Hong Kong's new giants

Chapter 511 [Club Med]

On Monday morning, Lin Zuhui appeared in a meeting room of an office building in Paris, and he had to admit that his team was strong, so he would not waste any time.Because he had breakfast at the Luchen Family Manor in the early morning, and started to drive to Bordeaux airport at seven o'clock, and he had already appeared in the office building in Paris at half past ten.

In the conference room are the high-level executives of the New Era Hotel Department, including President Corbert, Vice President Li Mingtao and others.

In fact, the hotel system structure of New Times Group is very simple:
The 34.5% stake in Shanghai Xiangjiang Hotel (with a market value of more than 230 billion) and the 34.5% stake in Mira Hotel (with a market value of more than 100 billion) are two heavy assets. Directors have the right to interfere and advise the two hotel groups, after all, they are major shareholders.

With these two assets alone, they are already comparable to the hotel assets of New World Development.In addition, there are the Aircoa Hotel Management Group network in the United States, the Constellation Executive Hotel Group in Canada, the Hilton Hotel in Manila, and the Furama Hotel in Hong Kong.

Easily, let the group's hotel assets become the NO.1 in Hong Kong.

This time everyone gathered in Paris, France, and naturally there was a big move.

After Lin Zuhui sat down, he cut straight to the topic without too much nonsense: "Let me report on the situation of Club Med!"

Corbett immediately said: "Okay, BOSS. Club Med was established in 1950 and is currently the world's largest resort brand. It currently has 91 resorts around the world, mainly in Europe, followed by America, Asia, and Africa. In 1991 After the death of founder Blitz, the same year 'Desert Storm (Gulf War)' severely affected the tourism industry, Club Med suffered heavy losses. Today, the market value of this company is 2.2 million US dollars."

Listening to Corbett's report, Lin Zuhui also fell into thinking. This kind of resort is less profitable than a hotel. It may have an annual turnover of 10 billion U.S. dollars and a net profit of only 1000 million U.S. dollars. It may even be in a loss state.Because of this, the asset value of such enterprises is high, but the market value is very low.

It's not that his net profit is really so low. Assuming that there is no investment in the purchase of heavy assets or large-scale renovations for a few years, then the net profit of one year may reach hundreds of millions of dollars, and the investment can be recovered in a few years. Very good condition, efficient and helpful management of the company management.

But what Lin Zuhui considered was not the rate of return, but the issue of the industrial chain and influence.

First of all, let’s talk about the industry chain. Entering into the resort brand can improve the industry chain of the hotel group in the new era, which will have certain influence and benefits for the entire hotel group; especially Lin Zuhui also wants to create a high-end luxury hotel brand called 'Atlantis' Come out, strictly speaking, this brand also belongs to the "cultural tourism" industry, which is considered to be of the same type as the Club Med brand.

The second is influence. Lin Zuhui can't always "speculate" to make money, which will limit his family's industrial prospects. The biggest limitation is that he will not have much influence in the future. Other countries will reject his investment because he He is just a 'speculator' and 'speculator', who is easy to be thrown eggs. 'Club Med' is the world's largest resort brand with tens of thousands of employees. After his acquisition, it is equivalent to him supporting more than [-] employees.

After simply listening to the report, Lin Zuhui already knew it well, and he didn't need to read the report, investigate and analyze repeatedly like the masterminds of other companies.

"How is the shareholding situation? How do you plan to acquire?" Lin Zuhui asked.

The implication is that the project is finalized.

In fact, New Era Hotel Group has done a lot of investigation work in the early stage, as well as the pre-plan after the hypothetical acquisition.

Therefore, Corbett said: "The holdings are very dispersed. The largest shareholder is the current chairman and CEO-Serge, who owns 8% of the shares. However, he has just taken over from his father Gilbert. The position of Rigano has not yet formally mastered the company."

Lin Zuhui asked curiously: "Isn't the founder Blitz? How did it get to this family?"

Corbett immediately explained that the Trigano family was originally a small family that produced tents. In the 60s, Club Med was just a company that invested in 'tent villages', and the Trigano family was the factory owner that produced tents. Investing in this company, Gilbert Trigano also became the treasurer of Club Med, and later became the chairman of the company's board of directors.

After the founder Blitz died in 1991, Gilbert Trigano served as the CEO concurrently. As a result, the company encountered "Desert Storm" and the company's business plummeted. After all, Gilbert Trigano was old. He passed it on to his son Serge, hoping that Serge would carry out revolutionary reforms.

Lin Zuhui said: "Since this is the case, let's make a public acquisition. It is a trial offer with a premium of 2%. There is no need to act too hastily."

Now that it is abroad, and it is not a Chinese country, it is better to 'good faith acquisition'.

Corbett nodded and said, "If you just become a major shareholder, it should not be difficult to acquire. But if you acquire a wholly-owned subsidiary and delist it, then it will be somewhat difficult. After all, this is not a mainstream acquisition."

Lin Zuhui thinks that delisting acquisitions are indeed not mainstream acquisitions. In addition, in the eyes of many French people, Club Med is a natural extension of French brands and an enterprise that promotes their art of life and festivals. Therefore, this is not a simple tour. group.Therefore, such acquisitions are still somewhat hindered.

"Just becoming a major shareholder is not enough. I don't really believe in Serge's reforms, so I hope that we must at least master the appointment of personnel and re-recruit the CEO."

Corbett said quickly: "No problem, we must at least achieve this result."

Lin Zuhui added: "If it can be privatized and delisted, it will be a better result. I like to reorganize this brand, make a profit, and then re-list at the most appropriate time."

Currently, the brand is still losing money, so Lin Zuhui hopes that someone can take care of Club Med.

"Okay, boss."

The acquisition offer of Club Med by New Era Hotel Group was quickly delivered to the office of the chairman of Club Med and publicized through the French media.

For a time, public opinion in France ignited.

The world's richest man has just robbed a famous second-class wine estate from France, and now he is targeting the French cultural tourism brand - Club Med again.

Of course, compared to the public opinion on the acquisition of the Latour and Luchen family estates, the opposition this time is much smaller.

club med.

Corbett came to Serge's office to discuss the acquisition.

Serge was actually very interested in the offer from New Era Hotel Group. After all, with the news of the acquisition, the company's stock price immediately soared by more than 5%, equivalent to the 8% equity of their family, which also appreciated a lot.

And he also knew that the super-rich man in the world was behind the New Era Hotel, and the 20% premium was obviously not enough for a successful acquisition, as there would be higher prices in the future, so it was best to join new bidders.

So, Serge asked: "President Corbett, for your acquisition, we need board discussion and the approval of the French financial regulator AMF."

Corbett said with a smile: "Of course! I just came here to have a friendly communication with Mr. Serge. We bought Club Med with great sincerity."

Serge immediately asked: "Since you are talking about the acquisition with sincerity, you must only be the major shareholder and not interfere with the company's operations?"

Corbett shook his head, surprising Serge.

"Mr. Serge, we hope to redefine 'Club Med'. After all, the company's situation has been really bad in the past few years, so we hope that you will take the money and abdicate."

Sai Qi suddenly said unhappily: "Is there a way for you to manage the club well?"

Corbett said confidently: "We have some business strategies, but we will hire a more suitable CEO to manage this company." The source of his confidence is that the acquisition was proposed by the boss, and the boss seems to be confident That's why he's 'not ashamed'.

As for why he told Serge bluntly, it was because of the need for a "sincere acquisition", and it was what it was.Moreover, Serge cannot decide whether to accept or not. It is up to Club Med's board of directors and shareholders' meeting to decide whether to accept the acquisition.

Serge really could only say bluntly: "Okay! We will organize a board of directors, and we will inform you whether to accept the acquisition or not."

Corbett nodded, and said: "Assuming our acquisition is successful, if President Serge is optimistic, he can also retain some of the shares. We are willing to retain the position of 'Honorary Chairman' for you."

Serge immediately retorted: "Where do you have the confidence to run the club well?"

Corbett said with a smile: "A 29-year-old self-made richest man in the world has this strength in himself. President Serge shouldn't think 'that's just luck'?"

Serge was speechless immediately!

Lin Zuhui is by no means an unknown person in Europe and the United States, especially in the past one or two years, he not only bought eight skyscrapers in Manhattan, but also invested in "Canary Wharf" in the UK. Not a tough record.

What's more, Lin Zuhui enjoys the title of "Asian stock god" and is well-known on Wall Street for his investments in Citigroup, Microsoft, and General Dynamics.

After launching the acquisition of Club Med, Lin Zuhui did not choose to sit in charge in person. After all, such an acquisition may take a long time to bear fruit.Maybe the board of directors of Club Med rejects the acquisition proposal, then New Era Hotel Group will raise the offer again and try again; it is also possible to join a third-party competitor halfway, and then bid again.

After all, this is a bona fide acquisition, so the final answer can only be found through quotations and board resolutions/shareholders' meetings.

(End of this chapter)