In the Beicheng of Beijing, the first stock exchange in China was established here. Many companies founded by private merchants can issue stocks on stock exchanges to raise funds from the public.

Of course, in order to prevent people from making a fortune by themselves, only companies that have potential to issue stocks on the stock exchanges can be issued.

Chu Yun specially created a term for this kind of business - "listing".

In addition to helping companies raise funds from the public and invest the excess idle funds in society into production, the stock exchanges can also be sold to the public on the stock exchange.

While developing industrial construction, Chu Yun believed that the financial system also needed to keep up in time to ensure that there was enough funds to continuously invest in industrial construction.

The Netherlands' ability to become a maritime coachman is not unrelated to the prosperity of their commercial banks, stock exchanges and other financial institutions. When the Netherlands' East India Company issued new shares, it subscribed to more than 3 million guilds in Amsterdam alone.

In this era, China has a stronger capital. If the people's silver and gold are mobilized, it will be even better than the Netherlands.

Mainly, China, as a land-powered country, has too serious land circumstances, and the people are more willing to invest capital accumulation in land annexation rather than expanding reproduction.

Only by Chu Yun forced the nationalization of land and restricted land transactions could the private silver and gold be invested in industry, rather than falling into land annexation, peasant uprisings, establishing a new feudal dynasty, and a vicious cycle of land annexation.

The existence of stock exchanges is also for industrial and economic development.

On the day of the opening day of the stock exchange, Chu Yun appeared in the ribbon cutting ceremony in person to express his support.

Many wealthy merchants who have made a fortune because of industry and overseas trade appeared on the scene. Some of them founded companies issued shares on the Beijing Stock Exchange.

If their stocks can be subscribed by the public, they will receive more operating funds to expand their factories or trade.

And in return, they need to disclose financial information to shareholders and pay dividends.

"This time, the Western companies controlled by our government were used as a demonstration. 250,000 new shares were issued, of which our government bought 60% as usual and the public bought 40%. Western companies raised about 1.25 million taels of silver, and the new shares were 5 taels of silver per share." Officials from the stock exchange reported to Chu Yun about the trading situation of the stock exchange.

"If I remember correctly, when we first formed a Western company, we issued 2.5 million shares, and at that time each share was only worth 1 tael of silver. After these years, each share actually reached 5 taels of silver. In other words, with the added 250,000 shares, the market value of the entire Western company has exceeded 10 million taels of silver..."

After simply calculating the accounts, Chu Yun found that the value of Western companies that specialize in trade in Europe has increased by 5 times in more than ten years.

It's just a very unimaginable thing. That is to say, the investment of the first person who subscribed to shares in Western companies increased by 5 times.

For example, Li Jinde bought shares of Western companies for 30,000 taels of silver, but now it is worth 150,000 taels of silver. As long as he is willing to sell it, he will get 150,000 taels of silver and can also wait for the price to sell it, waiting for dividends from Western companies in the future, or waiting for the price of Western companies to continue to rise before selling.

"In addition to the several official companies, there should be several private companies that are selling new stocks today, right?" Chu Yun asked.

"Yes, there are also seven companies founded by private merchants that issue stocks at the same time, involving textiles, grains, and chemicals..." an official from the stock exchange replied.

"Chemical Engineering...Li Jinde's Li's Chemical Engineering?" Chu Yun asked.

"Yes, Li's Chemical issued 50,000 shares on the stock exchange, accounting for 40%, with each share worth 4 taels of silver, and raised a total of 200,000 taels of silver from the public." The official replied.

"In other words, the total value of Li's Chemical Industry is as high as 500,000 taels of silver." Chu Yun couldn't help but be surprised.

Li Jinde has developed well in the chemical industry. The shares of Western companies in his hands seem less important than the chemical factory companies he started his second business.

Da Yuer, who is following Chu Yun, is an outstanding student in the Department of Economics and has always served as a member of the Advisory Committee of the Ministry of Revenue. She also participated in the establishment of the stock exchange and conducted surveys on the companies founded by seven private merchants who chose to issue stocks on the stock exchange.

She told Chu Yun: "Before this Li Chemical listed on the stock exchange, it split its core rubber business and established other companies. Li Chemical's business is light chemical businesses related to the textile industry such as soap and dye. Heavy chemical industries such as rubber and sulfuric acid are in his new company and do not want the core business to be supervised by shareholders. The reason he explained was that he was afraid of the core business leaking."

Chu Yun was a little surprised: "It's interesting, what is his new company?"

“Imperial Chemical Group.”

“…”

Chu Yun understood that rubber was the core business of Li Jinde, and he did not provide financing. He obviously planned to rely on his own funds to maintain the operation of the rubber factory.

I wonder if I can sell this newly established "Imperial Chemical Group" for 1 million taels of silver?

"He is also in line with the regulations in his handling of this. Some core technologies are not convenient for shareholders to supervise." Chu Yun didn't care.

For example, the Arsenal, the Imperial Shipyard is completely funded by the government and will not distribute stocks to the public.

Compared with the other six privately-founded companies, Li Jinde's "Li's Chemical" ranked last among the seven companies, and few people understand the chemical industry, so they actually underestimate the value of Li's Chemical. The soap and dye industry is also a market with huge potential.

There is also a grain reserve and turnover company as a grain merchant, raising 300,000 taels of silver; a Bangladesh coal company, which focuses on mining coal mines, raising 500,000 taels of silver...

"The shopkeepers, they don't seem to understand what our Li Chemicals is like. We are only worth 4 taels of silver per share, and we are subscribed at a slower rate than other companies." Li Chemicals' employees complained that everyone did not understand what their chemical industry was doing.

"It doesn't matter, the 40% of the shares we released are shares of non-core business companies. We have recently invested all our funds in rubber factories to produce tires. We are really tight at work and planned to raise 200,000 taels of silver. They missed the opportunity to buy our Li Chemicals, so it is their own losses." Li Jinde didn't care. His main energy is still on the rising rubber industry.
Chapter completed!