Chapter 560: Acquisition Targets is a bit much
SUSAN RECEIVED A CALL FROM LIU RUOMEI INFORMING HER THAT SHE WOULD COME TO WANG YE'S OFFICE TOMORROW AND TALK TO HER ABOUT INVESTMENT AND ACQUISITION.
AFTER PUTTING DOWN THE PHONE, SUSAN WAS A LITTLE EXCITED, THE BIG BUSINESS FINALLY CAME!
The listing of Huya Technology was directly approached by Pitt and Wang Ye, and SUSAN had no chance to intervene, so the performance would naturally not be counted on her head.
The reason why she came to Pengcheng from the headquarters in the United States to serve Wang Ye was that she wanted to take over more big business.
Private financial advisors are actually a kind of business, if the clients you serve have never handed you any business, then you have nothing to do.
AFTER SUSAN TOOK OVER WANG YE, IN ADDITION TO HELPING HIM SORT OUT HIS PRIVATE FINANCIAL STATEMENTS, HE ALSO HELPED HIM BOOK PLANES, LUXURY CARS, AND YACHTS, BUT HE HAD NEVER TAKEN OVER A REAL BIG BUSINESS AT ALL.
The big business mentioned here is naturally like what her predecessor, LISA did at that time, mergers and acquisitions!
With Wang Ye's current net worth, once the acquisition and merger is initiated, the funds used must be tens of billions!
This kind of business, as a practitioner in the financial industry, is of course a dream of SUSAN.
……
After receiving the notice, LISA became much calmer, following Wang Ye over the years, she has experienced too many businesses in acquisitions, mergers and acquisitions, investment and other aspects.
Not to mention, at that time, the entire investment in Goddess Island was controlled by her, and she was also the one who spent billions of dollars in a year, and she had never seen any big scenes!
However, she has also been a little idle recently, and she is about to ask Wang Ye if there is anything for her to do.
SINCE THE END OF THE CONSTRUCTION OF GODDESS ISLAND, LISA HAS BEEN IDLE, AND SHE IS ALSO A PERSON WHO CAN'T BE IDLE, AND SHE IS ONLY IN HER TWENTIES, NOT YET AT THE AGE OF REST.
……
The next day, in Wang Ye's office, the three of them sat opposite each other.
"BOSS, DO YOU HAVE ANY BIG PLANS?" ASKED LISA EXCITEDLY.
SUSAN ALSO LOOKED AT WANG YE EXPECTANTLY.
"Yes, didn't I just sell the shares of Huya Technology, the money has arrived, and now I'm thinking about how to spend the money, haha. Wang Ye said with a smile.
Speaking of Huya Technology's shares, it was SUSAN who helped Wang Ye and Tencent to hand over the shares.
Of course she knows how much money there is, a full 20 billion dollars!
With such a huge amount of money, what to do to acquire and invest is really a big move.
"My idea is this, in fact, my main business has always been on clothing, making clothing, affordable fast fashion is naturally very profitable, but if you want to do it for a long time, do it solidly, and want to maximize profits, then it is natural to be a luxury brand. I've launched a dream, but it's not enough to rely on this brand alone. Now in the global luxury industry, big brands are operated after the group, so I want to buy a luxury group!"
Wang Ye briefly introduced his ideas and let the two know their acquisition targets.
With Wang Dong's eyes, it is natural to acquire the top ones, so there are only a few targets, such as LVMH Group, Richemont Group, Estee Lauder Group, Kering Group, Luxottica Group, PVH Group, and Ralph Lauren Group. ”
SUSAN DOESN'T NEED TO LOOK AT THE INFORMATION TO TALK ABOUT IT, HE KNOWS ALL ABOUT IT.
These companies, of course, are also well-known luxury groups, among them, the Estee Lauder Company, which has long been controlled by Wang Ye, can be excluded.
Then the rest is only six goals, if Wang Ye wants to do it, he will choose one of them.
The most famous of these is, of course, LVMH Group, which is the number one luxury group company!
LVMH Group, whose full name is Mot Hennessy - Louis Vuitton Group, is a large-scale luxury group formed by the merger of Louis Vuitton, a top fashion and leather manufacturer, and Mot Hennessy, a first-class wine manufacturer, and currently owns more than 70 of the world's top luxury brands, and LVMH is in the world's first position in terms of sales, market capitalization and influence.
Maybe it's because LV's name is too big, and many people may not know that the company's main business is actually alcohol......
If nothing else, Hennessy is one of the brands of LVMH Group, and its champagne business is the first in the world!
Of course, with the acquisitions over the years, LVMH has also seen more and more luxury brands.
LV is naturally needless to say, in addition, such as Givenchy, Mark Jacob, Lowe, Celin, Kenzo Takada, Fendi, Bulgari, etc., are all familiar to everyone.
This company, if Wang Ye wants to reach the top in the fashion circle, it is naturally a mountain that cannot be bypassed.
But it's also very, very difficult to acquire this company.
Based on the current stock price, LVMH Group has a market value of $80.7 billion!
Moreover, if you really want to control this company, the difficulty will rise exponentially, and the original major shareholders may not be willing to withdraw.
Even if it is an exit, will it be difficult to accept the transfer of shares at the current market price?
It is conceivable that the premium is unavoidable, and this thing, once the premium rises, I really don't know what the upper limit is.
If a company with a good business prospect wants to buy shares at a premium, it may be a 50% premium to start......
Because those shareholders can get a large amount of dividends every year, if they don't continue to use the money, why should they transfer their shares?
……
The second largest luxury group, the Swiss Richemont Group, this company, is actually not quite in line with the purpose of Wang Ye's acquisition.
Because this company is mainly making watches.
Under the Richemont Group, it owns Cartier, Jaeger-LeCoultre, Vacheron Constantin, A. Lange & Söhne. Sohne, IWC, Dunhill, Montblanc, Chloe CHLOE and other brands.
Basically, they are all famous watches, Wang Ye has no plans to enter the watch industry for the time being, of course, famous watches are also considered luxury, but in the fashion circle, the voice of famous watch brands is relatively weak.
As for the Italian Luxottica Group, this is the world's largest eyewear manufacturer, headquartered in Milan, Italy. The Group also has one of the largest optical retail networks in the world, covering North America, Australia, Europe, mainland China, Hong Kong, Malaysia, Singapore and other countries and regions.
This is also not in line with Wang Ye's goal and can be ruled out.
The French Kering Group is a relatively good target, this company is not as large as LVMH, and it also has many good brands.
For example, Gucci, Yves Saint Laurent, Boucheron, Bottega Veneta, Balenciaga, etc.
……
The remaining so-called luxury groups, such as Ralph Lauren, may not be able to enter the eyes of Wang Ye, and their fame is not big enough.
Moreover, Wang Ye has 20 billion US dollars in his hands, and he is playing with big acquisitions, and small companies naturally look down on him.
AFTER ANALYZING THE TARGET COMPANY, SUSAN LOOKED AT WANG YE, AND THE ONLY PERSON WHO COULD REALLY MAKE A DECISION WAS NATURALLY WANG YE.
Wang Ye smiled and said, "You also missed a few good target companies." ”
SUSAN WAS STUNNED: "WHICH ONES?"
"Hermès, Chanel, Burberry, HUGO BOSS. Wang Ye replied.
SUSAN suddenly understood that although the overall volume of these companies with individual brands is not large, they are indeed very good brands.
Of course, although the sales of Hermes are not very high, the company's market value is really not low, according to the current stock price, the market value of Hermes has reached 40 billion US dollars!
In fact, Hermes can be described in one sentence, "fame is greater than strength"!
This is not to say that the brand of Hermes is not good, or that the product is not good, but it just means that the annual revenue and profit of Hermes are really not worthy of the market value of 40 billion US dollars!
In terms of revenue, Richemont and Kering can throw it off a few streets, but there is no way, the status of the Hermes brand in the field of luxury goods is really within reach!
Oh, in fact, it can't be said that Hermes is a single-brand operation, it also has several sub-brands, such as Saint-Louis, up and down, pony carriage, etc., but these brands really have no influence.
It can be said that the vast majority of people have never heard of these brands, nor have they seen the stores of these brands......
……
Regarding the acquisition target, Wang Ye has thought deeply, LVMH is not a good time to do it now, and if you move this company, it will be too involved.
France is a country that is now basically the fashion industry as a pillar industry, and LVMH's influence in France is also amazing.
If you want to buy it as a foreigner, to be honest, you can't just have money.
Of course, Wang Ye's identity is not simply a Chinese, his relationship in Europe is also very complicated, and his contacts can be described as extensive.
However, now is the peak period of LVMH, in the past two years, LVMH's business has developed rapidly, and profits have increased year by year, to be honest, few shareholders are willing to give up their shares.
If you insist on acquisition, you can only raise your card in the circulation market and have a vicious acquisition.
But then, the price paid is too great to be worth it.
Therefore, Wang Ye's idea is to first acquire those companies that are not so large, but have very good brands.
For example, Chanel, such as Coach, such as Burberry, such as Prada, such as HUGO BOSS, these companies are not so difficult to acquire, and they can be broken one by one.
As for Hermes, Wang Ye really doesn't want to buy it, it's too expensive!
Of course, if you have enough funds in the future to not care about tens of billions of dollars, Hermes will still have to win it, because this brand can be called "the pearl in the crown of luxury"!
The current market value of the brands that Wang Ye is interested in is not high, generally about five or six billion US dollars.
If you buy it, you don't need to buy all the shares, you can get a controlling stake, or even just get the position of the largest shareholder.
In this way, the funds can exert their power to the greatest extent, and it may only take two or three billion to control a brand.
Among them, Chanel should be the most expensive.
Because of this company, it is not listed at all, and it is fully controlled by the two brothers.
Moreover, Chanel has done a really good job over the years, although Karl Lagerfeld has a "smelly" mouth, but his ability is really powerful.
When he took over Chanel, the brand was on the verge of degenerating into a miscellaneous brand, but in the past few decades, under his helm, Chanel has not only returned to the ranks of first-line big brands, but also belongs to the best of them.
If you really want to buy Chanel, Wang Ye estimates that 10 billion should be about the same.
Perhaps, not enough......
……
AFTER LISTENING TO WANG YE'S IDEA, SUSAN AND LISA WERE BOTH NERVOUS AND EXCITED, BECAUSE THIS ACQUISITION IS REALLY A STRIKING, AND THERE ARE SEVEN OR EIGHT TARGET COMPANIES!
In addition to Wang Ye's $20 billion, he will also prepare at least $20 billion to start with $40 billion!
Wang Ye thought about it, this time, since he wanted to do it, he would play big, acquire enough brands at once, and form a luxury group no less than LVMH.
Therefore, although 20 billion US dollars is a lot, it is not enough, and I need more money to ensure that I can win all the brands I like.
Once the acquisition is reached, then in the future, the luxury group with the largest market value and influence may have to be replaced.
At that time, the floating dream brand will be spun off and join the new group.
That can immediately form a strong combat power, and it is not necessary to directly surpass LVMH.
……
Where does the rest of the funds come from, Wang Ye has his own plans.
In this acquisition, he does not want foreign capital to participate, including Citibank, Temasek, and European royal families.
He wants to use domestic funds to build a luxury group in China.
In this regard, he doesn't have to worry about political factors, because the brands he acquired are all clothing and bag brands, which are completely insensitive, and there will be no political factors mixed in.
Therefore, there is no problem in using domestic capital completely.
Wang Ye summoned some members of Pengcheng, those who were suitable to participate in this matter, and some who were obviously not suitable were not notified.
Like Brother Xiao Ma, who is doing the Internet, and has just spent a lot of money to acquire Wang Ye's Huya Technology shares, he will not be involved this time, and the acquisition business has no intersection with Tencent's business at all, and Tencent is not suitable to participate.
In the Pengcheng Club, the richest ones are, of course, Ping An Lao Ma, Mr. Qin of China Merchants, Mr. Xu of Evergrande, and Mr. Yao of Baoneng.
This time it takes at least $20 billion, and only these few people can come up with so much money.
Moreover, these companies are all engaged in investment business.
It is still the Tianqin Bay Community Club, and after receiving a call from Wang Ye, several people got together.
"President, what's the good thing this time, just say, I will definitely participate!" said Ping An Lao Ma with a big grin.
He's been in the spring lately.
Obviously, investing in Huya Technology has made him make so much money, can he not be happy.
Therefore, for the project led by Wang Ye, Lao Ma decided that he would definitely participate in the future, and he would vigorously participate!
"Haha, Lao Ma has become so generous, say it, President, if you need to invest or need funds or something, you don't need to look for Lao Ma, I'll solve it all for you. Mr. Qin also said boldly.
In Huya Technology, he, like Lao Ma, has made a lot of money!