Snyder undoubtedly values his own interests more than the interests of shareholders.
In fact, the idea of selling Nice Company did not come from Snyder. If he had a choice, he would prefer to keep Nice Company afloat. If Nice Company is sold, his role as CEO will be over, and the new owner will
He will definitely not be given such a position. And if Nice Company remains in the hands of its original shareholders, even in such a recession as it is now, he can at least have a false name and appear to have some status in front of others.
However, the company's shareholders will not take this into consideration. In their view, Nice Company has no hope of rising. It is better to sell sooner rather than later. As for the impact on Snyder's identity after the sale,
What does it have to do with them?
This kind of conflict between shareholders and managers is the "principal-agent problem" that is quite popular in economics. There are differences in interests between the principal and the agent, which results in the failure of the business to operate as theoretically as possible.
of optimal.
Snyder doesn't understand the principal-agent model. He only knows that if the Chinese are willing to acquire Nice Company and are willing to keep him in the management position of Nice Company, then these two people in front of him will be his new owners in the future, and they are
A new owner that can bring benefits to itself.
"Mr. Xiao is right." Snyder organized his sentences in his mind, and then pretended to be reserved and said: "As a professional manager who has served in Nice Company for many years, I have deep feelings for Nice Company.
I also hope that I can continue to contribute to the development of Nice Company. If your company intends to acquire Nice Company and is willing to continue to inject funds into Nice Company, then our interests should be completely consistent and we can have full communication."
"We are very happy that Mr. Snyder is willing to cooperate sincerely with us." Qin Hai spoke. Snyder had already handed over the letter of surrender. How could he not accept it? "We have a sincere wish.
We came to discuss the acquisition of Nice Company. We hope to take over all Nice Company's brands, equipment and technology, including all technical personnel. Our initial estimate of the acquisition price is US$3.2 billion. What does Mr. Snyder think of this price?
?”
"This price is lower than the board's expectations, but given the sincerity of Mr. Xiao and Mr. Qin, I am willing to persuade the board of directors to accept such a price," Snyder said.
In fact, the acquisition price of US$3.2 billion is already higher than the board of directors' expectations, and Snyder is fully confident that the board of directors will accept this price. However, this is how negotiations are, no matter how good the conditions are, you have to pretend to be embarrassed.
Strive for more benefits for yourself.
Qin Hai did not expose Snyder's lies. He did not know how much the Nice Company's board of directors valued the company, so he wanted to acquire it at a premium, not without additional conditions, and the additional conditions were very difficult.
"Thank you Mr. Snyder for your cooperation." Qin Hai affirmed Snyder first, and then continued: "Please Mr. Snyder explain our acquisition conditions in detail when reporting to the board of directors. We hope that
We can obtain all the assets of Nice Company. After the acquisition is completed, we will split Nice Company into two parts. Some of the assets will remain in the UK to continue production; the other part of the assets will need to be dismantled and shipped back to China in order to make full use of China's resources.
Cheap labor resources. This condition needs to be explained before the acquisition."
"Disassembly?" Snyder frowned slightly: "Mr. Qin means that you plan to transport part of the equipment back to China?"
"Yes." Qin Hai nodded and said.
"So that's it." Snyder understood. No wonder these two Chinese people were so generous. It turned out that they had such an idea.
Semiconductor technology is cutting-edge because the equipment it involves is very complex. According to the classification of the International Semiconductor Equipment and Materials Industry Association, semiconductor manufacturing equipment can be divided into seven categories: plate making equipment, wafer preparation equipment, thin film
One type of equipment includes several subcategories. For example, in the so-called "pre-process" stage of semiconductor manufacturing, exposure machines, glue coating, developing devices, wet etching equipment, glue removers, and dry etching equipment are needed.
Diffusion/oxidation furnace, ion implanter, sputtering station, extended resistance meter, Fourier infrared meter, scanning electron microscope and other dozens of different equipment.
It is very difficult for one country to cover the manufacturing of all these equipments. Western countries have also been able to establish such a huge semiconductor equipment manufacturing system by working together to keep warm. Then, in order to limit China's development, in order to strategically
To maintain their advantage over China, Western countries have imposed embargo restrictions on a considerable part of semiconductor equipment, which has blocked China's development of the semiconductor industry. Although China has developed some equipment through self-reliance, it is still compared with foreign levels.
There are still big shortcomings.
Although Nice Company is only a second-rate company in the international semiconductor market, the semiconductor manufacturing equipment it owns is far more advanced than Chinese companies. Qin Hai paid a high price to acquire Nice Company in order to obtain these equipment and ship them back
China.
Snyder was no stranger to these situations and understood Qin Hai's plan. But he had to admit that this was a difficult problem Qin Hai had given him, because even the second-hand equipment that Nice Company had used was still
It falls within the scope of restrictions on exports to China. It is very difficult to transport these equipment back to China.
"Mr. Qin, I'm sorry. You should know that some of our company's equipment is on Batumi's restricted shipment list. If you want to dismantle these equipment back to China, it may be difficult to pass Batumi's review."
Ned said.
"Hasn't Batumi been disbanded?" Xiao Weihao reminded softly from the side.
"Yes, Batumi has been disbanded, but this does not mean that the restricted shipping list has been cancelled." Snyder said, "To be honest, the Americans are launching a Wassenaar Arrangement. As far as I know
In this case, this arrangement will fully inherit Batumi’s control list and rules.”
The so-called Batumi, whose full name is the "Paris Coordination Committee", is a multilateral export control coordination committee initiated by the United States in November 1949. It is headquartered in the US Embassy in Paris, hence the name. Members of Batumi include the United States, Western European countries and
Japan, which joined later, aimed to contain the development of socialist countries such as the Soviet Union and China.
In the Batumi Organization, there are three control lists, namely the International Atomic Energy List, the International Military List and the Industrial List, which involve industrial machinery, electronic equipment, transportation equipment, metal materials, minerals and their manufactured products, chemical products, and petroleum products.
, weapons, atomic energy materials and equipment, etc. When member states need to export the above products and technologies to restricted countries, they must first submit an application to Batumi and obtain the unanimous consent of all member states before an export license can be issued.
Batumi is a product of the Cold War, so with the end of the Cold War, Batumi is increasingly lacking a reason to exist. On March 29, 1994, the member states of Batumi held a high-level meeting in Wassenaar, the Netherlands, and decided to dissolve Batumi.
The decision came into effect on March 31, and Batumi finally came to an end.
However, anyone with a discerning eye can see that the emergence of Batumi is nominally to curb the development of the military power of socialist countries, but in fact it is to protect the technological advantages of Western countries so that Western manufacturers can rely on this advantage to compete globally.
Seizing excess profits. The dissolution of Batumi did not mean that Western countries would give up this policy idea of restricting the development of socialist countries, so the so-called Wassenaar Arrangement came into being.
The Wassenaar Arrangement is the inheritance of Batumi. Its origins can be traced back to the Wassenaar Conference before the dissolution of Batumi, but the Wassenaar Agreement was finally formed in November 1996. The Wassenaar Agreement stipulates
In order to carry out multilateral control of "conventional military goods" and "dual-use goods", the so-called dual-use goods refer to both
It covers items and technologies for military and civilian use, including advanced materials, material processing, electronic equipment, computers, telecommunications and information security, sensors and lasers, navigation and avionics, ships, propulsion systems and spacecraft, etc. As for what ranges are dual-use
, then it all depends on the opinions of the participating countries.
At this time, the Wassenaar Agreement had not been officially signed, but as a CEO in the European high-tech industry, Snyder was still able to know some of the details. It was precisely because of this that he knew how to use the equipment from Nice Company
How difficult it is to ship to China.
Qin Hai and Xiao Weihao looked at each other. They had already heard about the Wassenaar Agreement. Now they were not surprised to hear Snyder say it. However, Snyder could think of Wassenaar so sensitively.
The Senna Agreement was something they did not expect. It seems that the other side's Cold War nerves are still very tight.
"Nice Company is a civilian products company. Whether it is Batumi or the Wassenaar Arrangement you just mentioned, it will not impose restrictions on civilian products, right? I think there will be no other companies besides us.
Investors will be willing to pay such a price to acquire Nice Company, which Mr. Snyder should know," Qin Hai said.
"Of course I know." Snyder stopped pretending. In a conversation between smart people, pretending to be stupid is no longer interesting. It's just a waste of time.
Qin Hai's meaning was very clear. He had actually thought about the issue of shipping restrictions and knew that it would be very difficult to transport these equipment back to China. It was precisely for this reason that he offered such a high price. Now he has put this
The hot potato was thrown to Snyder, letting the other party choose: either accept the price and find a way to help Qin Hai obtain these equipment; or...then he can only haha. (To be continued)