My rebirth is different

Chapter 671 New Lenovo Group

The news of Star Technology's acquisition of Alienware and Lenovo, in fact, did not have too many media reports abroad, nor did it attract much attention.

Alienware is not a big company, but it is relatively well-known in the circle of gamers, so it was acquired, and only a few IT industry media reported it.

As for the acquisition of Lenovo, it was quite a sensation in mainland China. There was a wave of screens on various media, and everyone was discussing this matter. Because Lenovo is the complete machine manufacturer with the largest market share in China, this acquisition The protagonist of the show is Yu Wenfei who has received much attention!
However, Lenovo was not well-known abroad at that time, so this news was not even paid attention to by Alienware in North America.

The reason why Peng Mingsheng saw these news at the first time was because he has been paying attention to the movements of Star Technology and Lenovo Group recently.

Last time Star Technology quoted a price to IBM, I returned a high price myself, thinking that Lenovo would compete with Star Technology.

The result was a bit unexpected, because the other party suddenly stopped moving and was wondering, Peng Mingsheng saw these news.

Star Technology actually acquired Alienware!

It also bought Lenovo Group!
Didn't they want to buy IBM's personal computer business? Why did they suddenly turn around and buy two other computer companies? Could it be that they gave up IBM?
Peng Mingsheng was a little flustered.

After several years of hard work, Lenovo finally got excited and began to seriously consider acquiring IBM's personal computer business.

As a result, the situation is now in chaos again. What is this star technology that popped up out of nowhere thinking?

"Did Mr. Zhou, who was in contact with us last time, contact you these two days?" Peng Mingsheng asked his assistant.

"No, there hasn't been any movement since our price was reported." The assistant replied truthfully.

After pondering for a moment, Peng Mingsheng ordered: "You take the initiative to call Mr. Zhou and invite her to visit our IBM company. No matter whether the transaction is successful or not, we still have to treat guests from afar with hospitality."

…………

After receiving the invitation, Zhou Mengyi did not shirk, and readily agreed to visit IBM's headquarters.

Peng Mingsheng warmly received Zhou Mengyi and his party, and personally took them to visit IBM's exhibition hall, R&D center, software business department, and personal computer business department!
The time spent in the personal computer business department is obviously longer. Peng Mingsheng introduced in a proud tone: "Our IBM personal computer basically represents the development of the global personal computer industry! From the very beginning, we IBM formulated open computer standards, which made the entire industry flourish. It was with our support that Microsoft, Intel, and AMD emerged.

Everyone knows that before us, the computer industry was closed, and a company developed and produced everything from software to hardware by itself.In that case, the progress of the industry will be too slow, and small companies will not have a bright future...

Especially the launch of the THINK brand has made IBM's personal computer a synonym for high-end. In terms of notebooks, our THINKPAD is world-renowned. "

He is indeed qualified to be proud, after all, he is the "Big Blue", and the development history of the entire company represents the history of the IT industry.

Zhou Mengyi was well aware of Peng Mingsheng's intentions. After all, he was just promoting their personal computer business department.

After returning to the meeting room, Peng Mingsheng asked seriously: "Mr. Zhou, how do you think about the acquisition of our personal computer business department?"

Zhou Mengyi didn't speak, but the acquisition consultant next to her replied: "After our discussion, we think that the price proposed by your company is not sincere!"

Palmisano pretended to be displeased and said: "Please note that what you are going to acquire is IBM! The THINK brand alone, I think, is worth a billion dollars!"

The acquisition consultant didn't listen to him at all, shrugged and said: "Who knows, maybe, but the question is, under the current situation, will any company really be willing to spend a billion dollars to buy your THINK brand? Mr. Mingsheng, please recognize the reality, the personal computer industry has already declined, otherwise you would not quit."

Palmisano said without flinching: "I don't think the personal computer industry is in decline. Otherwise, why would Star Technology spend huge sums of money to enter this industry?"

"That's because our main markets are in underdeveloped regions such as the Asia-Pacific region and Africa. In these places, the computer penetration rate is not so high, so there are still markets. But everyone knows how low the profit margin is in these markets. And your THINK brand positioning is not suitable for sales in these regions." The acquisition consultant retorted.

"So? You bought Lenovo Group and gave up our IBM PC business?" Peng Mingsheng asked with an unchanged expression.

"No, if the price is right, we can still buy it. As for the strength of Star Technology, Mr. Peng Mingsheng must have already understood it." The acquisition of shares replied with a smile.

After some verbal confrontation, everyone understood each other's thoughts.

It goes without saying that IBM is eager to sell the personal computer business, and everyone in the industry knows this idea, which is why Star Technology dares to lower the price.

As for Star Technology, the attitude is that the price is right, so buy it, it's not bad for money!
But if you want to kill them for taking advantage of them, I'm sorry, IBM's reputation can't scare anyone, and after the acquisition of Lenovo, IBM's personal computer business is dispensable.

Peng Mingsheng has already been authorized by the board of directors and has sufficient decision-making power, and this matter has been dragged on for so many years, and his patience has already been exhausted.

Now, as long as the price is similar, he doesn't want to procrastinate any longer, so he asked sincerely, "So what price do you think is appropriate?"

The key question, of course, was Zhou Mengyi's answer, and she didn't go too far, and directly quoted the price that Yu Wenfei told her.

"12 billion US dollars, paid in cash in one lump sum!"

To be honest, this price is not high. IBM's psychological expectation price is actually more than 13 billion. In the negotiation with Lenovo, they have not let go.

But the 12 billion in cash is still paid in one lump sum. This settlement method is too tempting!
In large-scale acquisitions, all-cash acquisitions rarely occur. Usually it is cash plus shares, and it may even take several years to pay off in several installments.

Although Star Technology's offer is a bit lower, they are offering real money, unlike the previous Lenovo, which has been talking about half cash and half shares.

Seriously, IBM really has no interest in Lenovo's stake!
A company that assembles computers doesn't have any core technology of its own, what do you want its shares for...

What's more, IBM is very pessimistic about the personal computer business, and what it wants is to get out of this industry.

So the two parties have been talking for several years, but no result has been reached.

…………

Naturally, such a large-scale merger and acquisition cannot be discussed in one day. However, Palmisano made it clear that he would carefully consider Star Technology's offer and hoped that the two parties would maintain close contact.

Yu Wenfei received a call from Zhou Mengyi. On the phone, Zhou Mengyi reported to him the results of the negotiations with IBM.

After thinking for a while, Yu Wenfei said: "It should be almost done. After I get Lenovo's business done, I will fly to the United States to finalize the IBM business."

After the acquisition of Lenovo Group, Star Technology still has 12 billion RMB and [-] billion US dollars in its account.

Originally, there was 15 billion US dollars, but the acquisition of Alien Company just cost 3000 million US dollars.

IBM estimates that the maximum is about 13 billion, and the minimum may even reach 12 billion US dollars. Therefore, after the completion of the merger, there is still enough funds on the books to start the "Informatization Project for the Benefit of the People".

But that plan is too huge, and it takes time to prepare. Yu Wenfei doesn't want to waste too much time on mergers and acquisitions.

Fortunately, the acquisition of IBM's personal computer business does not conflict with this project for benefiting the people, because the main company implementing this project for benefiting the people is Lenovo. Both IBM and Alienware are high-end brands and do not participate in this project. of.

…………

On November [-]st, Star Technology officially issued an announcement on the official website, announcing the establishment of a new Lenovo Group, which is mainly engaged in consumer electronics products.

The new Lenovo Group includes the original Lenovo listed company and the newly acquired alien business unit.

The news of Star Technology's entry into the personal computer industry has been spread for several days. Basically, everyone in the industry knows about it, but it has not been officially disclosed to the public.

Now the announcement on the official website of Star Technology also means that the dust has settled, and the acquisition of Lenovo Group and Alien Company has been completed.

"Boss Fei is making another big move! From the Internet industry to the personal computer industry, what on earth is he thinking?"

"Yes, the Internet industry is so promising and makes money so fast, why do you want to do the computer business? Isn't the computer business dead?"

"Mr. Fei's ideas are often unconstrained. Could it be that the personal computer business is not as bad as we think, but there are big business opportunities hidden..."

"Let's see his next move. Hehe, I'm very worried about companies in the computer industry. According to Mr. Fei's style, every time he enters a new industry, he wants to subvert the entire industry."

Everyone in the Internet and PC circles widened their eyes, ready to see what the hell Yu Wenfei was up to.

Good Internet companies don't do it, and suddenly spend so much money to make complete computers.

Of course, at this time, everyone still doesn’t know about Yuwenfei’s plan for informatization benefiting the people, and that plan can only be seen by some high-level people.

If the plan is made public in the future, it will probably cause an "earthquake" in the industry...

(End of this chapter)