Chapter 1873

"Feng, the negotiation between you and that bank is going well. I think the media has reported on your acquisition." Kirilenko is happy for Feng Yu's success.

"It's OK. The price I give is already very high. At this time, there are few people who can take out so much money and are willing to buy their bank. They don't have many choices."

Feng Yu is leaning on the sofa in front of the stove, baking the stove in the cold winter, which is really a kind of enjoyment. Fortunately, Ralph had already done his work before. Feng Yu just had to come over and make a decision. Being the boss is so good. He only makes decisions and doesn't need to do anything else.

"Everything goes well. I've also contacted Leto, but we have a strong competitor."

A competitor? Feng Yu remembers that in the past, it seemed that Leto had also heard about the acquisition, but in the end, it seemed that it didn't end because of the impact of the financial crisis.

Feng Yu knocked on his head: "vale or BHP? I guess it's Bing and bito? "

At present, these two enterprises rank first and second in the world iron ore market, and Leto ranks third. Vale in Brazil accounts for more than a third of the world's iron ore output, which is almost the sum of BHP and Rito.

So basically, the price of iron ore in the world is set by vale, which is the leader of the industry. However, Leto's second headquarters is in Australia. It has a good relationship with Bing and bito, and the two sides have been jointly fighting against vale.

Given the monopoly, Vale will not succeed even if it wants to acquire. Otherwise, they account for half of the world's iron ore, how else can others play? So this competitor is a must and a must?

Kirilenko showed admiration. Before he said it, Feng Yu guessed it.

"Yes, it's BHP. They are going to buy Leto last year. They are going to buy it as a whole. The initial offer was $150 billion, which rose to more than $170 billion at the beginning of this year. "

"At that time, the stock prices of both companies were rising rapidly. But then there was the financial crisis. Both BHP's share price and Leto's share price were falling. The agreement between the two sides was not settled, which was put on hold again. "

"This also gives us an opportunity. If they had agreed, we would have no chance to acquire. And because of the financial crisis, the industrial development speed is also declining, such as the automobile industry, machinery industry, construction industry and so on. The demand for steel is reduced, which also leads to the price of iron ore and so on all the way down. "

"At present, according to the stock price, the market value of Leto company is only over $100 billion, and their stock is more than 40% lower than the peak period."

Kirilenko's face brightened. If we calculate the peak market value, they may not be able to buy in cash. Moreover, the economic crisis brought by the financial crisis will not last too long, and the steel industry is now at a low point just in time, indicating that their purchase price will never be too much premium.

When Feng Yu raised his eyebrows, he was only over $100 billion? This price should be lower than its real value. After all, apart from iron ore, Lituo has many other mineral resources, excellent technology and many rich ores.

"What about the financial situation? Li Tuo is a listed company. Have they lost money this year? What is the expected loss or profit next year? And check carefully whether they have any financial fraud. "

If the finance is not the real data, then their analysis will be wrong. After affecting the judgment, they may pay a lot of money.

Since the overall decline of the steel industry this year, it is normal for the company to make a loss. One year's loss doesn't mean that the company will always lose money. After all, they have many minerals in them, which are also real estate with value preservation.

However, if a person who sells mineral resources really loses money, it is quite disappointing. Feng Yu also needs to reconsider whether the enterprise is worth buying.

"In the financial statements, they are still profitable this year, with a profit amount of more than 7 billion US dollars, belonging to their entire Leto group. After all, their profits in the first half of the year were not bad. Under Leto group, there are three group companies: British company, Australian company and Canadian company, which are listed in London, Australia and New York respectively. "

"They are the largest in the world in terms of aluminum industry. To a large extent, it can affect the pricing of aluminum, which is much more than their say in iron ore. "

"According to their listing report, their turnover this year is about $30 billion. At the beginning of the year, they planned to make a turnover of 50 billion US dollars this year. If it wasn't for the decline of various mineral prices and the decline of demand, maybe they could have finished it. "

"Well, the corresponding business volume of BHP and pito is about 40 billion US dollars and the profit is about 13 billion US dollars. Vale, the leader of the iron ore industry, is relatively miserable. The planned turnover is about 50 billion US dollars, but the turnover is only about 32 billion US dollars. There is no way. The price of iron ore declines the most, and their profit is close to 12 billion US dollars. After all, they mainly export iron ore. "

"What's more, Alcoa's turnover this year is about 30 billion US dollars, and its profit is only over 3 billion US dollars. If we acquire Leto group, it is also one of our competitors. But looking at the company's profit margin, we can see that their mineral reserves are too low and their mining costs are very high, mainly for processing. ""In terms of mineral reserves, Alcoa is far inferior to Rito. Last year, Rito acquired the aluminum company of Canada. Because of the bad economic situation and the need to update the equipment of the mine over there, the mining volume is reduced. From 2009, Rito will be able to dominate the aluminum industry."

Kirilenko's meaning is very clear. After the acquisition of Leto group, they will have a great voice in the aluminum and iron industries. With their original voice in gold, nickel, copper and other minerals, they can become the world's first mining group!

After becoming the boss, the operability will be greater. Whether it is to crush those small ones, take the opportunity to annex them, or improve the profits of the whole industry, it is their one word thing.

They can also guarantee such a high profit when the prices of metals and other metals have fallen sharply, which is the benefit of mining companies.

Only the costs of mining, transportation and maintenance are counted, and the rest is their profits. In fact, this year's profits of polar bear mining group are also good. It's only unlisted enterprises that don't participate in the Fortune 500 ranking. Otherwise, they will definitely be among the top 500.

But it's not the first. Feng Yugen is not rare. After the polar bear mining group becomes the first in the world, "fortune" does not rank, nor can it cover up the glory of polar bear mining group. At that time, it will prove that "fortune" is not fair at all!

"Is Leto's share price still falling? It's better for us to buy their shares in the stock market and fight for the initiative. " Feng Yu thought about it and made a decision.

……