As a century-old British car brand, MG has gradually turned itself into a young term in the auto parts city ghost fire. It all starts with BMW. So what is the relationship between MG and BMW?
1. MG sold to BMW
In fact, BMW is the old owner of MG, the last article we said that the British automobile industry is particularly strong, like Rolls-Royce, Bentley, Jaguar, Land Rover, MG, Rover are from the United Kingdom. When a person is particularly powerful, it is easy to be complacent, so the strong British automobile industry has problems because of its self-imposed.
Rover Cars
In the 1960s, Britain was the second largest auto power after the United States, but soon Germany and Japan began to overtake. By what is the anti-superiority? Rely on assembly lines and robots to improve production efficiency and reduce the manufacturing cost of automobiles. While Germany and Japan had fully automated production, the British still maintained the manual production method. Because the British automotive industry only pursues luxury and high-end, this is vividly expressed in brands such as Rolls-Royce and Bentley. But apart from being something that the rich can use to show off, these are of no use to the automotive industry and to keep up with the times. By 1973, the United Kingdom had joined the European Community, and the British automotive industry suddenly had no tariff protection, like a shaky building, which collapsed in an instant, and MG was one of the buildings. Because of the loss, MG stopped, the British automobile industry began to decline, the British automobile market was also occupied by German and Japanese, and many car companies began to be merged and acquired.
German Volkswagen Beetle
In 1988, MG was sold to British Airways along with the Rover Group. In 1994, it was sold to BMW in Germany. BMW is actually not bad money, after the acquisition of MG launched the sports car MGF, and also invested 3 billion US dollars to modify mg's production line. But I didn't expect that all the money invested was lost, and Rover became the biggest burden on BMW. So in 2000, BMW spun off Rover and sold it, except for MINI. Jaguar and Land Rover were sold to Ford, while MG and Rover were symbolically repossessed by the British Phoenix Group for £10. 2004 was MG Rover's 100th birthday, but mg Rover Group, which had just celebrated its birthday, declared bankruptcy due to debt problems. At this time, Chinese car companies appeared.
BMW Classic
Second, the acquisition history of NANC MG
In 2005, five Chinese came to England from Nanjing, and their mission this time was to complete an acquisition. The acquisition was made by MG, a British car brand with a history of more than 100 years.
MGB GT V8
In a deal of 800 million yuan, NANQI only sent 5 people, which is a little strange. I don't know, I thought that Nanqi couldn't afford to buy a ticket. In fact, this is what NANC deliberately did, because this acquisition will face many bidding opponents, in order to show its strength, at the beginning, SAIC organized a team of 26 people, covering elites of various professions. But the day before leaving, the head of the acquisition changed his mind. He believes that if Nanqi puts up a battle that is determined to win, it will definitely arouse the high vigilance of the opponent, and the price of the bid will definitely be raised. In fact, it is not good for NANC, and NANQI should reduce the number of teams as much as possible, let the opponent be light, and finally, hit him unprepared.
NANQI MG 6
MG's receiver in the UK is PwC, which is a professional accounting firm that specializes in helping bankrupt companies deal with the aftermath. If you sell the bankrupt enterprise for a good price as much as possible, you are also obliged to examine the qualifications of the acquirer. Therefore, IFC wants to successfully acquire MG, it must satisfy PwC. After 7 days of hard work, this 5-person team has thoroughly eaten the information of MG's assets and land, debt labor services, environmental protection and safety, and hundreds of sub-items, and also listed a series of possible problems. For example, what if the british trade unions protest? The purchase plan in every detail allowed NANQI to successfully win the acquisition right. But then the problem arises.
PwC
At that time, NANQI actually had no money in its hands, and it was still in a state of loss of 380 million yuan that year, and almost all of the funds for the acquisition came from policy loans. Therefore, when PwC is ready to sign a contract with NANQI, the domestic approval process has not been completed, as long as it is not signed, there will be variables, and the variables will really come. A competitor suddenly offered a sky-high price that was difficult to refuse to buy MG, so the head of the acquisition immediately decided to start negotiations with PwC. In fact, the negotiation content is very simple, the head of the acquisition team told PwC that if you repent at this time, NANQI will announce its withdrawal from this bidding to the world through the media. If CWC withdraws, it means that PwC will lose the weight of bargaining with other competitors, and this sky-high price will become a cover, and PwC will also face the public without face. PwC also understands a lot, hearing these words did not think about it, the two sides formally signed an acquisition agreement, ANDC officially acquired the British MG.
Third, NANQI successfully acquired MG and handled the production line
On July 22, 2005, a British television station was rolling the news of a Chinese company's acquisition of a century-old British car brand, the famous NANC MG acquisition.
Acquisition of MG by NANC Motor
After countless negotiations and purchases, MG and Rover officially came to China, Rover became SAIC Roewe, and MG became NAM MG. It sounds like it is very exciting, but Nanqi is actually under a lot of pressure, in the eyes of many people, Nanqi has spent 800 million yuan to buy a bunch of old equipment, if it is not used well, it is a pile of scrap iron. And the acquisition agreement has been signed, and the move must be carried out immediately, because every day of delay may face millions of losses. For example, hundreds of certified public accountants responsible for the handover of equipment, the annual salary is tens of millions of pounds, so the disassembly team sets the law for workers to be that Saturday rest is not guaranteed, and Sunday is guaranteed not to rest.
SAIC Roewe i5
Dismantling the production line is not the same as our dismantling of the spare tire, which is a high-precision mechanical arm, and some even have to find a mechanical arm manufacturer to dismantle. Of course, at that time, the ability to dismantle equipment Chinese was still very strong, because in those years, the global manufacturing industry was transferring to China, and the professional level of China going out to dismantle equipment and return to China has become higher and higher, and even a special dismantling company has been set up. For example, China Mechanical and Electrical Equipment Installation Corporation.
MG6
After half a year, mg Rover plant accumulated more than 100 years of garbage, finally cleaned up, all the machines were removed. 4,900 containers came from England to Nanjing on a large ship. Not only the production line, the electronic data of intellectual property rights, etc., these are also the top priorities. In order to get all the data, NANQI specially rented a satellite link and transmitted the data for several months before it was transmitted. While NANQI has obtained MG's full set of R&D and manufacturing testing equipment and MG and other brands, it has also obtained the intellectual property rights of the complete technology of the 4 series of models under the MG brand.
SAIC Roewe RX5
So the question is, why has MG become SAIC again?