My Age of Investment

   Chapter 1347 The first victory of overseas mergers and acquisitions turned defeat into victory

   As night falls, the lights are on.

  A small white yacht is slowly cruising the Huangpu River. Sitting on the boat, you can have a panoramic view of the city night scene on both sides of the river.

   However, Xia Jingxing had no intention of nostalgic for the scenery, because all his attention was on Chen Hong who was sitting opposite.

   "Yellow?"

   "Yellow! It's completely hopeless!"

  Chen Hong picked up the wine glass on the table and took a gulp of wine, as if to vent his anguish in this way.

   He has just dealt with the follow-up matters of Pengcheng Development Bank, and as a result, there is such a bad news!

  The big project that Envision Securities has been following since the beginning of the year - the transaction of "Hua Aluminum Group's acquisition of nearly 9% of Rio Tinto Group's shares" fell through.

   Xia Jingxing was actually quite uneasy about this news, but he forced a smile to comfort Chen Hong and said, "If it's yellow, it will be yellow. It's impossible for everything to be smooth sailing."

  Chen Hong put down his glass, looked at the towering Oriental Pearl Tower in front of him, and said, "This acquisition has set a new record for overseas mergers and acquisitions by Chinese companies. Envision Securities can participate in such a top-level acquisition, which is actually a rare opportunity to show his face.

   But we screwed up, and more or less lived up to the trust of the entrusting party Hua Aluminum Group.

   Looking a little further, the failure of this acquisition means that domestic companies will continue to accept Rio Tinto's sky-high ore. "

  Xia Jingxing said: "It's not entirely up to us if this matter is wrong, Hualu itself also has a great responsibility.

   They believed too much in the morality of the Wall Street guys, and went to hire JP Morgan, Nomura Securities, and Blackstone as financial advisors. Together with us and CICC, there were five institutions in total.

  Envision Securities has only got a supporting role in the financial advisory group, which is purely soy sauce.

   We offered a takeover proposal that was "quick and unsuitable for publicity", but they didn't listen. They insisted on trusting those foreign consultants. What happened? It has become what it is now! "

  Xia Jingxing spread his hands, his face full of unhappiness.

   A few months ago, Envision Securities got the Hualu project through Lou Wei’s recommendation.

  Envision Securities went up and down, including him and Chen Hong, all gearing up for a big fight.

   But at the same time, he also knew that the acquisition was ultimately a failure in his previous life, so he kept giving advice to Hualco.

   Ke Yuanjing Securities is a fledgling company, and people don’t speak much, and Hualu doesn’t really rely on their opinions.

  Xia Jingxing had too many things at hand, so he let go of this project later, and ended up walking down the old path of his previous life, and was joined by Wall Street to play together.

  Halco spent more than 14 billion US dollars to acquire a 12% stake in Rio Tinto UK last year, and held a 9.3% stake in Rio Tinto Group to become its single largest shareholder.

   After half a year, the financial crisis broke out, and Rio Tinto Group, under the pressure of nearly 40 billion US dollars in debt, turned to China Aluminum Group for help.

China Aluminum Group plans to invest a total of 19.5 billion US dollars to increase its shareholding in Rio Tinto Group to 18%, send two directors to Rio Tinto's board of directors, and participate in Rio Tinto's iron ore, aluminum ore, copper mine, alumina Countless high-quality assets such as factories and electrolytic aluminum plants.

Especially in some of Rio Tinto's minerals, once Hualu successfully participates in the shareholding, it will own 15%-50% of the equity of these mining companies, which can greatly enhance the bargaining power of Chinese enterprises to purchase ores, and hedge the sky-high prices of Chinese enterprises to purchase ores. loss of profits.

  This acquisition project started off well, and has been approved by the Kangaroo Country Competition and Consumer Commission, the German government, and the Committee on Foreign Investment in the United States.

   But this month, Kangaroo Country backtracked and wanted to overturn the previously signed cooperation agreement.

The reason given by   Kangaroo Country is that the public is against it. In fact, due to the good news of China Aluminum's stake, Rio Tinto's share price has risen again, and the financial pressure has been greatly improved.

Therefore, Kangaroo Country, which has the blood of gangsters in its bones, sees the money and decides not to abide by the spirit of the contract. Anyway, the cost of breach of contract is also low. It only needs to pay a penalty of 1% of the purchase price, or 195 million US dollars, to cancel the transaction. , reducing the loss of tens of billions of dollars in benefits.

   In the whole process of acquisition, Hualu was completely led by Wall Street and Kangaroo Country.

   First, the public acquisition news created a positive for Rio Tinto Group's stock and helped Rio Tinto get out of the predicament.

   At the same time, because of the announcement of this acquisition news, it also paved the way for Kangaroo Country to manipulate public opinion.

  If Rio Tinto's share price doesn't rise later, it may be that Kangaroo Country will not inspire public opinion and honestly accept the stake.

   But as soon as the stock price rebounded, this trick was used immediately.

   In the end, there is a 1% liquidated damages, which is too low, and there is no strong restraint on the possible breach of contract.

  Xia Jingxing thought he did his best, but Hualu Group did not listen to him, what could be done.

   He set a goal for Envision Securities very early, to help Chinese companies go overseas by using the level of a professional investment bank, and at the same time avoid pitfalls.

   The result was unfavorable, and the first overseas merger and acquisition case handled was cool.

  Although Hualu Group received nearly US$200 million in compensation for breach of contract, it was actually a huge loss.

   This incident made him feel very unfulfilled, and Yuanjing Securities also had a dull face.

   "What did Hualu say? Shall we help them match BHP Billiton?"

   Chen Hong heard the sarcasm in Xia Jing's jargon, and knew that he was somewhat complaining that Hualu didn't listen to him, which led to the bitter fruit of today.

   "Hualu has regrets now, and their boss even said that they would set up a table to apologize to you."

  Xia Jingxing waved his hand, "Forget it, those who didn't know thought we had won a battle and would have a big celebration feast."

  Chen Hong smiled, "Actually, looking back, this may not be a good thing."

  Xia Jingxing looked at Chen Hong in surprise, and the latter showed a strange smile, "In the acquisition case, Envision Securities did its best and showed our professionalism.

   More importantly, we are a Chinese-controlled enterprise, and our **** is not crooked.

   Unlike the gang of JP Morgan, Blackstone, and Nomura, they don’t do personnel work with money, and they sell their employers.

   If Hualco had followed our advice at that time, it would have successfully entered the Rio Tinto Group.

What is this indicating?

   Explains that Chinese-funded enterprises still need to find a reliable institution when going overseas! Envision Securities is not talented, it is precisely that reliable investment banking institution. "

   Chen Hong's remarks made Xia Jingxing open his mind all of a sudden, yes, although the acquisition case failed, Envision Securities not only has no faults, but also has merit!

   That black pot of failure cannot be carried!

   Instead, we have to do a reverse operation, and we won! Turn defeat into victory!

  Thinking of this, Xia Jingxing looked at Chen Hong with a smile, and asked, "Do you have a specific plan? If we trumpet it, we will inevitably sprinkle salt on Hua Lu's wound."

   Chen Hong sneered, but he also thought that what Xia Jingxing said was reasonable.

   In this matter, the more foresight that Envision Securities appears to be, the more it will bring out the incompetence of Hua Lu.

  What kind of enterprise is Hualu, can they use their faults for marketing?

   Chen Hong rolled his eyes and suddenly had a plan in his mind.

   "We're like this..." Chen Hong lowered his voice and introduced his plan.

After listening to   , Xia Jingxing couldn't help laughing and said, "Is it possible? People from Hualu are not fools."

   "If you're not a fool, you have to pretend to be a fool, or you'll just wait for the board!"

When    said these words, Chen Hong seemed very confident, because he knew the gang too well.

  Xia Jingxing thought for a while and said, "Then give it a try, we are doing this for everyone's well-being. In the future, everyone will be able to pay less tuition fees when they go overseas."

  Chen Hong said: "When I'm done with this, I'm really going to step down."

  Xia Jingxing was still a little reluctant to leave Chen Hong, but thinking that he had delayed Chen Hong's departure time and time again, he immediately stopped discouraging him.

   "Okay! Who do you recommend to take your place?"

   "Just Wu Jianmin, you appreciate him anyway."

  Xia Jingxing thought for a few seconds and said, "Then let him take over and try, I hope he can bring some surprises to the Vision Financial Holding Group."

   "He was born in Hong Kong and is a member of the American Council of 100. He still has some influence in the Chinese world. Vision Financial Holdings' current layout in the Asia-Pacific region + the United States is very suitable for him, a Chinese-American, to stand in front of the stage."

   (end of this chapter)