Extraordinary Genius

Chapter 1894: The acquisition encountered obstacles

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Feng Yu doesn't care how China's dairy industry develops next. In short, it won't be the same as in the previous life. It just makes people think that the moon in foreign countries is rounder.

What Feng Yu is having a headache now is that the acquisition of Lituo Group has been revealed!

Feng Yu made it clear to Kirilenko and the Rothschild family that the acquisition would be done quietly. This would be more low-key and save a lot of trouble.

But what I didn't expect was that they didn't expose it. Lituo Group also abided by the rules and didn't publicize it. But Bihe Bi asked someone to break the news.

It is said that BHP Billiton also wants to acquire the Lite Group, at least the iron ore business of the Lite Group, so that they can compete with Vale, the leader in the iron ore industry, and even take the lead and become the leader in the mining industry.

After Kebihe Bituo contacted the Lituo Group, the attitude of the Lituo Group changed drastically. Before, I still maintained an aloof relationship with them, neither agreeing nor rejecting, just saying that the conditions were not good enough.

But at this time, Lituo Group directly said that this condition is not negotiable!

What is the reason that caused the Lituo Group's attitude to change drastically? BHP executives suspected that the sudden change in Li Tuo's attitude must be due to the injection of new funds.

They heard that Lituo Group was negotiating with Huaxia Aluminum and wanted to strengthen cooperation in the aluminum industry and consolidate its position as the world's leader in this area.

Lituo Group is short of cash, while Huaxia Aluminum is waving checks. The two parties have business contacts, so this cooperation is not too difficult.

But does this not conflict with BHP Billiton's acquisition of the iron ore business of Li Tuo Group? Why didn’t Lituo Group stop talking

Unless someone also wants to acquire their iron ore business, or inject capital into this part of the business.

It is common for peers to send undercover agents to each other's companies. Some core departments may be bound by loyalty agreements, confidentiality agreements, etc., but there are many departments that are not bound by these constraints, and they can also have access to this kind of information.

Only then did BHP Group learn that a new company was actually negotiating with Lituo Group about acquisitions, and this company was Polar Bear Mining Group.

Polar Bear Mining Group is the property of Feng Yu and Kirilenko. The owner of that group also contacted BHP Billiton and asked whether BHP Billiton had any intention to sell it.

BHP Billiton has many minerals, which are very close to the minerals of Polar Bear Group. By acquiring them, it can reduce costs in many aspects such as transportation and increase profits.

But when BHP Billiton had great ambitions to acquire Lituo Group and expand its business, how could it agree to the acquisition of Polar Bear Mining Group

But BHP Billiton did not expect that Polar Bear Mining Group would contact Li Tuo Group. It seems that Polar Bear Mining Group also started to acquire Li Tuo Group's shares in the stock market. It is said that it has already acquired more than 10%!

This attitude is already very obvious. Polar Bear Mining Group has entered into the acquisition process for Lituo Group. No wonder Lituo Group is dismissive of their BHP Billiton offer. This means they have a better buyer!

When Polar Bear Mining Group inquired with BHP Billiton, it wanted to acquire 50% of the shares. This time, it seems that it wants to acquire at least 50% of the shares of Lituo Group. It can be said that it is coming fiercely. .

If it were acquired by another mining group, BHP would not care much about it, but Polar Bear Mining Group has been the fastest-growing mining group in recent years.

Previously, there were only some gold mines, nickel mines, copper mines, oil, coal, etc. in Russia or the former Soviet Union. The scale was not large and the output was very low.

While other mining companies were almost making money, this mining group's annual net profit was less than US$100 million, which made its peers laugh out loud. With such a large scale and such small profits, the operators are really too weak.

At that time, Kirilenko followed Feng Yu's request to limit the mining volume, and then updated the mining equipment, especially safety, with a huge investment.

When mineral prices soared, their mining volume began to increase, and then they purchased a number of gold mines at an average premium of more than 20%.

This made colleagues laugh again, why are you acquiring so many gold mines? Are you still competing with other mining companies to prove who is the leader in gold mining

But soon, the price of gold soared, and the value of the gold mines acquired by Polar Bear Mining Group increased by more than 50%!

At this time, everyone was stunned. Those mining companies that thought they had taken advantage of the gold mine sold to the Polar Bear Mining Group all regretted it.

Also suddenly discovered, why is the profit rate of Polar Bear Mining Group so much higher than theirs? Not only is the mining efficiency extremely high, the safety is also much better than theirs. There have never been any major accidents in the mine. Not a single miner has died in so many years!

Mining is a dangerous occupation in any country. Even if you are mining some open-pit mines, accidents will still happen. Almost all mining industries have some "death quotas", that is, how many people die in the mine every year according to your size, which meets the safety standards!

It sounds cruel, right, but it's the truth. The cost of safety investment is too high. No mine owner is willing to invest that much. They even feel that the compensation for two people dying every year is not higher than the safety investment, so they will naturally choose to invest less.

If someone dies, I just need to pay for it. Besides, we, the mine owner, don’t need to pay for the compensation. Do all the employees have insurance

Polar Bear Mining Group's zero fatality has become a legend in the industry. It has been rated as the company most trusted by employees and the company employees most want to work for many times.

However, this has not attracted the attention of top mining companies such as BHP. They believe that the opponents of Polar Bear Mining Group should be Barrick of Canada in the United States, Polar Gold of the United Kingdom, and gold mine-based companies in South Africa and Congo. Mining companies or Chinese gold mining companies can also be opponents.

After all, the main mineral product of Polar Bear Mining Group is gold, and energy and other metals are not ranked among them.

But this time BHP Billiton miscalculated. They didn't expect that Polar Bear Mining Group was really interested in other minerals. They contacted them last time and said they wanted to acquire BHP Billiton. After being rejected, they immediately turned around to acquire Lituo. Group.

BHP Billiton's target is the world's number one mining group. In their view, Vale is a competitor, Lituo Group is a competitor, and China is integrating resources and may devote all its efforts to the country at any time. , creating a mining giant group.

But now they have to admit that the company that threatens them to become the world's largest mining group has emerged. It is not the opponents they thought before, but the Polar Bear Mining Group, which they have not paid much attention to.

If this company were to annex Lituo Group, BHP Billiton's dream of being number one in the world would be completely shattered.

At this time, BHP Billiton made a choice, which was to expose this matter, attracting more competitors, and at the same time attracting obstruction from peers. No peer would be willing to watch Polar Bear Mining Group become the industry leader. Yes, they can profit from it, or at least mess up the matter!