Haitian Business Center has become a target for acquisition. This is something Guan Yuntian never thought of. However, from the perspective of operation and management, it is not a good thing that some people favor this useless project with huge investment and little profit.

It's just that Changda Group is a large enterprise well-known throughout the province, and its companies were acquired by other enterprises, which is a bit emotionally difficult. In a sense, Guan Yuntian still has some traditional concepts remaining in his mind.

Although he has not said it out loud, Guan Yuntian may have this idea deep in his soul. As a large enterprise that is among the best in the region and well-known throughout the province, Changda Group can invest in acquiring other people's companies. It feels very shameful if his own enterprise is acquired by others.

face.

Some of Lao Gao's words touched Guan Yuntian's sensitive nerves. He always believed that his ideas were advanced and novel. When many private enterprise owners didn't know what a joint-stock system was, Guan Yuntian had already made comparisons with Changda Group.

After a thorough joint-stock reform and the establishment of a basic corporate governance structure, Lao Gao is now said to lack business thinking, which makes him realize that his way of thinking may have some shortcomings.

Guan Yuntian is a person who is good at introspection. Even he himself wonders why he dares to give up the traditional manufacturing industry at the right time, but he worries about the gains and losses of today's Haitian Business Center? To put it bluntly, it includes cord fabric, tire manufacturing and

Traditional manufacturing industries such as oil refining and petrochemicals are faced with increasing external pressure, which is a helpless choice made under forced circumstances. The current Haitian Business Center is different. Although the investment return is not ideal, the project

Running steadily, Xinyuan Holding Company in the provincial capital came to acquire it, which made Guan Yuntian unconsciously feel resistant.

However, management should not act on impulse. Guan Yuntian should be rationally reminded that Xinyuan Holding Company's acquisition request should be treated rationally. Whether or not he agrees to the other party's acquisition request is one thing. Whether he can sit down and have a calm discussion with Lao Gao is another.

One thing, this is a business after all, and his attitude towards this matter not only reflects Guan Yuntian's personal business literacy, but also reflects the external image of Changda Group.

Guan Yuntian added some boiling water to Lao Gao's cup and sat down opposite Lao Gao again, "Mr. Gao, the eight or nine targets you have inspected earlier are not suitable. Could it be that Haitian Business Center just meets your acquisition requirements? What's the matter?

What a coincidence?"

"Mr. Guan, I understand your doubts, but there is one thing about Haitian Business Center that makes us particularly attracted. Because Haitian Business Center is a new enterprise, it has no burdens. This is unmatched by any other enterprise."

"Other than that? What do you mean by corporate burdens?"

"This alone is enough! I wonder if Mr. Guan has ever worked in a state-owned enterprise? You may not have an impression of the burden on enterprises, but our experience of it is really profound. Let me give you an example, which is similar in size to the Haitian Business Center.

Old companies have at least two to three thousand employees of various types. Old companies are willing to be acquired or merged, but the first thing is that you have to make proper arrangements for the company's two to three thousand employees. This is the best way for companies to initiate acquisitions or mergers.

It’s a headache.” Lao Gao said.

"I don't understand. After your merger and acquisition, don't you still need employees to keep the company running? You can't send all the employees of the original unit home, right? How can the employees of the unit become a burden to the company?" Guan Yuntian was very puzzled.

.

"Mr. Guan is unaware that all old companies like that have problems such as overstaffing and low efficiency. We are a listed company, and of course we cannot tolerate the existence of these phenomena. Just now I said that employees are a burden to the company. My expression is inaccurate and correct.

It should be that some employees of old enterprises are a burden on the enterprise. For a commercial enterprise of this size, 60% of the existing two to three thousand employees should be maintained.

, is enough to maintain the operation of the company. If we want to reduce the excess 40% of employees, the resistance we face is simply beyond imagination!"

"Yes, although Changda Group has never merged or acquired other enterprises, we have participated in the restructuring of local enterprises. To be honest, the most difficult thing is the employees of the enterprise, especially those employees of enterprises with poor profits. If it is not right

They have made proper arrangements, and as business managers, we should feel very guilty."

"Hahaha! Mr. Guan, you are really compassionate and compassionate! However, morally speaking, we should also give an explanation to those employees who have been reduced, but doing so will require a heavy price!"

"So, you are not interested in that goal?"

"Of course, mergers and acquisitions are purely commercial activities, and costs must be calculated. If the price paid is not proportional to the benefits obtained, no matter how good the target looks on the surface, we will not be tempted."

The unintentional conversation raised the value of Haitian Business Center. Guan Yuntian remained calm and continued chatting, "Mr. Gao, in addition to surplus personnel being a burden to the company, what other disadvantages do old companies have?"

"Of course, old companies are generally debt-ridden. Their bank loans and debt transactions with other companies are unclear."

"However, our Haitian Business Center has neither of these two burdens. It has no redundant staff and no debts. It can be said that it is relaxed." Guan Yuntian said.

"Yes, this is the main reason why we are pursuing the Haitian Business Center."

Guan Yuntian smiled knowingly, "If I were you, I would also be interested in high-quality assets like Haitian Business Center."

"Mr. Guan, now that we know the reason, can we have a substantive discussion on the future of Haitian Business Center?" Lao Gao believes that Guan Yuntian has gradually accepted the reality and he wants to move things forward.

"Substantial discussion? Yes, where to start?"

"You previously rejected Xinyuan Commercial's request to invest in Haitian Business Center. If we make an acquisition request, I hope you can consider it."

"Acquisition of Haitian Business Center----" Although he had already figured it out and was mentally prepared, Guan Yuntian was still not so happy when facing this matter. "Mr. Gao, Haitian Business Center is a high-quality asset of Changda Group."

, to say that I happily accept your request is not true, but I also know that this is business, and as long as the conditions are right, your request can be considered."

"Isn't the condition you mentioned just the price?"

"Price is one aspect, and of course it is also the main aspect. There is another aspect, and that is the entire Haitian Business Center, including the shopping plaza and offices. This is a whole and must be considered at the same time."

"What percentage of the total assets of the entire Haitian Business Center are accounted for by the shopping plaza and the office space?"

"The shopping mall occupies two-thirds, and offices occupy one-third."

Lao Gao seemed unaware of this, "So that's it! We didn't consider the office assets before."

"This is a whole, and both must be considered at the same time in any case." Guan Yuntian said.

"What about the price? Can Mr. Guan give you a quotation?"

Guan Yuntian shook his head, "Mr. Gao, it's you who took the initiative to make the acquisition request. Logically speaking, you should make the quotation. However, in order to ensure that the quotation and bid price are not too far apart, I can report the investment status of the entire Haitian Business Center.

"

Changda Group invested in the entire Haitian Business Center, mainly

It was divided into several parts, including taking over the unfinished construction of the original Haitian Business Center, purchasing the land, completing subsequent construction and interior and exterior decoration, and a total investment of nearly 1 billion.

"Then we are willing to invest one billion to acquire Haitian Business Center." After listening to Guan Yuntian's briefing, Lao Gao readily gave the offer.

"Why are you so anxious, Mr. Gao? Since you have identified the Haitian Business Center, you must have carefully analyzed the value of this project, but our board of directors still doesn't know about it."

"It doesn't matter, this is our offer and it won't affect your meeting of the board of directors."

"Although this is an informal quotation and has not been studied by the board of directors of Changda Group. With all due respect, I think Mr. Gao's quotation is unreliable."

"Mr. Guan, Changda Group's total investment in Haitian Business Center is less than one billion. My quote is one billion. How can it be called unreliable?"

"Mr. Gao, the incident happened suddenly. I suggest we stop here today. The agreement reached is that both parties agree to contact Xinyuan Holdings regarding the acquisition of Haitian Business Center. As for the quotation, we will discuss it in a formal setting later." Guan Yuntian said.

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"After talking for so long, nothing has been decided. This is not very efficient!" Lao Gao said with emotion.

"This is not like going to the farmer's market to buy food, just take the money and leave. Even if you go to a 4S store to buy an ordinary car, you have to take a look and even test drive it. If you want to buy a company, you can reach an agreement in one or two hours.

, this efficiency is so frightening! You can’t eat hot tofu in a hurry. When everything is ready, the work efficiency of Changda Group is beyond your imagination." Guan Yuntian was not polite.

When the get off work bell rang, Guan Yuntian invited Lao Gao and his driver to have a working meal in the canteen of the Changda Group. After lunch, Lao Gao was about to return to the provincial capital. Before leaving, he asked Guan Yuntian when the formal negotiations would start, "We'll see you in a week."

Contact." Guan Yuntiandao.

When Guan Yuntian announced this news at the board meeting, all the board members present were shocked, "Haitian Business Center has only been in operation for less than two years, why is it being transferred out again?" This is a common question among everyone.

"You think it's sudden and shocked. I was even more excited than you at the time, and even a little angry." Guan Yuntian briefly informed the board of directors of the situation where Xinyuan Commercial Company in the provincial capital came to make an acquisition request.

"This is similar to the situation where an acquirer in the stock market issues a takeover offer to the acquiree," Ye Jiayi said.

"The acquired party also has the right to refuse the acquisition!" said the administrative director Lao Xu.

"Yes, the first time the other party talked to me about this matter on the phone, I rejected him on the spot. Unexpectedly, he came here from the provincial capital two days ago and talked with me for a long time in the office. He was really persistent.

.”

"Mr. Guan, what do you think of this matter?" Finance Director Lao Ding asked.

"Initially, I was completely resistant, but the other party mentioned some problems. For example, the business of Haitian Business Center is far from the main business of Changda Group, which is not conducive to the group company's control over it. Secondly, investing in Haitian Business Center,

Nearly one billion funds were occupied. Not counting the first year of operation, even in the first three quarters of the second year, the net profit was less than 10%. Such an investment return rate is really too low. After reflecting on these issues, re-examine

After investing in the entire Haitian Business Center, I feel that there are indeed some problems.”

“After reading the quarterly financial statements of Haitian Business Center, I feel the same way.”
Chapter completed!