2913【Leveraged buyout】
Enron Company is determined to sell.
Zhao Shikang received Xia Tian's affirmation and thought that he supported the purchase, so he talked with Anran Company very carefully.
One wants to buy with sincerity and the other wants to sell with intention. The two sides naturally had a very speculative negotiation, and they had made great progress in just one month.
Li Jiacheng and others began to suspect that the summer merger and acquisition of Anran was a trap, so they sent people to the United States to investigate Anran and passed the inside examination of Tianxia Group.
For Meianron, it has been fraud for seven years. It has embellished the company's performance very well through layers of holdings, related transactions, debt transfer and other means. Because the methods it uses are very hidden, outsiders have never discovered the tricks.
In addition, Anderson, the world's largest accounting company, did audits for it, and these false transactions and huge debts were not found out, which is equivalent to using its reputation to guarantee Enron.
As the world's largest accounting company, Andersen has a very high reputation and influence in the industry. It has not found the disadvantages of Enron, and Li Jiacheng's people naturally cannot find them out.
Therefore, the final investigation results "prove" that Enron Company is a large company with excellent performance, great prospects and great potential, worth buying.
The insider of Tianxia Group also proves that Xia Tian is indeed interested in acquiring Enron Company, and the current negotiations have made great progress.
After the information on both sides was integrated, Li Jiacheng and others believed that Xia Tian was sincerely trying to buy Anran Company, and Anran Company was indeed worth investing.
After reaching this conclusion, they became very excited.
"How is it, should we participate?" Li Jiacheng asked everyone present.
"This acquisition will cost at least 200 billion Hong Kong dollars, and we probably don't have that much capital." Kessek said in embarrassment.
Two hundred billion Hong Kong dollars is not a small amount. Even if they are the top wealthy people in Hong Kong, it is not easy to pay this money.
"Two hundred billion Hong Kong dollars is indeed not a small amount. We can't just rely on ourselves to make up for it." Li Jiacheng nodded and said.
Not to mention 200 billion Hong Kong dollars, even 20 billion Hong Kong dollars are enough to put the company in a situation of exhaustion of liquidity.
"However, we can cooperate with banks to acquire Enron through loans." Li Jiacheng said again, "Enron has excellent performance and annual revenue exceeds 100 billion US dollars. I think the bank will support it."
They used the mortgage guarantee of Enron Company that they had not obtained, first borrowed money from the bank and then purchased it, and then used Enron Company to repay the debt. This acquisition method was called leveraged acquisition. It was a prosperous time in the 1980s. For example, Li Jiacheng acquired Hutchison Whampoa, which was the first to obtain Hutchison Whampoa, and then used Hutchison Whampoa's profit to repay the debt.
But later, because the operation risk was too high, it was banned by the bank. However, Li Jiacheng and others have always had close ties with the bank, so they still had the possibility of taking advantage of loopholes.
"If the bank supports it, of course there will be no problem. However, Huibank has had a lot of trouble in recent years. Is it willing to support us so much?" Jia Daoli said worriedly.
Huibank is now in a lawsuit, and its image is very negative, and its development has been unsuccessful over the years. In particular, Tianxia Finance is still eyeing it, determined to seize the right to mint Hong Kong dollars in its hands.
Therefore, Huizhou is too busy to protect himself, and may not help them. After all, this is 200 billion Hong Kong dollars, accounting for nearly one-third of Huizhou Bank’s total deposits.
"It has been quite difficult for Huihui in recent years, but I think there is no reason to refuse this business. If we successfully acquire Enron Company, it will be beneficial to them." Li Jiacheng nodded and said.
Huibank also needs to make a profit, and it is very urgent. If it supports the acquisition of Enron, then they can repay the loan with Enron's income.
The loan of 200 billion yuan is nearly 10 billion yuan per year. As the current turmoil in the U.S. Bank of China is in a state of turmoil, the income of this 10 billion Hong Kong dollar is not a small amount.
"If Huizhou is unwilling to support us, we can also discuss with banks such as Standard Chartered, Wanguo, and Baotong. I think they should support us, too." Shi Huaiya suggested.
Everyone nodded.
...
"As for Hong Kong Telecom, this is also a very valuable enterprise. Xia Tian has a good vision, and all he wants to acquire are high-quality assets." Li Jiacheng said again.
Hong Kong Telecom, they also sent someone to investigate, so there was no problem. Xia Tian also knew it was good, so he really wanted to buy it, and he had no intention of digging a hole for Li Jiacheng and the others.
"If our company wants to acquire it, it will be another 200 billion Hong Kong dollars." Jia Daoli frowned and said, "It's really hard to deal with so much money."
"He has Tianxia Finance as a supporter, and the development of Tianxia Group has been smooth and prosperous over the years. It is not difficult for him to give out 400 billion Hong Kong dollars." Shi Huaiya sighed, "It's a pity that we have been overwhelmed by him in recent years, and our development has been unsuccessful."
"So, this time, we must take down Hong Kong Telecom." Li Jiacheng said solemnly, "Isn't he going to build Cyberport and build Hong Kong into Oriental Silicon Valley.
If that is the case, it is inseparable from the support of the telecommunications industry. Therefore, the better the Cyberport plan is running, the more we will benefit. At that time, he will help us work."
"Yes, this makes sense." Guo Bingxiang smiled, "Xia has been riding on our heads, and now it's time for us to change."
"But where did the acquisition funds come from?" Kessek said in embarrassment, "Do you also need a loan? I'm afraid the bank is in a difficult situation."
"Don't worry about this. We can discuss with the Dadong Telecommunications Office to acquire it through stocks and cash." Li Jiacheng said again, "In fact, the Dadong Telecommunications Office does not want to sell Hong Kong Telecommunications, but it was under pressure from the mainland and the Hong Kong government, so it had to withdraw.
If we acquire it through stock and cash, get the operating rights of Hong Kong Telecom, and then protect the identity of the major shareholder of the Dadong Telecom Office, I think they should be very happy."
The way to add stocks to cash means that Li Jiacheng and others use the shares of the new company to exchange them with Hong Kong Telecom, and then add a cash per share to make up for the difference.
In this way, they only need to pay a small amount of cash to acquire Hong Kong Telecom. After the acquisition, the Dadong Telecom Office will be the company's major shareholder and have certain decision-making power.
Chapter completed!