Chapter 57: A Strong Sense of Crisis
Nakatani Akichi smiled bitterly: "This is not the key, the key is that Nippon Steel Corporation intends to acquire Nissin Steel Co., Ltd." "Nippon Steel is already Japan's largest steel group company, and Japan Iron and Steel Engineering Holding Company has opened a certain gap, if the merger with Japan Metal Industry Corporation after the Nissin Steel Co., Ltd. annexation, its position in the Japanese steel industry will be more stable, making Japan Steel Engineering Holding Company difficult to surpass.
Although the Japanese say that they are more united in their foreign affairs, they are definitely not monolithic, and the competition among their peers is also very fierce. The competition between Nippon Steel Engineering Holdings and Nippon Steel Corporation, which belong to different consortia, has also been going on for many years.
"Nippon Steel Corporation wants to acquire Nissin Steel Corporation?" Fang Mingyuan immediately sat up straight and asked in surprise, he really didn't hear any rumors about this matter. If Nippon Steel succeeds in acquiring Nissin Steel Co., Ltd., it will be self-evident that it will consolidate its position in the Japanese steel industry, and even in the international market, it may cause quite a stir.
However, when he thought about it, it seems that there is nothing strange about Nippon Steel's approach, forming alliances and coordinating operations with foreign countries, cross-shareholding internally, mergers and acquisitions, and reorganizations are the practices of Japanese companies, especially in times of crisis, Japanese companies have played a vital role in expanding their market share, enhancing their competitiveness, and ensuring their profitability, so as to successfully tide over the crisis. Now that the global economy is sluggish, Japan has not been spared, and the steel industry has naturally been affected, so it is not surprising that Nippon Steel will offer this tried and tested magic weapon.
However, Nippon Steel Co., Ltd. is the fifth largest steel company in Japan, and after the acquisition of Nippon Metal Industries, it may be able to jump to the fourth place.
"That's the key to what we find tricky." Nakatani said helplessly, "Nissin Steel Co., Ltd. has a cooperative relationship with Nippon Steel Corporation, and it is also the largest shareholder of Nissin Steel Co., Ltd., with a shareholding ratio of more than 8 percent, and the important shareholders of Nippon Steel Co., Ltd. and Nissin Steel Co., Ltd. overlap to a certain extent, if Nippon Steel Co., Ltd. is determined to acquire Nisshin Steel Co., Ltd., these are favorable conditions." ”
Fang Mingyuan nodded slowly, he was not impressed by the specific shareholder composition of the two major companies, especially Nissin Steel Co., Ltd., but Nakatani Mingichi must have done a detailed investigation.
Fang Mingyuan's brows furrowed slightly: "Isn't Nippon Steel Corporation and Sumitomo Metal Industry Co., Ltd. negotiating a merger now, and still have the energy to acquire Nissin Steel Co., Ltd.?" "Sumitomo Metal Industries, Ltd. is Japan's fourth-largest steel company, with operations spanning steel production, non-ferrous metals and other materials, trade and transportation, plant engineering, raw materials and fuels and power, and systems engineering.
"That's not difficult, it's just going through the program!" Nakatani snorted. The relationship between the Mitsui Foundation and the Sumitomo Foundation has always been good, and there are many mergers of their companies, and it is not surprising that there is a project between Nippon Steel Corporation and Sumitomo Metal Industries. So they didn't even bother to stop it, that is, to make a little stumbling block, so that the two companies would merge so smoothly.
"Even if Nippon Steel wants to acquire Nisshin Steel Co., Ltd., it will have to digest Sumitomo Metal Industries, I don't believe it has such a good appetite." Fang Mingyuan chuckled, "How can I get 2014 or 15." ”
Regarding Fang Mingyuan's judgment, Nakatani Mingichi also admitted that it was indeed reasonable, although Nippon Steel Company is the largest steel company in Japan, if it wants to swallow Sumitomo Metal Industry Co., Ltd. and Nissin Steel Co., Ltd. together, it will definitely have indigestion, and at that time, it will not be one plus one plus one greater than or equal to three, it is likely to be less than three. Nippon Steel would not have made such a low-level mistake.
"......" Nakatani was about to speak, but when he raised his eyes to see that Fang Mingyuan seemed to be thoughtful, he swallowed back the words on his lips.
Fang Mingyuan was indeed thinking about it, and when he learned that Nippon Steel was still fighting Nissinsteel Co., Ltd. while negotiating a merger with Sumitomo Metal Industry Co., Ltd., he couldn't help but have a strong sense of crisis. Compared with Japan, South Korea, these steel powers, the concentration of China's steel industry is too low, and the huge production capacity is scattered among hundreds of large and small enterprises, which has caused not many enterprises to be able to get their hands on.
Although purely from the perspective of production capacity, there are already a number of Huaxia iron and steel enterprises in the top ten of the world's steel industry, but once the profit margin, plus per capita steel output, plus export foreign exchange and other indicators, China's iron and steel enterprises can still stay on the list of only a handful. Nippon Steel Corporation and Japan Iron and Steel Engineering Holding Company are undoubtedly the top ten members of the list, but there is still a strong sense of crisis, and these domestic enterprises, over the years, the concentration is not rising but falling, in the field of high-end steel products, in the face of these opponents are almost powerless, but repeatedly because of the export of low-end products by developed countries punitive tariffs. If this situation continues for a long time, how can it compete with these multinational group companies in the global market in the future?
Although it is said that exports can earn foreign exchange, it can be said that Huaxia has now passed the period of urgent need for foreign exchange, and the huge foreign exchange reserves have become a major burden on the government. Moreover, this kind of reliance on ultra-low prices for earning foreign exchange through exports, not to mention how much it will attract the hatred of its peers, not to mention that it will attract anti-dumping sanctions from other countries, and the losses caused by environmental pollution alone in the future can be said to be far higher than the benefits that can be obtained by exporting foreign exchange. It's just that the benefits are obtained by enterprises, and the government gets taxes, but the control of environmental pollution has to be paid by the whole people.
"Alas......" Fang Mingyuan sighed lightly, although everyone understands the truth, but if you want to actually start doing something, you will find that there are too many difficulties and obstacles.
Nakatani Mingyi was a little confused, and he didn't know what sensitive topics he was talking about, which actually made Fang Mingyuan let out a long sigh full of helplessness.
"Mr. Nakatani, what kind of measures did you take to respond to Nippon Steel's actions?" Fang Mingyuan picked up the teapot in his hand and filled the teacup in front of Nakatani Mingyi, Nakatani Mingyi hurriedly raised his hands and bowed slightly. Although he is the chairman of Japan Iron and Steel Engineering Holding Company, Fang Mingyuan's net worth and social status have far surpassed him. For something like this, if Fang Mingyuan didn't want to come forward, it would not be rude for the chairman and general manager of Liaoning Iron and Steel Group Company to receive him. Now that he can meet Fang Mingyuan, he can talk to him, which has become his advantage.
After Fang Mingyuan put down the teapot, Zhong Gu Ming thanked him and then sat down and said: "If we can, we hope to be able to fully cooperate with Fang Jun's enterprises, including Liao Iron and Steel Group Company, and the two sides can cross-sharehold." ”
Fang Mingyuan was stunned for a moment, he is not unfamiliar with the term cross-shareholding, in today's business world, the phenomenon of cross-shareholding of enterprises is not uncommon, and most of the Korean chaebols rely on this way to operate a huge enterprise system with a small amount of capital. Even in China, the phenomenon of cross-shareholding is increasing. Although cross-shareholding has some beneficial aspects to capital, its side effects are also considerable, such as in the stock market, which often causes a domino effect, and for example, it can cause asset bubbles.
"How much do you plan to cross-share?" Fang Mingyuan asked with a smile, although the assets of the Japan Iron and Steel Engineering Holding Company are huge, the Liaoning Iron and Steel Group Company is not necessarily inferior to it now. The 12 percent stake in the Arcelokee Group held by the Liaoning Iron and Steel Group Company alone is a considerable asset.
"Within 10 percent!" Nakatani said with a wry smile, Japan Iron and Steel Engineering Holding Company is a listed company, and its shareholders are relatively scattered, and if it can hold 20% of the shares, it is already the largest shareholder, and 13% is the second largest shareholder. Liaoning Iron and Steel Group Co., Ltd. is not listed, and its shares are relatively concentrated, and only the Fang family and the Guo family have achieved control. Ten percent of the shares are the result of repeated discussions in the board of directors.
In fact, if it weren't for the fact that the shares were too small, Fang Mingyuan would not have looked down on them at all, and most of the directors would prefer to be able to limit the shareholding ratio to less than 5%. They just hope to be able to deal with Nippon Steel Corporation with the help of the popularity of Liaoning Iron and Steel Group Company and Fang Mingyuan, but they don't want Fang Mingyuan to be able to meddle in the affairs of Japan Iron and Steel Engineering Holding Company - 10% of the shares are already the third largest shareholder of Japan Iron and Steel Engineering Holding Company, plus Fang Mingyuan's influence in Japanese society, his abundant funds, his status and influence on the board of directors of Japan Iron and Steel Engineering Holding Company, can not be reflected by shares. Although it is said that it is not enough to be in power, if Fang Mingyuan does not cooperate, it will be really difficult for them to handle many things.
Of course, they think that doing this is actually beneficial to the Liaoning Iron and Steel Group Company, after all, from a number of professional fields, it is not a problem for the Japan Iron and Steel Engineering Holding Company to be the master of the Liaoning Iron and Steel Group Company.
Fang Mingyuan pondered silently, thinking about the pros and cons repeatedly, Nakatani Meiyi didn't expect him to make a decision quickly. Although it is said that the two sides do not need to use a large amount of money for the exchange of shares, but 10 percent of the shares, for the Japan Iron and Steel Engineering Holding Company and the Liaoning Iron and Steel Group Company, are the introduction of a heavyweight shareholder, although the Liaoning Iron and Steel Group Company can achieve control, but the opinions of other shareholders can not be completely ignored.
At this time, the two suddenly felt that their bodies were shaking, and the teapots and teacups on the table also made a crisp sound of collision, and the two glanced at each other, that is, they were sure that there was an earthquake, but the two did not panic. In the last century alone, there have been as many as 10 earthquakes in Japan that have killed more than 1,000 people, and the Great Kanto Earthquake has killed hundreds of thousands of Japanese people. On average, there are 1,000 earthquakes per year in Japan, and more than 40 earthquakes are felt in the Tokyo area every year. In order to cope with frequent earthquakes, houses in Japan are built with earthquake resistance in mind, and even the interior decoration must be fully considered for earthquake resistance.
Both of their assistants hurried over, surrounded them in the middle, and were ready to take them out of the house as soon as the situation was not good. However, everyone is not very nervous, and people who have lived in Japan for a long time have become numb to earthquakes, and they do not even have the desire to avoid ordinary small earthquakes.
The shaking continued, and many of the furnishings in the house shook as a result, making a crisp crashing sound, and some clutter fell off one after another due to the vibration.
"Fang Shao, let's go out!" Seeing that the chandelier in the house also shook significantly, Wu Xingguo couldn't help but say.
"Wait, wait!" Fang Mingyuan was still sitting there, holding a teacup in his hand and said, "Don't you think the shaking is weakening?" ”
"That could also be a preshock!" Wu Xingguo said loudly, "Go out first, if there is nothing to do, it's not too late to come in again." "If you are not afraid of 10,000, you are afraid of what happens, if you hurt Fang Mingyuan, it will be a big event.
Fang Mingyuan looked at Nakaya Mingyi, shrugged his shoulders and said, "Let's go out for a walk, how about it?" For his own villa, Fang Mingyuan is still relatively relieved. Not to mention that Japan's standards for earthquake-proof construction are very high, this house belonged to a royal family member in the Middle East, and it must have been built with great care. The children of the royal family in the Middle East are wealthy, and in a country like Japan, which has many earthquakes, they must be extra careful in the use of materials. In addition, it is far away from Sendai and Fukushima, and even if a major earthquake breaks out there early, the impact on this place should not be too great.
"Since Fang Jun is interested, of course I will accompany him." Nakatani said with a smile. He still admired Fang Mingyuan's composure. You must know that he is not Japanese after all, and such an obvious shock is easy to panic. He is calm because as a Japanese who is over half a hundred years old, he naturally has a lot of knowledge, and he has long stopped paying attention to it. And Fang Mingyuan, as a young man who has not been in Japan for a long time, can also have this calmness, which is very rare.