534 Great return on investment in Chrysler
Disney's current affairs, in fact, are the three upcoming films, as for other businesses, such as parks, toy peripheral business, TV business, etc., that is, in a state of normal development, after Chen Zhiwen acquired Disney, allocated 200 million US dollars to Disney, part of which was used to maintain the park, expand the surrounding and other businesses, but this amount of funds is still not enough, and it is only maintained at present, under the leadership of Eisner, these businesses have rebounded, but they want to change qualitatively, One is that it will take time, and the other is that it will require a larger amount of funding.
This can only wait until the film business has achieved results, once it is successful, it is not only the income of the animated film itself, but the increase in confidence, if the subsequent films continue to be successful, then you can easily borrow more funds from the bank, so as to develop various businesses.
At least for now, anime movies are the most important in the Disney system, and as for Marvel's acquisition, it is also important, but mainly for the future.
After discussing with Eisner some issues about Disney's business development, financial situation, and personnel, Chen Zhiwen left Disney.
The biggest advantage of being a hands-off boss is that you don't need to ask too much, you just need to know the direction of development.
The next day, July 8, in a Starbucks café in Silicon Valley, Los Angeles, Chen Zhiwen took Liu Xiaoli here to meet an old friend.
"Eric, your girlfriend is beautiful." After Henry Morgan saw Chen Zhiwen and the two sitting by the window, he walked over with a smile and said after sitting down.
"I've heard that you've been married four times." Chen Zhiwen laughed and said, it is too common for wealthy people in Europe and the United States to get married many times, even if they are original couples who share weal and woe, after they have money, they will change their minds, and then they will start the "wave" mode.
"I've met true love." Henry said with a smile.
"Your true love is a bit much." Chen Zhiwen said with a light smile, this group of Europeans and Americans is a bit weird, it doesn't matter if the rich have fun, but they will get married again, and then they will leave after two years, and they will have to pay a large amount of alimony, and then continue, even if it is weekly.
Of course, there is a legal guarantee here, that is, divorce after marriage, it is impossible for those women to divide half of their assets, although the law has provisions in this regard, but it is not difficult for rich people to bypass it, they only need to pay alimony appropriately.
"The coffee here doesn't feel very good." Henry said after taking a sip of his coffee.
"Civilian coffee, you can't expect it to be the same as what you drink every day." Chen Zhiwen said with a light smile.
"Also, this Starbucks has grown really fast in the last year or two, so it's no wonder you invested in this company in the first place." Henry said.
"In this world, except for a few goods, most of them are the most profitable and largest in terms of civilian consumption." Chen Zhiwen smiled and said.
As early as 2 years ago, Chen Zhiwen remembered Starbucks, the future coffee giant, by chance, so he asked Morgan Stanley, the company behind Henry Morgan, to investigate the company and then take a stake.
At that time, or even today, the scale of Starbucks is not very large, and it is an ordinary industry, in the face of the requirements of large capital shares, as long as the money is in place, it is not a problem at all, under the temptation of appropriate funds and some low-interest loans, Chen Zhiwen got 25% of Starbucks shares.
However, in this process, he did not come forward, for such a small company, it is a bit strange for him to come in person, just like the future Alibaba wants to invest in a small company with millions of dollars, and then Ma Yun comes to talk in person.
"That's the truth, most industries are making a little bit of everyone's money." Henry smiled and said, "For example, Eric's Costco supermarket has become one of the largest supermarkets in the United States in less than ten years, which is incredible!"
Eric, your vision is too powerful, Wal-Mart has also become the most potential retail company, I knew that I also invested a little bit at the beginning, are there any good companies that I can invest in? ”
"Yes, currently in the United States, I mainly invest in Nike, Coca-Cola, Pepsi, General Electric, Chrysler Automotive Group, these in addition to Chrysler, you can invest, there are some other investments that are not listed, it is useless to tell you." Chen Zhiwen said indifferently.
These companies are his pure investment projects in the United States, except for Nike, others can be said to be just for economic gains, there is no other big purpose, and if someone really wants to check, they can also be found, it doesn't matter if you tell others, others will increase their capital and invest, which will only increase the value of their own stocks, and it will be beneficial to themselves.
"Chrysler? Why can't you invest because you've reached your limit? Henry asked.
"It can be said that Chrysler has indeed turned over in recent years, but the upper limit of the future is still limited, in the future, it can't fight General Motors, Ford is not easy to deal with, externally, Toyota Honda is about to produce cars in the United States, the entire American auto industry will be impacted, and the American auto union will definitely try to take advantage of the American car brand, so the future is worrying, and it is very good to maintain the current state." Chen Zhiwen explained.
4 years ago, that is, in 1980, relying on a large amount of money made on gold futures, Chen Zhiwen acquired AMC automobiles and officially entered the automotive industry, and in order to help the development of AMC automobiles, in that year, he acquired Chrysler, one of the three giants of American automobiles, through the means of financial capital, 330 dealerships in the United States, and then purchased thousands of patents on automotive technology. Knowing that he could save Chrysler in the future, Chen Zhiwen also invested an additional $300 million and became Chrysler's largest individual shareholder.
As he knew, Lee Iacocca was very capable, and with the fall in oil prices and declining inflation in the United States, Chrysler finally returned to the top, with a net profit of $700 million last year and a nearly four-fold increase in stock price. This year's trend is still very good, and the $1.5 billion borrowed from the U.S. government has been repaid in advance, which is a major event that shocks the corporate community in the United States, and Li Iacocca has also been pushed to the altar of the management industry by all business schools, and the stock price is estimated to rise a little more.
After Chen Zhiwen cashes out these stocks, it is estimated that he will be able to net more than $1 billion even after deducting various taxes. Relying on this income, if you invest in AMC again, you can be regarded as able to stabilize the enterprise industry you invest in, otherwise it is still a little reluctant to let him take money from other places, after all, in the short term, AMC's return is not comparable to other industries.
"Which model called MPV launched by Chrysler this year is really good, I bought one, and it is really convenient for business reception." Henry said with a smile.
"Yes, the MPV model is the first in the world, and I have to say that Riaicocca is really powerful." Chen Zhiwen nodded and said.
Business MPV, did not exist before the 80s, it is said that this is the idea that Li Iacocca had during his tenure at Ford, but it has not been implemented, because it has been suppressed too hard by the people above, that is, the second generation of Ford, after all, the development of a completely new category of models, in the eyes of the Ford family at that time, the risk is too great, but this is not wrong, the rich generations of the family, to be able to keep the wealth, in fact, it is to rely on the conservative, really more radical family, can not go far, the ability of the rich second and third generations, basically is insufficient.
After arriving at Chrysler, the whole company was in financial difficulties at first. Iacocca relied on his amazing ability to find various investors, and persuaded Congress to get a $1.5 billion loan, so he had R&D capital, which became an instant hit at the beginning of this year.
It has to be said that when Chrysler was about to go bankrupt a few years ago, Iacocca still insisted on spending a lot of money to develop new models, which is also an operation that ordinary people dare not do.
Chen Zhiwen actually knew about MPV, but AMC did not have this R&D capability at that time, so instead of tossing so much, it was better to return the opportunity to Chrysler and make a profit by buying stocks.
However, the Wuling Shenche in the mainland should also be regarded as an MPV, but it is mainly used to transport goods.
"Okay, then I'll go buy some Coca-Cola and Nike stocks." Henry Morgan smiled and asked again, "I heard that Costco is ready to go public?" ”
"Do you want to buy Costco stocks too? The last time you raised money, you also bought a 0.5% share, right? Chen Zhiwen said with a light smile.
In the last financing, Chen Zhiwen still gave a little opportunity to the Morgan consortium, a total of about 3%, and Henry Morgan got 0.5% by relying on his relationship with Chen Zhiwen, and he is now considered to have real power in the family, after all, he holds the NBC TV station, and the President of the United States has to give him three aspects.
"No one can think that Costco has too many shares, and everyone can see the potential of Costco in the future." Henry Morgan said with a smile.
Even if it is Wal-Mart, although there are many people optimistic, but the future will not be suppressed by the traditional retail giant Celtic, no one knows, after all, in the business model are almost the same, at most in terms of management, there is a big difference, Wal-Mart's management is obviously stronger, but this is not absolutely invincible, if Celtic suddenly invites a strong management, it is also possible to further succeed, these two are competing for the same type of market.
But Costco is different, although it is also retail, but the unique membership model staggered competition with other brands, and even only Costco grabbed the share of other supermarkets, and it is almost impossible for other supermarkets to do the opposite, because after normal people get Costco's membership card, at least large purchases will definitely go to cheaper Costco.
Over the years, Celtic, Wal-Mart, and Sears have also tried similar Costco member supermarkets, but the effect is very poor, and Wal-Mart has persevered, but Wal-Mart's own business is also expanding rapidly, requiring a lot of financial resources.
"You're not here just to be a shareholder of Costco, are you?" Chen Zhiwen smiled and said.
"Yes, it's someone from our family, and I want to ask you about Costco's next financing and listing plan, and you also know that Morgan Stanley must want to undertake such a big listing plan." Henry Morgan said formally.
"It's still early to go public, it's too early to say this, and I can't settle it now, at least until after this financing." Chen Zhiwen said.
"Also, what are your requirements for investors in this financing?" Henry asked.
For a Costco that is growing so smoothly and is not short of funds, its financing cannot be for money, it will certainly be a variety of requirements.
"I don't need the requirements of the industry itself, what I need is the support of ZZ to ensure that Costco can continue to grow, and when it reaches the Celtic level or even higher, the White House and a bunch of lawmakers in the United States will not trouble us, or even if they are targeted, they have the ability to solve this matter." Chen Zhiwen said.
(End of chapter)