The two pursuit objects have their own advantages and they are sincere. Who should we marry? Fujian Automobile Group (hereinafter referred to as "Fuzhou") is currently facing such a dilemma, and its estimated time is only a few months.
After the car revitalization plan identified the "Four Big Four, Small, and Big Eight" auto group and issued a signal to encourage the merger and reorganization of the eight major conglomerates, the Fuqi Group, ranked after the Eighth National Congress, became a highly sought-after merger and reorganization target.
Guangzhou Auto Group, which has just completed the acquisition of Changfeng Auto (hereinafter referred to as Guangqi), has not stopped the pace of mergers and reorganizations. Instead, it has joined the ranks of restructuring Fuzhou Gas and competes with Beijing Automobile Group (hereinafter referred to as Beiqi).
The further news is that currently, Guangzhou Automobile and Beijing Automotive have put forward effective plans for reorganization of the bunker, and negotiations have entered a crucial stage. "The two sides have already stood on the same starting line and only wait for the final choice of Fuqi. It should have clear results within a few months."
GAC's strengths lie in its financial strength, management capabilities, and its close relative relationship with Mitsubishi Motors' joint venture partner Mitsubishi Motors, while BAIC is dominant in government relations.
Prior to the acquisition of Changfeng Automobile, Guangzhou Automobile had already engaged with Fuqi for more than a year in reorganization.
The reporter called Guangzhou Automobile Group, Guangzhou Automobile Group for the first time admitted to contact with Fuqi reorganization. “Before, GAC did have frequent contacts with Fuqi,†said Lu Wei, director general of GAC Group. “The two parties are still in contact and have not reached the final stage. There is no update on the progress of disclosure.â€
During the long period of time before Guangqi and Changfeng Automobile contacted, Guangzhou Automobile had been in contact with Fuqi and proposed a feasible restructuring plan. However, because Beiqi was ahead of Guangzhou Automobile, negotiations between the two sides have been slow. "Guangzhou Automobile has only missed the opportunity at a certain time, otherwise it may not consider buying Changfeng Automobile."
After the acquisition of Changfeng, the well-funded GAC has once again begun to consider the reorganization of the buzzer. There are many aspects to consider: It is possible to complete domestic expansion and attract overseas joint venture partners. These include the development and layout of self-owned brand projects, as well as the foreshadowing of potential joint venture partner Mitsubishi Motors.
Acquiring Changfeng, Guangzhou Automobile also formed a partnership with Mitsubishi of Japan. This was reflected in the signing ceremony of GAC's acquisition of Changfeng. Zeng Qinghong, general manager of GAC, stated that it will continue to maintain cooperation with Mitsubishi.
According to sources, Changfeng and Mitsubishi’s technology transfer agreement is about to expire at the end of June, and Mitsubishi’s divestment from Changfeng Auto is not ruled out. If the company withdraws its capital, Mitsubishi's cooperation in China will be limited to the Southeast Motor Corporation of Fuzhou. In order to retain Mitsubishi Motors, Guangzhou Automobile acquired Fushun, which has a deep foundation for cooperation with Mitsubishi Motors, to be able to double-sculp the sword.
In terms of autonomy, Guangzhou Automobile's own brand technology is mostly derived from Fiat, and Fuzhou has also made breakthroughs in independent research and development in the past two years, and there is room for planned production capacity. Once the reorganization of Fuqi, GAC will add to its own strength.
If GAC succeeds in the acquisition of Fuqi, GAC can link Fujian, Guangdong, Hunan and other regions together, increase several new projects at the fastest speed, and quickly enter the ranks of “bigger and stronger†groups.
"Beiqi has been entrenched in this matter for too long and has already missed the advantage of first move. Now, GAC and BAIC are already on the same starting line for the restructuring of the bunker." The source said that as a domestic key automobile group, GAC and BAIC are interested in doing so. Bigger and stronger, the current proposal for reorganization of convergence, that is, the acquisition of Fuqi, the two sides are on the PK platform.
BAIC's restructuring of Fuqi has already spread across the industry. Because of its common partners, Chrysler, Mitsubishi and Daimler, the two sides have been in contact for three to four years. However, due to differences in the reorganization mode between BAIC and Fuqi, there has been no intention to reach an agreement.
A person involved in Beiqi's contact with Fuqi revealed that BAIC has been hoping to purchase Fuzhou with approximately RMB 500 million through the transfer of assets, but Fuqi is not satisfied with the purchase price, so Fuqi proposed that it will always be profitable. Fujian "Large-sized Dragon" project was stripped of reorganization projects. Beiqi has always insisted on the acquisition of Fuqi as a whole.
"In this stalemate, BAIC has set aside its lead," the source said. A senior executive of Fuqi Road lamented that “If BAIC does not stick to the price of RMB 500 million, and it will start the new scheme as soon as possible, I am afraid there will be no question of GAC.â€
With the addition of Guangzhou Automobile, Beiqi also revised its restructuring model. Its feasibility is similar to that of Guangzhou Automobile.
In the aspect of partnership, Fudan has the Daimler commercial vehicle project. Through a series of operations, Beiqi has become Daimler's most important partner in China, with Mercedes-Benz sedans and Foton Daimler heavy truck projects. GAC acquired Changfeng and indirectly infiltrated with Mitsubishi, which is an important partner of Mitsubishi Motors in China.
It is reported that the restructuring models proposed by GAC and BAIC are all acquisitions and are committed to providing a better future for Fuqi and investing more rolling capital.
“In the end, who can reorganize the blessing of the blessing of the blessing, it is still not conclusive. It is only for the blessing of Fuqi and the Fujian Provincial Government to decide.†The source said.
Faced with two alternatives, Fuqi knows its advantages. A high-level analysis of Fuqi, in the resources that can be integrated outside the Group of Eight, Fuqi has its own characteristics. First of all, Fuqi is located in the coastal area and has always been a hot spot for the auto group. Second, unlike other local governments, Fujian Province holds the desire to be reorganized for Fuqi. As early as the end of last year, the Fujian Provincial Government formulated a reorganization of the “three benefits†principle for Fuzhou: it is beneficial to the Fujian automobile industry, is beneficial to the Fuzhou Group, and is beneficial to the stability of the Southeast Automotive Industry.
In addition, Fuqi Group owns two major brands, Dongnan Automobile and Jinlong Bus, and Daimler and Mitsubishi, which are joint ventures with good basic conditions and a certain scale of the automobile industry. “Foo steam high-level has also discussed that the main reason that Fuqi has not done it yet is that the capital investment is insufficient. Once there is sufficient investment, Fuqi will be able to quickly activate and quickly realize the scale.†The above-mentioned bunker disclosed.
“Footworks eventually settled on anyone, mainly to see the choice of Fuqi and the Fujian Provincial Government. If it is considered from the capital, Guangzhou Automobile is the best choice, after all, Guangzhou Automobile is the most important thing is money. But Beijing Auto has Beijing Municipal Government’s With funding support, money is not a big problem. Therefore, money is not a fundamental factor. What matters is other factors."
"Other factors" refer to the game of interests between the three governments. Ultimately, it depends on the coordination between the Beijing Municipal Government, the Guangzhou Municipal Government, and the Fujian Provincial Government. What is certain is that in the face of such advantageous resources as Fuqi, Beijing and Guangzhou, although not arguing, have long been in secret. Do not rule out the possibility of another kind of neutralization, that is, the separation of Fuqi, GAC and BAIC reorganize the required assets.
At that time, GAC restructured Southeast Automotive, and the curve completed a joint venture with Mitsubishi, making Fuqi a production base for GAC Mitsubishi and Hunan as a production base for GAC Fiat. BAIC reorganized the Fujian Daimler project to achieve further "close contact" with Daimler.