Reborn in Hong Kong: The Tycoon Grows Up

Soon the car arrived at the Heiyun Australia branch, where Bao Zixuan came here for the first time. However, he will be reported to him when selecting the location. The entire Australian branch is located on a busy street in Melbourne.

The first floor is Heiyun's showroom and store, where all Heiyun products can be purchased. The second floor is the game experience area. Everyone can come here and experience it for free for 30 minutes. It doesn't matter whether you buy it or not, so many children like to come here. Due to the overcrowding, it was later changed to a 30-minute experience per week to relieve the work pressure caused by the dense crowds.

The third floor is the company's leisure area, and the fourth floor is the office area for ordinary employees. The fifth floor is the conference room and management offices, and everything above the sixth floor is empty, making this 16-story office building seem a bit empty. However, with the entry of Heiyun Mobile Phone, the place has become a lot more lively.

Seeing Bao Zixuan come in, all the employees stood up and applauded spontaneously. And there were cheers at the same time. After all, this was the boss’s first time here, and it was the first time for many of the employees recruited from Australia to see this legendary figure.

Bao Zixuan walked among the employees and said: "Thank you for joining Heiyun. Believe in Heiyun and believe in me, Bao Zixuan. I don't have any official words, clichés or polite words. I can only say that every effort in Heiyun will be rewarded. Finally, I wish everyone a happy work."

In fact, Bao Zixuan doesn't like giving so-called speeches in crowds, but sometimes there is really no way. Now that the company has reached this scale, many branches sometimes cannot come over once a year. If nothing is said, who will remember the boss.

After inspecting the situation of the Australian company, I reviewed the financial statements and rewarded several outstanding employees. Bao Zixuan and Wu Guangzheng returned to the hotel.

They need to recharge their batteries and prepare for the inspection, acquisition, and purchase of iron ore starting tomorrow. However, if you want to make a difference in iron ore now, you still need the support of several giants. The next step is to compete in negotiations.

The three iron ore giants refer to the three iron ore production, development and marketing groups of Brazil's Vale, Australia's BHP Billiton and Britain's Rio Tinto. The cold wave in the steel market caused iron ore prices, which had been rising since 2002, to plummet. Determined to make a turnaround in the 2009 international iron ore negotiations, the China Iron and Steel Association and various steel companies have stated that iron ore prices should be reduced. However, the bottom line was touched by the three major iron ore giants, and the negotiations were temporarily deadlocked, making it impossible to buy the spot mines of the three giants.

BHP Billiton was formed from the merger of two giant mining companies and is now the world's largest mining company. Among them, BHP was founded in 1885 and is headquartered in Melbourne. It is one of the oldest and largest companies in Australia. A pioneer in the international mining industry, Billiton was once known for its innovative and intensive operations.

Now the whole world knows that Xiangjiang Baohuodong Mining Company is coming to discuss iron ore procurement, and many companies want to participate. After all, based on the current construction scale of the steel plant, this is definitely a stable long-term customer, and Heiyun itself can consume a lot of products. There is no problem in sales. The key is who can win this order. The current steel market in the entire market is not good. The purchasing of large steel companies such as the shipping industry, construction industry, automobile industry, etc. is shrinking, causing the price of iron ore to remain unchanged. not tall.

Bao Zixuan has asked Blackstone Fund to purchase many bankrupt steel companies in advance, but the scale is small. It can be used by oneself in the future, but it can be said that it is difficult to supply the entire Chinese market. Most of the resources are now in the hands of three giants. This time I came to Australia to negotiate with BHP Billiton and Rio Tinto.

Arriving at BHP Billiton's headquarters in Melbourne, Bao Zixuan received a warm welcome. After all, this is the existence of the God of Wealth, and no one can resist the charm of money.

Stevenson, the president of BHP Billiton, personally came to receive Bao Zixuan and his party, which was enough to show that he attached great importance to this negotiation. Stevenson, 50, has worked for BHP Billiton for 25 years. It can be said that in addition to family connections, his own abilities have also been recognized by the entire company.

Stevenson said: "Welcome Mr. Bao and Mr. Wu to BHP Billiton. Everyone should get used to the Australian weather!"

Bao Zixuan: "This place is very good. I am planning to buy some farms here. I can come here for vacation at any time. I find that you are really happy. You can live here for at least 5 more years."

Stevenson: "You can do whatever you want. I have some farms in the west. We can be neighbors by then."

Bao Zixuan: "That's great. Being able to be your neighbor is a good choice."

Seeing that Wu Guangzheng didn't say a word, Stevenson knew that as long as he took care of Bao Zixuan this time, there should be no problem. He smiled and said: "Heiyun Company has explained your intention in advance. We at BHP Billiton also hope to cooperate with entrepreneurs with strength and ideas like you. However, we need to discuss the quantity and price that your company wants to purchase. After all, the price is too low, and we can reduce the price appropriately, but it’s hard for me to accept so much at once.”

"The cooperation price offered by Heiyun staff to BHP Billiton is 20% off the market price, which is basically not profitable for mining companies. However, the current price of iron ore is sluggish. If you really bite the bullet, you can continue, but like this It’s basically just losing money to make a fuss, and it will definitely not last long.”

Bao Zixuan: "This is only our first quotation, but the steel industry is not in recession now. We are also facing great risks, and we hope that both parties can reach a consensus on a reasonable price. But what I can express to you is that we can Sign a long-term and stable supply agreement. BHP Billiton's coal, iron, aluminum, copper and other metal minerals are all long-term procurement targets of Baohuodong Mining Company. And we can pay the deposit in advance for 30 years. I think it is a long contract. .”

BHP Billiton's executives were very excited when they heard that a 30-year stable supply agreement could be signed. After all, no company in the market dares to do this. In fact, Bao Zixuan never thought that the transaction would be completed at this price. BHP Billiton would not agree to it as long as they were not stupid.

Stevenson: "Mr. Bao is so optimistic about his steel company. After all, this is a long-term contract."

Bao Zixuan: "I am a person who focuses on long-term profits when doing business. As long as the next generation does not produce prodigal sons, it will be difficult for a company to close down. The most important thing is that I am not 23 years old at the moment. As long as nothing happens, I think it will be 30 years." We can still cooperate.”

"I can pay the deposit in advance at the beginning of the cooperation and settle the payment every quarter. I will never default on it. You should understand that I don't like to owe money when doing business."

Stevenson: "How much deposit do you have to pay, and we can only supply you with goods at a 50% discount on the market price at most. The mining business is different from the technology industry and does not have such high profits. I hope you can understand."

Bao Zixuan: "The US$200 million has been placed in BHP Billiton's account for a long time. However, after our calculation, the 9.3% discount is a price acceptable to you. And we transport all the goods ourselves, but you have to pay for the upfront railway transportation and terminal warehousing costs. Bear it. Also, when the contract expires in the future, our company has the first right to renew the contract for 20 years, and the deposit can be increased to US$500 million when the contract expires."

The current negotiations are all investigated by the staff in advance, and Bao Zixuan only comes to sign. He won't go into battle naked like before, that would be too passive.

In this way, lawyers from both parties began to draft a contract. Under the witness of local officials, Bao Zixuan and Stevenson signed their names. This contract, which at the time made Stevenson's prestige at BHP Billiton unprecedentedly high, was almost exhumed by BHP Billiton's management a few years later.

Not to mention the discount on mineral supply, which adds up to 50 million tons per year, it will take so long. The most important thing is that if anyone breaches the contract, he will have to pay the deposit multiplied by the number of years. If he breaches the contract after 30 years, he will have to pay US$6 billion in compensation. There is also the right of priority to renew the contract when it expires. This is a contract that no one dares to breach. Bao Huodong can earn hundreds of millions of dollars every year by reselling this contract, and it is still increasing year by year.