For the acquisition of Lingfeng factory, Duke's MI company can't hold it and SAL company supports it, after all, in terms of scale, Lingfeng is just a small pit, and SAL has enough strength to hold it. But if you buy a big man and you can't even hold SAL, there will be no bigger one to hold up in front of you.

Cai Siqiang mentioned this causal relationship lightly, and Dong Feng and Zhao Jianwu understood.

And in this part of Europe, it is not easy for a company to go bankrupt even if it can't be done, and it is also a very expensive thing to bankrupt a company in Europe, so many workers' compensation is not a decimal number, don't think about walking if you don't solve these, otherwise you will wait for endless lawsuits, unless you are already alone and have nothing, others really can't help you, if you still have a family and a business, you will never stop if you don't go bankrupt.

In addition, Zhao Jianwu also had problems in calculating the total capital requirements for the acquisition, and he thought that the acquisition was too simple, thinking that a listed company with a market value of 500 million or 600 million US dollars could be bought directly for such a small amount of money, but in fact, in most cases, it was impossible to buy it for such a small amount of money.

A takeover plan triggers a premium that is most important to shareholders.

If the acquisition plan is initiated, the stock price will definitely rise after the news is revealed, and the relevant acquisition information must be announced in advance, so that public stock holders can decide whether to hold or sell according to the tender offer. In this case, the average investor must be reluctant to sell when they see the tender offer, so it is difficult to acquire the shares at a flat price.

The foreign stock market is different from the domestic one, and it is difficult to work in the dark box operation abroad, and if the purchase is secretly hoarded before the news is announced, the feasibility is also very low, because of the transparent information disclosure mechanism, shareholders can obtain the transaction information of the stock, so that once there is any change in a stock, it will soon be discovered.

It is precisely because it is so difficult to buy shares from the public that mergers and acquisitions rarely choose to start with the small shareholders of the public, but directly negotiate the merger plan with the major shareholders, and if the major shareholders are in a hurry to get rid of them, it is very likely that the stock will trade below the market price. That is, the major shareholders cash out at a discount.

But this is usually rare, and only companies with very serious problems and little prospects will trade at a discount. Normally, the tender offer is a premium, and a company with a small market capitalization like TOMTOM usually has a high premium for this tender offer, and according to general estimates, Cai Siqiang thinks that it will be good to be able to acquire 50 or 60 percent of the shares for 500 million or 600 million US dollars.

For this kind of small-capitalization company, doubling the premium of the acquisition is not too much of a problem, you must know that Google's acquisition of such a large company as Motorola Mobility, the purchase price is as high as 63% premium compared to the closing price of Motorola Mobility's shares, so there is no doubt that the total transaction price is expected to exceed $500 million to win a controlling stake in TOMTOM.

If the acquisition is to be forcefully implemented, this short-term financing loan will definitely be more than half, that is to say, the loan is about 300 million US dollars, although in the current situation of SAL, it is not a big problem to obtain this short-term acquisition bridge loan.

But once this loan is taken, SAL will be burdened with tens of millions of dollars in monthly loan repayments, and such a high debt makes Cai Siqiang feel really terrifying.

Don't look at SAL's revenue next year is almost a billion dollars, but this is an estimate, not real cash. Once the acquisition is launched, not only the company's existing funds will be invested, but also the intermediate bridge loan through the use of leveraged buyouts will have to be invested, which is equivalent to betting the entire family into it.

In this way, the company's cash flow at the end of this year and early next year is very dangerous, because the company's real money is all invested in acquisitions, and it has to bear heavy debt repayment every month, not to mention the sharp increase in expenses after the spread of the stall.

This terrible outcome is not impossible, but the probability of it happening is very large, after all, market changes are too difficult to predict, and a good product may not be marketable. SAL now has a more certain income, which is SALA's advertising revenue in both Chinese and English, with the Chinese version of about 20 million yuan per month and the English version of about 50 million US dollars per month.

Other income uncertainties are stronger.

So Cai Siqiang does not agree with such a risky and radical approach. After all, the current momentum of SAL is very good, and if it were to be ruined by the implementation of this radical plan, everyone here would be saddened. So even if there is a one percent chance of failure, Cai Siqiang will not allow it to happen.

Cai Siqiang spread out the causes and consequences of this risk, Dong Feng and Zhao Jianwu understood, and after listening to it, they also fell silent. Indeed, relying solely on SAL's own funds and financing to make this acquisition is indeed not ordinarily risky.

This is simply a snake swallowing an elephant. SAL, who is still very thin now, actually wants to annex a veteran company that has been established for more than 20 years, and this imagination is a little too rich.

"Since our company can't take it by itself, I don't think it's as good as this, we might as well acquire it through financing, anyway, now the venture capitalists are chasing us to invest money, but in this way, we have to admit this financing cost." Dong Feng thought for a while and said.

To be honest, if there is still a way to think that no one here is willing to open this opening, although the valuation of SAL company's financing has reached as much as 10 billion US dollars, everyone's vision and appetite are completely different now. Therefore, no one will be satisfied with this price. Because according to the current momentum, after surviving next year, the revenue will exceed one billion US dollars, and SAL will definitely not be at this price.

Venture capital companies have a certain method for valuing the invested enterprises, one of the simplest usual algorithms is the company value = predicted P/E ratio × the company's profit in the next 12 months, according to this method, SAL belongs to the software industry, the P/E ratio of this industry is roughly about 30 times, and the expected profit this year is about 300 million US dollars, then the basic valuation of SAL = 30×3 = 9 billion US dollars.

Of course, start-ups generally can't get the average price-earnings ratio of the industry, and usually have to give a discount, but due to the rapid development of SAL and unique technology, although this valuation is still high, venture capitalists still recognize it.

(Today's two more, there are still in the evening, ask for collection)