Chapter 986: A New Starting Point, a New Atmosphere

No matter how lively the topic is, there is a time in the past.

After a few days of commotion, the news about Li Dong finally faded away.

These days, Li Dong is also overwhelmed.

Wherever he went, people looked at him more and talked about him a few times.

In the end, Li Dong had to reduce the number of appearances.

Fortunately, Huaxia is so big, and there are many things happening every day, so everyone will not focus on him.

With the Olympic Games approaching, as the deposit reserve ratio was raised again and the stock market plummeted, everyone's attention gradually shifted.

The richest man, no matter how much money he has, it belongs to others.

The stock market plummeted, and that was their own money.

On the one hand, there is the joy of the upcoming Olympic Games, and on the other hand, the bleakness of the stock market plummeting. This June, Chinese people are in the middle of ice and fire.

The hot summer can't warm the coldness in the hearts of stockholders.

...

As the stock market plunged again, the housing market, whose previous decline weakened, entered another cold winter.

On June 14, Li Dong's personal wealth was still 72 billion.

By June 20th, within a week, Li Dong's wealth had shrunk by 1 billion.

The land under Dongyu Real Estate has also entered a shrinking period following this round of real estate winter.

Li Dong's side has shrunk, and the others are not much better.

The wealth of major real estate developers has also shrunk further, and the first-hand housing market and land transaction market are both depressed.

What followed was a wave of store closures.

It is not the real estate company that is concerned, but the intermediary company. The first-hand housing market is not good, let alone the second-hand housing market.

According to relevant statistics, in the Shanghai stock market alone, there were 16,000 intermediary stores in the first two years.

Fortunately, Li Dong doesn't rely on these lands for a living. The real estate market is bleak, but the retail market has not been greatly affected.

Some experts say that the impact of the financial crisis on the retail industry will be delayed for half a year.

In other words, the retail industry is not affected now, not because the retail industry is strong, but because the crisis is delayed.

Some people take this seriously, while others don't.

Li Dong is the kind who doesn't care. He doesn't care much about what these experts say.

At this moment, even Carrefour is a little scared, for fear that Li Dong will no longer take over Carrefour all at once.

Among companies such as China Resources and Bailian, some people also revealed to the media that Yuanfang's acquisition is not rational.

When the financial crisis hit the Chinese market, it was obviously not a good choice for Li Dong to spend more than 10 billion to acquire Carrefour.

Even if you want to expand the retail market, you can wait and see.

Someone said, "Li Dong is swollen!"

The title of the richest man and the number one supermarket made Li Dong forget about it.

It is more cost-effective to use more than 10 billion yuan of funds to eat interest at this time than to acquire Carrefour.

Not one person said that, but many people said that.

...

Li Dong didn't care about the doubts from the outside world.

Chen Lang continued to speed up the progress of negotiations with Carrefour. Under the premise that the financial crisis is intensifying, Carrefour is now very cooperative.

On June 21, the two sides conducted the last round of negotiations.

The negotiation mainly determines several general direction issues. First, how much is the M&A fund and how to pay it?

Second, how Carrefour will carry out the handover, and whether the executives will stay or not.

Third, who will bear the expenses when the store is closed for renovation when it expires?

Fourth, will the Carrefour brand be retained for a period of time before changing the house number, or will a nationwide brand change be carried out quickly after the agreement is reached?

Fifth, and the most important one relative to the retail industry, background integration.

Background integration, which involves a wide range, the integration of the membership systems of both parties, the integration of commodity procurement and sales systems, and the integration of supplier systems... can all be attributed to the category of background integration.

This is the foundation of a retail enterprise and the core of Carrefour's value of more than 10 billion yuan.

Otherwise, it is just a store, without retaining the brand management,

Tens of billions of funds are a bit too much.

Carrefour has a mature operating system. It has been rooted in China for 13 years and has a solid foundation. It is far from being replaced by signing dozens of joint ventures here.

Just this point, the two sides still have to talk about it.

The general direction has been settled, and then we can discuss in detail.

This is also one of the reasons why Li Dong said in front of the media that he had to wait until July to announce it, not only to expand the influence of the supplier conference, but also because of time.

...

On the night of the 21st.

Chen Lang, who had been talking with Carrefour for a whole day, called Li Dong.

At this time, Li Dong was having dinner.

As soon as he saw the incoming call, Li Dong hurriedly put down his bowl and chopsticks, walked to the side and answered the phone.

As soon as the phone call was made, Chen Lang said wearily, "Mr. Li, we have basically reached an agreement."

"good!"

Li Dong was overjoyed. Although he knew that Chen Lang was very tired at this time, Li Dong still asked, "Tell me about the content of the agreement, just a little bit."

Chen Lang was also ready to report, and immediately said after hearing the words: "I have someone fax the specific content of the agreement to the headquarters.

But let me tell you a little about it first, so I can get ready.

First, there is the issue of funding.

The acquisition funds, after several rounds of negotiations, were finally determined at 11.4 billion.

According to your opinion, we have reached an agreement with Carrefour to pay in cash in four installments.

For the first phase of funds, the down payment ratio is not less than 30%, and it must be in place within one month after the agreement is formally signed.

And the next three installments, starting next year, will be paid every six months, and will be paid in full within one and a half years.

That is, before July 2010, all payments must be settled. "

Li Dong pondered for a moment and said: "This is not a big problem, you can continue."

According to the opinion of the far side, it is best to pay off the balance within three years.

Generally, three years is not a long time for such a large-scale merger and acquisition, and it is also very common.

But Carrefour was obviously unwilling, and Li Dong didn't force it.

One and a half years, plus this year, it will actually be two years, and the difference is not big. Li Dong feels that the pressure on him to repay in installments within two years is okay.

"Second, the issue of senior management.

The agreement we signed with Carrefour is that in the next six months, people from far away will be sent to take over one after another, and the original Carrefour executives must complete the handover before they can leave.

All the benefits during this period will be borne by Carrefour. In addition, if the handover is not smooth, we have the right to ask for an extension. "

When it comes to management issues, Li Dong thought for a while and said: "You understand this point even if I don't say it, it's not easy, or it's very difficult.

In half a year, it was difficult to hand over more than 100 Carrefour stores and the entire backstage system.

Although I have set a goal for you, you still have to be steady. At this moment, there must be no mistakes, otherwise the resource integration of the entire Carrefour system will be delayed and the loss will be even greater. "

Chen Lang said in a deep voice: "I understand this, President Li can rest assured."

Speaking of which, Chen Lang continued: "Third, about the closure of the store after renovation..."

Some of Carrefour’s and Yuanfang’s stores overlap, and some of the leases are due to expire. Whether to renew or close the lease is also a problem.

At this point, Yuanfang can't say that he will suffer or not, and he has already made such preparations.

Carrefour has already considered these issues when it is packaged and sold, and the sharp price drop in the appraised value is also related to this.

Otherwise, it would be almost impossible for 11.4 billion to discuss this cooperation.

Just think about Trust-Mart. In 2006, Trust-Mart’s revenue was only half of that of Carrefour, but the acquisition price was as high as US$1 billion. Converted to RMB, it was nearly RMB 8 billion at the exchange rate at that time.

Of course, it is not ruled out that the quotations of both parties are inflated.

This is also the norm in the industry. Of course, the M&A price should be higher, which can enhance the value of the enterprise.

It's not uncommon for 5 billion to be blown into 10 billion. There are real quotations, but they are rare.

Even if it is a bit too high, according to the style of foreign capital, the actual quotation will not be lower than 7 billion.

Carrefour is twice the size of the other party. The 14 billion is actually just a guarantee. The value of the enterprise is not just calculated in this way. When the scale is doubled, the value is generally not as simple as 1+1.

If it hadn't been boycotted, if it hadn't been exposed to the poisoned milk powder incident, if it hadn't been suppressed and poached from afar, if it hadn't been financial crisis...

Well, for various reasons, Carrefour was packaged and sold to Yuanfang at a price of 11.4 billion.

In 2007, the value of Carrefour's China business would probably not be less than 15 billion. Sometimes business competition is so cruel.

A few small accidents caused Carrefour's value to drop by 4 billion after half a year, which is probably something that Carrefour did not think about last year.

Taking such a huge advantage, Yuanfang will of course have to pay some, some stores will be closed for renovation, and the lease renewal will have to be resolved by Yuanfang itself.

...

Li Dong and Chen Lang talked for nearly an hour.

Originally, they said to report briefly, but then both of them forgot about it.

Until Shen Qian came over and reminded: "The food is cold, and the work can be handled at any time, there is no need to rush."

Li Dong came to his senses at this time, and said to the phone: "Alright, let's do this first, let's talk about it later.

If you are free in the near future, you should come back. When the agreement is formally signed, I should come over. "

"good."

"..."

After the two talked a few words, Li Dong hung up the phone and said in a good mood: "The negotiation is over."

"I expected it."

Shen Qian was not surprised and said: "If the negotiation didn't work out, you wouldn't have talked until now."

Li Dong laughed, went to the dining table and picked up the bowls and chopsticks to continue eating, Shen Qian grabbed the bowls and chopsticks and said to the nanny: "Aunt Zhang, serve Mr. Li another bowl of rice, and serve the hot dishes just now. "

The nanny hurried into the kitchen, and Li Dong said while waiting: "11.4 billion, the price is still within my expected range. After the acquisition of Carrefour this time, Yuanfang's layout in the four major regions of East China, South China, Central China, and North China has almost been officially completed. up.

Combining the original system of Yuanfang Supermarket, and the business development in the four major provinces of Guangdong, Fujian, Hunan, and Hebei mentioned last time, most of China, no, China's economic center is in my pocket! "

At this moment, Li Dong looked very high-spirited, and he had reason to be proud.

In 4 years, the layout of most of the Huaxia region has been completed, and the retail hegemony, isn't it something to be proud of?

Although rebirth has helped him a lot, it doesn't mean that rebirth is omnipotent.

If you can't seize the opportunity, rebirth is useless.

Over the years, Li Dong has seized many opportunities.

Whether it was defeating Suguo, or merging Carrefour, including taking over Kelong in Jiangbei, those opportunities were fleeting.

If you can't catch them, you're missing out on these opportunities.

And Li Dong caught them all, and only then did Yuanfang Supermarket become today's retail overlord.

Seeing the smug expression on his face, Shen Qian chuckled lightly and said, "I see, you're good.

But don't forget, there are three major regions: southwest, northwest, and northeast. "

Whether it is Carrefour or Yuanfang, there are not many layouts for these three major regions, which is also impossible.

These three areas are economically underdeveloped areas, where investment and output are not directly proportional.

Before taking down the coastal areas of the Central Plains, most companies are unwilling to expand there on a large scale.

Now the development there is relatively good, that is, the market share of Dashang Group is good, and other retail companies are scattered and unsystematic.

Hearing Shen Qian mention this, Li Dong said helplessly: "That's right, but the three big pieces can only wait.

Besides, we now have a lot of layouts in mountain cities. Looking back, we will focus on mountain cities and Sichuan and Shu, and the southwest region is not difficult.

The most important thing is the Northeast and Northwest. The Northeast is better, but the Northwest is not so difficult to grow. "

Seeing that Li Dong was lost in thought again, Shen Qian urged with a helpless face, "Okay, I shouldn't mention this.

You eat first, then talk, and talk slowly after eating, really, you can’t stop eating a meal. "

Li Dong laughed, took the bowl and chopsticks, and ate voraciously.

...

On June 23, Li Dong went to Hubei Province to discuss expanding cooperation with Zhongbai.

The cooperation between Yuanfang and Zhongbai started as early as 2006.

At that time, Hubei Province hoped to facilitate the merger of Zhongbai, Zhongshang, and Ewushang. Wang Aiqun, the chairman of Zhongbai, was unwilling to give up his position and went to the capital to find connections.

It was that time that Li Dong and Wang Aiqun had a basis for cooperation.

After that, Li Dong decided to expand to Hubei Province, and Zhongbai provided a lot of convenience, but as Yuanfang gradually grew bigger, the previous cooperative relationship has gradually changed now.

Although Zhongbai is now joining forces with Yuanfang, it squeezes the living space of Zhongshang and Ewushang.

But Hubei Province is gradually being dominated by distant places.

Up to now, although Zhongbai understands that the tactic of repelling wolves and tigers has been used too far, there is no way to turn back, so he has to bite the bullet and continue to cooperate with Yuanfang.

When Li Dong went to Hubei, the Governor of Hubei Province personally received Li Dong.

With the rise of his status, people began to pay attention to Li Dong's every move. In the past, he was usually received by the local deputy, but now he is directly dispatched to his full-time job.

That night, the local news in Hubei Province reported that the governor and the chairman of Yuanfang Li Dong had a good talk. The two sides reached a number of agreements. The next step is Yuanfang will expand investment in Hubei Province...

On the 23rd, after meeting with the dignitaries of Hubei Province, on the 24th, Li Dong rushed to the adjacent southern Hunan without stopping.

In the evening, Li Dong met with the Governor of Shonan, and the two sides reached a memorandum of strategic cooperation on the next step of Yuanfang Group's development in Shonan...

Until now, Li Dong gradually got rid of the restriction of age, and was no longer a junior in the eyes of everyone.

He is the helm of the 100 billion group, the richest man in China, and at the age of 23, what he brings is no longer underestimation, but greater attention. For more exciting novels from rw, welcome to visit our reading institute