Chapter 869 Listen to others and eat enough
Vivendi Global’s market value at its peak was as high as 102.8 billion euros.
“After all, Veolia Environnement has been separated. If this business is still retained, Vivendi’s market value will not drop so much.” Huo Yan said.
Xu Liang nodded slightly.
“One more thing, Vivendi seems to regret selling its game business. During this period, it has been in contact with Ubisoft and wants to acquire it. However, people at Ubisoft seem to be dissatisfied with Vivendi’s Mergers and acquisitions are not a big deal.”
"It seems that the revenue from "World of Warcraft" is quite greedy." Xu Liang said with a smile.
“If it were me, looking at the business I sold and making more than one billion dollars every year, I would have regretted it to death. It is natural to want to save it.
However, Vivendi has a solid foundation in the pan-entertainment industry. If they can really learn from their mistakes and get serious about the game business, they have a high chance of success."
"You also said it. , The premise is to learn a lesson. I don’t think these guys will learn a lesson.”
Why did Vivendi sell Blizzard?
Isn’t there something wrong with internal operations and money is needed to cover debts?
And Vivendi’s business itself also has problems.
Canal+ Group, known as Europe's largest pay cable TV station.
But it’s already 4204, how many people are still watching TV?
The Internet is king.
The value of television networks will continue to decline with the continuous development of Internet media.
Fortunately, in addition to the TV network, it has also annexed EMI's Canal+ Group, and it is also the second largest film and television manufacturer in Europe.
But what Xu Liang values more is its rich copyright library.
In the long term, Canal+ Group’s assets are not of high quality.
Havas News Agency.
A world-renowned publisher of publishing, journalism and multimedia.
It owns 60 publishing houses and 80 newspapers and publications, with annual sales of 80 million books, 5 million newspapers and magazines, and 40 million multimedia CDs.
This is destined to be a negative asset that rapidly depreciates.
The development of the Internet is the death knell for publishing groups.
Even the most prestigious top media outlets such as The New York Times and The Wall Street Journal can’t live any longer.
Media groups like Havas News Agency are naturally not much better.
Vivendi Telecom.
Vivendi Telecom is divided into three businesses.
One is Cegtel, a French private telecommunications operating company, the other is Vivendi International Telecom, and the last is a 15.7% stake in Telecom Italia.
The first two are controlled by Vivendi, but they are not large in scale. Their combined total revenue is only 8.7 billion US dollars. Compared with France Telecom, Deutsche Telekom, and Vodafone, these can easily reach tens of billions, or even Telecommunications giants with hundreds of billions of dollars in revenue cannot compare.
Finally, there is Vivendi Network.
To put it bluntly, it is a portal website.
It looks good now. It has penetrated into nine countries including France and Germany, has more than 80 million users, and is second only to Yahoo in influence in Europe.
However, even Yahoo, the leader of portal websites, has declined, and Vivendi Network will not be an exception.
Compare this.
The two sectors that have real potential are Canal+ Group and Vivendi Telecom.
The former is not bad. Although the TV network is destined to decline, the film and television production and copyright business are always developing.
Although Vivendi Telecom has been developing, it has never become a top player in the industry.
So it is not difficult to understand why Vivendi fell so miserably after resurrecting through asset sales.
In addition to operational problems, the key is choosing the wrong direction.
Choice outweighs effort, everyone will say.
But it is extremely difficult to do.
“How much equity does Vivendi still have in Veolia Environnement?”
“In 2002, it was still 63%, and now it’s only 40.41%.” Huo Huo rock path.
“It seems that Veolia is not taken seriously by Vidhivan.”
"The imagination of the environmental protection business is too small. The annual revenue exceeds 25.5 billion euros, the net profit is only 800 million euros, and the net return rate is only 3.2%.
It is a typical Red Sea industry with large investment returns and small returns.
In contrast, pan-entertainment, especially the Internet and telecommunications businesses, are developing rapidly and have huge room for imagination.
With Vivendi’s investment style, they are more willing to sell Veolia. , in exchange for funds to invest in telecommunications, Internet and pan-entertainment businesses.”
Xu Liang nodded slightly. The environmental protection industry, especially water treatment, garbage disposal and other businesses, is a public utility and is a low-profit industry.
Very unfriendly to ambitious CEOs.
The reason is simple.
In Europe and the United States, CEOs are workers and rely on the performance of the company to survive. If performance is good, the bonus will be large.
Poor performance means less bonus.
As far as the environmental protection industry is concerned, no matter how hard you try, the profits will never be high.
So Vivendi made a decisive transformation.
And buy, buy, buy for a meal.
Buy, buy, buy, Veolia’s financial data skyrocketed.
The investors are happy when the market value is high; the management is also happy when bonuses are received.
The company collapsed.
It's none of my business, I'm just a part-time worker.
Dismissal?
If you resign, just resign. Anyway, I have made enough money after so many years.
This is the psychology of most professional managers in Europe and the United States.
The most typical one is Lehman.
Lehman collapsed, but the management retired comfortably with a bonus of US$385 million.
There is also the world's largest insurance company AIG. The United States spent US$170 billion to prevent it from going bankrupt, but after surviving the crisis, it turned around and paid huge bonuses of US$450 million to its senior officials. Pay bonuses of up to $165 million to financial products executives who contributed to the bankruptcy crisis.
Ironic?
Executives from Merrill Lynch and Citigroup said it was normal.
The management of the former received US$4.5 billion, and the management of the latter received US$5.3 billion.
In comparison, Lehman and AIG are younger brothers.
The shameless manipulation directly drove the old and American rednecks crazy, and launched the Occupy Wall Street movement with great vigor.
But it didn’t work.
Executives should take it or take it.
The management-centered system in European and American business circles is so awesome.
Of course this is also related to the dispersion of equity.
Xu Liang pondered for a while.
“If I come to acquire Veolia, do you think Vidyvan’s management will let go?”
“Yes.
But they will definitely offer you a painfully high price, or ask you to use Hongmeng games as chips. "Huo Yan said.
"This is indeed the style of the old man Foch. "
"Mr. Xu, if you really plan to acquire Veolia, you can acquire it from the secondary market.
Vivendi has been selling off Veolia's shares in the past few years. As long as you wait long enough, a complete acquisition may be difficult, but it will be much easier if you become a major shareholder. ”
Xu Liang nodded slightly.
Veolia Environnement's market value is now less than 8.4 billion euros.
Acquisition is not difficult with Xu Liang’s financial resources.
The only concern is censorship by the French government.
"Mr. Xu, Veolia's main business is public utilities, and the rate of return is very low."
Huo Yan reminded.
"I understand what you mean. The return on investment in public utilities is indeed low, but it is also very stable."
There is no shortage of high-return investments under his ownership. Apple, Amazon, and Google have very high return on investment. It is an industry with stable returns.
What is stable return?
The economic crisis has little impact on me, and there is basically no industrial cycle.
Except for force majeure such as wars and natural disasters, there is basically no delay in making money.
Sewage treatment, garbage disposal, heating, and transportation are such industries.
The cunning old Li in Xiangjiang likes this kind of industry the most.
"Mr. Xu, although the returns from public utilities are stable, from an industrial point of view.
You have passed through Hongmeng Company, Universal Group, Penguin, Aihui Records, Bandai Company and other enterprises , accounting for a large proportion of the global pan-entertainment industry chain
You are familiar with this industry and have a deep industrial foundation
It is in your best interest to continue to strengthen your presence in the pan-entertainment industry, realize resource exchanges, channel exchanges, and personnel exchanges, and increase your market share in the global entertainment industry, or even become a monopoly.
If you simply pursue stability, you can invest in government bonds.
The rate of return is not only higher than that of Veolia, but it also does not require too much energy to be invested in management. ”
A few words made Xu Liang silent.
Yes.
He has entered enough industries.
Internet (Hongmeng, Facebook, Penguin, Alibaba).
Chip Technology (Hynix).
Real estate (Taihua, Fuhua).
Finance (Hanhua, Standard Chartered).
Automotive Industry (Torch).
Travel (Global Travel Group)
Beverages and Food (Tingyi Kong, Huaxia Liquor Group)
Retail (Kelong Supermarket, Taihua Department Store, Taihua Clothing)< br>
Pan Entertainment (Universal Pictures, Universal Music Group, Penguin Entertainment Group, K. Wah Group, Bandai, Aihui Records, DreamWorks Animation, Marvel, etc.)
Consumer Electronics (Kunlun Technology)
Minerals (Fortsk Metal Group)
Agriculture (Denong, Harvest, Three-dimensional Fertilizer)
Education and Training (New Dream)
These are just core and sub-core industries. If you include the NBA Warriors, NVC Lighting, etc., there will be more.
What he has to do now is not to continue to expand his industrial clusters, but to continue to consolidate and develop existing enterprises on the basis of the existing ones.
Otherwise, if we continue to expand, once there is no financial support, no guidance from past life memories, and fierce competition, Delong's end will probably be his.
Thinking of this, Xu Liang let out a long sigh.
Patted Huo Yan on the shoulder.
said with emotion.
“Listening to your words is worth ten years of reading.
Lao Huo, you are right.
Invest in Vivendi and continue to strengthen Hongyan’s market share in the global entertainment industry. It’s the most advantageous choice!”
Compared to opening a new map, it is easier to continue working on the familiar one-third of an acre of land.
“As long as you don’t think I talk too much.”
Huo Yan also felt relieved.
Not everyone listens to good advice.
Especially when Xu Liang became famous as a young man, his great achievements brought him strong self-confidence. The more he does this, the easier it is to be stubborn.
But what he didn't know was that Xu Liang looked green on the outside, but was really a reborn old man on the inside.
I know very well how many pounds I have.
Although the career is vast, it has not yet reached its peak.
"Haha, I don't dislike it, I don't dislike it. Give me more suggestions like this in the future. ...By the way, if I acquire Vivendi, what suggestions do you have?" Xu Liang asked.
(End of this chapter)