In business, you can make ten thousand mistakes, but you can't run out of money, and not having money is a "capital offense."
The rich Alibaba has continued public opinion, but it has not been able to shake its market position. Evergrande and Suning, who have no money, are shaky, abandoned by capital, and fall to the bottom.
2017 was the highlight of Evergrande, Xu Jiayin sat on the throne of China's richest man with a value of 39.1 billion US dollars, and Evergrande defeated Country Garden to become the "first real estate enterprise in the universe". It was this year that Boss Xu, who was proud of the spring breeze, came to Nanjing and drank a glass of wine with Suning Zhang Jindong.
One glass of wine drank the 20 billion that made Suning thunder.
Evergrande opened the third round of capital increase with a scale of 60 billion yuan, and Zhang Jindong threw 20 billion yuan to become a strategic investor of Evergrande. Boss Xu promised to return the principal and interest after three years with interest. It is said that the 20 billion yuan is Suning's loan from the bank, not its own cash.
Since then, Evergrande and Suning have entered the honeymoon period. At a high-end football dinner in Milan, Italy, Zhang Jindong invited Xu Jiayin to the banquet to discuss Evergrande's sponsorship of Guomi's 4 billion yuan.
At the end of the dinner, when Zhang Jindong sent Xu Jiayin away, he was in a good mood, Zhang Luo helped Xu Boss call a car, and called out three times in a row: "Jiayin, what about your car?" A "family seal" said that the intimate relationship between the two was already an old brother in a boat.
When the three-year contract expired, Boss Zhang did not get a penny, but instead received an urgent order from Boss Xu: no money to pay back, come to Guangzhou for consultation - Suning looked at Evergrande's interest, and Evergrande looked at Suning's principal.
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In 2020, the state introduced the "three red lines" for highly indebted housing enterprises. Evergrande, the "first housing enterprise in the universe", stepped on all three red lines, completely blocking the financing channels, and Xu Jiayin could not raise new debts to repay old debts.
In the face of the 130 billion yuan of debt that is about to mature, Evergrande has no choice but to let Boss Xu pull down his old face and issue a "jianghu rescue order" to investors.
More than 30 creditors gathered in Guangzhou, and more than 20 agreed to the "debt-to-equity swap", involving an amount of 86.3 billion yuan, including Zhang Jindong's 20 billion yuan. Suning not only did not earn interest, but even lost the principal.
At the signing ceremony of the "debt-for-equity swap", Zhang Jindong was arranged to sit next to Xu Jiayin. Xu Jiayin, who is at the heart of the photo, smiles and tries his best to convey a harmonious and united atmosphere to the outside world, while Zhang Jindong has no expression and only polite applause.
Anyone who lost 20 billion yuan can't laugh, not to mention, pit their own brothers.
Zhang Jindong was enough for the brothers to silently resist all, the first thunderstorm.
At the beginning of 2021, Suning's corporate bonds were delayed for one month, followed by Midea, Haier, Hisense, Lenovo, Huawei and other suppliers who did not receive payment and announced the suspension of supply. Thus, the prelude to the Suning crisis was unveiled.
Zhang Jindong understands that bonds are related to corporate credibility, and once untrustworthy, the chain reaction is unimaginable. In order to redeem, Suning began to frantically draw internal funds.
According to internal employees, in order to make up for the hole in the bonds, the home of Suning Finance and Suning Real Estate was hollowed out.
Barely paid off 17.9 billion bonds in 3 months. The corresponding price is that Suning has spent all its cash reserves and is still facing more than 10 billion interim bonds.
At this time, Xu Jiayin reached out and pulled his brothers, and found a "takeover man" For Zhang Jindong, Shenzhen state-owned assets, Shenzhen bought the equity in Zhang Jindong's hands, injected 14.8 billion yuan, and Zhang Jindong wanted to hand over the control of Suning Tesco and "sell the son to pay off the debt".
Soon, another change occurred, Xu Jiayin's "circle of friends" failed, Shenzhen announced that it gave up the shareholding plan, and turned to a joint consortium composed of Jiangsu state-owned assets, Ali, midea, etc., to purchase shares, inject 8.3 billion yuan, and come forward to the bank to guarantee, increase Suning's liquidity, and finally survived the crisis.
At the critical moment, jiangsu people can still be relied on! After half a year of tossing, Zhang Jindong lost control of Suning Tesco, and the chairman handed over to Huang Mingduan of the Ali department.
After the whole crisis, Suning's capital gap is not large, only between 10 billion and 20 billion, if Evergrande can repay the money on time, it could have been avoided, at least it will not be thunderstorm immediately, Suning can still play for two or three years.
Zhang Jindong inserted a knife for his brother's two ribs, and the blood flowed.
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Evergrande knew as early as last year that it could not pay off its debts.
In September last year, a report on Evergrande's request for an emergency A-share listing was circulated. According to the report, Evergrande Group's interest-bearing debt is as high as 835.5 billion yuan, involving the employment of 2 million people in the upstream and downstream supply chains, and we implore the government to support their major restructuring plan and list them on A-shares.
The report was quickly falsified by Evergrande, but the problems said were real. With debts of 833.5 billion yuan, all the houses of Evergrande cannot be repaid. If you can list a set of money out, you can solve the urgent need.
Evergrande's gap is more than a dozen times larger than Suning's, and its debt due at the end of this year is 240 billion. Xu Jiayin could not find a second way to find a second way in addition to desperately selling houses to return funds.
In order to sell the house, Evergrande even played a 30% off signboard, and all the vice presidents of the company swore an oath and signed the "Sales Commitment".
Courage is commendable, but at this time and another, the property market can no longer return to 2018, and the sales proceeds cannot repay the debt at all. In the bond market, Evergrande's bonds are sold at a 40% discount, and few people take over, and the discount is even worse than the property market.
Since last year, the news that Evergrande is going to finish has been reported from time to time, Xu Jiayin has stood firm to repay the money on schedule, the company's cash reserves have bottomed out, and Suning has a fate: the former has no money to pay the construction team to build a building, and the latter has no money to pay the home appliance company to get goods - the main business has fallen into a shutdown.
The 40 billion wealth management products that expired in September became the last straw that overwhelmed Evergrande, Xu Jiayin finally could not afford to pay back the money, and Evergrande ran out of oil.
For users who buy Evergrande Wealth Management, the principal will be executed in the form of 10% every three months and repaid in 27 months. Who can say what will happen 27 months from now?
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Someone asked the author: "Do you say that Zhang Jindong hates Xu Jiayin?" ”
The answer is obviously no, because in 2017, no one could have imagined that Evergrande would be mixed into today's appearance, Zhang Jindong did not expect it, and Xu Jiayin would not have thought of it.
In 2017, Evergrande's debt was only more than 500 billion yuan, which sounded like a lot, but there were more than 300 billion yuan in cash on hand, no matter from which point of view, Evergrande is a good enterprise.
How shrewd is Zhang Jindong? Zongheng shopping mall for 30 years, a 200 square meter façade house into a national chain hypermarket, investment vision will not be bad.
When it comes to today's Suning and Evergrande, Zhang Jindong is more remorseful and hates Xu Jiayin's head. Boss Xu did not put up a knife to force him to invest.
Suning's crisis, Evergrande 20 billion is just the fuse, the main e-commerce business has been losing money, is the main reason, Suning dry e-commerce 10 years lost 10 years, so that Zhang Jindong himself has no confidence.
In 2016, in an internal meeting, Zhang Jindong said: "E-commerce will lose five more years, and I will not do it without making money." Five years later, sure enough, something happened, and Boss Zhang's intuition was really accurate.
Xu Jiayin lost to diversification and expansion, medical care, automobiles, property, mineral water, football, what to lose money and what to do, wantonly squander cash flow. As a result, it was a card of "three red lines", and the money spent could not be recovered.
The old brother held hands and thundered.
It is foreseeable that Suning's hole of 120 billion is easy to make up, and Evergrande's 240 billion hole is difficult to build. There are not many choices left for Evergrande, nothing more than selling houses and selling assets, and want to play the trick of empty gloves and white wolves again, no way!
Author: Anglers