Chapter 1171 M&A Negotiations

……

"Mr. Liu wants to buy Daewoo Group?"

Hearing that Roh Moo-hyun finally got to the point, **** was shocked in his heart, and hurriedly cheered up and said: "Yes! I think that after you become the president of South Korea, the South Korean economy will continue to develop benignly." That's why I'm here to buy Daewoo Group and want to get the support of Mr. President!"

After nodding, Roh Moo-hyun said with a faint smile on his face: "Daewoo Group is the second largest company in South Korea, one of the world's top 500 companies, and a representative of the Korean business community...... South Korea is a democracy!"

I can't tell whether I refuse or agree, in the eyes of ****, it is a kind of bargaining chip before negotiation! Whether I can get the other party to agree to his acquisition depends on his next performance.

"Before the 98 financial crisis, Daewoo Group was indeed the representative and pride of the world's top 500 companies and Korean businesses. But now it is only insolvent, and it has more than 86 trillion won (about 800 won to 1 dollar) in debt, and its own assets are less than 25 trillion won, South Korea's largest failed company! Moreover, billions of dollars in profits must be used every year to repay bank loans. …… I don't think it's a good thing for South Korea that such a company stays in my hands, even if it once had glory!"

"Mr. Liu may be mistaken, the current Daewoo Group's debt has been reduced by half!" Roh Moo-hyun said.

"Mr. President. Even if it is reduced by half. That leaves $60 billion in debt. It is also a heavy burden for the South Korean government. Doesn't the donation of South Korean citizens and the more than $50 billion loan from the International Monetary Fund need to be replaced?"

The unceremonious words made Roh Moo-hyun's face gloomy.

But at this time, **** can't help it. If he doesn't pick out the facts, he will inevitably suffer losses later. In case Roh Moo-hyun's head is hot and he is ready to make him responsible for all the foreign debts incurred by Daewoo Group, then **** will definitely turn around and leave.

100 billion US dollars, after subtracting the total assets of Daewoo Group, there are still full 100 billion US dollars of liabilities left!

There is no such fool in the whole world. Will take the initiative to buy such a 'giant pit' enterprise!

In fact, the reason why Roh Moo-hyun looked gloomy at this moment was not because **** took the initiative to touch the scar of Daewoo Group. The person who can become the president of a country is not so narrow.

What really made Roh Moo-hyun angry was Kim Woo-jung, the original chairman of the Daewoo Group!

Originally, Daewoo Group's liabilities after the '98 financial crisis were only about $80 billion. But in the process of cleaning up his unimportant industries, Jin Yuzhong simply rolled up all the deposits of Daewoo Group and loans from dozens of banks and fled from South Korea after seeing that he was unable to return to the sky!

His escape not only took nearly $30 billion with him. It has made Daewoo Group a super mud pit with a debt of 120 billion US dollars!

The South Korean government, which was mad by Kim Woo-jung and his Daewoo clique, did not hesitate to issue a global arrest warrant for Kim Woo-jung himself, who had fled. Once a Korean hero. In an instant, it became a street rat that everyone shouted and beats.

But the banks don't care about that, $120 billion in debt. And so it fell on the head of the South Korean government. The South Korean economy, which has just recovered from the 98 economic crisis, has received another blow to the head!

In order to avoid the violent economic turmoil caused by the collapse of the Daewoo Group, the poor South Koreans, who had been tormented by the '98 financial crisis, had to pinch their noses and take a loan of nearly $60 billion from the International Monetary Fund to plug the hole left by the Daewoo Group.

Of course, the greed of international capital is unimaginable to ordinary people, just like the "Xinchou Treaty" signed by the Qing government in those years.4 The indemnity of 500 million taels of silver, after 39 years, becomes 9 after counting the principal and interest. 800 million taels, almost doubled!

And South Korea's loans from the International Monetary Fund are not much better than the Sincho Treaty.

In the world, there have always been few people who send charcoal in the snow, and there are many people who fall into the well. The international capitalists wielding knives and forks, especially the gluttons on Wall Street, will not be polite when they finally catch South Korea, which is known as the 'Asian Tigers'.

Moreover, the conditions attached to the loan are not just huge amounts of principal and interest, they are also attached to political and economic conditions. Politically, aside for the time being, economically, South Korea has opened its market to the West, especially the United States, in addition to its tariff autonomy.

Originally, in order to protect the domestic economic development, South Korea stipulated that foreign investors should not hold more than 30% of the shares of listed Korean enterprises, but now this clause does not exist at all!

Except for a few large enterprises that have a bearing on the stability and security of the country, there is still a rule that foreign investment shall not exceed 50%, and the rest have basically been liberalized!

And this is also the reason why South Korea was able to recover quickly after the 97 crisis.

Because too much foreign capital rushed in to pick up fat in response to the Korean crisis, the South Korean economy has re-prospered. But this kind of prosperity is not necessarily what South Korea wants to see.

But it can't be helped, the situation is stronger than people. Opening up markets, while painful, is much better than a government that goes out of business and a country experiences a sharp downturn or even a recession.

After that, although the loan of nearly 60 billion US dollars saved South Korea for a while, when the principal and interest are repaid in the future, it will no longer be 60 billion yuan, but a huge amount of hundreds of billions of dollars.

If you add the remaining $60 billion from Daewoo, that's nearly $160 billion in super debt.

160 billion US dollars, plus the profits and profits, South Korea will not want to pay it off for decades!

However, although the financial gluttons of the International Monetary Fund were prepared to eat meat and drink soup, they did not expect South Korea correctly. Just like Steven Rockefeller once said to ****.

Westerners understand Westerners, but they have never been able to immediately develop the spiritual core and behavioral habits of Orientals.

At the call of the government, more than two million South Koreans consciously took out their own dollars and gold and silver jewelry from China to save the country. Although they took out less than $2 billion, they woke up almost all South Koreans.

The solidarity of the South Koreans, coupled with the revival of many enterprises after being acquired by foreign capital, also allowed the originally well-established South Korean economy to quickly get out of the trough, and the rapid development of the economy gave them more confidence to repay the foreign debts they owed.

But this does not mean forgiveness, and now the most hated by everyone in the South Korean government will always be Kim Woo-jung. He has saddled South Korea with an almost unbearable foreign debt.

almost made South Korea completely sink in the 98 financial crisis!

"Whew......!"

After taking a long breath, Roh Moo-hyun's face also recovered, looked at the **** sitting beside him, and said in a deep voice: "I can allow you, and even help you acquire Daewoo Group." But all the debts of the Daewoo Group will also be borne by you, and the South Korean government will no longer bear any of it!"

In recent years, the South Korean government has been tormented by the bad debts left by the Daewoo Group ********.

The bank that comes to collect money every day, and the Daewoo employees who march because of their unemployment, this kind of life is long enough for Roh Moo-hyun.

Moreover, after selling the Daewoo Group and repaying tens of billions of dollars in foreign debts, without these capitalists who lie on South Korea's body and suck blood, South Korea's economy will develop even faster. Therefore, he agreed to ****'s acquisition application.

"Mr. President, Daewoo Group still has nearly $63 billion in foreign debt, while Daewoo Group's total capital is only $28 billion. Let's take on $35 billion in debt while acquiring Daewoo Group, isn't it too much!" **** said seriously.

The two reached an agreement on whether Daewoo Group should be sold, so it was natural that they should bargain next.

"So what does Mr. Yoo think is the right price?" Roh Moo-hyun asked rhetorically.

"$40 billion, this price is very reasonable, and it also protects the interests of the South Korean side!" **** said after thinking for a while.

"$40 billion, hehe, if Daewoo Group can really sell at this price, I'm afraid it won't stay until today, let alone have Mr. Liu sit here and chat with me!" Roh Moo-hyun shook his head.

Even today, the Daewoo Group has slipped from its initial peak, with 29 series companies, more than 30 foreign branches, and the 43rd place in the world's top 500 companies, with a total value of more than $65 billion. But its core and highest-value 12 branches have been retained.

And if you can't pay a price that you can't refuse, how can you sell your country's second largest industrial group to a foreigner with the character of a Korean?

"And how much does Mr. President think is appropriate?" **** asked instead.

"$63 billion, half of the cash will be paid immediately after the contract is signed, and the rest will allow Daewoo Group to pay off over twenty years, but interest must be paid!"

"That's impossible! $63 billion, almost double the current market value of Daewoo Group. Even if it is a premium acquisition, no consortium in the world will come up with so much money!" **** immediately shook his head.

Just kidding, he's here to talk about acquisitions, but he's not here to be the boss!

"No, Japan's Fuji Foundation, General Motors and Ford Motor in the United States, Germany's Volkswagen Group, and South Korea's Doosan Group and Hyundai Group have all submitted acquisition applications to the Ministry of Industry ......!"

"But they only have a crush on a part of the Daewoo Group, not all of them!, and they won't bear twice the purchase price!" **** interrupted.

"But it at least proves that Daewoo is not short of buyers! And even if a takeover agreement cannot be reached in the end, it is not unacceptable for Daewoo to be managed by the government!" Roh Moo-hyun said. (To be continued.) )

PS: Thank you for the support of each of the two monthly passes of the book friend 'Jealousy Teaching' and 'qingha2000', as well as the reward support of the book friend 'Baby Panda' and 'lujun1968', thank you very much!