Prime Minister Thatcher has cleared all obstacles for his reforms, and the union that has the most troublesome politicians cannot make this woman surrender. However, because the British economy is still sluggish, there are not many foreign capital willing to invest in the UK. Therefore, the competition faced by Seriosha mainly comes from these local financiers in the UK. Seriosha has prepared money and can start his own procurement operations in the UK at any time. The first thing Seriosha values ​​is British Gas.

Judging from the current financial situation of this company, there is basically no investment value. Not only is it full of debt, but the British government has restricted the price of natural gas, so the company's profit can be estimated from the books.

However, as the actual head of the Soviet Ministry of Foreign Trade and Economic Affairs, Seriosha is holding the British natural gas supply contract, and he is confident that he can make profits from the existing prices. However, not only Seriosha, but also the local British company PLC Group, and some of the large banking institutions behind it. If Seriosha wants to win the company at a fair price, the most important thing is to acquire the company's upcoming debts from the creditors of the British natural gas company.

There is a huge difference between acquiring a company's debt and a direct acquisition of a company. If Seriosha pays directly to buy the British natural gas company, then the company's existing debts will be borne by Seriosha. This is actually very unpaid, because if the British natural gas company does not repay the debts it owes, it will not be able to obtain loans from British financial institutions, and Seriosha can only use his own money to maintain the company's continued operation. This is a situation that Seriosha does not want to see. Seriosha hopes that he can obtain a healthy British natural gas company without huge debts.

Acquisition of debts also has certain risks, because bonds are not equivalent to equity, and because the company belongs to shareholders, not to creditors, there is only a liability relationship between shareholders and creditors. Moreover, the company can apply for bankruptcy protection. Once a company applies for bankruptcy protection, although all the profits of the company during this period will be used to repay the creditor's losses, the corresponding creditors cannot interfere with the normal operation of the company and cannot take part of or all of the company's assets as their own by driving their own debt returns.

After weighing the interests, Seriosha finally adopted the path of acquiring bonds. Because the cost of doing so is lower. As the British natural gas company suffered losses for years, the bank debts owed by the British government and the debts of the British government have reached an astronomical figure, with a total of nearly twice the company's assets. Seriosha's main rival PLC Group is willing to bear the debt, but they also put forward new conditions to creditors, that is, the repayment time of the debt owed by the company must be extended, and the interest must be reduced to less than one percent. PLC, a local British company, is naturally the best destination for taking over the British natural gas company, but these harsh conditions make the British government, which has been heavily deficit and debt for years and financial institutions dragged down by the British downturn economy unacceptable. The British government needs to get rid of the bottomless pit of the funds in its own hands, and banks also hope to use the fastest speed to deal with this hot potato.

At this time, a new consortium headquartered in Switzerland, Colombia Bank also participated, demonstrating its interest in British gas companies. The plan given by Colombia Bank was to acquire the debts that were already paid back without hope, and then convert debt to equity to achieve the purpose of acquiring British gas companies. As soon as this plan was released, it immediately attracted the interest of many financial institutions. Because Colombia Bank is not a small British company like PLC that wants to swallow an elephant, the company's business covers major developed countries in the Americas, Europe and Asia. It can use real money to acquire British gas companies.

However, Colombia's acquisition of debts is naturally impossible to acquire in full. If the British natural gas company has excellent repayment ability, then this is called the company's bond price that is likely to be higher than the sum of its face value and interest. Unfortunately, the company's short-term debt credit is C. The credit rating given by this rating is that the company has poor reputation, unreliable debt repayment ability, and may default. Thankfully, this level of debt rights is sold at a discount on the open market.

The price given by Seriosha to these debts is 20% of the face value, which is twice the market price, but the corresponding Sheriosha wants to acquire all the debts of the company and also asks major shareholders of the British Gas Company's parent company, BG GROUP, the British Finance Department and other companies to agree to the debt-to-equity conversion plan of Colombia Bank.

As soon as the Colombian Bank's plan was released, the PLC company, which originally thought the overall situation had been decided, could not sit still. They began to lobby the British government and banking institutions not to agree to the plan of Colombia, a foreign company, and leave the British natural gas company to the British. However, the PLC group is really naive. Although their plan will pay all the debts, the repayment cycle is as high as decades, and one percent of the interest per year cannot be handled by the inflation rate in the UK. The most important thing is that the PLC group's acquisition requires the British government and financial institutions to provide them with cheap financing and tax support. However, the Colombian Bank is willing to pay all the money in one lump sum, and does not need the British government and local British banks to pay an extra penny to support the acquisition plan of Colombia Bank. Although Colombian Bank has gained a big advantage, compared with the two, he knows which side to choose with his feet.

British financial institutions first stood on the side of Columbia Bank. They collectively expressed their refusal to provide loans to PLCs to acquire British gas companies, and the British government was unwilling to pay for local sentiments to support PLCs. Therefore, Columbia Bank's plan was finally passed. British Gas Group agreed to divest British gas from the group and sell it to Columbia Bank. British Gas Group will retain its own natural gas exploration, production, transportation, distribution and supply businesses, and only sells British local natural gas sales, heating, boilers and gas power generation businesses to Columbia Bank. The total assets of British gas companies that own these businesses are as high as 20 billion US dollars, but Columbia Bank won the company only after paying about 5 billion US dollars, which won a good start for Seryosha's British plan.
Chapter completed!