I Am a Nobleman in England

At the beginning of the negotiation, the bomb that Arthur threw was indeed a surprise to the five controlling shareholders of AMC. He originally thought that the British guy on the opposite side was already a fish on the chopping board and could be slaughtered by them. Now it seems that the other party bought AMC’s The determination is not as great as they thought.

　　 And the AMC management representatives who were marginalized in the negotiation, always looked serious and indifferent. It seems that this negotiation has nothing to do with them.

　　Although Arthur’s attitude did play a role in the negotiation, there is still no way to change the confident and confident mentality of the five major controlling shareholders, especially when it comes to debt and IPO issues, without compromise at all.

I was stuck as soon as I came up. Two hours of negotiation, there was almost no progress. This made Arthur's performance of the five major holding funds, and he wanted to buy it at our price. If it is too expensive, you can not buy it. The face is really helpless and angry.

　　 "These greedy bastards!"

With a gloomy face, Arthur left the building where the ceiling holding company was located and got into the car. He could not help but cursed angrily. Although he was mentally prepared, he did not expect that these Wall Street vampires would So arrogant, greedy and crazy.

Not only did they refuse to lower the price of the $1 billion equity price, they even wanted to throw it at Arthur for the repayment of short-term debts. What was more, they wanted Arthur to promise that if his acquisition was successful, the future AMC would be listed, and bonds would be issued. , Five of them will be the underwriting syndicate.

　　 "Tm really regarded me as a lamb to be slaughtered..."

　　 In the carriage, Arthur squinted his eyes slightly and sneered with a sneer on his face. To tell the truth, this time the acquisition of the AMC cinema chain and these old Wall Street foxes will either lose a great business opportunity or become the **** of war again.

　　 He wants to reduce the interest on new bonds as much as possible, extend the time of borrowing as much as possible, and at the same time face the cuts of the five major private equity fund shareholders, and minimize the AMC equity transaction price.

　　 He also knows that, in the eyes of many people, even his subordinates think that unless a miracle occurs, his goal seems almost impossible to accomplish.

　　 "Hehe, please make an appointment with Gary Lopez, the CEO of AMC, and I will invite him to dinner and want to chat with him alone!"

　　 Hearing the boss's order, the person in charge of the negotiation with the car couldn't help but his eyes lit up, and he hurriedly replied: "I understand, I will call the other party right away."

　　 Arthur looked at the subordinate who took out the phone, the corners of his mouth rose slightly, and he leaned back on the car seat, tapping the armrest of the car seat lightly with his fingers, narrowing his eyes, and sneered.

　　 To be honest, it is extremely difficult and extremely important to know oneself and the enemy for cross-border acquisitions across the Atlantic. Whether the management is an enemy or a friend is undoubtedly the top priority. In an M&A case, what kind of countermeasures does the management take, is it confrontation, watching fire or cooperation? Much depends on the buyer's attitude and actions.

In the history of mergers and acquisitions, buyers can use thunderbolt to force them to retreat, or they can use sugar-coated cannonballs to retreat. The terminology in the mergers and acquisitions industry is "golden parachute", and they can also be tied together to share the interests and risks, so-called "golden handcuffs" plan.

　　 And Arthur had already thought about it, he wanted to pull AMC management members into his camp, and deeply bind himself and the management to acquire AMC

　　 You know, no one knows the full picture of AMC operations except for the management. Without the **** of management, he would not try to acquire AMC.

　　 Why is management so important? For buyers of mergers and acquisitions, a comprehensive and detailed investigation is impossible without the cooperation of management. Arthur can also be said to be a veteran in the acquisition industry. The initiator must understand his target company, because the ultimate success of the merger depends on the acquirer identifying exactly how much debt the company can bear and accurately calculating what budget Can be cut, which businesses should be sold to repay loans.

　　 Any error in the decision may prompt the bank to request the loan to be recovered in advance, and these details are only known to the management. Otherwise, wrong calculation methods or incorrect predictions will cause both parties to fall into huge debts.

　　 When buying the Coastal Power Plant, Angela, his financial adviser, said that in some ways, a merger is like buying a used car. The annual financial statements and some public information of the acquisition target are like classified ads. These materials contain a lot of useful information like advertisements, but the old acquirer knows that a shrewd accountant can selectively disclose information based on the company's interests.

　　 An Jilai also explained that after the person who bought the second-hand car saw the advertisement, he would go to communicate with the owner, and personally inspect the car, and then drove the car around a few times. Compared with buying a used car, the buyer has to determine exactly how many kilometers the car can run, which parts need to be replaced, and what maintenance and repairs will be required in the future. If the car sellers don’t let the buyer kick the tires to see if it’s strong, the buyers can only stay away from the used car.

　　 If you want to take the initiative, you must convince the management. Only in this way can I see the various confidential information of AMC, and only with the help of the management, can Arthur know where to pull out the money, where to cut the budget without affecting the operation of AMC, and Which assets can be sold without affecting performance, otherwise, he can only wait outside the door or cross the river by feeling the stones.

　　Of course, according to US law, the acquired company must send someone to cooperate with Arthur's investigation, but the law does not stipulate the extent to which AMC cooperates.

　　 If the management does not cooperate, the acquisition will be a disaster. The CEOs of American companies also understand the truth that wealth does not depend on wages and bonuses, but on equity and options. They don't need to feel sorry for money.

　　 Therefore, the breakthrough point for Arthur's acquisition of AMC is to find the management, show his cards, and cooperate with the management frankly, but will never give up control of the company.

　　 However, there are obstacles to cooperation with management. AMC's current private equity shareholder equity fund company once had an equity incentive, which was the 2004 stock option plan. If the control of AMC is transferred, the equity incentives implemented by the previous shareholders will automatically become invalid. What is the management loss?

　　 Of course, it is paid in full ~www.NovelMTL.com~ to give cash compensation. Arthur will not be stingy in this regard, as long as he can more effectively persuade the management to cooperate, how can Arthur be proud of it!

　　 "Boss, Gary Lopez promised to agree to the appointment. He seemed very surprised that we were able to find him so soon..."

"Unexpected? Not necessarily... You know, any successful leveraged buyout is inseparable from a series of data forecasts, profit, sales volume, and most importantly cash flow. These data can reveal the maximum amount of debt a company can repay Without affecting its operation, these data are the key to negotiations.

　　 For the acquirer, a correct bidding price is everything, because the higher the price, the more debt the company will bear. Even the best companies can be overwhelmed if their debts are too heavy.

　　, the only one who is familiar with these data is the management of AMC. As the CEO, Gehry knows better that anyone who wants to acquire AMC cannot bypass them.

　　 The five major funds will suffer so slowly in their management. Arthur said with a sneer. In the previous negotiations, it can be seen that the five controlling shareholders have been ignoring the AMC management. During the entire negotiation, Gary Lopez, the representative of the management, did not say a word. It is like an observer who has nothing to do with him.

"But I am different. My philosophy is that we all get rich together! The benefit to the management has never been my expediency for the success of M&A. The acquisition and listing of coastal power plants is a good example, isn't it? Next, I will also throw out a set of compensation system for them, and firmly bind the management to my AMC chariot..."