Marco thought about whether Feng Yu and the others were deliberately defrauding him. Feng Yu had no plans to invest in Dezhong Group at all. .fastest update
But he didn't dare to bet. Feng Yu's attitude was too strong and he didn't give him a chance to talk slowly. Who makes the current shared car so unlucky and seriously short of money
Although $10 billion is not much and may not be able to pull Tongyong Auto out of bankruptcy, it is crucial to Marko.
If the negotiation is successful, then he will have credit, he can continue to hold the position of chairman and EO, and he can continue to receive a high salary. Generally, executives of large listed companies receive annual salary + stock awards. But he does not want stock awards now, but only increases his annual salary.
Why, it’s not because Tongyong cars are about to be delisted. The stock price has been depressed for a long time. If it continues to exist in the market and suddenly plummets, bankruptcy will be inevitable.
Marco reported the matter to shareholders, which naturally included the US government.
Everyone there was reprimanding Marco, thinking that he was doing something bad, but they didn't dare to let Marco refuse directly. In particular, several major shareholders are eager to get some cash from Tongyong Automobile. The company needs money too much now.
It is normal to operate with debt. Many companies operate with debt. However, there are still such a large number of companies whose debt exceeds more than double the value of the company's assets. They are the only ones.
Although they know very well that the US government cannot just watch them go bankrupt, because the impact is too great and may make the US economy deteriorate again.
But it will also take time for the government to raise funds, and they must strive for this buffer period. And with money, they can also reduce their debts and make some responses faster to avoid the situation from becoming more serious.
In his previous life, it was not until Feng Yu was reborn that Tongyong Auto began to make profits, and its annual profits were only a few hundred million US dollars.
With an annual production and sales of more than nine million vehicles, their profits are only a few hundred million US dollars, which shows how big the impact of their debt is. Debt is getting bigger and bigger.
Feng Yu actually returned to his office at this time and was paying attention to the affairs of Dezhong Group.
Dezhong Group has not been developing well in recent years. In 2004, Dezhong Group had to sell some shares due to poor management and high production costs so that they could have money to continue operating.
Of course, this is also because this year, the European Union wants to abolish the privilege clauses negotiated by the Saxony state government in the Dezhong Group. In fact, it is local protection and also limits the rights and interests of other shareholders.
In the previous life, Dezhong was at least still doing well in China and made a lot of money. But in this life, in the Chinese market, Bingcheng Automobile is the boss, and Dezhong and other joint venture car companies cannot make much money at all. The Chinese car companies are very different from the previous life. They have all developed alternative technologies and then promoted their own brand cars. .
For example, last year, when global car sales were in serious decline, the Chinese market exceeded the production and sales volume of 11 million vehicles. In addition to Bingcheng Machinery, several other large car companies planned by the Chinese government performed well.
This can be seen from the acquisition of foreign brands by Chinese car companies.
The same is true this year. While European and American automobile companies are racking their brains to reverse the market decline, China has "the best scenery here". Sales in the first quarter exceeded 3 million vehicles, and the subsequent performance is still good. It seems This year, production and sales are expected to exceed 13 million.
Without Dezhong's advantage in the Chinese market in the previous life, life will naturally be even worse in this life.
Porsche saw an opportunity coming, and the Dezhong Group itself was created by the founder of the Porsche Group. The person at the helm at this time was the third generation of the old man named Porsche, who was considered a cousin.
The Porsche Group has always wanted to "take back" the Dezhong Group, so while the Dezhong Group was selling its equity and issuing additional shares to raise funds, they went crazy and increased their equity to more than a quarter, and became the Dezhong Group. largest shareholder.
Then the Porsche Group pushed the European Union to abolish the German protection clauses for Dezhong Group. In this way, after becoming a major shareholder, they would truly have the opportunity to control Dezhong Group.
Dezhong Group wants to develop, but what if it has no money? Like many companies, they issue some options. It's that kind of bond, and then when it matures, it can be cashed in or converted into securities of the company's stock.
The Porsche Group borrowed 10 billion euros for this purpose and slowly absorbed the money. They declared to the outside world that they just wanted to increase their holdings of Dezhong Group's shares and had absolutely no intention of acquiring it.
Amid such lies, the German government was shocked when the Porsche Group took 42% of the shares of Dezhong Group.
At the same time, it also owns a large number of options. Together, nearly three-quarters of the equity is in its hands.
The Porsche Group did not have that much money at the time, and the market value of Porsche cars was only a few billion euros. Dezhong's assets were several times that.
So at that time, the Porsche Group not only took out loans, but also secretly received support from many hedge funds. But Porsche Motors also began to lose a lot of money at this time. They made high-end luxury cars, but they burned a lot of money. At this time, their debts exceeded 2 billion euros, and this did not include the debts owed by Porsche Holding Group.
The stocks of Dezhong Group fluctuated up and down, and many hedge funds lost money. The German government also began to consider how to fight back. Dezhong Group must not be acquired. What they need most now is money.
There are still only a few old ways to raise funds. One is for shareholders to take out the money, so the Porsche Group, the largest shareholder of Dezhong Group, will naturally not agree.
Or the German government will spend money and try its best to buy back shares. Unfortunately, due to the economic crisis, the German government does not have so much spare money.
The next step is to let Dezhong Group issue additional stocks or bonds, but they are afraid that if this happens, Porsche Group's shares will soar again, and Dezhong Group will really become a subsidiary of Porsche Group.
So Dezhong Group actually contacted Ralph, hoping that Feng Yu could invest in them. They promised high interest rates and hoped that Feng Yu could buy their bonds, but they refused to give them equity.
Of course, Dezhong Group also has another idea, that is, after Feng Yu becomes their shareholder, the Chinese market is not yet open to them, and even the Eastern European market will be open to them.
The acquisition of Porsche and Dezhong in China is a typical case of individuals swallowing up state-owned assets, but it is legal. And Feng Yu does not intend to get involved in this kind of competition between cousins.
Dezhong now wants money to acquire Porsche cars, the core asset of the Porsche Group. However, the Porsche Group also has the equity of the family at the helm of Dezhong Group at this time. In Feng Yu's view, the two cousins may not get along on the surface, but in fact they still want to The German government was kicked out.
Feng Yu put down Dezhong's information and forgot about it. He might be tricked by these two brothers. Now it depends on whether Marco agrees, and I hope that this nail placed in the same car can play a greater role!
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