Chapter 173 Rich again Guo Yang also knew that the higher-ups were not trying to take advantage of main reason is that the effect of Alfalfa No. 1 in improving saline-alkali land is too obvious. One seed can change the food strategy of the entire country. It is no exaggeration to say that it is a national treasure. Several state-owned enterprises also mainly want to acquire shares in Alfalfa Agriculture and Animal Husbandry, and are not overly concerned about Tianhe Seed Industry. China Development Bank, China National Grain and Agricultural Development Group. Guo Yang looked at the plans of several companies. China Development Bank is preparing to acquire a stake in Alfalfa Agriculture and Animal Husbandry by using the equity of Luo Potassium Company and part of the cash. When China Development Bank increased its capital and expanded its shares, Luo Potassium Company was valued at million yuan. After it took over, it invisibly raised its invisible value. For example, originally no bank was willing to lend money to Luo Potassium Company. After China Development Bank took control, it proposed a plan to increase its production capacity to 5 million tons within five years, with a total investment of tens of billions of yuan, 220% of which was loans. After the capital increase and share expansion, Luo Potassium Company was valued at 10 billion yuan. Alfalfa Agriculture and Animal Husbandry uses discounted cash flow pricing method, taking into account the high revenue growth, and its valuation is approximately 70 billion yuan.
The initial plan agreed upon by CDB Investment and Jiahe Strategic Investment Department is that CDB Investment will acquire 10% of the equity of Alfalfa Agriculture and Animal Husbandry with of the shares of Luo Potassium Company plus 5 million yuan in cash. If the plan is successful, Jiahe Group's shareholding in Luoyang Potassium Co., Ltd. will reach . SDIC holds 53% of the shares of Luoyang Potassium Company and 5% of Alfalfa Agriculture and Animal Husbandry. Guo Yang was not sure whether this financing plan would make a profit or a loss. The potential economic value of Lop Nur potash is as high as 8000 billion yuan, but it will take several years for its profits to be realized. Alfalfa Agriculture and Animal Husbandry has already achieved profitability, and its future profitability is also very stable. Guo Yang didn't hesitate and signed it directly. It was an exchange in the first place and the assets of both parties were excellent. Jiahe won’t lose out either. However, the financing plans of China National Grain and Agricultural Development Group are a bit problematic. MD, it’s all cash. Why does Jiahe need so much cash? Wouldn’t it be better to just take out a loan? But in exchange for more state-owned resources, Guo Yang signed the contract without hesitation. The more you worry about it, the more headache you will get. It’s better to just do it. Guoliang Group invested million yuan and also acquired 5% of the equity of Alfalfa Agriculture and Animal Husbandry; The Agricultural Development Bank, a subsidiary of the Agricultural Development Group, invested million yuan to acquire 8% of the equity of Tianhe Seed. , In total, Jiahe obtained billion yuan in financing by selling shares. Guo Yang held a pen in his right hand and tapped the table quickly and rhythmically. With this money, Golden Harvest's expansion speed will naturally be increased to a higher level. Otherwise it would be a shame to give up the shares. Guo Yang also learned about the progress of other projects.
The lease plan of Delong Livestock has entered the substantive negotiation stage. Guo Yang issued a new instruction to Hexi Dairy. In the three regions of North China, East China and Southwest China, 2-3 super-large ranches with tens of thousands of dairy cows should be built in each of them to support the development of three milk distribution centers. The acquisition of Denong agricultural supplies supermarket has also entered the final stage. Tianhe Seeds had a lot of cooperation with Denong Agricultural Materials in Shandong Province and was familiar with its business model. After finding out about its assets, the merger agreement was drafted. Tianhe Seeds will acquire of the equity of Denong Agricultural Materials Supermarket at a floor price of million yuan and assume more than million yuan of debt. According to Qu Yang's prediction, if Denong Agricultural Materials wants to maintain its operation and provide support to Tianhe Seed Industry, Tianhe will need to invest about 50 million yuan in it. Guo Yang directly approved million yuan of funds, and the agricultural supply supermarket expanded its tentacles to other major agricultural provinces. The cooperation with Jiusan Grain and Oil to establish an organic soybean base has also made progress. 10 acres of land have been transferred in advance on the coastal saline-alkali land in Dongying. Negotiations on the Gobi Desert between Jiuquan and Jiayuguan were also relatively smooth. The government agreed to let Jiahe take over the Gobi Desert between the two cities for million yuan. The specific plan has been submitted to senior management for approval. The research and development work of Fengkai Agricultural Machinery has finally come to an end, including corn seed production machinery, forage machinery, and grain harvester. At the same time, Guo Yang asked Guan Cheng to pay attention to the research and development of civil drones. The problem with Fengkai Agricultural Machinery is still that its production capacity cannot keep up, but the production base at its headquarters in Shandong Province is already expanding with all its strength. At the same time, the assembly plant in the northwest has also completed the relocation demonstration, and it will also be upgraded to an agricultural machinery production and manufacturing base. The plan for overseas agricultural machinery production bases has also taken shape. A wheel tractor production base will be built in Turkey in a joint venture with a local company, radiating to international markets such as the Middle East, Central Asia, and Africa. The reclamation team of Donghe Agricultural Machinery was also transferred to the Asafetida Gobi Desert in full swing. The two million mu project made Zhang Wei very excited, and at the same time he clamored to Fengkai for more agricultural machinery and equipment. Basically all the work is progressing, but Golden Harvest's overall style of doing things is still relatively rough. Just like Zhang Fei reciting poetry, rough but detailed. After working for a whole day with Xie Shijie, I finally sorted out the accumulated things. Guo Yang lay comfortably on the sofa and rested. Xie Shijie made him another cup of tea and brought it to him. "Boss, we already have a candidate for your secretary, but you still need to interview him in person." Guo Yang raised his eyebrows, "Oh? What's the specific situation?" "Ning Yajing, 31 years old, I heard from Yang Cheng that she is a great beauty. She previously worked in an investment bank in Beijing and was attracted to Jiahe by its reputation." Guo Yang rolled his eyes at him, "Are you attracted by Jiahe's fame?" "Yes, the news that Jiahe is about to receive financing from three large state-owned enterprises has already attracted much attention in the investment banking circle." "Oh." Guo Yang said indifferently. He didn't want to talk more about financing. A few more days passed. Jiahe Group has been very active, and with its usual reckless style, several investment projects have been signed one after another. It has created wave after wave of storms in the business world. Especially when the details of Jiahe's financing came out, people in the investment and financing circles were stunned. "With million yuan of capital, Guoliang Group only acquired 5% of the equity of Alfalfa Agriculture and Animal Husbandry?" "CDIC only received 10% of the equity in Luoyang Potassium Company with of its shares and 5 million yuan in cash?" News like this leaves the financial and business elites very puzzled.
Have questions? In particular, the Luo Potassium Project has a potential economic value of up to 8000 billion. After China Development Bank took control of Luoyang Potassium, the state's supporting policies followed up, an application for the construction of a dedicated railway line was made, and banks flocked to the company. The local government has also strengthened the construction of Lop Nur Town, including gas stations, communications, satellite receiving stations, passenger stations, weather stations, food, vegetables, daily necessities, fresh water... A small town with complete social services was established in the barren land of Lop Nur. The prospects of Luo Potassium Company are attractive! But to exchange his 10% stake for 5% of Alfalfa’s equity, he actually had to spend million yuan in cash? Is Alfalfa Agriculture and Animal Husbandry worth that much money? Everyone was confused. The last time Alfalfa Agriculture and Animal Husbandry went viral was when it was reported by CCTV, letting people in the business and political circles know that in the northwest, an unknown company had created miracles on saline-alkali land. The transformation of saline-alkali marshes into oases has made many people excited and unable to sleep at night, and has also made more companies and individuals think about investing in saline-alkali land. But Alfalfa Agriculture and Animal Husbandry has only been established for a few years? In just three years! Feelings of misunderstanding began to spread, and some media went to Weiguang Company for interviews but received no answers. Some people contacted China Development Bank, China National Grain and Oils Corporation, and Agricultural Development Group, but the official answers were full of official flavor. "Alfalfa Agriculture and Animal Husbandry and Tianhe Seeds are both excellent companies. This is a win-win cooperation." Such an answer obviously could not satisfy them. Some people began to doubt, and there was endless debate in the media and on the Internet. "Ropotash is definitely undervalued." “There is definitely insider trading!” "Yes, I checked the data. Last year, my country produced 165 million tons of potash fertilizer, but imported 657 million tons, directly spending nearly 8 million yuan in foreign exchange. There are relevant forecasts that my country's domestic consumption of potash will reach 2010 million tons by 1120." "CDIC also signed a 200 billion investment agreement with Xinjiang this year, and Xinjiang has also stepped up infrastructure construction in Lop Nur town." “CDIC sits on a treasure trove but doesn’t treasure it!” "What's so strange about this? Do you know how much money the Jiahe Group gave to its leaders privately?" "I can testify that I saw with my own eyes that Mr. Guo stuffed red envelopes into the leaders' pockets." "Mr. Guo is really good at operation. In three years, Alfalfa Agriculture and Animal Husbandry invested at most 70 to million yuan, but three years later, its valuation has reached billion yuan!" “Is forage so profitable?” "The grass can't be sold at all. We basically produce and sell it ourselves. Now the cattle are all fed with feed." "It makes me want to lease a few acres of saline-alkali land." Waves of public opinion from all walks of life continued to surge, but Jiahe remained indifferent. They act as if you can do whatever you want, but the project progress has not slowed down.
But the more Jiahe did this, the more curious the outside world became. Tianhe Seed Industry was well-known for Tianyu No. 1, and a lot of information could be found, so it was known that its revenue would not be low. But what does Alfalfa Agriculture and Animal Husbandry have? Apart from hundreds of thousands of acres of improved saline-alkali land, alfalfa's only products are forage and seeds. Farmers would rather grow crops than grow forage, so you can imagine how low the economic value of forage is. The only valuable product is forage seeds, but the revenue from seeds is calculable. Due to state regulation, the profit is not too high. Its valuation of 70 billion is a bit outrageous. As a result, all kinds of inflammatory public opinions spread everywhere. “Domestic assets were embezzled.” "insider trading." Jiahe is not afraid. But the three major state-owned assets could not withstand this surging wave, especially China Development Bank, whose complaint phone line was flooded with calls. More details were subsequently revealed. (End of this chapter)