Chapter 2 Acquisition Conditions Vary from Individual to Person!
"President, do you really want to agree to the British government's conditions, which are a big burden for us at the BMW Group without sacrificing any employee and investing more?" said Hagen Lüderitz of the BMW Group's Corporate Strategy Department, with a frown.
"You have also seen the scene just now, we can't agree to this condition!" replied the new president of BMW, Bi Ruide.
"But the reason why Rover Motors has incurred huge losses of more than 2 billion pounds in a few years is because of the aging production facilities and the bloated factory staff.
If we can't get rid of these two drawbacks of Rover Motors, we won't be able to make any money even if we buy Rover Motors. Hagen Lüderitz disagreed.
"Don't talk about it! I'm going to get it for Rover Motors, and I'm going to buy it anyway. Bi Ruide said firmly.
"In fact, the burden of Rover Motors is so heavy, we might as well buy a Porsche or Rolls-Royce, although the profitability of these two brands is not as good as that of Land Rover, but it is also good. Hagen Lüderitz thought for a moment and said.
"Porsche, Porsche's cars are now most seen at motor shows rather than on the road, and they don't sell as much as Land Rover. After so many years, Porsche only went from a loss to a profit last year, but unfortunately its profit last year was too low.
Besides, the price of Porsche is not much cheaper than Rover, and we need to pay $500 million in R&D bills for Porsche and $600 million to the Porsche family to buy it, do you think I will spend $1.1 billion on a waste that can only shine in the auto show?" said with a sneer.
"Porsche can't do it, but what about Rolls-Royce? Rolls-Royce is a real high-end brand car, and it is the brand that is most in line with our company's future strategic development. Hagen Lüderitz asked.
I don't want to hear anyone mention Rolls-Royce in the BMW Group, so you can't forget why Reitzler was pulled down from my position as president's heir, right?
The reason why Reitzler was removed as the successor to the president of the BMW Group by former president von Kinheim was because Porsche wanted to ask him to be president and because he wanted to buy Rolls-Royce.
Do you think I'm really that stupid to repeat Reitzler's mistakes?" asked Breed with a sneer.
"Of course you won't! I was reckless in my ......," said Hagen Lüderitz sweatingly.
"You remember, now Rover Motors is my only choice, and I will win this acquisition no matter what, it will be my first result after becoming the new president of the BMW Group. Bi Ruide said coldly.
"Yes! I remember. But ......," Hagen Lüderitz said here and hesitated.
"But what? If you have something to say, just say it! Since I am willing to take you to carry out such an important acquisition, I will regard you as my confidant, is there anything else you can't tell me?" asked Breed.
"The £2 billion investment and manufacturing plan you have promised the UK government is so risky that I don't think the board will agree to the acquisition. Hagen Lüderitz said worriedly.
"Don't worry! Since I dare to give the British a ticket, then I am confident that I will be able to convince the board of directors of the BMW Group to agree to my plan. Bi Ruide said confidently.
Birid's ability may not be as good as Reitzler's, but his eloquence is unmatched.
Sure enough, when Pyrrhid reported the specific terms of the acquisition to the BMW Group headquarters, many people opposed it, and even the former president of the BMW Group, von Kinheim, proposed the acquisition in the opposite direction.
"Billed, we have looked into the specific situation of Rover Motors before we decided to buy Rover Motors, and the reason why it has such a serious loss is because the British workers are too inefficient, the factory is old, and the design of the new car is too much like Honda.
If the BMW Group does buy Rover Cars, then all you have to do is immediately stop assembling cars at Rover's plant in Birmingham's Longbridge, and then lay off the redundant workers at the Rover plant and let the rest of the workers go to the production of engines and auto parts.
This would allow Rover to build its own cars at its plant in Crewe, so we wouldn't have to buy parts and chassis from Honda. Von Kingheim proposed to Pyric.
"If we were to fire the workers, British Industrial would never allow us to buy Rover Motors. Bi Ruide objected.
"Big, as the new president of the BMW Group, you should first consider the interests of the BMW Group rather than the attitude of British Industry, and if you do so, the BMW Group will fall into a disadvantageous situation of losses. Von Kingheim said earnestly to Bireid.
"I can't care less about the attitude of British industrial cloth now, because a new competitor has popped up in London to compete with us for Rover Motors.
If something goes wrong with the BMW Group, then we may lose the opportunity to buy Rover Motors. Beacon said with a frown.
"The demands put forward by British Industrial Cloth are all from the political aspect, and any clause in this agreement is not in the interests of our BMW Group, and if you blindly obey them, you will bring losses to the BMW Group. Von Kingheim said helplessly.
"Old President, I am not pursuing short-term profits when I buy Rover Motors, my goal is the future of BMW, so I will never change my decision to acquire Rover Motors. Billed affirmed.
"Forget it, I'm retired now, and no one listens to what I say...... Whatever you want!" von Kinheim said helplessly.
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While the BMW Group was discussing the big merger and acquisition, Mr. Jia and Little Jew were invited into the office by Lord Sainsbury, the head of British Trade and Industry.
"This is the outline of the acquisition draft that we have drawn up with the BMW Group, so let's take a look at it first. Lord Sainsbury said that his secretary had at once brought two documents to Jay and the little Jew.
"Do we think this thing is appropriate?" Jia Lei asked hesitantly, he felt that this should be a trade secret.
"It doesn't matter, the version you see is based on the conditions put forward by our British government, and this information has been brought to the parliament for discussion, and the people who see it will have 500 if not 1000, so this is not a trade secret. Lord Sainsbury said with a smile.
"In that case, then you're welcome!" Jia Lei said, and then he began to carefully look through the information.
"I'm sorry, can you give me an English-Chinese dictionary or help me find a translator?" Jia Lei frowned more and more tightly the more he looked at the information, and finally he couldn't help but make a request that surprised everyone.
"Jia Lei, I remember that your English is much better than mine, and there is not much content in the outline of this acquisition draft, do you need to call a translator?" asked the little Jew puzzled.
"Little Jew, you don't understand, this kind of large-scale acquisition case is very words, even if you accidentally get the meaning of a word wrong or read the wrong decimal point, then it will bring unbearable consequences to yourself.
Although my English is good, it is far from the level of a professional, and if it is not inconvenient, I would even like to take the outline of this acquisition case back and let the lawyer study it carefully!" Jia Lei explained.
In fact, most of the people in the House of Lords are worried that you two young people want to buy Rover Motors on a whim, and they will not be able to run this large company well in the future, so many people are more inclined to let the BMW Group buy Rover Motors.
But I want to get in touch with you and see who is more suitable to be the new owner of Rover Motors!
But I really didn't expect that you were so attentive to an acquisition that didn't belong to you, and you would be so rigorous as to ask professionals to check it, which shows that you really want to run Rover Motors well. Lord Sainsbury praised him for making him feel at ease by doing so.
"Although we are young, our money is not blowing in the wind, and since we have decided to join the race to buy Rover Motors, it shows that we have thought it through.
Running a large industrial company is not an easy task, and if we don't even have a rigorous attitude and reasonable planning, the only way awaits us is the collapse of Rover Motors. I'm afraid no one wants to see this!" Jia Lei explained.
"You're right, neither of us wants Rover Motors to go out of business!
Hevel, you go outside and help this young master Jia ask a professional translator of diplomatic cloth to come over, so that this young master will not think that we are doing anything with the documents. Lord Sainsbury said with a smile to his secretary, and the secretary went out.
"Then I'll thank you Mr. Lord in advance!" Jia Lei said with a smile, and he took the opportunity to make a phone call to his lawyer who was waiting outside.
After the professional secretary and Jia Lei's lawyer arrived, Jia Lei and the little Jew began to study the outline of the BMW acquisition case word by word, and then Jia Lei's brows became more and more wrinkled, and finally Jia Lei put down the letter of intent for cooperation with a lawsuit.
"Did the BMW Group really agree to the outline of the acquisition?" Jia Lei asked.
"Yes, the BMW Group has agreed to all the conditions in the outline of the acquisition, and if you can't come up with better terms than the BMW Group, we will sign a contract with the BMW Group." Lord Sainsbury replied.
"I'm afraid that in addition to raising the purchase price, we really can't come up with better conditions for the BMW Group!
After all, I don't think I'm as wealthy as British Airways and can afford to support Rover Motors, and if I take over Rover Motors according to the terms written in this letter of intent, I will be dragged bankrupt by Rover Motors in less than three years. Jia Lei said with a wry smile.
"Young Master Jia, what do you mean by that, is there something wrong with Rover Motors and the outline of this acquisition?" asked Lord Sainsbury.
"The outline of this acquisition is not only problematic, but it is so problematic that I will never be able to guarantee that not a single worker will be fired.
Rover Motors workers are notoriously inefficient and unmotivated, and without severe incentives and punishments, I would have struggled to improve their productivity.
And the forest is big, there are all kinds of birds, there are nearly 35,000 people in Rover Automobile Company, there must be one or two people who do not work seriously and even cause harm to the company.
If we can't even fire this kind of worker, I can't take over the factory and workers of Rover Motors!" Jia Lei said with a wry smile.
"You can still fire a worker who is so excessive, but I don't want you to deliberately make excuses for firing British workers after you take over Rover. Lord Sainsbury said.
"Rest assured, the two of us are not the kind of black-hearted entrepreneurs!
Rover Motors is just a tool for us to step into high society, and we didn't buy it to make money. The little Jew said very sincerely.
This sentence is straightforward and white enough, and for a while, Lord Sainsbury, who is used to playing officialdom, could not continue, but fortunately, Jia Lei immediately relieved him.
"Actually, although the outline of the acquisition between you and the BMW Group is good, it does not apply to us at Victor Blackstone, and if we want to reach an agreement between the two parties, I am afraid that the outline of the acquisition will be greatly changed. Jia Lei put down the outline of the BMW Group's acquisition case.
"Oh, what is the outline of the acquisition that we talked to the BMW Group that does not fit into your group's own situation?" asked Lord Sainsbury curiously.
"First of all, your request in this letter of intent for the BMW Group to invest nearly 2 billion pounds in the UK is completely unacceptable to us.
BMW Group and Rover Automobile Company need to make up for the losses of the British government because they have offended the island nation Honda Motor Company and major consortiums, but our company has not offended the Honda Group? Why should we bear this loss for the BMW Group?" Jia Lei asked.
"This is a condition put forward by the government, because Honda Group has put pressure on the government through the embassy to withdraw its investment, so someone has to fill this investment gap. Lord Sainsbury replied.
"If we can convince Honda to abandon the feud with the British government over the Rover Motors affair, the islanders will not withdraw their investments. So don't we have to pay this money?" asked Jia Lei.
"Hmm...... The loss caused by the withdrawal of the island consortium is far more than 2 billion pounds, and if you can really convince Honda and the island consortium behind him, you will not have to make the 2 billion pounds of follow-up investment. Lord Sainsbury thought for a moment and said.
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