My 1999

Shuanghui is a pig slaughtering and food giant with domestic revenue of over 20 billion Chinese dollars.

Even in the West, this kind of company with a revenue of nearly 3 billion US dollars is still a big company.

Its MBO has certain demonstrative significance.

If the operation is good, not only Huaxia, but even if it is taken outside, it can add points to Hanhua's investment banking business.

"I'll call Lao Jiang and ask Fang Long to contact him later," Jiang Xiaoyang said.

"Um."

"Remember Supor?"

Jiang Xiaoyang changed the topic.

"Of course, Hanhua doesn't hold 18% of Supor's shares?"

Jiang Xiaoyang nodded. Hanhua invested in Supor in 2003.

It's a pity that I didn't make much money from this investment.

Supor was listed in Pengcheng in 2004, and Hanhua did not have investment banking business at that time.

After Supor was listed, its stock price fell directly below the issue price, and it has not recovered until now.

"Su Zengzi plans to sell Supor. Call us to ask if we are interested?"

"Selling Supor?"

This is the kitchen and bathroom and small household appliances brand that he was still famous for before his rebirth.

"What's wrong with Supor?"

"Supor's operations are fine, and it is even maintaining an annual growth rate of 30%. However, Supor is not optimistic about its future."

"This is strange. The founder is not optimistic about the company he founded." Xu Liang said with a smile.

"You founded Internet Technology, but you are also not optimistic about its future."

"That's right. Why isn't Su Zengqi optimistic about Supor?"

“I didn’t ask directly, but from the feedback from the people we sent to Supor’s board of directors, there are roughly three reasons.

First, Supor currently operates small household appliances, kitchen pressure cookers, etc., which are labor-intensive enterprises.

The threshold is low and there is no core technology. As there are more and more manufacturers, competition will become increasingly fierce.

Moreover, raw material prices have been rising, coupled with increasing labor costs, Supor's profit margins will become increasingly lower.

Competition is high and profits are low. If there are other better choices, smart people will decisively adjust the direction. "

"Su Zengzi wants to sell Supor and start over?"

"I heard that he has been inspecting the world's sanitary ware giants recently, and he should be planning to enter the sanitary ware field."

"Bathroom is a good direction."

Xu Liang nodded slightly.

In fact, as long as you have capital, there is nothing wrong with most choices.

Su Zengqi has money and experience, so there is basically no possibility of failure in starting a business again.

"When he starts his business again, let's see if we can make an investment."

Jiang Xiaoyang nodded.

Venture capitalists like to invest in entrepreneurs with successful experience.

"I'm just afraid that people won't want to take us to play."

The domestic business environment is different from that of foreign countries.

In addition to the first start-up capital for foreign entrepreneurship, all other funds needed for enterprise development are venture capital.

An enterprise is an enterprise and an individual is an individual. The distinction is very clear.

But it’s different in China.

Entrepreneurs are accustomed to using their own money to build businesses and like centralized management, especially traditional entrepreneurs like Su Zengqi.

"Try it, if it doesn't work, say no more."

"Um."

Xu Liang made a continue gesture.

“The second reason is that the feedback from Supor’s capital market is very poor.

On the first day of Pengcheng's listing in 2004, its stock price fell directly below the issue price at that time. This was a very rare phenomenon in the stock market, and it also happened to Supor, which was enjoying great momentum at the time.

This made Su Zengqi very embarrassed and felt very sorry for the investors.

At one point, I even thought about delisting.

Moreover, Supor's stock price continued to fall in the following year.

Even though Supor generated a total revenue of 4.6 billion from 2004 to 2006, it was still difficult to prevent its share price from falling in half between the market share price and the issue price in 2006. "

"Someone is deliberately targeting Supor?" Xu Liang asked.

The capital market is not a fool. It is clear that corporate revenue and profits are rising, but the stock price is falling. No matter how you look at it, there seems to be a problem.

“We have also investigated and there is no sign of capital shorting.

It may just be a mismatch in the capital market, but this phenomenon will not last forever. It only takes an opportunity for the stock price to match the actual value of the company. "

Xu Liang nodded slightly.

This kind of value mismatch in the stock market does exist, otherwise there would not be the highly respected investment theory of ‘value investing’.

"What about the third reason?"

Jiang Xiaoyang said: "The third reason is the 'DuPont Teflon incident'."

Xu Liang understood.

Teflon is a chemical substance.

In addition to its extraordinary chemical stability, it also has unique mechanical properties.

Its surface friction coefficient is extremely low, which means that its surface is very slippery, and even the gecko, which is famous for its ability to "fly over the walls", cannot grasp it firmly.

If used as a coating it can significantly reduce mechanical wear and stain adhesion.

Anyone who loves cooking knows that having a good pot is crucial.

When frying ingredients in a traditional iron pan, the pan will stick if you are not careful, causing a lot of trouble to the cook.

One day in 1954, French woman Colette noticed that the Teflon coating on the fishing line used by her husband prevented knotting.

She had an idea and thought that if it was used on a frying pan, it would be particularly effective, and her husband happened to be an engineer, so the world's first Teflon non-stick pan was born.

DuPont immediately bought the relevant patents and started mass production after learning about it.

Teflon also became popular with the housewife's wonderful ideas and entered thousands of households.

DuPont also made a fortune.

In addition to its wide application in daily life.

In industrial production, Teflon, as a special plastic, has helped us solve many manufacturing problems in the fields of chemical, aerospace, electrical, and medical due to its excellent properties of corrosion resistance, high temperature resistance, and low adhesion, and has promoted technological innovation in various industries. Therefore, it is known as the "plastic king".

Because Teflon is so widely used in life, people naturally care about whether it is toxic.

Teflon is hydrophobic and oleophobic, and it is extremely difficult to be absorbed by the human body.

Even if people accidentally eat a little Teflon into their stomachs, it is easy to be excreted as it is metabolized and will not be absorbed by the human body.

And this thing remains stable below 260 degrees Celsius.

So non-stick pans with Teflon coating can be used with confidence in principle as long as they are not put on the fire to dry burn (the cooking oil temperature is usually below 200 degrees Celsius).

Although,

The safety of polymers does not lie entirely in the polymers themselves. The substances used and discharged in their production process also need to be included in the scope of safety considerations.

What does it mean?

Eggs are safe, but the process of producing eggs is not necessarily safe.

If you feed them Sudan red or something, it will be a disaster.

Capitalists consider profits first, not safety.

In 1981, a female worker at a DuPont factory in West Virginia gave birth to a deformed baby that year. The child had obvious facial defects and only one nostril (too tragic, so I won’t post pictures).

Later, her colleague’s child also had congenital eye defects.

Both of these female workers were responsible for handling a chemical called ‘C-8’ by DuPont during their pregnancy.

The fact that two female workers in the same position gave birth to deformed babies is enough to make people wary.

But DuPont simply transferred all the female workers on the Teflon production line one after another and tried its best to cover up the matter.

The bottom line of capitalists is that there is no bottom line.

Until 1998, a rancher in Ohio sold 66 acres of land upstream of the ranch to DuPont for chemical waste landfill.

Soon after, more than 200 cows on his ranch showed abnormal behavior. They walked unsteadily, their bodies were severely deformed, and eventually died in groups.

The rancher seriously suspected that this was due to chemical poisoning.

He was a man of action. He immediately asked someone to dissect the dead cows, preserved the diseased organs as evidence, and sought help from Rob Bilott, a lawyer familiar with environmental litigation.

When investigating the case, Bilott accidentally discovered that DuPont's internal documents mentioned that a large amount of a substance called "C-8" was dumped in a nearby landfill.

The shocking events that occurred one after another pointed the finger at the compound "C-8".

"C-8" is actually a synonym for "perfluorooctanoic acid" composed of 8 carbon atoms. Its appearance can also be traced back to the demand for fluoride during the Manhattan Project during World War II.

Since 1951, DuPont has used PFOA produced by 3M as an additive in the manufacture of Teflon to regulate the reaction rate of emulsion polymerization and prevent the product from agglomerating.

But until the end of the 20th century, the public still knew very little about this compound.

Unlike Teflon, which is hydrophobic, oleophobic and biologically inert, PFOA has hydrophilic properties and is a surfactant that can be absorbed by the human body and cause cancer.

It also disrupts the endocrine system and interferes with reproduction and fetal development.

Once the news was exposed, it quickly caused a global sensation.

This is the famous "DuPont Teflon" incident, and the case has not been judged yet.

But it has hit the global kitchen and bathroom market hard, especially kitchen and bathroom manufacturers.

Supor is the famous "pot king" in China and a major user of Teflon.

Once there is a problem, Supor will definitely be affected.

Xu Liang finally understood why Su Zengfan wanted to sell Supor.

For a labor-intensive enterprise with limited prospects and one foot on the powder keg, it is wise to make a quick buck and leave.

"Tell Su Zengfu that I have bought Supor. I will let Hongyan's M\u0026A department talk to him tomorrow." Xu Liang said decisively.

Jiang Xiaoyang's tone was filled with worry.

"Although the final result of the DuPont Teflon case has not yet been announced, it is certain that DuPont and 3M will lose the case and pay compensation. If something goes wrong at that time, the Supor brand will be finished."

"Things are not as bad as you think."

If there were really any problems, Supor would have collapsed long ago and would not have lived to the 24 years of his rebirth.

"Teflon itself is not a problem. The problem is 'perfluorooctanoic acid and Teflon', so the victims of the Teflon incident are basically DuPont's female workers, not ordinary people who use non-stick pans."