Paul Skinner, the chairman of the Lito Group, is looking at the documents in the office, and it is going to be Christmas soon. All the applications submitted by the companies below need him to reply.

Under normal circumstances, eo can decide, but who will let him return to the position of eo, and still do not want to delegate power.

"Chairman, our stock has been rising these days."

Skinner looked up at the subordinates: "Is this not a good thing? Our stock has fallen a lot this year and it is starting to pick up now. This is normal."

Many people have analyzed that the financial market has bottomed out. It is time to start rebounding. The stock price of their company is rising. It is also a normal situation. Is there anything weird about this?

"Chairman, you didn't understand, we found that some people bought stocks of our company in the stock market."

Ok? Some people have bought a lot of their shares in the company? What's happening here? Can it be said that some people know that they are talking about cooperation with the aluminum company in China, and intend to take the opportunity to make a profit?

But this cooperation is still under negotiation, the framework has not yet been finalized, and it has not been announced. There are only a few directors inside the company who know the news, and these people disclose the news to others?

This is not very good. If we officially negotiated with Huaxia, suddenly someone sold a lot of their shares in Lituo Group, causing their stock prices to fall. Then Huaxia Aluminum could get more stocks by paying the same amount of cash. Then they can lose money.

"Do you know who it is? Which country's institutions?" The directors of their Lituo Group also come from different countries, including the United Kingdom, Spain, Australia, Canada, the United States, etc., if they know which country's institutions are Acquiring their stocks can also help him narrow the scope of doubt.

"According to our investigation, it may be from the UK and Russia."

Britain and Russia?

Skinner is a little confused, and the UK is fine, except that he has two directors who are British. But on the Russian side, there is no director of the company, but there is a vice president. Is it because these people are united?

That's right, when they wanted to buy them from Lito last year, those people agreed. After the news of the acquisition was revealed, those people also cashed in the shares of many companies.

Now that the company's stock price has fallen sharply, they have eaten again, and after throwing it out, they can make a profit. This is definitely the case.

"Go to the notice, hold the board of directors tomorrow and discuss the year-end thing."

Skinner turned on the computer and watched the company's stock price still rising. Today it has risen by 2%.

If there are major positive news, the company's stock price rose by 10%. However, it is clear that the company's turnover and profits are decreasing this year, and there is no good news. How can the stock price rise so much, and has it continued to rise for several days?

Although Lituo is not as good as the Danshui River in the iron ore, it is already the world's number one in the aluminum industry. The copper industry is also the world's leading. Why should it be acquired by BHP?

The company is still making money, and there is no loss. Why must we sell it? Even if it is sold, it will never be sold to the must-have!

Last year, when BHP and Bottom wanted to acquire Tateto, they did not make a move in advance. Instead, they directly purchased shares in the stock market directly in the stock market, and the three markets acquired simultaneously.

This way of forcibly acquiring without the permission of the board of directors of the company, it is called hostile takeover or hostile takeover in the industry.

In fact, as the company's eo, the other party's hostile takeover, he does not object. Because in order to complete the hostile takeover, it is necessary to buy their company's stock at the stock market premium, the stock price rises, then all shareholders will profit, eo's task is to make all shareholders profit, this does not conflict.

But as the chairman of the company, he can't agree with this. Once the other party has acquired enough quantity, the equity of the other party will increase, and the position of his chairman can be stabilized.

And after the hostile takeover, even if they agreed to convert the shares of the Lituo Group into BHP's stock, but the other party is a premium purchase, then the company's share price will fall back soon.

The minority shareholder sold the stock and took the money away. His big shareholder usually got the stock. He couldn’t sell it for a short time. He could only watch the stock fall, and his assets expanded and then shrank. Can you feel good?

If you really want to buy, you can, don't use any stock to pay, and get cash directly. If you give cash, you don't need a premium of more than 50%. If you have a premium of 20%, I will be happy to agree.

After the general company is acquired, the management will also undergo restructuring, and the business will be reorganized. The position of his chairman is definitely gone.

If you are lucky, you can be a former director or eo. If you are not lucky, you can only be an idle shareholder. How can he accept this power suddenly disappearing?

What's more, in the long run, the way of acquisition must be borrowed from the chicken. Because BHP must plan to use leveraged buyouts, it was sold to more than $17 billion at that time, but they actually took out more than $10 billion.

They used the shares of the company that they were about to acquire as collateral, and then borrowed from the bank, which is more unacceptable than the general debt purchase.

Fortunately, however, the Lituo Group refused, otherwise it is not known how much trouble will happen. Because of leveraged buyouts, it is inevitable to borrow from financial institutions such as banks, and then those institutions will convert these loans into bonds.

The end result is that Bianhe must use more than one billion US dollars to achieve more than $100 billion. Banks and other institutions have received mortgage interest from Lituo Group and interest on borrowing, and then these debts are sold as bonds. And look for insurance companies or other banking institutions to guarantee.

Whoever bought this bond will eventually die. This is the financial instrument that Raymond Bros. Bank was best at at that time. Asset securitization, and how many companies went bankrupt because of this operation.

When thinking of this, Skinner was rushing through the file.

Wait, a hostile takeover.

This time, how can it be like the last time that Bihe must acquire the Lito Group?

Could it be said that it must be once again intended to launch a hostile takeover? Is this time that the company’s shareholders have already turned to BHP?

No, this matter must be immediately identified. The last time this was done, the company’s share price eventually fell a lot. If you do this again, you will definitely fall more!

... (to be continued...)