MTL - Reborn Capital Empire-v2 Chapter 718 Equity incentive plan

Chapter 718 Equity Incentive Plan

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Of course, Colombia has a more chaotic political and economic situation than India, but there is a reason why Pacific Energy has invested in longer gas pipelines than India.

Although the "third brother" often drinks a glass of Ganges water and forgets who he is, India is indeed a big country, not a country that a company or family can easily shake. But Colombia is different. If Guo Shouyun is willing, it is not impossible to use the secret arrow in his hands to subvert the political situation in Colombia. So he is not worried that someone is here to make trouble for himself. And even if he encounters trouble, he can get him back with both soft and hard means.

"In the field of natural gas distribution and retail, Huaxia is the focus of development. In addition to Yangcheng Natural Gas Company, which signed a cooperation agreement in 2003, we have successively signed cooperation agreements with 17 first- and second-tier cities in central and eastern China, including Hangzhou Gas Group and Jinling Gas Pipeline Company. A joint venture will be formed, each holding 50% of the shares, and Unocal will provide natural gas sources."

"In Japan, we signed a cooperation agreement with Toho, Japan's three largest natural gas distribution companies, to jointly develop the natural gas distribution market in Japan."

"In Southeast Asia, except for the Philippines, other countries, except Singapore, have no room for us to enter, the natural gas industry policies of other countries are not perfect, whether it is cooperation or acquisition, the progress is very slow. At present, except for the acquisition of an Indonesian company Distribution companies, and there is not much gain.”

Guo Shouyun was not surprised by this situation. In the 1970s and 1980s, all countries in the world were in a state of control over the price of natural gas, and the degree of marketization was not high. Later, with the increasing use of natural gas, Europe and the United States began to gradually become market-oriented, and natural gas trading was gradually separated from the accessories of oil trading and became a separate market. The global commodity trading website, which is currently the largest in the United States, is also The world's largest natural gas trading website.

In addition, compared with Europe and the United States, Asia, including Japan, which has the most developed economy, has a relatively low degree of natural gas marketization. Even in many countries, natural gas is still a regulated energy source, so it will take time for Pacific Energy to make a difference in the Asian natural gas distribution market.

"In the third quarter of 2004, Pacific Energy achieved a total revenue of US$5.248 billion from the fields of natural gas pipeline transportation, construction and distribution, and a net profit of US$6.47, with a return on equity of 12.48%, 17 higher than that of the same industry. percentage point."

After Guo Shouyun listened, he pondered for a moment.

"With Pacific Energy's current assets, net assets, total revenue, net profit and return on equity, what is our approximate market value?"

"The price-earnings ratio of integrated utilities in the electricity and gas category on the NYSE is generally around 18, and in the first three quarters of 2004, the total profit was 4.13 billion US dollars. With the addition of Scottish Power, the net income in the fourth quarter should be OK. Reaching US$1.8 billion, which means that we can get a net profit of US$5.93 billion throughout 2004. Using the most common valuation method of multiplying net profit by price-earnings ratio, as of the end of 2004, our estimated market value of Pacific Energy Group $106.74 billion."

“…But because our debt ratio is too high, and nearly half of our investments are in developing countries with greater political risk, the market will lower expectations for us. This is because Moody’s only gives us bond A. The investment rating can be seen. Therefore, if it is listed, the most likely market value of Pacific Energy Group will be between 85 billion and 90 billion US dollars.”

Jonathan Weir looked at the big boss in surprise, because he had long known that the company would not go public. And the annual asset appraisal is far from the start.

"How many employees does Pacific Energy have now?"

"Excluding joint ventures, we have 56,700 regular employees in 47 countries around the world."

Guo Shouyun nodded and smiled: "Jonathan, I want to launch an equity incentive plan for employees of Pacific Energy next year."

"Equity incentives?"

"That's right! Pacific Energy Group has a market value of 85 billion US dollars, a total share capital of 2 billion, and has taken out 500 million Class B shares, which can be freely subscribed by all employees. In order to benefit everyone as much as possible, in principle, ordinary employees should not subscribe for more than 5,000 shares. , the middle management shall not exceed 50,000 shares, and the senior management shall not exceed 500,000 shares. After the first subscription, the remaining part shall be freely subscribed by the company.”

"In addition, the company's equity transactions and market value evaluation will be entrusted to Phoenix Bank, and financial auditing will be entrusted to PricewaterhouseCoopers. Phoenix Bank will release an evaluation of the company's market value every quarter. If any employees want to sell their stocks , will be recovered by Pacific Energy based on Phoenix's assessed market value."

"Jonathan, what do you think of this plan?" Guo Shouyun said with a smile.

"Excellent! All employees of Pacific Energy Group will truly become a whole, and everyone will work hard for the future development of the company!"

Although they are Class B shares with no voting rights and only dividend rights, the value of the shares is no different from that of Class A shares. If the company develops well and the market value increases, the Class B shares held can also be sold for a higher price.

"BOSS, the level of economic development and the acceptance of equity in each region is different. The 56,700 employees of Pacific Energy may not be buying our stocks very much from their own pockets."

"We can't force this kind of thing, let them be free!"

Jonathan Weir nodded, "If it's an ordinary employee, we don't need to care. But if it's a core employee, we can't really let it go. Otherwise, under the contrast of interests, it is easy to cause internal divisions and excellent employees. resignation.”

After Guo Shouyun thought about it for a while, he nodded in agreement.

Put yourself in your shoes, and if you are concerned about the risk, you are not in the bull market. But my friends around me bought it boldly and made a lot of money. Even if it was his own reason, he would still be dissatisfied in his heart. As the saying goes: do not suffer from widowhood but suffer from unevenness.

"Do you have any idea?"

"I think the equity incentive plan~www.novelbuddy.com~ should cooperate with the equity incentive plan. The former issues Class B shares for all employees, while the latter issues Class A shares to reward outstanding employees who have contributed to the company for free. Excellent employees It is the company's greatest wealth, and rewarding them with Class A shares will help enhance their sense of mission and responsibility to the company, allowing them to grow together with the company. In addition, the general meeting of shareholders composed of outstanding employees can also make suggestions for the company's development. many favorable opinions and oversee the development of the company.”

Guo Shouyun nodded, "You know I don't like those hostile takeovers."

"Just add one item to the equity award plan: after employees leave, they must sell the Class A shares they hold to the company at the market price. This will not only ensure that we have enough stocks to reward new outstanding employees, but also ensure that The board of directors of the company has absolute control over the company.”

"After you go back, convene the board of directors to discuss it, and come up with a detailed plan for me." Guo Shouyun nodded and said.

"Yes! ... How will the funds obtained after the equity incentive plan be used?"

The market value of 85 billion US dollars, 500 million shares, can return 21.25 billion US dollars. Such a large sum of money, of course, requires planning in advance how it will be spent.

"As CEO of Pacific Energy Group, where do you think we should go?"

"In emerging markets such as Asia and South America, we have invested enough money that it is time to expand our presence in Europe." Jonathan Weir firmly.

"So you already have goals?"

"Eon Group!"

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