silent farm

Chapter 171 Five Livestock Tycoon Miaozi
Hearing that there was a new business that could be done, Ali traveled all the way to Brazil overnight.

As a prince, he can earn some personal cash from oil every year while sitting, which is impossible for a rich man to earn in his entire life.But he knows oil is no permanent guarantee of his current income.

A few years ago, Venezuela, also a major oil-producing country, went bankrupt, and Saudi Arabia almost went bankrupt because of its dependence on oil.Even the country is like this, let alone him personally.After living a luxurious life, if he is allowed to live economically, it is better to let him see Allah.So he has been looking for a business that can replace oil to maintain his current life.And he felt that the project proposed by Fernando could meet at least half of his request.

Because Raimondo planned to start his honeymoon on the third day after his marriage, they could only get together to discuss this cooperation project on the second day after his marriage.So he rushed over overnight.

This cooperation was initiated by Fernando. He first talked about his idea: "The cooperation model of the company plus the farm has already matured. It can be said that most developed countries are now operating agriculture in this mode. And the farm is very important to this kind of cooperation. There will be no conflict in the model. We have to compete with other companies, and we have a core competitiveness, which is to allow them to have greater profit margins. I don’t think they will object to cooperating with us.”

Then he talked about the advantages of Silent Farm's pasture: "Fred's practice has been done now, which can prove that Silent Farm's pasture can be used as cattle fattening feed. It can also significantly improve the quality of beef. Moreover, the daily weight gain rate is relatively increased by more than 5%. The cost of fattening with this kind of forage is far lower than what Ali and I previously estimated. Ali estimated that an adult cow needs [-] kilograms of fresh grass a day for fattening, but in fact it only needs [-] kilograms of fresh grass for fattening. Fifty kilograms, maybe even forty kilograms. According to the price Li Sheng sold pasture to Fred before, every kilogram of cattle fattening on Fred's farm would cost less than one thunder point on average. Dial."

He paused, and said: "Under the premise of a similar daily weight gain rate, using other fattening fertilizers requires at least [-] reais, and the highest even reaches [-] reais."

Li Sheng smiled bitterly and said, "Are you trying to remind me that my forage business is losing money?"

Fernando said seriously: "Yes, the price you sold to Fred for pasture grass is too low. If it were me, even if it was twice as high as yours, I would still be willing to buy it."

What he said made Ali and Raimondo's eyes shine.The price question mentioned by Fernando determines the benefit rate of their project.

Fernando said with a smile: "According to a conservative estimate, Silent Farm can produce the pasture needed to feed 500 million adult cattle at the same time, and an optimistic estimate can supply 1000 million head. If the implementation of the company-plus-farm model is successful, it also means that we will at least It can control the slaughter and sales volume of 500 million cattle. The quality of these beef is relatively high.”

Ali said to Li Sheng at this time: "Li, the pasture in Silent Farm is the key to the whole project. I think you can guarantee the output."

Li Sheng nodded and said, "As long as the farm is still in my hands. What I'm talking about is that the farm completely belongs to me. Otherwise, I can't guarantee it."

Raimondo knew that he needed to make a statement: "As long as it can generate enough benefits, I can guarantee that the Nonadong family will fully maintain the property rights of Silent Farm."

Fernando said with a smile: "So, we have enough prerequisites for cooperation."

Li Sheng blinked and said, "I have a suggestion. Maybe we need to add a partner."

Who would want to share the cake with one more person.But just as Ali said, Li Sheng is the key to this cooperation, and his opinion cannot be ignored by the other three.

Li Sheng said with a smile: "My friend Chen Bo. He will be in charge of beef sales in the Asian market. I think his joining will make our cooperation more promising."

The other three had no way to object to his proposal.If Li Sheng provides pasture, Raimondo provides political protection, and Fernando's specific operations are all necessary, then Ali seems to be very unimportant. The only reason is that he can guarantee the sales of beef in the Middle East.However, the market for the candidate proposed by Li Sheng is much larger than that of the Middle East.Ali can participate in this project, Li Sheng's friends, they have no reason to refuse.

After the three of Fernando glanced at each other, they all nodded in agreement.Fernando would say: "However, he was not invited before, and the sooner our project is implemented, the better. I think that everyone here has no objection to using the current cattle slaughtering company as the platform for this cooperation. So now shall we Should we discuss the issue of share allocation and capital contribution first?"

Li Sheng was the first to speak this time, saying, "I can't have less than 22% of the shares, my friends can't have less than 15%, and they can't be less than Ali!"

His request was complementary to his previous proposal to let Chen Bo, who was not present, also participate.It is obviously impossible for him to ask for more than that many shares by himself.But with two people, it's different.This is to limit Fernando and the others to fully control the companies they cooperate with in the future.

Fernando obviously also had his plan, but after Li Sheng put forward his plan preemptively, he knew that he could not raise his own plan again.But everything is negotiable: "We will have five partners in the future. I suggest that Li, Raimondo and I will account for 68% of them, of which Raimondo will account for 20%, and Li and I will each account for 24% , Ali and Chen, who was not present, each accounted for 16%. Do you have any comments?"

Ali is a little reconciled.But in fact, apart from his personal relationship with Fernando, his contribution to this project may be minimal.He also knows that it is a bit difficult to occupy more shares.So although he was a little dissatisfied, he nodded in agreement.

Of course Raimondo has no objection either.He can get 20% of the shares, the key is that he needs to use political power to ensure that the entire cooperation can be carried out.Otherwise, his role is smaller than that of Ali.

Li Sheng also nodded and said: "Yes. However, I have a question. How does the company we cooperate use to distribute the forage grass of Silent Farm? Direct purchase or agency? If it is direct procurement, what price should it be? How many points does it cost? Maybe we have to make it clear first.”

Up to this point, Fernando couldn't see that Li Sheng was trying to maximize his interests in this project, so he was blind.He pondered for a while, and after Ali exchanged a look, he said: "If it is an agent, how many points do you want? If it is a purchase, what price do you want." He also knew that it was impossible to use Fred's price.If he said something, Li Sheng might turn his face away on the spot.After all, he just said that Li Sheng sold out at a loss.

Li Sheng thought for a while and said: "It is impossible to sell all pasture fresh. In the future, most of them will only be sold as hay. According to the calculation of our farm, pasture can have about 35% dry matter. Then hay is 20 per ton. Real. If it is an agency, it can only be a maximum of [-]% of the agency fee."

The dry matter is the same between dry and fresh grass, but the weight is much less.In fact, the price is only a little more than three times higher than what it sold to Fred.According to this price, the fattening cost of cattle farmers is only [-] reais per kilogram, which is still less than that of using non-feed.Of course, this price difference is the room for the companies they cooperate to operate profitably.

"I suggest using the procurement method." Ali said.

After thinking about it, Fernando agreed with Ali's proposal.Raimondo didn't speak, but he obviously agreed with Fernando.However, Fernando said: "I hope the purchase fee is [-] reais per ton of hay. The company also needs transportation and various promotion operations. The cost is not low."

In fact, according to his estimation, a section of dry grass can be sold for at least [-] reais, but who doesn't want to get more.

Li Sheng also hoped to get more.He shook his head and said, "I think the effect of pasture fattening on Silent Farm has been proven, and our valuation of pasture is still conservative. Even at this conservative price, the company still has a gross profit of [-] reais per ton of dry pasture. "

Fernando did not expect that Li Sheng had already calculated it.He did a lot of homework on Silent Farm.Knowing that Li Sheng's threat is real.

He has long been tempted by such pasture.And the border of Silent Farm is so big, it is easy for him to get pasture.But the pasture that was brought back couldn't be planted!So he told Li Sheng that if he left the farm, he would not be able to play with this threat, and he believed it [-]%.

This [-]% is enough for him to make a choice.Maybe he and Raimondo can partner to take Silent Farm from Li Sheng, but if what Li Sheng said is true, then they will get nothing in the end.If it is cooperation, they can somewhat benefit from Silent Farm.

For him, he cannot end up with nothing because of greed, and insurance comes first.He secretly calculated in his heart that if the price proposed by Li Sheng is used, it is optimistically estimated that all the forage grass can be sold, and he can personally earn hundreds of millions of reais in pre-tax income from the sale of pasture grass a year.In addition to the benefits from beef sales, if the operation is good, it is not uncommon to get one billion reais from this project every year.

In the end, they agreed to the conditions proposed by Li Sheng.However, Fernando also put forward a condition: "Li, according to the proposed price, the benefit from pasture sales far outweighs the benefit from cattle raising. I think Silent Farm can reduce some cattle appropriately. What do you think?"

Li Sheng does not object to this: "Yes, I originally calculated the sales volume of pastures based on 180 million head of cattle. In the future, I will control the number of cattle in Silent Farm to the current number. It is about 60 head. "

In this cooperation, the sales method of cattle has not changed, and it is still divided according to the selling price.

Next, there was a discussion on the proportion of capital contribution, and they all agreed to contribute capital according to the proportion of shares.In the future, the five of them will need to invest a total of one billion reais for the rollout of the entire project.Of course, this money does not need to be taken out all at once.

Finally, they plan to draft the articles of association of the cooperative company.Li Sheng only raised two points about this. His shares cannot be diluted under any circumstances, and when the company issues new shares, he has the right to buy them at the original share price.As long as Li Sheng implements this rule, it will actually cut off the possibility of this unestablished company going public.

On the other hand, the revision of the company's articles of association requires the approval of more than 80% of the shares and 80% of the number of shareholders to pass.What Li Sheng needs to do is to sign a ten-year exclusive supply contract with this company.May not be resold separately to others.And because Fred signed a new one-year contract with Silent Farm, it still needs to be executed.But after that, Li Sheng was not allowed to renew his contract.

The project was thus agreed upon.Chen Bo, who is not present, will be communicated by Li Sheng.If he does not participate, his shares are divided equally among the other four.But after hearing this cooperation, the fool did not agree.Chen Bo is obviously not a fool.So this cooperation ended up with five partners.

(End of this chapter)