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MillionNovel > I am a nobleman in England > Chapter 206

Chapter 206

    The next day, the acquisition negotiation team headed by Arthur met with the chairman of the power plant in front of the main building of the coastal power plant, witnessed by some media reporters, for the first time.


    After the two sides finished the polite greetings in a friendly atmosphere, they entered the building at the same time and went straight to the conference room, ready to start the negotiation of every detail.


    It is not so simple to acquire an enterprise, especially this time Arthur wants to purchase the coastal (natural gas) power station in Bristol as a whole. However, the overall acquisition refers to the merger and acquisition of which the enterprise determines the acquisition price based on assets and owns all the property rights of the target company.


    Therefore, the consequence of the overall acquisition of the company is that the buyer annexes all of the target company. After the completion of the acquisition process, the target company no longer exists alone and becomes a part of the buyer. All the operation rights, control rights and control rights are controlled by the buyer.


    However, this kind of acquisition may have the greatest risk, because it will involve the enterprise''s creditor''s rights and debts. If there is a slight carelessness and no due diligence, it may cause some unnecessary losses to the purchaser.


    The purpose of Arthur''s presence today is to negotiate with the other party on the core business terms and sign the acquisition framework agreement.


    Because only after signing the framework agreement, the acquisition team headed by Angela can carry out due diligence on power plant entrance from business, finance and law more easily and conveniently. Including interviews with senior executives, visits, inspection of legal materials, audit and so on. It will take about a week for these to pass down.


    Fortunately, one of them is willing to buy and the other is willing to sell, so they can get what they need. In addition, all the unstable factors and obstacles have been removed from the power plant to facilitate the acquisition. Therefore, the negotiation on the core business terms did not last long, and the two sides successfully signed the framework agreement.


    With the cooperation of the management of the power plant, the other members of the acquisition team were left to formally settle in the power plant, and began to conduct an all-round investigation and audit. Arthur, the chief owner, was accompanied by the chairman of the power plant and the negotiation representative, Corina, walked into the plant area for a visit.


    Under the blue sky, four tall chimneys are emitting white smoke. The buildings of the whole factory are in the shape of rectangle and square, which makes it look very neat and atmospheric.


    “。。。 In the whole area, the main plant is the absolute center of the whole plant area, and the design of other buildings must be carried out around this center. The building in front of the plant is a center of the plant and the center of personnel activities. "


    Arthur walked side by side with the chairman of the power plant. A group of people followed him step by step. The chairman of the power plant kept introducing the whole plant area to Arthur with a smile.


    When the other party noticed that Arthur''s eyes were on the four white smoke chimneys, he could not help but smile and explain: "compared with coal-fired power generation, natural gas power generation has multiple advantages. Gas fired power generation almost does not emit SO2 and smoke, and the emission of NOx is only one tenth of that of coal-fired power generation, which has high environmental protection value.


    In addition, the start-up and stop of gas-fired units are flexible, which is convenient for peak load regulation of power grid


    Arthur is also very clear about the benefits of natural gas power generation, which is needless to say. As a buyer, he will not just say the advantages according to the other party''s ideas.


    "Indeed, however, from the point of view of the power grid, electricity is an undifferentiated commodity, and the on grid price of gas is higher than that of coal-fired power generation. In order to pursue economic benefits, the power grid prefers low-cost power such as coal-fired power.


    The cost of fuel accounts for about 70-80% of the operating costs of gas-fired power plants, and the price of natural gas is one of the most important factors affecting the economy of gas-fired power generation


    "Well, it''s a big problem that can''t be avoided, but in the next decade, about a fifth of the UK''s power generation capacity will be shut down, most of which are old coal-fired plants that do not meet the EU''s environmental standards.


    According to the government''s plan, the closed power plants will be replaced by new nuclear reactors and offshore wind farms. However, the plan was delayed due to the uncertainty of government policy and the economic crisis.


    The power generation capacity of the gas power plant will be greatly reduced from 15% to 3% according to the data. At present, the government has absolutely underestimated the power crisis that Britain will face in the next three years, and the risk of power failure does exist.


    Therefore, in the near future, the government will certainly introduce a series of incentive laws to encourage gas-fired power plants that are regarded as backup support for wind farms. "


    Hearing this, Arthur couldn''t help looking at Gary Raymond, the chairman of the power plant, who had a very low sense of existence both in materials and in reality. He didn''t realize that the other party was not an incompetent mascot. Instead, he was a very forward-looking leader.


    "Mr. Raymond, when the acquisition is completed, I''d like to invite you to be the CEO of the power plant. Do you have any interest?"


    "Hehe, thank you for your invitation and your attention, but I''m sorry Gary Raymond chuckled and shook his head. After a short pause, he lowered his voice to Arthur and said, "I''m going back to the UK Department of energy and climate change, so I can only let you down.""I see. Congratulations. It seems that Mr. Raymond will take care of him in the future." Arthur''s eyes brightened slightly. It turned out that they were going to be promoted. They also happened to be the Department of energy management, which could deepen their communication.


    "Ha ha, seriously, this is thanks to your acquisition, otherwise I may miss this opportunity and continue to be trapped here." As a politician, Gary Raymond will not let go of Jiao Arthur, such a young billionaire. If he has ambition and ambition, he cannot do without the support of rich people, entrepreneurs and influential people like Arthur.


    Arthur naturally recognized the politeness of the other party''s words, and also felt the other party''s intention to tie up. This is undoubtedly a rhythm that fits immediately. After that, the atmosphere of the two people''s communication became more relaxed and casual.


    This is definitely an unexpected achievement for Arthur. After all, for Arthur now, in fact, what he lacks most is the upper level contacts and Jiao Internet in Britain.


    If you don''t improve your social life and integrate into the upper class, who will identify with you? How can you get a good project?


    Arthur clearly remembers that a famous Chinese entrepreneur once said, "first of all, don''t save money. You have to save your skills and skills. If you don''t, what can you do if you don''t have contacts?"?


    Of course, the premise is that you should also have the ability. If you don''t have the ability, it''s useless to have contacts.


    Therefore, making more friends and less enemies is a way of survival and development, and also a high life wisdom.


    “。。 Power generation enterprises are responsible for the investment and operation of gas-fired power plants. They purchase natural gas from upstream gas suppliers and convert them into electricity, and sell them to downstream power grid companies according to the grid price.


    As you have said before, the material cost accounts for about 70% to 80% of the operating cost of the gas-fired power plant. The price of natural gas is an important factor affecting the income of gas-fired power generation. Therefore, my suggestion to you is to directly trade with upstream natural gas suppliers, pay reasonable gas transmission costs, and minimize the intermediate transaction links and transaction costs. "


    Arthur and Garris stood in front of the natural gas pipeline. Garris smiles and suggests to Arthur, "although this may cause some losses due to hoarding and price fluctuation, it can still make money in the long run. After all, no one can master the price trend of natural gas. "


    " well, I''ve also thought about this scheme. If the electricity price can''t be raised in the short term, I have to think of a way from the upstream Arthur also agreed and nodded, but he did not tell the other party that he wanted to solve the upstream problem once and for all.


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