The next day, Tongtong Motors' board meeting was held again, and all the directors made their own proposals. But interestingly, some of their proposals are very similar.
Although Saul had emphasized that everyone should act according to their own ideas and take care of the interests of the shareholders and the company, these directors must have discussed this privately.
"Does everyone agree to this proposal?" Saul looked at the other directors. They had been discussing this proposal for two hours!
Malfoy's face changed. To him, this proposal is like drinking poison to quench his thirst. Although they can get some cash, it will not solve the company's problems.
Getting rid of those burdens will not be enough to save the company. But this proposal is the result of these directors' discussion, and Malfoy is very disappointed.
After all the directors agreed, Saul continued. "Malfoy, you will represent the company to talk to Wind and Rain Holdings. This time, you must get at least 10 billion USD in cash for the company. After this is done, I will nominate you to join the board."
Malfoy looked at Saul in surprise. He looked at the other directors, and no one objected.
Two years ago, Tongtong Motors will not sell these assets for 10 billion USD. But now, including the losses, not many people will accept 10 billion USD in cash.
Most importantly, Tongtong Motors can get rid of many non-performing assets, and this is the key.
… …
Ralph looked at the documents that Malfoy had brought over. On it were all the shares of Shanghai Tongyong that they wanted to buy the most. Hummer was the best off-road vehicle brand in North America, and Saab from Sweden. More than a decade ago, Tongyong had spent more than 3 billion USD to purchase them.
There are also a few factories, but all of them are very old, and the equipment inside is very old. Ralph is not satisfied with all these. He is asking Tongtong Motors to accept all the employees from these companies and implement the contract according to Tongtong Motors' standards.
"Malfoy, is this your sincerity? You are valuing these assets at 15 billion USD? Are you thinking that Wind and Rain Holdings has too much money to spend, and you want to help us spend it? "Ralph threw the documents on the table.
If Ralph agreed to this price, he would no longer be the CEO of Wind and Rain Holdings Group.
"Mr. Ralph, don't be anxious. This price is for other companies to see. The price for Wind and Rain Holdings is USD 13 billion in cash." Malfoy quickly explained.
"13 billion USD? And in full cash? Of course, our Wind and Rain Holdings can afford it. But do you think these assets are worth that much? "Ralph sneered.
"Why not? 20 years ago, when we bought Saab cars, we spent more than 3 billion USD. Even if we only calculate inflation, how much is it worth now? "
"Hummer is the world's most famous off-road vehicle brand. It has been called the world's best off-road vehicle more than once. It is also a vehicle that our US military purchases in large quantities."
"Although we only own 33% of Shanghai Tongyong's shares, it is second only to Bing City Machinery Manufacturing Group in the Hua Xia market, right? Also, all the production lines and equipment are brand new. We have invested more than 3 billion USD over the years, and these shares have been making profits for the past few years. "
"As for the few factories in North America and Europe, they have lots of experienced workers and managers. Just these workers alone are worth a lot, let alone the factories' equipment and buildings."
"13 billion USD. You all have made a killing. If we don't need cash urgently, we will not even consider anything less than 15 billion USD! "
When Malfoy said this, he gave Ralph the impression that he had taken advantage of the situation.
But Ralph knows how much these assets are worth. Especially those so-called skilled workers and management talents, they were explicitly prohibited by the boss, and were absolutely not wanted.
"Malfoy, if it was two years ago, we might consider 13 billion USD. But now, we will never agree."
"Hummer was once the best off-road vehicle in the world. Remember, it was once. Hummer's CC is too high, and oil prices are not cheap now. In the past, the military had ordered a lot of Hummer vehicles, but it was proven in Afghanistan that Hummer can only be used as support as it is not bulletproof. "
"Hummer had lost its military orders, and its civilian sales are declining. Also, as the concept of environmental protection becomes more popular, the US will have to control the CC vehicles. Why are Japanese cars' sales in North America increasing? It is because they are good at saving energy. "
"We had expressed interest in the Hummer brand, but that is all. Hummer is making losses now, right?"
"Also, when Shanghai Tongyong bought Saab, many people laughed at it. But it is proven that this is a stupid move. Saab has been making losses for many years, and its sales in Europe are declining year after year. Even in Sweden, Saab had become an OEM of other brands. What value does such a company have? Even the Saab brand has been devalued! "
"As for Shanghai Tongyong's shares, I had told you before. If my boss wants to, he can make Shanghai Tongyong's sales drop. If Songjiang Motors had not focused on developing overseas markets, do you think Shanghai Tongyong can grow so fast? "
"Also, do you think we have not investigated those European and US factories? All of these factories have seriously aged equipment. Perhaps some of them don't even have a single piece of equipment from two thousand years ago. All of them are old equipment from two thousand years ago. Is this what you call a high-quality factory? "
"Also, I want to make one thing clear. When we buy the same brand, shares, and other assets, we must not use any of the employees, including the janitors!"
What a joke. The salaries of their employees are three times higher than Toyota and other automobile manufacturers. Their insurance, allowances, etc. are the highest among all automobile manufacturers.
Shanghai Tongyong had started to make losses in recent years, and many of their insurance, medical insurance, etc. also include the employees' family members. This is a huge burden.
Feng Yu will never carry this burden!
Malfoy was stunned. He did not expect Wind and rain Holdings to know so much about their vehicles. Ralph did not even look at any documents and can identify the weaknesses of their vehicles. Seems like this negotiation will not satisfy both parties.
The other party had seen through the burdens that they want to get rid of. What should they do if they are using the same vehicles?
… …
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