Chapter 1004 Integration Plan
“How do you plan to integrate Red Sun?” Xu Liang asked.
“Red Sun’s existing business includes two major parts: the production and sales of pesticides and the trading of chemical fertilizers.
Among the pesticides, pesticides include 10,000 tons of pyrethroids, 600 tons of imidacloprid, 5,000 tons of chlorpyrifos and 800 tons of fungicide chlorpyrifos.
The chemical fertilizer trade is mainly chemical fertilizers sold by the agricultural materials sales network of the company's holding subsidiary Sunong Agricultural Materials Group Co., Ltd.
The fertilizer trading business accounts for 75% of Red Sun’s main revenue, but its gross profit margin is relatively low, only about 5%.
In addition, after Red Sun mastered the processing technology of 'pyridine base', it joined forces with Nanyinong Group to invest 800 million Chinese yuan in Jinling to build Jinling Biochemical Company.
Among them, Red Sun invested in technology and capital, accounting for 51% of the equity.
Nan Yinong invested 400 million Chinese yuan, accounting for 49% of the shares.
The current construction of Jinling Biochemical is nearing completion, and it is expected to officially start commissioning in June this year.
If successful, Red Sun will increase its production capacity of 12,000 tons of pyridine base, 9,000 tons of paraquat, 10,000 tons of sodium triclopyridinol, and 600 tons of diquat.
Red Sun's profitability will be doubled or even more than doubled on the existing basis. ”
Red Sun has mastered the core production process of 'pyridine base', filling the domestic gap and forming a top-to-bottom industrial chain.
Only the cost advantage It can outperform almost all domestic pesticide companies
“My idea is that Red Sun will only retain the pesticide business and merge Red Sun’s 783 agricultural supplies distribution stores in Jiangsu and Anhui provinces into Denong. Agricultural supplies chain.
With the foundation laid by Red Sun, we can quickly use their talents and network to double the agricultural supply stores in Jiangsu and Anhui provinces, completely achieving full coverage in the two provinces.
By the end of the year, our direct-operated agricultural supplies distribution stores will exceed 4,000, completing full coverage of the five major agricultural provinces of Hebei, Shandong, Henan, Jiangsu, and Anhui, and becoming the number one agricultural supplies store in the country. Distribution platform. ”
Liu Qiangxi looked excited.
Denong’s core business is the agricultural supplies chain platform, and then it will expand its business around this platform.
If Denongnong If there are more than 10,000 direct-operated chain stores, quantitative changes will lead to qualitative changes
With this largest channel in China, they can gain a huge bargaining advantage.
Purchase various agricultural inputs at lower prices and gain greater profit margins.
Completely change the current situation where the net profit of agricultural supply chain stores is less than 10%.
Xu Liang is very clear about Denong’s future development strategy. According to Liu Qiangxi’s words, it is one fundamental and three lines.
It is basically a Denong chain store. The three routes are pesticides, seeds and fertilizers.
In the next five years, Denong will adhere to this line unswervingly.
"I agree with your integration strategy. If Yang Shouhai does not plan to sell the agricultural input assets of Jinling Yinong Group, you will increase investment in Jinling Biochemical and dilute his shares."
Liu Qiangxi He smiled and nodded.
“It just so happened that we agreed to Jinling’s additional investment after the successful acquisition to build a national agricultural input production base.
When Jinling Biochemical’s ‘pyridine base’ is tested in June and there is no problem, I will immediately add additional funds to expand Let’s see if Yang Shouhai will follow.”
"Where is the information I asked you to investigate? Do you have any results now?"
Liu Qiangxi opened his briefcase and handed over a piece of information.
“After our investigation, the Lop Nur Lake Basin contains abundant lithium salt resources, with a total reserve of 2.1023 million tons.
The characteristics of its brine lithium resources are: the brine is sulfate type, It contains high magnesium, generally Mg/Li>500, and the lithium content in old brine is 0.21%~0.26%. The industrial application grade of lithium is 0.016%~0.16%, which shows that the development prospects of Lop Nur lithium salt resources are very good. Tempting.”
Xu Liang flipped through the information in his hand.
According to this survey,
The potassium content in Lop Nur area is higher than that of famous salt lakes at home and abroad, such as the Great Salt Lake and Bonnyville Salt Lake in the United States.
But lower than the Salar de Atacama and the Salar de Quintey.
This discovery shows the great potential of Lop Nur Salt Lake in potassium fertilizer production, and of course also means huge wealth.
According to his memory, the price of battery-grade lithium carbonate at its peak was 600,000 per ton, and the value of the Lop Nur lithium mine was as high as 1.2 trillion Chinese coins.
The value is several times that of Lop Nur potassium salt.
“Is this information accurate?”
“This is the comprehensive data we obtained after sampling from 19 test points in Lop Nur Salt Lake. The accuracy is over 95%.”
Xu Liang nodded slightly, "You immediately recruit people to develop comprehensive lithium carbonate development technology based on the water quality of Lop Nur Salt Lake, and strive to produce results within two years."
"Understood."
It wasn't until after lunch that Liu Qiangxi said goodbye and left.
......
"Brother Xu, we are back."
With a sweet cry, Liu Qianxi ran in jumping.
Followed by Shu Chang, who was wearing a pink knitted jacket and dark blue slim jeans.
Hold the little beauty who jumped straight into his arms.
“Where did you go today?”
“Songcheng. I didn’t expect there to be so many delicious food.” Liu Qianqian’s face was filled with excitement.
The whole internet knows that she is a foodie.
Shu Chang looked at the scene in front of him with envy. Although she had given her innocence to the man in front of her, their relationship was still kept secret due to Liu Qianqian's presence.
“Brother Xu.”
Xu Liang smiled and nodded.
He likes Shu Chang's well-behaved and sensible nature.
“Come and sit.”
Shu Chang nodded and sat next to him.
“What did you find when you went out today?”
“Brother Xu, I feel like I don’t like dining very much.”
Liu Qianqian, who was sitting in Xu Liang’s arms, said in surprise: “Chang Chang, do you want to start a business?"
Looking at the man next to him, Shu Chang nodded.
This is the choice the other party gave her.
She also wanted to try to see if she had any talent in this area.
Liu Qianqian became interested.
"Is the catering industry bad? My mother is doing catering now and can make money."
"I am still young and not as experienced as my godmother. And compared to catering, I am more I like clothing. …Brother Xu, I want to set up my own women’s clothing brand.”
"There are many female stars abroad and socialites from the upper class who have established their own clothing brands. When they get bigger, they will also involve the field of cosmetics. It is indeed a business model suitable for you."
Seeing his agreement, Shu Chang felt also He breathed a sigh of relief.
"Qianqian, when my company is established, you have to be a model for me."
"It is obligatory."
Liu Qianqian patted her already sizable breasts , full of loyalty.
"Changchang, starting a business is tiring. It takes a lot of time and energy. Don't you plan to act in the future?"
Shuchang said with a smile: "I don't plan to give up my acting career, and I will have more fans in the future. It will also be of great benefit to the development of the clothing brand I founded.
And I plan to find a professional manager to help me with daily affairs.
Although this will be a little busier, I can still do it. Cope with it.”
With Boss Xu here, she will definitely not lack top resources in the future.
Making one or two movies or TV series every year is enough to maintain popularity and popularity.
The remaining time can be used to develop your own career.
“Oh, if you get busy, no one will play with me anymore.” Liu Qianqian complained.
The only real good sister beside her is Shu Chang.
"How is it possible? We are such strong sisters, we are always on call." "Really?"
“Of course.”
“Changchang, it’s better for you to be nice to me.”
Looking at the two women hugging each other, Xu Liang said.
“You won’t think so when you know that she is trying to steal a man from you.”
——
Yang Shouhai, who left Yidu, returned to Jinling and soon received bad news.
"Old Tang, has this matter been decided?"
"Yes. Although we are more inclined to hand over the equity of Red Sun to you, after all, for so many years, you have We have made a great contribution to the economic development of Gaochun County
Everyone sees it and is more willing to believe you
But the superiors hope to sell Red Sun to Denong.
They have promised that Red Sun will continue to stay in Jinling, and they have promised that Jinling Biochemical’s ‘pyridine base’ process will be successfully tested.
Quickly invest 1 billion Chinese dollars to build the second phase of the Jinling Biochemical Project, including 30,000 tons of 'pyridine base' production equipment, as well as the production capacity of 20,000 tons of downstream pesticide finished products diglyphosate and 20,000 tons of glyphosate.
And in the next five years, a total investment of 4.5 billion Chinese dollars will be made to build Jinling Gaochun County into the largest agricultural biochemical base in the country. ”
Yang Shouhai’s heart gradually sank with one sentence.
"Lao Yang, it's not that everyone is unwilling to help you, it's because the higher-ups gave the order directly and there's nothing we can do about it.
That's it, I have to go to the city for a meeting right away..."
Yang Shouhai slowly put down his phone, his expression so gloomy that it seemed like water could drip from his face.
"Dad, these people are so useless. They keep saying they are attacking you, but when the man named Liu came, they all ran away."
Yang Jianlin, who was wearing a suit, said angrily.
Yang Shouhai took a deep breath and turned his eyes.
"Jiansen, what's going on at Red Sun?"
The eldest son of the Yang family, Yang Jiansen, is now the general manager of Jinling Biochemical, managing the core assets of Red Sun. He is also the successor trained by Yang Shouhai people.
"Dad, everyone said that no matter what the outcome is, they will stand firmly on your side."
A trace of jealousy flashed in Yang Jianlin's eyes.
said coldly.
"It sounds nice, but I'm afraid that when things come to pass, they will be like those official guys and praise Liu's stinky feet."
"Dad, I believe what you say. It’s still credible. After all, our interests in Guoxing Investment Company are the same.”
Yang Shouhai nodded slowly.
"Dad, you went to Yidu to see Xu Liang this time. What did he say?" Yang Jiansen asked.
"The conditions are the same as Liu Qiangxi's, no, it should be said that he is more greedy. He wants to swallow up all the pesticide, fertilizer and seed businesses of Red Sun and Nanyinong Group."
"You agreed?"< br>
"No. I have only agreed to Red Sun Group for the time being. After all, we don't have the upper hand on Red Sun, so we can only compromise."
"Dad, Nanyinong Group belongs to our Yang family Basically, you must not sell it. Besides, according to the conditions given by Liu, we can get Nanfu Battery from them as long as we sell it.
This is a good company. , if we get it, our Yang family's industry will definitely take a step forward
And based on the foundation you have laid in Red Sun over the years, even if Liu Qiangxi's acquisition is successful, we can easily poach everyone here.
With the foundation of Nanyinong, coupled with the talents of Red Sun, and the contacts you have accumulated in the agricultural supplies market over the years, Nanyinong will soon surpass Red Sun. "Yang Jianlin talked eloquently and looked excited.
Although he hated Denong's acquisition of Red Sun at first, he showed it to his father at that time.
In his heart, he was very Agree with this acquisition.
In the future, Nan Yinong Group can continue to be engaged in agricultural supplies, and Yang Jiansen, who has worked in the field of agricultural supplies for many years, can inherit Nanfu Group. br>
Everyone has inherited the family property and everyone is happy.
Yang Shouhai pondered for a moment.
"Jiansen, what do you think?"
"Dad, although Xu Liang promised to sell Nanfu Battery to us, the market value of Nanfu Battery has now climbed to HK$3.12 billion.
Considering the premium, we have to spend at least 1.8 billion Huaxia coins to get the controlling stake
If we don’t sell the agricultural assets of Nanyinong Group, how can we acquire the equity of Nanfu Battery? "
Yang Jiansen's words were like a bolt from the blue that woke up Yang Jianlin's sweet dream.
But looking at Yang Shouhai's expression, it was obvious that he had thought of this problem a long time ago.
"Dad, let's We have accumulated a lot of wealth over the years, and we don’t need much, just two to three hundred million to implement a leveraged buyout of Nanfu Battery. Yang Jianlin said quickly.
“Leveraged buyout is indeed a good idea. But this will drain our cash flow, and coupled with the high interest rates brought by the leveraged buyout, it will eat up most of our future earnings.
At that time, we will have no funds to continue to develop the pesticide industry of Yinong Group.
Instead of doing this, it is better to sell now.
Completely transform the industry and put the future of the Yang family on Nanfu Batteries. "
Yang Jiansen's tone was solemn.
"Dad, if we can get Red Sun, then I suggest rejecting the negotiation with Denong. But now it is a foregone conclusion that Red Sun will be acquired by Denong.
At this critical moment, we must cut off the strength of the strong man.
If you still think about having both, you may end up focusing on one and losing the other, and the gain outweighs the gain. "
"Brother, I think you are too alarmist. With the assets our Yang family has accumulated over the years, we can completely acquire Nanfu Batteries while continuing to develop the agricultural supplies industry based on Yinong Group. "
"Jianlin, you think of things too simply.
People like Xu Liang, who is in the global business world, would not have thought of our purpose of deliberately retaining the Yinong Group?
I'm afraid that in a few days, everyone who leaves Red Sun will have to sign a non-competition agreement.
And he also has a hundred ways to prevent Nanfu batteries from being sold to us. "
"Brother, I think you are making things too complicated.
And even if Denong wants to get a non-competition agreement, it won’t work without mentioning it. We can afford to wait for up to a year.
As for not selling Nanfu, Xu Hao is also the richest man in the world and the richest man in China. I don’t believe that he goes back on his word and has no shame at all. ”
Looking at the plausive second son, Yang Shouhai shook his head inwardly.
If the Yang family's property were passed on to him, it would probably be ruined in a short time.
He turned around and saw the calm eldest son next to him, with a look of satisfaction in his eyes.
Fortunately, there is still a boss.
Living up to his training from childhood, he is calm and steady, and can quickly grasp the key points when looking at problems.
Coupled with the knowledge and network of a bachelor's degree in economics and management from Zhejiang University and an MBA from Harvard.
I can rest assured that the family business will be in his hands in the future.
"Jiansen, you will be responsible for this transaction with Denong."
Yang Jiansen nodded.
Next to him, Yang Jianlin’s eyes turned blue with jealousy.
"Dad, people say that brothers fight tigers, and father and son are soldiers in battle. Let me go too, and I will fight for my elder brother."
Yang Shouhai frowned slightly.
I was about to refuse, but I took it back when the words reached my lips.
Although he was not optimistic about his younger son inheriting the family business, he also wanted to train him.
In the future, if the family is separated, I will be able to live on my own.
"You can go, but you can only watch and not make your own decisions. Don't cause trouble to your brother."
"Don't worry, I promise that I will only watch and tell, and my eldest brother will take charge of everything." Yang Jianlin said quickly.
Yang Jiansen saw this, and a trace of unhealedness flashed in his eyes.
(End of this chapter)