0p0 Chapter 690 Want to Acquire a Listed Company
Chapter 690 Want to Acquire a Listed Company
He was completely taken aback that He Yuzhu would casually come up with such a bold idea at this moment, and he felt like he was struck by lightning.
However, what surprised Huo Yingdong even more was that He Yuzhu revealed the entire plan without reservation or hesitation.
He looked calm, sitting there with a relaxed posture, without any hesitation in his words, and his tone was firm, as if he was narrating a commonplace matter.
If it were any other business rival who was meticulous and cautious, He Yuzhu would definitely keep his mouth shut, hiding every detail of the plan deep in his heart, and would never reveal a single detail easily.
After all, in this ever-changing and highly competitive business world, the market situation is like the weather in June, changing at any time, and various forces are constantly competing.
Once such commercial secrets are accidentally leaked, it is like a ship that has lost its anchor in a storm. The ship can only be at the mercy of the wind and waves, and is very likely to be caught in the raging waves and swallowed by the surging waves in an instant, bringing the ship immeasurable and even fatal troubles.
He Yuzhu and Huo Yingdong have known each other for many years. Their friendship transcends the age gap, like a clear spring, flowing in the long river of time, and gradually develops into an enviable friendship regardless of age.
Over the years, whether they were toasting together to celebrate good times or weathering the storm side by side in adversity, the two have always supported and trusted each other.
This trust is like a solid rock. After countless storms, it has not only remained unshaken, but has become even deeper.
In He Yuzhu's heart, Huo Yingdong is not only an elder with rich experience and worthy of respect, but also a close friend with whom he can have heart-to-heart talks in the quiet of the night and share his inner joys, sorrows, and anger.
Therefore, when He Yuzhu was planning a new plan, he had almost no hesitation in his heart.
He knew very well that telling Huo Yingdong about the plan was not a rash move. Sharing the plan with his best friend was a natural thing to do on the solid bridge built by this deep friendship.
He Yuzhu went on to explain in detail, "Yu Ren Airship's equity structure is extremely fragmented, resembling a complex landscape of fragmented power. While Williams' Yu Ren Group is the majority shareholder, it holds less than 30% of the shares. This crucial information clearly demonstrates the lack of a single controlling shareholder within the company, resulting in a relatively loose, fragmented structure. Precisely because of this, within this seemingly chaotic and thorny equity landscape, we have every opportunity and avenue to enter the public market and carefully plan our operations, like skillfully placing pieces in a complex chess game. Through a series of legitimate, legal, and interconnected acquisitions, we can gradually acquire a sufficient number of shares."
"As long as the strategy is appropriate and the execution is strong, it is not a fantasy to achieve controlling stake in this company. This will open up a whole new world for our subsequent business planning." The investment advisor's words were loud and clear, echoing in the spacious conference room.
When Huo Yingdong heard this, his originally calm expression changed slightly, and then he frowned slightly and fell into a brief and solemn contemplation.
His eyes subconsciously wandered around the room, from the large financial map of Hong Kong hanging on the wall to the exquisite sailboat model on the desk. None of the familiar objects could pull his thoughts away from the complex business calculations.
In his mind, the ups and downs of past business experiences kept replaying like a kaleidoscope.
In the turbulent financial world of Hong Kong, listed companies are like a handful of stars among the vast universe, with a total number of less than 50. Each of them occupies an unshakable position in its respective field by virtue of its unique resources, connections and business strategies.
Previously, the capital operations he was familiar with and experienced all followed traditional paths. They always followed a routine approach, first contacting the major shareholder, then, through carefully planned, earnest, and strategic negotiations, gradually completing the share transfer process and thus naturally acquiring control of the company.
But times are different now. The target company is in a special situation this time, and it remains to be seen whether traditional methods will work.
In the field of commercial acquisitions, the conventional practice is often to proceed step by step, through long and complex negotiations with the management and major shareholders of the target company, gradually reach an acquisition intention and complete the equity transaction.
This method is safe but also conventional, like a train running on a predetermined track, smooth but lacking in surprises.
In this calm industry practice, no one has ever taken a radical approach and tried to directly acquire stocks in a turbulent and unpredictable market, launching an unexpected hostile takeover.
This bold and novel idea was like a ray of strong light, instantly penetrating the inherent barriers in his thinking, the barriers wrapped in traditional concepts and experience, forcing him to admit that he had indeed never taken this unique perspective into consideration before.
Huo Yingdong has been in the business world for many years and is accustomed to dealing with and competing under the established rules. When he was suddenly faced with the new ideas proposed by He Yuzhu, he was shocked and confused.
However, Huo Yingdong did not make a hasty decision. He knew very well that business decisions could not tolerate any impulsiveness or recklessness.
He locked himself in the study, facing the table full of information and data, like a general about to go to war studying a battle map.
Some of those densely packed documents record the target company's financial status, some are market trend analysis, and some are dynamic intelligence on competitors.
He repeatedly deduced the acquisition plan proposed by He Yuzhu, not missing any details.
His eyes wandered between the lines of numbers, sometimes frowning, sometimes nodding slightly, constantly simulating various possible situations in his mind.
If a large number of stocks are acquired in the market, the stock price will inevitably fluctuate greatly. Will the target company notice it and take countermeasures?
Once other investors follow suit, how can we control the situation?
As he thought more deeply, he gradually discovered that He Yuzhu's acquisition method seemed to be unconventional, but in fact it contained hidden secrets.
By adopting this approach, there is no need to engage in lengthy, tedious and game-filled negotiations with those stubborn and calculating major shareholders, and many potential obstacles and traps can be avoided.
It was like cleverly bypassing a thorny jungle and directly opening up a new path to the goal.
In the complex chess game of the capital market, the dispersed acquisition of small shareholders' equity can be regarded as a brilliant move.
Small shareholders often have limited capital and weak risk tolerance. Once there is any slight disturbance in the market, they are prone to panic and rush to cash out.
Huo Yingdong keenly captured the characteristics of this group. He knew that as long as he cleverly utilized this psychology, he could gradually accumulate sufficient equity shares at a relatively low cost, just like small streams converging into a river.
At that time, control of the company will quietly fall into your hands.
Thinking of this, Huo Yingdong's brow, which had been furrowed due to planning the acquisition, gradually relaxed. A confident and sharp light flashed in his deep eye sockets, as if he had already seen the bright prospects of the successful implementation of the plan, and he became more and more confident in the feasibility of this carefully conceived plan.
In the grand landscape of the capital market, the company's successful listing is undoubtedly a landmark milestone.
This not only means that the company has entered a broader and more dynamic capital stage, but also means that the company now has a "golden key" to unlock infinite possibilities.
Once entering the capital market, a company can use the powerful method of issuing new shares to open a huge absorbing net to widely absorb idle capital from all corners of society.
These capitals will be like a powerful source of power, continuously injecting into the company's development, providing sufficient power for its own expansion strategy, helping the company to achieve rapid expansion and upgrading of its business scale and climb to higher business peaks.
For a group company that aims to build a huge business empire, the difference between owning a listed company and not owning one can be as great as the difference between heaven and earth.
Listed companies can not only provide financial support for the group's development with their strong financing capabilities, but also leverage the influence of the capital market to enhance the group's brand image and market position.
Take Yu Ren Water Boat Company as an example. Its current total market value is only more than 200 million. Under the continuous impact of market fluctuations, the stock price trend has continued to be sluggish like a kite with a broken string, and has already fallen below the 200 million mark. It is like a lonely boat shivering in the cold winter of the capital market. This undoubtedly created an excellent opportunity for Huo Yingdong's acquisition plan.
In today's highly competitive business environment, acquiring a listed company at a low price of 200 million is undoubtedly an extremely attractive deal.
A careful analysis of the company's asset composition shows that it owns a number of high-quality properties with excellent geographical locations and close to the docks. These properties not only have good appreciation potential, but also provide a source of stable rental income.
In addition, the company also operates a number of mature and highly promising routes, connecting multiple important ports, with a large customer base and stable transportation demand.
What is more worth mentioning is that the company owns a considerable number of core assets such as ships, all of which are in good operating condition and are a solid guarantee for the company's operations.
These assets not only generate stable cash flow income, but also contain huge room for value-added in future market development. They are undoubtedly extremely attractive to acquirers who are interested in investing in related fields such as shipping and logistics.
"You have a unique vision. You can actually discover such a high-quality and low-priced company."
In the complex chess game of business, every decision determines the ultimate success or failure, and acquiring a company is a thrilling strategic game.
However, in order to successfully complete an acquisition, many key factors are like reefs hidden under the water, and any failure to pay attention may lead to the failure of the acquisition plan.
Among them, the shareholding ratio of major shareholders is the key factor that needs to be paid close attention to first.
Take Yu Ren Group as an example. It only holds 30% of the shares of Renshui Boat Company.
This ratio may not seem high, but it is like opening a half-closed door for those who covet it, providing potential acquirers with a certain amount of operating space and possibilities, making the acquisition plan initially feasible.
In fact, in the vast and turbulent ocean of the capital market, low-priced companies are not uncommon.
They are like the densely packed shells of various shapes on the beach, which can be found everywhere. Among them, there are countless companies with a market value of less than 500 million.
These small-cap companies have different situations. Some are struggling in the quagmire of poor management due to strategic errors and chaotic management; others have lost their way in the increasingly fierce industry competition and cannot find a way forward. The data on the financial statements seem to be shrouded in haze, dim and bleak.
However, it is not easy to accurately locate a company with acquisition potential from this vast number of small-cap companies. It is as difficult as finding a needle in a haystack.
The reason is not complicated. If the relationship between a company's major shareholder and the second largest shareholder, or even other shareholders, is as close as a large ship tied together with thick and tough ropes, with each part fitting together seamlessly and cohesively, then it will undoubtedly become extremely difficult to pry open this huge "ship" and successfully complete the acquisition.
Shareholders often stand firm and will not be easily shaken when faced with acquisition offers from outside, either based on the deep trust accumulated from long-term fighting and cooperation, or because of the strong family blood ties.
They are like a well-trained army, united in building an indestructible line of defense. From decision-making to actual actions, they resist the acquirer's offensive in all directions, making it difficult for the acquirer to find a breakthrough and deterring them.
In general, in the rules of the capital market, if a shareholder of a company holds more than 50% of the total shares, it means that it firmly holds the absolute control of the company and has the key power to veto all matters of the company.
At this time, successfully acquiring such a company is almost equivalent to challenging an iron wall made of reinforced concrete. The probability of success is very small, and many insurmountable obstacles need to be overcome.
However, the equity structure of Yu Ren Water Boat Company presents a unique and complex pattern.
A deeper analysis of the company's shareholding structure reveals that a portion of it was held by influential foreign companies, which was not uncommon in the business environment at the time.
But if you carefully sort out the shareholding details of the top 10 shareholders, you can dig out a crucial piece of information: the total amount of shares they hold does not exceed 50%.
This kind of equity distribution makes the company's equity relatively dispersed, making it difficult for one company to have absolute control. Shareholders check and balance each other, and in the company's decision-making process, it is difficult for any party to dominate major affairs on its own.
What is even more difficult is that the current market environment is extremely severe for Ren Airship Company.
The company is about to face fierce competition from the two hydrofoil boats. Relying on advanced technology and unique performance advantages, these two hydrofoil boats have quickly captured market share once they are put on the market.