Extraordinary Genius - Chapter 2017
The development of any big company in history is full of acquisitions and mergers. The first in the industry, including Microsoft and Coca-Cola, is the same.
Even if it is wind and rain electronics, wind and rain appliances, etc., it has also acquired a number of small businesses, combining the quality assets of each other.
Many times, the world’s number one company is only in the position after the merger, such as the Polar Bear Mining Group. If it is not the acquisition of the Lituo Group, how can it have its current status?
However, the blind merger and expansion will bring great hidden dangers. For example, the WorldCom Group is not so bankrupt. The market value is close to 200 billion US dollars. As a result, one step is wrong, there is no one, and it finally disappears into the long river of history.
Therefore, the expansion of the company’s acquisition, we must also choose the right time, the right industry, and we must do what we can. And one of these methods is more secure, and that is merger.
Mergers are a kind of ownership merger based on contractual relationships, but generally large companies merge small businesses, and may not even retain the brand of small businesses.
If the two companies are similar in size, or the status is not particularly large, such mergers are the most advantageous, but the most difficult.
Because the status is not much different, who is willing to become a affiliation? Especially those corporate shareholders, they want to control the power of the company, especially the management rights.
The reason why the company must not be able to acquire the Lituo Group, one is because of poor money, and the other is unable to meet the demand for power of the management of the Lituo Group.
However, this contradiction between the North Dacang Group and the Hope Group is easier to resolve.
Feng Yu decided to talk to Liu Yong personally. He hoped that Liu Yonghao would agree to the merger and hope that the group would become a subsidiary of the North Dacang Group. There are many places where the two sides can merge and upgrade. The scale and benefits will all go up.
However, the difficulty here is that the group hopes that Liu Yong has the final say, or that the four of their brothers have the final say, and who will have the final say when they arrive at the North Dacang Group?
……
“Lao Liu, this time you are coming over, I want to talk about the merger of the North Dacang Group and the Hope Group. You should listen to me and then decide whether to agree.”
“I know that the hope group of your four brothers is doing very well. The leading agricultural and sideline products company in China is also famous all over the world.”
“But have you ever thought that one day you can be the first agricultural and sideline products company in the world? And all this is not a mirror.”
“I know that Zhou Banghan talked to you before, you are not happy with him, but who I am, I think you are also clear, we are not the first time to cooperate.”
Liu Yonghao brothers are shareholders of Minsheng Bank. Although they are only minor shareholders, Liu Yonghao is still a director. And in the glory career, Liu Yonghao is the main sponsor, Feng Yu was also exceptional support.
The North Dacang Group and Hope Group are not only cooperating in the production and sales of feed, but also not only these, but also other industries. There is no conflict between the two sides, and the benefits of the merger are also visible.
“I want to invite you to serve as the chairman of the North Dacang Group. You can even serve as ceo, or let your boss become the chairman. You come to be ceo, and that’s fine.”
“According to the scale of the North Dacang Group and the Hope Group, the market value of the North Dacang Group is about three times that of the Hope Group. The assets are about three times that of yours. Your assets are merged into the North Dazang Group. I promise not to be less. Count you a penny. How to calculate it, you can come up, we will discuss it.”
“And hope that the management of the group will not move for the time being. When it comes to this move, I believe that you will not be soft, and you will not want to see your business destroyed by mediocrity.”
“Even your four brothers can enter the board of the North Dacang Group, if you think this is necessary. Even if you want to train your daughter to become a successor, I don’t object to this.”
“Zong Qingxian’s daughter is working in Le Haha. Jiang Wanmeng’s son is working in the wind and rain electronics. Xu Lihua’s son is also working at Aihua Electronics. Even my foreign subsidiaries, the children of those shareholders want to take over management. I have no objection. As long as you can prove that they have this ability, they can lead our company to develop better.”
Feng Yu never objected to succession. It is undeniable that children of wealthy families can receive better educational resources, especially those who can follow the elders’ personal experience and study management experience. These are not books that can be learned.
Even more realistically, children from poor families are not unable to become talented, but the rate of yield is much lower than that of wealthy families. Even if the crime rate is high, the children of the poor are even higher, but they are not reported to be exported because their own attention is not so high.
Feng Yu’s condition makes Liu Yong better, and his daughter may still take over?
“I also have some face abroad, and many aspects can help. If the development of the North Dacang Group requires me to help, I will never give up.”
“These conditions, I don’t know if I can touch you?”
Feng Yu looked at Liu Yonghao and hoped that Liu Yong would nod. So the size of the North Dacang Group will expand a lot again, ranking second in the world and not too far away from the world.
“Feng Dong, I don’t talk about anything else, what you said, I believe. But I remember that the controlling party of the North Dacang Group is Longjiang State Capital, they will agree that the equity is diluted?”
“And I want to redistribute the shares. Our brother’s Hope Group is merged into the North Dacang Group. Under normal circumstances, there are almost 25% of the shares. I ask that we also have so many voting rights.”
I gave the shares, but did not give so much voting rights. In the future, if Feng Yu retires, no matter who, who is he looking for? Especially when it comes to state capital, he feels very troublesome.
“Old Liu, the idea of the top is very open, no longer so rigid. You look at the Ice City Machinery Manufacturing Group, Taihua Holdings is the controlling party, but the ice city state capital can be dissatisfied?”
“You want the group to be merged into it. They can make more money with the same shares. Is there anything wrong with this? The goal of state-owned investment is to make money, which is the same as our investment.”
“If you agree to these conditions, then the equity, I went to Longjiang State Capital to say, I think this face, I still have.” Feng Yu how much money was donated to Longjiang in recent years, not to mention this is also true What is good for business development, there are positive examples before, why can’t they agree?
“Feng Dong, I have to go back and discuss with my brothers. How do you give me a reply tomorrow?”
“Well, I am waiting for your good news.”
……