Chapter 1348 The best partner to go overseas

   A few days later.

  Halco officially announced that due to the unilateral breach of contract by Rio Tinto, the shareholding plan was terminated.

   As soon as the news came out, it caused widespread heated discussion.

   Last year's US$14 billion plus this year's US$19.5 billion, the two investments totaled more than US$33.5 billion. The amount was the largest overseas M&A by Chinese investors, which made countless Chinese people proud, but also deeply worried.

   This concern is not without reason.

   Last year’s $14 billion investment had already lost more than half of the book at this time, reaching a huge $8 billion.

  If this investment is successful this year, it will be nothing, it will be regarded as losing money to achieve the strategic purpose of controlling the upstream steel industry chain.

   But Hualco’s shareholding failed, which means that the previous huge losses did not bring any favorable returns, and at the same time, Hualco also needs to bear the responsibility for the default of the four major banks.

  Halco's investment in Rio Tinto Group did not involve all of its own funds. The M&A funds mainly came from M&A loans provided by the four major government-run banks, with a total amount of US$21 billion.

   Now that the transaction is yellow, and the loan has not been issued, it does not mean that Hualu does not need to bear any responsibility for breach of contract, but it needs to compensate the four major banks.

Before providing loans to China Aluminum, the four banks conducted project evaluations, pre-loan investigations, and spent a lot of expert consultation fees, evaluation fees, lawyer fees, exchange losses, exchange rate risks, and foreign exchange asset allocation. By breaking the contract, the bank has done a huge useless effort.

   All of these losses need to be paid for by China Aluminum, which adds up to far more than the $195 million compensation for breach of contract that China Aluminum received from Rio Tinto.

   This is still under the circumstances that the four major banks see that everyone is their own, and there is no lion to make a claim.

   In addition, Hualco also needs to bear investment bank fees, financial advisory fees, legal fees, accounting fees, etc., which add up to a huge expenditure of no less than 195 million US dollars.

   As for the big A shares, Hualu's stock has already fallen first!

   In short, Hualu lost his wife and lost his army this time, making him a disgrace.

   Originally, this incident slowly passed, and the people scolded for a while and then turned off the flames.

   However, at the press conference held by the four major banks on Hong Kong Island, a certain executive made a few remarks, adding another fire to the already raging public opinion.

   "We should take a warning about the matter of Hualu!

   When carrying out overseas mergers and acquisitions and investment work, in addition to paying attention to the attitude of the government and the public in the country where the acquired company is located, it is also necessary to strengthen the professional skills training of local investment banks, and not rely on and superstitious Wall Street all the time…”

   As soon as these words came out, the reporter with a keen sense of smell immediately heard that something was wrong.

What does it mean?

  Hualumin failed to take a stake in Rio Tinto, is there another secret?

   With the continuous digging of reporters and enthusiastic netizens, the whole process and details of the case of Hualu's shareholding in Rio Tinto have been restored.

   Some financial professionals directly pointed out: There are major mistakes in the work of financial advisors!

   This is a moderate point of view.

  Some more radical scholars and professors ended up, directly pointing out that this was a shocking conspiracy of "Rio Tinto colluded with Wall Street to target Chinese-funded enterprises"!

   The arguments listed are also very detailed!

  The news of the public acquisition led to a rebound in the stock price of the acquired company;

   Liquidated damages are set too low;

  The kangaroo country, which has always been very happy, had a good attitude towards Hualu's investment in Rio Tinto at first, and the green light was all the way, and then there was a big reversal, and the speed of turning over was comparable to a chameleon;

  …

   These things are connected in series, and the truth is about to come out.

  Rio Tinto did not intend to sell the company's equity to Hualco from the very beginning. Their idea was to delay the time, so that Hualco could relieve itself of the unfavorable dilemma at the capital level, and at the same time, it was ready to break the contract at any time.

   The five major financial advisors on Hualu's side were either stupid or bad. They acted as accomplices in the whole process and did not perform their duties as professional financial advisors.

   Then, the top five financial advisors were put down one by one.

  JP Morgan, Nomura Securities, and Blackstone, the three companies, were scolded lightly by netizens, because they were originally foreign capital, and the public had long since given no hope for their integrity.

  Imagine how many Chinese companies have these Wall Street investment banks persecuted over the years?

  Because of this group of pests, countless domestic brands have disappeared from the shelves, been acquired and frozen.

   In addition, there are countless Chinese-funded enterprises going overseas with high morale, but as a result they bought back a bunch of junk.

   There are too many similar failure lessons, and all of them have two things in common, one is that they have lost their pants, and the other is that they have hired a group of professionals from Wall Street as financial advisors.

  There is no professional ethics in foreign investment banks. What makes the public really angry is that there are two Chinese members in the financial advisory group-Huajin and Envision Securities.

  Hua Jin is the bloodline of the central line. As a result, instead of helping his own people, he cleans up some things that are inside and outside, and the Internet is full of crusades.

   And last year, China Aluminum’s stake in Rio Tinto resulted in a loss of US$8 billion, which is enough to build two or three aircraft carriers. During this period, it was also the financial advisor of Huajin. Without vision, Huajin couldn’t get rid of it.

   At the same time, there was another slapper named Lehman who served as a consultant with Joaquin last year.

  Lehman collapsed a few months after the completion of the Hualu case.

   Therefore, Hualu's vision of choosing financial advisors has also been questioned by everyone.

   Vision Capital was scolded likewise!

   In the words of netizens: Envision Financial Holdings acquired Lehman Asia, changed its name to today's Envision Securities, and used the original team, so it also inherited Lehman's stupidity!

  Mr. Xia, such a smart person, actually started a business at a loss.

   Fortunately, everyone is quite tolerant towards Xia Jingxing, and the accountability only stays at the level of Envision Securities, and there is no mention of Xia Jingxing eating inside and out.

   Mainly because Xia Jingxing held an industry conference, donated tens of billions of dollars to help higher education, etc. The halo of a series of things has not yet dimmed, and the prestige is there.

   But even this made Envision Securities very uncomfortable.

  As an investment bank that makes a living by matching transactions, it has been questioned by the public for lack of vision and being played around by overseas financial giants. Who will trust you to do the work in the future?

   This is a signboard!

   Seeing the intensifying public opinion, Yuanjing Securities couldn’t sit still, held a press conference, and invited people from China Aluminum Group to testify.

People from   Hualumin didn’t want to testify. After all, it was a shame because they didn’t adopt Envision Securities’ plan.

  But if they don’t come, let Vision Securities unilaterally hold a press conference, who knows who they will throw the blame on in order to clear their crimes.

   Therefore, Hualu had to pinch its nose to testify.

   However, before the official press conference, Hualu also had a friendly communication with Envision Securities, and wanted to make Envision Securities lightly spray.

   The two sides quickly reached a consensus (exchange) and decided to throw the blame to the foreign capital together. Hualu was also deceived and belonged to the victim.

   So, there was an interesting scene at the press conference.

  Envision Securities introduced the acquisition plan it designed for Hualu in a righteous manner, and Hualu kept apologizing, and at the same time included three major foreign investment banks.

   "Envision Securities deeply regrets and regrets the economic losses caused to China Aluminum and the country.

   However, we firmly deny the unwarranted charges placed on Envision Securities by the outside world. We are an investment bank with a high sense of social responsibility and ethical bottom line.

   From the day of establishment, our corporate goal and vision have been “to help Chinese-funded enterprises go overseas safely, and to let outstanding enterprises enter the world stage”.

In the case of   Hualumin, although we tried our best, the result was still unsatisfactory, and it also caused misunderstandings by many people from all walks of life who were concerned about the matter.

   Therefore, on behalf of Envision Securities, I have decided to donate all the $15 million in financial advisory fees I received from Hualu to Project Hope. "

   Chen Hong's remarks immediately aroused heated discussions among reporters who came to the conference.

   It seems that I really misunderstood Vision Securities!

They have carefully designed an acquisition plan with a very high success rate. It’s not even if it was not adopted by the entrusted Fang Hualu, and it was also angered by netizens. Now, in order to prove their innocence, they don’t even need the financial advisory fee, and they have to donate it. .

The influence of   Envision Securities' press conference gradually spread out.

   Netizens who knew the truth began to apologize to Envision Securities in a one-sided manner and sang praises.

   In just a few days, there was such a huge public opinion reversal in the shocking acquisition case, attracting many netizens who had not paid attention to the matter.

   Envision Securities' experience is very sympathetic to everyone, and it has the color of a tragic hero!

   Dedicated to contributing to the country, but was not taken seriously, and was later misunderstood by netizens.

   Even if the world slandered him, he still maintained a pure heart, and backhandedly donated almost 100 million RMB to the Hope Project.

   This kind of money doesn’t matter if you don’t earn it!

  Although Xia Jingxing did not show up or make a sound the whole time, everyone knew that this must be his handwriting again, full of local tyrants of the Xia clan.

   After this incident, Yuanjing Securities was considered a success in whitewashing, turning defeat into victory, and showing its face in front of the people all over the country and gaining a good impression.

   However, Xia Jingxing does not value these, because Envision Securities is currently mainly engaged in ToB business.

   Through this incident, many companies planning to go overseas or going overseas have noticed Envision Securities!

   This is a professional investment bank that is in the same family as Vision Capital and has the same professional level as Wall Street, but its moral bottom line is higher than Wall Street.

  Compared with them, domestic investment banks are much less experienced in fighting against the cunning Wall Street financial institutions.

   To some extent, Envision Securities has become a financial institution that is scarce and difficult to replicate.

  The best partner to go overseas, who else!

  Hualu is a negative teaching material. It doesn't listen to the hard-hearted advice of Yuanjing Securities, and then falls into the trap of foreign devils!

   Huajin, as the highest-level investment bank in China, has participated in the overseas acquisition of Hualu twice, but its performance can only be described as immature, and it cannot **** overseas enterprises.

   In this case, even a fool knows who to choose as his bodyguard when he goes out to sea.

   I seem to have caught a cold and my head is dizzy. There are only two updates today, and I wanted to add another one.

  

  

   (end of this chapter)