Chapter five hundred and forty-ninth vote

In the 1980s and 1990s, foreign investment in China was mainly based on the establishment of joint ventures.

Foreign capital provides capital and technology, while domestic enterprises provide land, factories, and employees. Such joint ventures are also mainly aimed at foreign markets. That is, it is produced in China and sold abroad.

After the Asian Financial Crisis, the Chinese market began to grow and foreign capital gradually discovered that the Chinese market was really fragrant, so they began to enter China by merging domestic companies, in order to gain a share of the Chinese market.

Before 2004, foreign mergers and acquisitions of Chinese companies only accounted for 5% of foreign investment, and in 2004 it rose to 10%. By 2005, mergers and acquisitions accounted for 20% of investment. In 2006, the state approved There were more than 1,300 foreign M\u0026A projects.

For foreign-funded enterprises, such mergers and acquisitions have enabled them to successfully enter the huge market of China, and for China, foreign-funded mergers and acquisitions have also gradually improved domestic technology, thus leading to internationalization.

This kind of foreign mergers and acquisitions also has obvious duality.

On the one hand, it can improve the quality of Chinese products, improve the quality of assets to a certain extent, and enhance the industrial structure. When the overall industry is upgraded, it can compete in the international market.

On the other hand, foreign capital has capital, technology, brand, marketing, etc., occupying high value-added links, and will also squeeze the development space of domestic enterprises. Those enterprises that fail to upgrade their industries will eventually be eliminated by the market.

In the early stage of foreign mergers and acquisitions, the conditions set out are very harsh.

For example, in 2006, the Carlyle consortium of the United States wanted to acquire XCMG, and the initial condition was $375 million to acquire 85% of XCMG's equity.

Although XCMG at that time was not a giant enterprise like it is now, it was also a leader in China's equipment manufacturing enterprises. It was just joking that it wanted to acquire 85% of the shares of XCMG for less than 400 million US dollars.

However, the main reason why the Carlyle consortium has the confidence to offer such an excessive purchase price is because they have technology.

China trades the market for technology. If foreign capital wants to get a share of the Chinese market, they should come up with some decent technology so that they can make money together.

And foreign capital is not a fool, and it is impossible to give technology for nothing. Therefore, when merging Chinese companies, the value of technology will be included in the cost of mergers and acquisitions, and there will even be a premium.

For example, if your company is worth one billion yuan, then during the merger, I will pay two hundred million yuan to buy 80% of your shares, which is 800 million yuan in assets. This is equivalent to 600 million worth of the technology I brought.

Therefore, the forced technology transfer hyped by the West in later generations is completely a lie. Foreign companies invest in China to make money. How can they give you technology in vain?

The so-called transferred technology has already been calculated into the cost when these foreign-funded enterprises enter China.

Although the heavy machinery factory has been beaten by the Fukang Engineering Company in the past two years, it is still a large state-owned enterprise.

However, Volvo is only willing to pay 30 million US dollars, which is about 250 million yuan, to acquire 90% of the shares of the heavy machinery factory. That is, I want to spend 250 million to buy something worth 720 million.

The difference of 470 million in the middle is the price of technology.

Volvo's construction machinery technology is the world's top, and you can sell it for 470 million yuan if you take out a little bit, so it doesn't seem to be a loss.

But the key is that the business is also yours,

The technology you bring is the production cost that the business should have paid for.

Volvo's acquisition conditions are too harsh. Compared with empty gloves and white wolves, it doesn't cost a lot of money. If it just sells the heavy machinery factory, it is tantamount to selling state-owned assets at a low price. No one can take this responsibility. Since then, the city will definitely not agree to Volvo's acquisition plan.

So when Li Weidong put the acquisition plan in the city and Volvo's acquisition plan on the table at the same time, Ding Youliang instantly realized that the acquisition work would not be completed in a while!

The differences between the two sides are really too big. The city wants to take 51% of the shares, and the rest is divided between employees and Volvo; Volvo wants 90% of the shares.

Such huge differences, even if each negotiation gives each other a step, requires at least dozens of negotiations to reach a consensus.

Dozens of negotiations, I don't know how many years it will take. If the two sides do not want to make concessions, the negotiation time will take longer.

More importantly, as Li Weidong said, Volvo's mouth is 90% of the shares, how much of the rest can be distributed to employees, and how much of the part that can be distributed to employees can fall into their own hands?

In this way, Li Weidong's conditions are really good. 20% of the shares are given to the management. As the top general manager, it is not too much to share 10% of it? That is equivalent to a 2% stake in Fukang Engineering.

In contrast, staying in a heavy machinery factory and waiting to be acquired by Volvo will probably only get a few decimal places of shares, and it will be a few years later.

After a long time, Ding Youliang finally sighed, and then said, Chairman Li, give me some time for such a big matter, and let me think about it again!

Li Weidong didn't expect Ding Youliang to agree to him immediately. He is the leader of a state-owned enterprise, and it is not so easy to be pryed away.

However, Li Weidong is very confident about Ding Youliang's joining.

The biggest difference between Fukang Engineering and the heavy machinery factory is the nature of the enterprise.

Fukang Engineering is a private enterprise, and the heavy machinery factory is a state-owned enterprise. This is probably what Ding Youliang values ​​most, and the identity of a state-owned enterprise employee is also what Ding Youliang is most reluctant to give up.

People who come from the era of planned economy often have a kind of attachment and affection for state-owned enterprises, not to mention that Ding Youliang is a dignified factory manager, and his affection for state-owned enterprises is even deeper.

Let Ding Youliang jump to Fukang Engineering Company, the psychological level is probably the most difficult threshold.

However, Volvo has proposed to acquire the heavy machinery factory, and the future heavy machinery factory will no longer be a state-owned enterprise. Even if Ding Youliang stays, he will eventually say goodbye to the state-owned enterprise.

...

Ding Youliang knew very well that Li Weidong had no need to lie to himself about Volvo's acquisition conditions.

But he still didn't believe Li Weidong's one-sided words, so he had something to do with it.

Volvo wants to acquire 90% of the shares of the heavy machinery factory, but it is only willing to pay 30 million US dollars, which is very different from the requirements of the city, and the acquisition negotiation has also been suspended.

As far as personal future development is concerned, going to Beverly Project is indeed a better way.

Li Weidong came to invite me in person, and the conditions he offered were full of sincerity, but as an outsider, I was airborne to the Fukang project, and I was still the general manager. It was inevitable that some people would be dissatisfied with me.

Even if Li Weidong trusts me, I can't go there empty-handed. I have to have a certificate of entry. In this way, I can convince the public when I go to the Beverly Project. But what kind of votes should be presented?

Ding Youliang frowned and thought.

At this moment, the phone rang, showing an uncommon and unfamiliar number.

Ding Youliang picked up the mobile phone, and a voice sounded from the receiver: Is that Director Ding? I'm Zhang Tao from Fukang Engineering!

When did I become a fragrant bun! Ding Youliang was stunned for a moment, thinking to himself that Li Weidong had just found himself, why should Zhang Tao also find himself?

I just heard Zhang Tao continue: Director Ding, do you have time tonight? Let's have a meal together?

Ding Youliang thought for a while, and then agreed. He wanted to see what Ding Youliang's intentions were.

...

After the dinner, Ding Youliang took the car home. Sitting in the car, Ding Youliang began to think:

This Zhang Tao actually encouraged me to sue me above. It seems that his situation in Fukang Engineering is indeed very bad, otherwise, he would not have come to me, a competitor, to sue his company.

But it seems that Zhang Tao doesn't know that Li Weidong has come to me and wants to ask the past Fukang project to take his place, otherwise he will never encourage me to sue.

Zhang Tao has reached the point where the seller is seeking glory. It seems that the conflict between him and Li Weidong has indeed reached a very intense level, and the two sides should be about to tear their faces.

From this point of view, Li Weidong invited me to be the general manager of Fukang Engineering, and promised such generous conditions, which is a reasonable and reasonable thing. He needs someone to take Zhang Tao's place.

I was a little puzzled before, where did Zhang Tao offend Li Weidong, and now I understand it. This guy eats the food of Fukang Engineering, but he is going to smash the pot of Fukang Engineering with his backhand. If I were Li Weidong, I would also kick him away!

The next second, Ding Youliang suddenly realized that the nomination certificate was coming!

...

In a single room of a teahouse, Ding Youliang was tasting the tea and checking his watch from time to time.

After a while, there was a knock on the door, and the waiter opened the door and said, The guest you are waiting for is here.

I saw Li Weidong came in and sat opposite Ding Youliang. The waiter quickly served Li Weidong tea, and then exited the room with interest and closed the door.

Li Weidong knew that if Ding Youliang chose such a place to see himself, nine times out of ten, he was willing to join the Fukang Project.

After the two exchanged a few words, Li Weidong asked directly, Director Ding, what are your thoughts on the things I mentioned earlier?

Chairman Li, I admit that your conditions moved me, but I also have mine. Ding Youliang said.

Director Ding, please speak.

Ding Youliang sorted out his thoughts, and then said, First, I hope that Chairman Li's promise can be fulfilled.

You can rest assured in this regard. Although I, Li Weidong, don't dare to say that I have nothing to say, but my reputation is still very good. At least what I promised, I will not break my promise. The shares I promised will not be less. Li Weidong said.

I'm not only talking about shares, but also what you promised before, not to interfere in the operation of the company, and I have absolute decision-making power. Ding Youliang said.

No problem, I only give advice on the development direction of the company, and I don't care about the rest.

Li Weidong went on to say: Actually, I don't have that much time to stay in the Fukang project. Even if I come back, I just look at various reports. You can just let it go.

Ding Youliang continued: Second thing, I have to bring a group of people there. They are all my old subordinates who have been with me for many years. I can't run away by myself and leave them in the heavy machinery factory.

Li Weidong thought about it for a while, and then answered, I can accept anyone who comes for management positions and scientific research positions. For ordinary first-line workshops, an assessment is required, and only after passing the test can I enter.

Don't worry, there are no front-line workshop workers. Ding Youliang said immediately.

Li Weidong continued; But I can say the ugly thing first. We are a private enterprise, and we don't support idlers. I am very welcome to work in Fukang Engineering, but if you want to come to retirement, I will not accept it.

These are all promoted by me. The people I use are all capable, and no one is waiting to die. Ding Youliang said.

Li Weidong nodded and then asked, Is there a third requirement?

No, just these two points. Ding Youliang said simply.

Is there any problem that I need to solve? Li Weidong asked.

Neither. I can solve other problems. Ding Youliang showed a confident look, and then said, In addition, I will submit a nomination certificate to you.

Certificate of application? What certificate of application? Li Weidong asked.

Zhang Tao from your place came to me for dinner last night. He encouraged me to go to the top and complain, saying that when you poached people from the heavy machinery factory, you were digging the corner of the country. Zhang Tao hoped that the top could issue an order to let Li Shouyi, Chen Guofu and the others return to the country. Come to the heavy machinery factory.

Ding Youliang said, and told the general situation again.

This Zhang Tao, he knows how to do this kind of little tricks. Why don't he care about running a business! Li Weidong sighed and continued: But sooner or later, I will also explain this matter to the city.

If they just poached Li Shouyi and Chen Guofu from the heavy machinery factory, it wouldn't be a big deal. They were only department heads, not high-level ones.

But it would be different if you poached a great god from you. As the head of the heavy machinery factory, you were appointed by the city after all. Your level is much higher than theirs. Please come to Beverly Engineering. I need to give an explanation to the city.

It doesn't matter, I can talk to the above, just say that I want to find another way out. Anyway, it is not new for government and enterprise cadres to go to sea these days. There are many precedents. Ding Youliang said calmly.

I still have to go there in person, which seems more sincere. Li Weidong smiled and continued; Not to mention, I have to take this opportunity to recommend a successor!

My successor? Ding Youliang was slightly taken aback.

After you leave, a company as big as the Heavy Machinery Factory must be managed by someone, right? The location of this factory cannot be vacant. Li Weidong said.

Then who are you going to recommend? Ding Youliang asked puzzled.

Li Weidong showed a deep smile, and said at the same time, What I want to recommend is not your vote!

You mean Zhang Tao? Ding Youliang was stunned for a moment, then immediately showed an expression of sudden realization.