New Century Financial Company has finally embarked on the path of its previous life, and this has also set an example for other similar companies, that is, if the company goes bankrupt, the government will find a way to take over.
In the previous life, it was not the New Century Financial Company that Fannie and Freddie Group took over, but things have changed in this life. Perhaps because the negative news in this life is more intense than in the previous life, other companies no longer dare to take over.
Fannie and Freddie Group not only took over New Century Financial Company, but also many similar companies. Of course, specific negotiations are still ongoing, and these negotiations are mainly to protect the interests of those investors.
This investor does not refer to those who bought stocks or bonds in the financial market, but those large shareholders. As for the small investors, they have no time to pay attention.
But at this time, Feng Yu was not looking at Fannie and Freddie Group. For such a large company, even if it needs bankruptcy protection, it will take a certain amount of time.
Feng Yu just arranged for Ralph and others to continue digging into the negative news about small real estate finance companies, making the subprime mortgage crisis more intense and making Fannie and Freddie deeper and deeper.
If Fannie and Freddie had only taken over one or two companies, perhaps this crisis would have been over. But as the saying goes, don’t worry about scarcity but inequality. This also applies to the United States.
Can’t we say that the US government directed Fannie and Freddie Group to help the relatively large New Century Financial Company and then ignore the life and death of other real estate financial companies
This will slowly put the Fannie and Freddie Group into the dilemma of boiling frogs in warm water. By the time they react, the non-performing assets will be too big to lose.
At this time, Feng Yu was instead staring at Tongyong Automobile in the United States, which was still the world's number one automobile group at this time.
In the previous life, Tongyong Auto also fell into bankruptcy due to the subprime mortgage crisis. In the end, it was the government of the United States and Canada that allowed Tongyong Auto to start again, and Tongyong Auto also made many choices for this, such as selling divest China's joint venture shares, etc.
…
"Mr. Malfoy, our Fengyu Holdings Group is very sincere. Your company is currently in a debt crisis. Selling us the shares of the Huaxia Joint Venture can greatly relieve your pressure."
"And no company can have as sufficient cash reserves as our Fengyu Holdings Group. The most they can do is pay part of the cash, and then either give some stocks or make staged payments. This will not solve the problem for you at all."
"If your company is willing, you can sell some of its brand assets to us at the same time. This will also reduce your expenses and will be of great help to you in reducing your losses."
Ralph crossed his legs with a confident smile on his face.
The boss was indeed right. Tongyong Automobile, the world's number one car company, really had a problem. Otherwise, he wouldn't have asked someone for a hint, and the other party's president would have come to visit him personally.
"Ralph, China is the most important car sales market we are exploring in the new century. China is also our most optimistic and fastest-growing market. In order to enter the Chinese market, we accepted very harsh joint venture conditions, and we It also ranks first in production and sales among China’s joint venture cars.”
"We have never planned to sell this share, and the joint venture has been making money."
Ralph interrupted Malfoy: "You mean, only businesses that are losing money will be considered for sale? So why should we buy it? You need cash now to save other businesses. Anyone can do this kind of thing. But no one wanted to take it.”
"Although our Fengyu Holding Group is rich, we are not fools. And to be blunt, Bingcheng Machinery Manufacturing Group, a subsidiary of another company of our boss, is the largest automobile manufacturing company in China. The production and sales volume used are less than a quarter of Bingcheng Machinery Manufacturing Group, and there are also joint venture car companies of Volkswagen and Fengtian in Modu, as well as Modu Auto’s own brands, etc.”
"But all of you together are not as good as Songjiang Automobile as a brand, not to mention that Bingcheng Machinery Manufacturing Group also has two sub-brands such as Oriental Shenlu and Little Elf. Believe it or not, we don't need anyone else's help. , Bingcheng Machinery Manufacturing Group alone can cause your production and sales to decline this year?"
A trace of anger flashed across Malfoy's face. This Ralph is too arrogant. What does this mean? If we don't sell, can you suppress us
It is a joint venture car company, and China's state-owned assets account for two-thirds of the shares. If Feng Yu dares to suppress China's car companies, isn't he afraid that China's political ax will cause trouble
But if it were normal business competition, they wouldn't be able to say anything. And once Feng Yu really does this, the situation with the same car will be even worse.
As Ralph said, it’s not like no one is interested in their shares in the joint venture car company in China, but the other party really can’t come up with too much money and wants to use part of the stock and periodic payments to buy it. How
Tongyong wanted cash to help the head office tide over the difficulties. Huaxia's share of the stock itself was profitable. Although the periodic payments and stocks seemed to be a lot, they did not help.
They also knew that Fengyu Holdings Group now had sufficient cash, so they took the initiative to come to the door. As for the possibility of increasing the strength of competitors, they have also considered this situation, but there is really no other way.
Moreover, they plan to sell non-American brands, which means that they will not lose the North American market. Coupled with the increase in their market share in South America, they can still ensure that they are one of the best car companies in the world.
"Mr. Ralph, there are other companies that want to acquire the shares of our Chinese joint venture car company. We don't have only one choice."
"Of course, for the time being, it seems that we should give priority to Fengyu Holdings Group, but it is not absolute. As for you wanting to acquire our other sub-brands, it is not out of the question. We are also interested in selling shares in some sub-brands, and even Including some wholly-owned sub-brands.”
"In this way, I will prepare a catalog for you. If you like any one, you can contact me."
Ralph smiled: "Don't bother me. You have nearly thirty brands under Tongyong Automobile, and we don't have many that we can like. I have also prepared a catalog that we are interested in acquiring. Take a look. Look, give me an answer later.”
Malfoy was stunned. What do you mean? Could it be that Fengyu Holdings Group has long wanted to acquire the car brand they share? Tongyong has always been the world's number one car company. How did they know that Tongyong was in financial trouble
Malfoy gave Ralph a long look, then left with the catalog.
… (To be continued.)