Chapter 806

It has to be said that the 1990s is a bit crazy, perhaps because it is about to enter the next new century, and all walks of life around the world are in the preparation stage for the new century. Therefore, mergers and acquisitions in major industries are everywhere.

For example, in the military industry department in which Li Feng was involved, a series of mergers and acquisitions were carried out in a series of military enterprises in the United States, and finally formed the later five major military industry department combinations of the United States and the United States; Similarly, it also includes the luxury industry, which formed the later three giants.

In fact, in the traditional automobile industry, with the continuous improvement of international oil prices, the consumption cost of automobiles is also increasing, and mergers and acquisitions among major automobile enterprises are everywhere.

Among them, the most famous is the merger between Mercedes Benz and Chrysler in the first half of 1998. Of course, it is a merger. In fact, seriously speaking, Mercedes Benz bought Chrysler, with a purchase amount of US $36 billion.

Naturally, $36 billion can not be all cash. It is generally acquired in the form of cash and shares. It is said that the two companies are merged. The new company is called Daimler Chrysler Group.

At its peak, DaimlerChrysler's market value reached more than $100 billion, but later results showed that it was obviously a mistake after the merger. Chrysler lost money year after year, and DaimlerChrysler's market value also fell to more than $20 billion, which was not as good as the two major companies before the merger. Finally, before the financial crisis, Chrysler was repurchased back to the United States for $7.4 billion.

Unfortunately, it was a Wall Street financial institution that later spent $7.4 billion to buy Chrysler. People were more concerned about the play of financial capital, and Chrysler group itself had a powerful financial institution. Therefore, this wall street capital was actually more interested in the financial institution Department of Chrysler than operating an automobile industry company.

Finally, after the outbreak of the financial crisis, Chrysler ended up in bankruptcy liquidation. Later, General Motors also went into bankruptcy liquidation among the three major automobile groups of Midea. Well, the two major automobile groups of Midea went bankrupt.

……

"You said Chrysler is going to introduce the rest of the capital to fight against the old guy Kirk. Do you know who it is?"

After thinking of this, Li Feng asked with great interest. He didn't mean to buy Chrysler. After all, it's not cost-effective to spend tens of billions to buy Chrysler. You know, it will only cost billions to buy it back from the Germans in the future. The gap between the tens of billions now and the billions in 8-10 years is too big.

"It's not clear, but it's said to be an automobile giant. I think it's no more than the several automobile companies in Europe. Think about it." Mike answered John after thinking about it.

In fact, the same is true. It can be said that the merger of Chrysler and Mercedes Benz was very hasty. The result of previous lives was that they began to contact shortly after the new year of 1998, and then the two companies merged in just a few months.

It's a little too fast to complete the merger between such auto giants in such a short time. Of course, some people may want to say that John, your own companies are not very fast in acquiring enterprises.

Actually after all is said and done by Li Feng, these companies are the biggest controlling shareholders. He has noticed that he has the final say, that is, Li Feng is the one who has the final say.

As long as Li Feng wants to make sure to do so, the following is just execution. Another, Li Feng mostly purchases directly in cash, which will reduce a lot of trouble. After all, cash is king.

The shares of groups such as Chrysler and Mercedes Benz are very complex. Even if they control the family, they may only have about 10-20% shares at most. It is conceivable that Kirk has become the largest individual shareholder after occupying almost 10% of the shares in Chrysler.

In such a large-scale group merger, it is necessary to balance the interests of all parties. The game can never be completed in a short time. You can't see that the large groups in future generations basically take the "year" as the unit from the initial intention to the final signing of the agreement.

……

"According to my understanding, in fact, the merger of Chrysler is still carried out under the promotion of Kirk. Although I don't know which European Automobile Group Chrysler will merge with, it looks like a perfect merger with the combination of Chrysler's market share in the United States and the market atmosphere of European automobile enterprises in Europe.

The current general market situation is like this. In the United States, Chrysler, Ford and GM occupy the main market, while Volkswagen and Mercedes Benz, as European car enterprises, have a small market share and almost ignore it. Similarly, the market share of the three major American car enterprises in Europe is the same as that of European car enterprises in the United States.

Through such a merger, both sides can enter the market through each other's enterprises, so as to expand market share. At least it looks perfect on the surface, and the merged car enterprises will be sought after by the market. As the largest individual shareholder of Chrysler, Kirk must be one of the winners. As long as he cashes out his shares, he can get huge profits.

In 1990, Kirk bought 9.8 shares. Why not increase them? This is to avoid triggering the red line of 10% shares. At that time, the president of Chrysler was the American "national hero" - Lee Aikeka.

In 1992, Ekka was forced to leave the board of directors and replaced by Eaton. Since then, Kirk has had a bad relationship with the board of directors of Chrysler and other shareholders. In 1995, Kirk joined Ekka and proposed the acquisition of Chrysler for the first time.

Finally, Chrysler's board of directors, management and shareholders made the decision to buy back shares, which won the confidence of Wall Street investors and shareholders, and Kirk's acquisition plan was finally destroyed.

Although the acquisition plan failed and Ekka was completely away from Chrysler, Kirk, anyway, was the largest individual shareholder of Chrysler. He proposed to increase shareholder dividends and joined Jerry York, Chrysler's chief financial officer.

Jerry joined Kirk and persuaded many investors and banks on Wall Street to provide funds and loans for Kirk to buy Chrysler again. Chrysler faced Kirk's malicious acquisition for the second time.

Without the support of Wall Street, obviously, under such circumstances, Chrysler had to seek help. On the premise that Wall Street clearly supported Kirk, it could hardly find allies in the United States. Therefore, Chrysler looked at the world, and European car companies were obviously the best choice. "

……

After the explanation of Mike John, a senior "Autobot", Li Feng finally had a certain understanding of the gratitude and resentment between bookmaker cork and Chrysler. He had to feel that the bookmaker is worthy of being the bookmaker. The old guy is really powerful.

In fact, the history of the previous life was like this. After the merger of Chrysler and Mercedes Benz, the stock price soared, and the market value soon reached the peak, exceeding US $100 billion. At that time, Kirk sold all his shares, accounting for about 4.9% of the shares of the whole Daimler Chrysler Group, making a lot of money.

At that time, the value of cork, the gambling king, doubled from several billion dollars to 10 billion. People have to feel that ginger is still old and spicy.

Similarly, in later generations, they invested in GM and Ford, accounting for almost the same shares as when they were first in Chrysler, and both have become the largest individual shareholders of the two major automobile enterprises. Maybe people have tasted the sweetness in Chrysler.

Looking at Li Feng lost in thought, Mike John said with a look of expectation: "boss, what do you think?"

"Chrysler, this is not the time!"

“……”