Chapter 1996: Sky price terminal renovation fee

At the same time the next day, Reid came, and brought another person, and Feng Yu also called Li Zeju, let his representative and Huang expressed his attitude.
The specific contract details of the port construction must be discussed with the professionals on the Huang side. Feng Yu's people may be able to review the legal contract, but some contract traps inside, because they involve professional problems, they may not be able to see.
In the end, it is also necessary to cooperate with Hutchison, and the plan is to make Hutchison become a major shareholder and mainly manage. Li Zeju appears here, and there is nothing wrong with it.
"Feng, this is Li right. I am Reid, this negotiator, next to this is Mark Eric, my assistant."
The so-called assistants must have been sent by Reid’s boss, but each person’s direction is different. Eric should be responsible for talking about the railway, but only in the name of Reid’s decision.
After someone sent coffee and tea, there were four people left in the room.
"Feng, Li, my boss said that since you don't agree to hold half of each share, you strongly demand a controlling stake, but you can't promise that your shareholding ratio will reach 75%, so we can't guarantee our own interests. Not damaged."
"Our bottom line is to hold at least 45% of the shares, and the remaining 55%, you must, but you must ensure that Hutchison's shares are higher."
"You are 35 percent, we give up the absolute controlling stake, this is my bottom line." Feng Yu said faintly.
Many people mistakenly believe that more than 50% have an absolute controlling stake, which is not absolute. Although you are definitely the chairman, you can't do it.
More than half of the resolutions of the shareholders' meeting are passed. However, the shareholders' meeting must have more than two-thirds of the voting rights consent for major resolutions such as the division, merger, dissolution, and revision of the company's articles of association. Therefore, 67% is the absolute controlling right. The company is the one who has the final say. I can let this company follow my ideas at any time.
In exchange for Feng Yu is a California consortium, it is impossible to give absolute control to outsiders. Feng Yu and Hutchison are definitely a community of interests. If they are united, can they not have their California consortium overhead?
Now, even if the port is not expanded, there is a business to do, and the same can make money, but the profit will be less and less, and it will go downhill.
So they would rather make less money and not let all the power go out. Now give you a senior executive position, turn around and give it a slap, who are they looking for?
Feng Yu directly clarified this condition, eliminating the other party's concerns and seeking the best interests for himself. Since we have to rebuild this port, we will certainly be able to make more money in the future. If we have more than one percent of the equity, we will have a lot of money in the future.
Of course, this also depends on how much they invest. The amount of investment Feng Yu and He Huang don't care. If they can all buy it, the premium of 30% will not hesitate. This is too important for Hutchison's world port layout.
"Feng, do you know what ports and docks we have cooperated with this time? Do you know how much you have to invest in order to dilute our equity to 35 percent?" Eric couldn’t help but say .
Feng Yu took a look at Eric: "Oh, then you said, how much is your port terminal worth? This time not only do we have to take out the money, but you must also take the money, otherwise your equity may be diluted. It’s thirty-five percent.

Yan Fengyu and Hutchison plan to invest more than 10 billion US dollars, or even 20 billion US dollars, as long as there are so many ports can be rebuilt.
How much is a small dock in a port, and a few hundred million dollars? What is this for Feng Yu and Huang?
Reed glanced at Eric, and some complained about his mouth. I was the main person in charge of this negotiation. You came to assist me in negotiating the railway. What do you want to grab?
"Feng, we have to pay too much? This seems to be a little different from what we imagined. But according to the plan, we will come up with the big docks of five ports to cooperate with you, each including berths, machinery and equipment, yards, Warehouses, etc., are worth at least $7.8 billion. If you want to be a major shareholder, then the premium is not too much? So, will your investment exceed $10 billion?"
Even if the five ports are calculated at the highest price of 800 million US dollars, then there is only a value of 4 billion US dollars. In fact, Feng Yu knows that this offer is already a premium. Now, Feng Yu has invested more than 10 billion US dollars, which is a premium. The guys are very greedy.
Feng Yu looked at Li Zeju, and Li Zeju said: "What are you going to do at the ports of Los Angeles, Seattle, San Francisco, Long Beach and Auckland? The five port terminals are all good, but they are very Old, we have an assessment of it, the total price is only $3 billion."
"Now, according to you, you seem to be calculating it according to six billion dollars. The premium of 100% is really a big appetite."
Li Zeju is a little angry. We really want to invest in the port of the country, but we can't be a big man. The annual profit of the port is much, let alone we have to invest so much money.
Even for strategic layout, there is no such cost. Feng Yu is not very clear about these situations, but they are very clear to Huang Yiqing, and even Huang is very familiar with every port in the country.
"Reed, I will give you an account. According to our plan to re-expand the port terminal, the cost of equipment renewal required for each port terminal is as high as 7.8 billion US dollars, not to mention the larger stacking. Fields, larger warehouses, larger berths, and even a remodeling of the water depth near the dock."
"Comprehensive calculation, the cost of each port terminal needs to be reformed may exceed 2 billion US dollars. If we take out this tens of billions of dollars, of course, no problem, but the shares you hold directly appreciate nearly double, you think this kind of business Can we do it? So you must also make a sum of money so that our investment can be equal."
Reed and Eric look at each other. The cost of renovating each port is more than two billion dollars? This can far exceed the value of a dock. What kind of big port terminal do they want to build?
Could it be that they also intend to annex other berths and yards adjacent to each other? If this is the case, then the ports of the country will be respected by the West Coast, which will inevitably bring more profits, and their ports will become a complete no-night port.
It’s just that the cost of mechanical equipment renovation is so high, and they absolutely can’t agree because of the employment problem of workers.
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