence comes from Lin Zuhui's infection!
In fact, the aircraft leasing industry is not a high-tech field. It will become an accessory of financial institutions; in the future, the top 50 aircraft leasing companies in the world will all be subsidiaries of private equity, banks, and large enterprises.
The technical threshold is not high!
The headquarters of the aircraft leasing industry will almost always choose to be in areas with low interest rates and low taxes, while the leasing places are in areas with high interest rates. Taking advantage of this interest rate difference is equivalent to making extra money.
Next, everyone discussed, while Lin Zuhui listened.
Don't think that he doesn't understand. In fact, before each line he does, he will buy a large number of books and quickly get started. After that, he will also seek professional advice from professionals, and he will soon become a 'paper conductor'.
Because his brain memory and IQ are very high, he can often enter the industry very quickly.
This made these senior executives admire Lin Zuhui's attitude towards work, which affected the attitude of all management under Lin Zuhui. After all, it is impossible for a diligent and versatile boss like Tan Shang to be lazy.
Finally, Lin Zuhui concluded: "Within two years, Times Airlines will invest more than 10 billion US dollars in this industry. Everyone should seize the opportunity and buy the most valuable things with the least money."
This was the first time he revealed the true scale of investment. Everyone was a little shocked. This boss was really generous.
Of course, it is impossible to use all the US$10 billion in cash, and appropriate loans are certain.
As for high-leverage investment, it is impossible for Lin Zuhui to do it. After all, he has to learn from Li Chaoren - be steady without forgetting development, and develop without forgetting stability.