My Age of Investment

   Chapter 761 White Goods

   "We have been in contact with relevant departments of Guangdong Province for several rounds, and their attitude is rather ambiguous."

  Li Ying puffed up her cheeks and exhaled for a long time, “I guess they must want us to bid with a lot of home appliance companies such as Hisense, Changhong, Midea, Dongling Kaiqin, etc., to see who gives better terms.

Several other companies are not a cause for concern, but I heard that the relevant departments of Daocheng, the controlling shareholder of Hisense, have been working secretly, actively communicating with the relevant departments of Guangdong Province, and also offered relatively favorable terms. They are willing to sign a contract with Kelon Electric. Short-term sales agency agreement.

  At the same time, it collects a certain sales agent commission, while making blood for Kelon. Keeping this enterprise and keeping the tax revenue in the local area is a happy thing for the government. "

  Kelon Electric was originally a state-owned electrical appliance factory established in 1984. In 1996 and 1999, the company’s shares were issued and listed in Hong Kong and Pengcheng respectively.

  On October 31, 2001, Greencool acquired a 20.6% stake in Kelon Electric for 560 million yuan, becoming the largest shareholder of the leading domestic refrigeration appliance company.

  The actual controller of Greencool is Gu Chujun, a tycoon in the capital market in the past few years, and has successively acquired several listed companies in just a few years.

  A year ago, Professor Wolf questioned Gu Chujun’s mergers and acquisitions, saying that Gu Chujun had embezzled the cash flow of Kelon Electric to complete various acquisitions, and a massive "Lang Gu Controversy" began.

  Last year, Gu Chujun was provoked by Professor Wolf. The capital tycoon was formally arrested by the police on suspicion of false capital contributions, false financial statements, misappropriation of assets, and occupation of positions.

   Then, as a member of the Greencool family, Kelon Electric’s equity was frozen, and creditors, banks, and local governments began to take charge of the aftermath.

  Among them, in addition to the debts involved need to be resolved, Kelon's 20,000 employees also need to be properly arranged.

  So, the best way is to introduce a buyer, buy the shares of Kelon Electric held by Greencool, and exchange for a major shareholder.

  From last year to this year, the local government has been distributing hero posts, inviting the number of electrical companies from all over the country to come and discuss the big plans.

  Almost every electric appliance company that wants to become bigger and stronger has ideas for Kelon.

  However, due to the huge amount of the subject matter, the acquisition is relatively cumbersome. It has been delayed for more than a year since the accident of the controlling shareholder, and the transaction of Kelon Electric has not been settled yet.

  Xia Jingxing nodded, “Hisense is an established company and has a stronger advantage in sales channels than us.”

   "Yes, and they are both state-owned assets. Negotiations on certain matters are much smoother than ours."

  Speaking of this, Li Ying couldn't help but complain, "It would be great if everything was put on the table for discussion. To bid, all parties would just show the price directly, open and transparent.

  But what did they do?

  First negotiate with Changhong’s quotation for half a month, and then tell Hisense that your quotation is low.

  Get the latest quotation from Hisense, and ran to tell Midea that your quotation is low...

   After such a big circle, most of the time has passed, and the quotation has risen for several rounds, but the transaction has not been finalized.

  To tell the truth, if I hadn't taken a fancy to the two white appliances brands of Kelon air-conditioning and Rongsheng refrigerators, I would definitely not want to consume them like this. "

  Looking at Li Ying's bulging look, Xia Jingxing laughed.

  Li Ying went to the United States when she was a teenager, and returned to China after joining UTStarcom a few years ago. She still does not have a deep understanding of the domestic society.

  When dealing with state-owned enterprises, you must be patient.

   "Don't be too angry. If you can drag Kelon Electric's transaction to the present, it will be considered very successful."

  Xia Jingxing smiled and looked at Li Ying. The task he gave to the other party a few months ago was to find the white label. The simpler thing is to find the refrigerator, washing machine, and air conditioner brands to be sold on the market.

He knew exactly how   Mei’s started.

  Relying on patchwork, air conditioners are not as good as Gree, refrigerators cannot beat Haier, but there are enough products, and the market value tops the entire domestic electrical industry.

  The last two to three years have been the time for a major reshuffle of domestic electrical appliances.

  In August 2004, Midea acquired Hefei Royalstar and entered the ice washing industry;

  In November 2004, Midea acquired Hualing Group;

  In 2005, Midea acquired Chunhua Vacuum Cleaner.

  ……

  The future market structure will basically be laid by these mergers and acquisitions.

  So he can't live with the pots and pans, and he has to go off the court to grab a ticket to the future.

   Pots and pans can’t make much money. What he sees is the net profit of tens of billions of dollars a year for the leading electrical appliances, and the profit is stable, increasing year by year, supported by such a huge cash flow, and can do a lot of things.

After thinking for a moment, Xia Jingxing said: "In this way, you try to make an appointment with the relevant departments of Guangdong Province. I will accompany you to chat with them tomorrow, hoping to come up with a plan that satisfies all parties."

   "Mr. Xia, you are the richest man, and the relevant departments of Guangdong Province will definitely sell you face." Liu Xiaoduo smiled and slapped a flattery on the side.

   "Only you talk too much."

  Li Ying glared at Liu Xiaoduo who was interrupting, but her expression was still very happy.

  Guangdong Province can not sell her face, but it will definitely give face to the man in front of her.

  This is the case with the richest man. There is a Buff bonus for business talks, no matter which partner will take a high look.

  Although Xia Jingxing, the first richest person, is a bit weird and his assets all come from overseas, his wealth cannot be faked. The relevant departments will know what the gold content is after checking.

  "Have you talked with Changhong people at Meiling?"

  Xia Jingxing also missed another member of the Greencool family, Meiling Electric.

  This company was purchased by Greencool in May 2003 at a price of 207 million yuan 20.03% of the shares.

  With the collapse of the Greencool system, this company was preemptively acquired by Changhong last year.

  Meiling’s most well-known product is refrigerators, with an annual output of 2 million units, ranking fourth in the country.

  If you join forces with Rongsheng Refrigerator, you can share a large share of the domestic refrigerator market.

  Li Ying shook her head, "I have contacted, the people in Changhong are very arrogant and don't want to talk to me."

   "Just ignore it."

  Xia Jingxing sighed, the profitability of TV sets is getting weaker and weaker. Changhong's acquisition of Meiling is also to enter white appliances and expand the living space of its own enterprise.

  This is a strategic plan, and he has already eaten it in his mouth, and he certainly does not want to spit it out easily. He can only temporarily give up the subject.

  "Where's the Little Swan Washing Machine?" Xia Jingxing asked.

  The three major pieces of white goods are refrigerators, air conditioners, and washing machines.

  If the acquisition of Kelon Electric goes well, the vacancies for refrigerator and air conditioner brands will be filled, except for a washing machine.

   At this time, Little Swan ranked second in the washing machine market with an 8.2% share. Haier ranked first with a market share of 21.4%, and Midea’s subsidiary Rongshida had a market share of 5.9%.

  This company is very important to Midea. It can be said to be one of the cornerstones of success. Xia Jingxing intends to pry it off.

  "It’s hard to talk about. Little Swan’s current market sales are very good, profitability is stable, and its market value is rising steadily."

  Li Ying said and shook her head, “The relevant departments in Xicheng want to sell for a while, but don’t want to sell it for a while. When the stock price rises, the previous verbal agreement will be overturned.”

  Xia Jingxing nodded, "This should also be understood, after all, we must be responsible for state-owned assets."

  He felt that Li Ying was still not decisive enough. If he were to talk about it, he would cut the mess and end it all, just like buying Supor at that time.

  Now that Supor’s stock price has risen a lot, the book loss caused by the previous premium acquisition has not only been filled in, but there is even a small amount of book profit.

   However, Li Ying is not the boss after all, but a professional manager, who can’t make a decision like him.

  "Put it aside, when Kelon Electric is resolved, I will accompany you to Xicheng."

  Li Ying was overjoyed. With Xia Jingxing, it feels like he has the backbone, and many difficult problems can be solved instantly.

  She is also not sure if it is because of the identity of the other party’s boss or because of the ability to make money.

  "Kelon Electric and Little Swan are eliminated, and our white electricity layout is completely completed."

   Xia Jingxing stared at Li Ying, and said with a serious face: "And this just means that we have the qualifications to play the next game, and there will be more challenges waiting for us in the future.

  You come to serve as the head of this electrical appliance group, and you must be mentally prepared to fight hard.

  Electrical appliances are only a small part of the blueprint of the entire industrial group. "

  Li Ying smiled, "Mr. Xia, you want me to be a long-term worker for you?"

   "I can't talk about long-term workers, but self-employed workers are almost the same."

   Liu Xiaoduo turned her face aside, she had completely heard that she didn't want to go, Mr. Xia now has changed more and more, which made her feel very strange.

  (End of this chapter)