The Rebirth of Wealth

After reading the top ten in retail, everyone talked about the big business.

Then, Li Dong swept down again. When he saw Baijia, Li Dong gently tapped on the table and said: "Baijia's business in the mainland is not too much. Most of the mainland's business is concentrated in southern China. .

In South China, Parkngar ’s revenue is 4 billion yuan, which is not low, but not too strong.

It is the achievements of Hong Kong and Macao that Baijia is really strong. In Hong Kong and Macau, the revenue of Baijia has reached more than 12 billion yuan, and the market share in these places is very high.

In such a large market in the mainland, there are not many retail enterprises with revenues of more than 10 billion yuan, let alone these two small pieces in Hong Kong and Macau.

Therefore, when we are merging Baijia, what we really value is not Baijia's business in the Mainland, but Hong Kong and Macau.

However, Hutchison is also a wealthy master, even if the merger can reach an agreement, the other party's offer will not be too low.

At the same time that we issued an M & A offer to PARKnSHOP, in fact, other companies have extended their olive branches, including many international retail groups. They also hope to enter Hong Kong and Macau.

The China market in the Mainland China is now too competitive, but Hong Kong and Macau are still ok.

And as a bridgehead, you can also spy on the mainland market and enter the interior of China at any time.

Last night, I called Lao Li ’s eldest son and probably communicated. The other party ’s offer was not low. Although the excuse was someone ’s offer, it was obvious that the other party ’s psychological price was high.

3.5 billion US dollars, a quotation of about 24 billion RMB ... "

When everyone heard it, Chen Lang immediately frowned: "This price is too high!

Carrefour ’s business was much stronger than Park ’s, and its revenue even doubled.

The current Top 100, even with the mainland, has a total revenue of only 16 billion yuan.

In addition, Baijia's own properties are actually very few, and most of them are Hutchison's shopping malls. This time our merger and acquisition business does not actually include these commercial real estate projects.

A simple department store business, with a asking price of 24 billion, really think our money is not money?

In addition, the profit rate of PARKnSHOP is not high, it can reach 6%. According to last year's revenue, even if the profit is 1 billion yuan.

If it spends 24 billion to acquire each other, the return on investment is only a little over 4%.

Of course, simply looking at the return on investment is not enough to explain, after all, our retail business in Hong Kong and Macau is a blank, which can give us a lot of added value.

The rate of return on investment is less than 8%. In fact, for us, it's a bit of a loss.

At about 12 billion mergers and acquisitions, the price is acceptable, even if it plays an additional role, the added value will not exceed 20%.

In other words, around 14 billion yuan is our highest price.

Now the other party's offer is 24 billion yuan, which is more than 10 billion yuan. President Li, I think the other party has no sincerity.

It is difficult for us to talk about this kind of quotation, no matter how we talk about it. "

Yuan Chengdao also nodded: "Indeed, 24 billion, Baijia is not worth the price.

Even for Guomei, although we spent a lot of money at the beginning, Guomei was the No. 1 retail in China and had a different meaning.

PARKnSHOP is not the first in Xiangjiang, let alone the mainland market, wanting 24 billion, Hutchison ’s appetite is big and scary.

Commercial mergers and acquisitions, when encountering such opponents, generally represent that the other party does not have too much sincerity to talk, and use high prices to drive away those companies that wish to participate in the merger and acquisition. Mr. Li, the other party should not have considered whether or not to sell Baijia. . "

Others have also said that the price of 24 billion is indeed too high.

Prior to the acquisition of Carrefour, it only cost more than 10 billion yuan in the distance, and Carrefour's revenue was twice that of the other party.

And like the two, there are not many own properties, which is also very important.

But at that time Carrefour was precarious, and it was greatly rejected in China. With the suppression of the distant place in the mainland, the other party can say that the sale was at a loss, and the distant place picked up the cheap.

But even so, the value of Baijia's revenue will not be so high that about half of the other party's revenue.

Li Dong heard a few words, and then suddenly said: "If you are merging big business now, I mean their retail business, how much money do you think is enough?"

As soon as these words came out, the eyes of several people changed slightly.

Chen Lang thought for a while before saying: "We don't know too much about Dashang's intelligence, including their profitability level, debt ratio, own property ratio, and other parameters. We are not too clear.

Before, our research on big business was not too much.

However, as far as I know, the profit margins of big merchants are not too high. The other party adopts a method of small profits but quick turnover, which is one of the reasons for their high revenue.

According to the disclosed data, if the revenue of 75 billion yuan, 6% of the profit, plus the proportion of own property of about 10%, the debt ratio is below 20%.

If you want to merge and acquire the big business retail business, there is little hope that it is less than 50 billion. "

As soon as these words came out, many people had some toothaches.

Li Dong also said helplessly: "More than 50 billion, is it so high? Guomei probably spent so much money ..."

Everyone was speechless and the situation was different.

At the beginning, Guomei was in crisis and was taken advantage of by a distance.

In fact, not only Guomei and Carrefour, but far away are generally doing things that are dangerous to people. All far-away mergers and acquisitions are not too high.

But Dashang's life is very good now, hegemony in the Northeast, no one competes.

In this case, if you want to merge with big business, the price will not be small.

And for these retail companies, regardless of whether they are listed on the market, the market value is not enough to represent anything, but also depends on the actual value.

Unless you cooperate with the other party, it can have an industrial complementarity to the other party, and the other party may let you into the market at a low cost.

If you simply want to merge with each other, you will get a high price.

Li Dong touched his chin and thought for a while: "Big businessmen are worth up to 50 billion according to your standards.

What about beauty?

You know, the original Wumart price was not too high.

At that time, the other party wanted to replace our Beijing store, giving 25% of the equity and 1 billion in cash, and Wumart's actual price was in the early 10 billion.

Wumei and Jingkelong, this time the revenue is not low, reaching 43 billion ... "

Chen Lang interrupted: "Mr. Li, this is different.

Moreover, Wumei ’s debt ratio is not low. At the beginning, because of too much debt, banks refused loans, and Wumei gave up the era of mergers and acquisitions, and we seized the opportunity.

On the Dashang side, although we did not do research, it is definitely much better than Wumart's situation.

In addition, Wumart ’s profit margins are not high. Big business is the dominant player in the Northeast, and Wumart needs fierce competition in Beijing.

In addition, at the time, we were replacing and did not need to pay, and the other party could reach an alliance with a distant place, which gave that price.

But if you want to buy each other, that's not the case.

Simply wanting to acquire Wumei, there is no more than 15 billion yuan in funds, and there is no hope.

This is still based on the willingness of the other party. If the price is not reached and the asking price is 20 billion, Wumart does not agree.

In short, if you want to rely on capital to force acquisition, you will definitely spend more money.

The big business plus Wumei and the two want to complete the acquisition and achieve the northern hegemony. At least the group needs to prepare 70 billion yuan of funds.

The premise is that a wholly-owned acquisition, if it is simply a shareholding, then the cost is much smaller, and shareholding and acquisition are not a concept ... "

As the former king of mergers and acquisitions, Chen Lang has merged many companies in Hua Run, especially the merger of Su Guo, which allowed Hua Run to rise in the retail business.

What he said, even if the materials are not accurate, the evaluation may not be in place, but as long as the actual situation of the other party is similar to his budget, the price should not be too different.

70 billion, this is the price of the distance to open the northern market.

Coupled with the previous distant investment in the North and Carrefour's investment in Carrefour in the north.

In the end, just looking at the northern market, we want to complete the layout from afar, and be the absolute first. If the cost is more than 100 billion, it is absolute.

Li Dong has a slight headache. This hasn't expanded internationally yet, and he hasn't thought about the major retail groups that had been targeted before the merger.

A big business and Wumart alone need to spend 70 billion yuan. This is the best case. If you do this, you ca n’t stop 300 billion if you want to complete your plan.

Seeing Li Dong contemplating, Chen Lang couldn't help saying: "Mr. Li, don't you really want to talk about M & A with the other party?

In fact, in my opinion, it is not very cost-effective to acquire these companies now.

Our business has been spread very broadly, and as a result of mergers and acquisitions as a whole, many resources have overlapped.

And splitting mergers and acquisitions, even if these companies want to sell, I am afraid they will not agree.

When we merged with Carrefour, we had a lot of resources and closed some stores.

But at that time, Carrefour's asking price was not high, we can still accept.

Now that Dashang is different from Wumart, we are still proactively proposing mergers and acquisitions, and the wasted resources need to be borne by ourselves. "

Li Dong interrupted: "Not to mention this first. If I say that if we complete the mergers and acquisitions of Baijia, Dashang and Wumart, then we will have a perfect layout in the four major regions of North China, Northeast China and South China, including Northwest China.

In Central China, East China, and Southwest China, we have done very well. If the layout of the other four areas is perfect, we are truly invincible in China.

No, we must add the Central China Wushu Federation.

After completing these four merger and acquisition plans, are we completely invincible? "

Chen Lang smiled bitterly: "The invincible player in performance, the premise is to successfully complete the integration.

Not to mention, at least the department store business is really no one can surpass us.

These four can be merged and purchased, with funds of at least 100-120 billion.

This even exceeds the total value of our current retail group!

Mr. Li, this is actually not cost-effective. Too much capital is spent. If you merge so many companies at once, the pressure on the group will be too great. It is unknown whether the integration of remote retail can be completed.

I ’m not talking about money anymore, just integration work ca n’t be done without a year or two. "

"Funds of more than 100 billion yuan, four companies together, revenue of 180-200 billion ..."

Compared with the distance, it seems that it is really not cost-effective.

The current remote retailing is not counted as an online one. If Guomei is added offline, the goal this year is to hit the 300 billion mark.

However, the value before the remote retail is only what Li Dong has suspected.

At present, the other party's own property ratio and profit margin are not necessarily stronger than those in the distance. With more than 100 billion yuan in funds, it has lost about 200 billion yuan in revenue.

However, the current achievements in the distance can only be gradually increased in the later period. Now that the M & A is forcibly carried out, it is natural to pay more for it.

Li Dong knocked on the table again and murmured: "The acquisition of these four, the offline retail revenue this year should be able to reach the 500 billion mark.

500 billion ... "

Yuan Chengdao, who probably guessed Li Dong ’s goal, could n’t help but remind: “Even if it can reach 500 billion revenues, but this kind of picky mergers and acquisitions, even if the merger plan is completed, our cost will rise, and the profit margin will fall again.

In the end, the profit margin may be less than 5%.

Even, it will be lower!

The scale is large, but maybe it is not much improved than the previous profit.

And we have spent hundreds of billions of funds!

These funds, even if they exist in banks, may exceed this rate of return.

President Li, think twice! "

5% seems to be quite good to stand up, but in fact, it is terrible.

For large groups, returns below 10% are not worth investing in.

Of course, retail companies provide more cash flow, and the profit margin can be lowered slightly, but can be less than 5%. It is definitely not cost-effective when not affected by e-commerce.

Does pure revenue increase really make sense?

At least in Yuan Chengdao's view, the significance is not too great.

With this money, you can do a lot of things, and you can also choose some suitable companies for acquisition, instead of just buying whoever has high performance and is strong locally.

Also, where is billion yuan of funds, where to go from afar?

Even if the loan can reach hundreds of billions, the result of the merger and acquisition of the company's profits is all the interest of the bank, which is equivalent to no substantial profit from afar. Is this necessary?

Not only Yuan Chengdao was helpless, but Chen Lang probably understood Li Dong's meaning, frowning and said: "Mr. Li, the overloaded operation is actually not very meaningful.

If it is just for the first, we are now.

When other companies encounter a crisis, the other party has the value of mergers and acquisitions, then we can enter the market at no cost.

But now, other companies have not encountered a major crisis. At this time, the entry without cost, from the perspective of the group's growth, is not too in line with our expectations. "

Both of them persuaded a few words, but Li Dong laughed: "Sometimes, don't just look at the benefits in front of you.

I really want to succeed in the merger and acquisition, and it is included in the scope of our system. On the side of Huaxia, in addition to South China, it has a little competitiveness, and the competition in other places can be calmed down.

Revenue reached 500 billion offline in 2009, we may double in 10 years, of course, this possibility is a bit low.

In the early stage of enterprise development, we can not make money for the purpose ... "

He said that the early stage of enterprise development made the people present dumbfounded.

This is the time, and the initial stage of enterprise development?

Far away has achieved this point, it stands to reason that at this time, the goal should be to make a profit, rather than blindly expanding the scale.

Unless, Li Dong really wants to be the world's retail first position, otherwise, blind expansion at this time is not worth it to everyone.

Li Dong no matter what they thought, the tone accelerated: "In fact, you can still try it. Even if it is not possible now, you can continue to talk later.

100 billion, the acquisition of four, in my opinion is not unacceptable.

As for funding ... Let's talk about it first, and then talk about it after the talk. "

Such irresponsible words once again made everyone speechless and even rolled their eyes.

100 billion, you have no penny now, you dare to say it!

I really want to talk about it. In the end, there is no money to pay. Who will pay?

Once such a situation occurs, the distance will become the laughing stock of the world.

Feelings, the distance has always been bluffing, swollen face to be fat.

Since I have no money, I still talk about mergers and acquisitions all over the place.

On the field, no one answered the conversation at this time, and did not know how to proceed.

In short, everyone's thoughts on Li Dong are now somewhat unclear.

Just when the atmosphere fell into an awkward atmosphere, there was suddenly someone saying, "President Li, in Central China, there was a small-scale demonstration in Jiangcheng.

More than fifty remote employees gathered at the headquarters in Jiangcheng, demanding that we increase wages and reduce working hours ... "

"Mr. Li, there have also been some situations over the Shanghai market. Several former Carrefour executives and departing managements took Carrefour employees to discuss with us.

Especially those executives who have left the company now ask us to compensate them for their losses.

President Sun and President Wang have already dealt with ... "

"Mr. Li ..."

People who answered the phone next to them reported this time.

Li Dong and others were relieved.

There are not many places where tandem occurs, there are a total of eight places, including the evacuated places in Beijing, and the total number of employees and management involved is about 300.

Compared with the scale of hundreds of thousands of people in the distance, 300 people are a small proportion.

Everyone was worried about the demonstrations of several thousand or even tens of thousands of people, but now they are only scattered in some areas, which is much better than everyone expected.

After listening to their report, Li Dong no longer talked about mergers and acquisitions at this time, and said loudly: "Tell the local responsible person, departing employees and management, don't want a penny!

Don't be polite with them, let the police be dispatched. In the light of day, illegal assembly and parade are illegal!

And the employees in the distance, let people appease first, if you still can't get away, don't be polite, just fire them, and you will get no compensation, I want to tell them to let them go!

If the distance reaches this point, dozens or hundreds of people would want to destroy the distance, and that is too small to look at the distance.

What's more, we don't have any place to be sorry for them, and the wages in the distance, and there is nothing worth them to participate in the illegal assembly.

As for the issue of working hours, I know this clearly. Let people look at it. In some places, the overtime expenses of employees are deducted. This is not a fake.

If there is really an increase in working hours and no overtime pay, then we are fully responsible and will give you an explanation.

But if I got the overtime fee, I also told me that it was too long, and I let them get rid of it!

I didn't let everyone work overtime for free, I was worthy of them.

Let them go out and ask, how many companies have really achieved the point of overtime pay?

If you do not want to work overtime, then you will not work overtime. Many people want to work overtime. If you do not work overtime and you think you have low wages, is it really a welfare institution in the distance? "

Li Dong scolded while talking about his treatment plan.

If tens of thousands of people participate this time, Li Dong has to consider the consequences. At this time, he has to throw out a series of new welfare policies.

But there are only a few hundred people in the country together ~ www.wuxiaspot.com ~ Half of them are people who have left before, and there are about a hundred people who are really involved.

Such a scale is distributed all over the country, and Li Dong is so polite to them.

To be an enterprise, I really want to say that there is no exploitation of employees. That certainly does not exist, but this kind of exploitation can be suppressed to the minimum and to the point where everyone can accept it, that is the success of the enterprise.

Hundreds of thousands of employees and hundreds of people are dissatisfied. Such a ratio is not enough to affect anything.

This time Li Dong resolved so strongly that Yuan Chengdao didn't have any opinions. The blind Huairou is not a good thing. Since the scale is not large, it shows that the situation has been suppressed.

At this time, the strong will suppress the rest, so that the impact may be minimized.

While feeling relieved, several people were still thinking about what Li Dong said.

In 2009, in order to allow offline retail revenue to exceed 500 billion yuan, Li Dong is likely to actually implement his plan and acquire the four companies mentioned above.

The key is still, from the perspective of professional managers, it is really not worth it.

Li Dong, what did he think?

It ’s not like playing with money, does he really think he can hit the world ’s top 500?

If you do n’t make it to the first place, how big is the difference between the second and the tenth?

Thinking about it, Yuan Chengdao and Chen Lang glanced at each other, and they all had a headache. Can this guy really stop for a few days?

The **** who had called for Li Dong to return were the ones who stood and spoke without backaches. This one came out of the mountain and they were troublesome.

After clearly saying that he was busy, he rested for a few days after he finished his work. The result was good. This man probably has forgotten what he said. Is this man ready to say "it will be fine in the future" for another ten years?