With a keen awareness of the capital markets, Warren Buffett's every move can create waves in the capital markets. According to the Wall Street Journal, Warren Buffett's Berkshire Hathaway recently bought the remaining 20% stake in Israeli metalworking tools supplier IMC for $2.05 billion. In fact, back in 2006, Buffett paid $4 billion for an 80 percent stake in Israeli metalworking tools supplier IMC. The company's valuation has doubled in just seven years; Now, Buffett's acquisition, no doubt will once again cause the attention of the capital market to superhard materials, domestic related superhard materials companies or usher in the opportunity to revalue.
Buffett invests in Chinese industry
Preferred metal cutting
The Wall Street Journal reported that Warren Buffett's Berkshire Hathaway bought the 20 percent stake it did not already own in Israeli metalworking tools supplier IMC for $2.05 billion. In his March letter to shareholders, Buffett said he and his old buddy Munger were back on the elephant hunt, referring specifically to the mega-acquisition.
The first deal was announced in May 2006, when Berkshire bought Israel's Iscar Metalworking for $4bn, Mr Buffett's first overseas acquisition. Buffett praised its "simple and profitable" business model at the time. IMC, founded by the Wetheimer family, makes metalworking tools.
IMC Group is a multinational company specializing in tool manufacturing with 52 branches around the world. Iska is an important enterprise of IMC Group, is one of the world's three major tool manufacturers, its visibility and market share in the tool manufacturing industry ranks the second in the world, the main production of high-tech cutting equipment, products used in aerospace, metal processing, automobile manufacturing and other industries. As early as October 24, 2007, IMC Dalian Company officially opened, which is said to be Berkshire & Hathaway's first investment in China.
Help China's metal processing industry take off
Tianjin metal processing exhibition ushered in the era of God
To qualify as prey to Warren Buffett and his companies is a boon to the industry. Buffett rebuked "Qianjin" investment in metal cutting, aiming at China's metal processing industry large acquisition, is bound to affect the development trend of China's metal processing industry capital market, but also will attract international metal processing institutions to invest and develop in China's eye. Buffett in the field of metal cutting capital injection, to China's metal processing industry set off a industry "big storm".
The 2008 global financial crisis caused serious damage to the development of metal processing industry. After five years of recovery, 85 percent of enterprises had escaped the brink of life and death by 2013, and the whole industry began to develop in a stable and healthy direction. However, faced with the residual impact of the financial crisis on the metal processing industry, the progress of the industry is not fast. Many enterprises have encountered many difficulties in the process of exploring progress, especially in the aspects of research and development direction, the degree of connection between research and development results and the market, and the interruption of capital injection in the research and development process, which have been troubling the development of the industry.
Buffett's investment in China's metal cutting industry will open a new situation for the development of China's metal processing industry, and even create an eruptive leap for the development of the whole industry. The new metal processing industry in China will usher in an era of miraculous leap and progress with the international metal processing field.
The opening of a new situation in the metal processing industry is bound to require an international exchange and exhibition platform to gather international first-class equipment, attract technical elites in the industry, integrate industry development funds, and guide the world metal processing industry to develop faster, higher and newer.
In order to respond to the national development plan of equipment manufacturing industry during the 12th Five-Year Plan period and provide a platform for the development of China's metal processing industry to go international, the 9th China International Metal Processing Technology and Equipment Exhibition (hereinafter referred to as "Tianjin Metal Processing Exhibition") will be held in Tianjin Binhai International Convention and Exhibition Center on August 21, 2013. Tianjin Metal Processing Exhibition will launch the Binhai International Convention and Exhibition Center with an exhibition area of more than 60,000 square meters. At that time, more than 1,500 enterprises and more than 80,000 professional visitors from more than 30 countries and regions around the world will be present to exhibit, visit and purchase. The holding of Tianjin Metal Processing Exhibition will provide a good platform for industry enterprises to explore the international market, strengthen exchanges and cooperation, establish sales channels, publicize regional advantages, attract external investment and grasp the market dynamics.
