Chapter 125： 10 million beauty

The Seagram Group in 1999 was very beautiful.

This year, the Canadian brewing group completed the acquisition of the world's oldest record company, Polygram, and merged with its Universal Music company to form Universal Music Group, plus its Universal Music Group. A number of entertainment companies such as the film industry are gradually moving closer to the media giants.

And Dunn is waiting to see the joke of Seagram Group.

This company has been acquired for many years in a row, and the rapid expansion of the industry has led to a break in the capital chain and a strong debt burden. It was forced to sell to the French Vivendi Group in 2000.

The Vivendi Group was originally a water company. Like Seagram Brewing Company, it was ambitiously looking forward to transformation, and completed its transformation into a media group through a series of acquisitions and reorganizations.

In fact, Vivendi Group has indeed done it. After completing the acquisition of Seagram Group, it has become the second largest media company in the world after AOL Time Warner.

But what about the result?

Vivendi Group embarked on the old road of Seagram Group, the rapid industrial development caused huge losses, and finally Universal Pictures was sold to General Electric, which integrated NBC Group and Universal Entertainment to form NBC Universal Group.

Dunn has no interest in Seagram, and even scoffs at the notorious Vivendi Group. He is a filmmaker, and he is interested in Universal Pictures.

The Seagram Group encountered a debt crisis in April 2000, and was acquired by Vivendi Group in June. In December, Vivendi Group acquired all the shares of Universal Pictures and Universal Music.

Dunn is interested in intercepting Hu Universal Pictures.

Universal Pictures has more than 1,000 film sources, global distribution channels, and complete studios and studios. It is a major member of MPAA and one of the eight traditional Hollywood film studios. It has a pivotal role in Hollywood. Location.

Dunn's original plan was somewhat similar to Jeffrey Katzenberg, Steven Spielberg, and David Finger, who set up a company by himself and then broke the monopoly of the six major film companies.

But after a few years in the business and some prophetic information, Dunn felt more and more that this road was too difficult to walk.

The MPAA rating alone is enough to make any film company outside the Big Six grief!

Harvey Weinstein was once called "God" by Hollywood, but he left Disney with his team collectively and created Weinstein Pictures, and suffered continuous losses in movie ratings.

Who would have imagined that "The King's Speech" was rated as an R-rated film?

And Tom Cruise starred in "The New Mummy" produced by Universal Pictures, which is a horror and horror, but was rated as PG-13.

Don't look at the fact that Tang En is very famous and prosperous now, it is because the Tang En film industry is not strong enough, it has not touched the substantial interests of the six major film companies, and there is 20th Century Fox as a backer behind it.

When Dunn really has Harvey Weinstein's Oscar-winning influence, targeting from big companies will definitely come.

Dunn has to plan ahead, taking advantage of the Seagram Group's debt crisis to win Universal Pictures is the best way!

The source of funds is naturally the technology stock market crash.

During this time, Dunn stayed in New York all the time, and the official events of the Golden Globe Awards and Oscars were all refused. Even the later stages of "Spider-Man" were handed over to assistant Morgan Carey to handle.

He has been keeping an eye on Yahoo stock.

On December 21, Yahoo's share price broke through the $400 mark for the first time, reaching $408.31!

Dunn resisted the impulse and did not sell.

On December 22, Yahoo's stock opened at $405.75 and hit a peak of $421.19.

Dunn was indifferent.

On December 23, Yahoo's stock opened at $417.5 and peaked at $426.25.

Dunn continued to forbear.

In the following days, the stock price declined, and it remained at around $400 until December 30, when the opening price was as high as $421.75, and the peak reached $448!

"Dawn, you can take action!" Scott Swift's eyes were red, like a hungry wolf who hadn't eaten for half a month.

Dunn frowned.

In his memory, Yahoo's market value was more than $120 billion at its peak, but it lasted for a short period of time. Based on Yahoo's total share capital of 250 million, Yahoo's share price... should be close to $500 at its peak!

More importantly, the stock market crash happened in 2000, not the end of 1999!

Yahoo's stock price will continue to rise!

"No, let's keep waiting!"

Dunn gritted his silver teeth with a firm face.

"But……"

"No need to say more, I'll think about it myself!"

On Friday, December 31st, Yahoo's stock opened at $420.44 and peaked at $441.5. The stock price has dropped from yesterday.

"Tang En, you can't wait any longer, throw it away!"

Scott Swift has been trading stocks for many years. He has extensive knowledge of stock operations and is therefore very cautious. Changes in the stock market are turbulent, and it is a great tool to make money in the stock market.

But Dunn is different. He has foresight and a firm character, "I said, don't throw it away!"

"Tomorrow is the weekend, and in the next two days, the market changes are unpredictable. In case of an accident, when the market restarts on Monday, it is likely to be a plunge! The price of nearly $450 is enough!"

Scott Swift couldn't understand at all, where did Dunn get his confidence? The stock market is changing rapidly. He holds 2.1 million shares of Yahoo. Once the trend of Yahoo's stock is like last year, Dunn is likely to lose hundreds of millions of dollars in a blink of an eye.

However, Dunn is self-confidence!

……

At the end of the year, "Time" magazine, Einstein was selected as the greatest person of the 20th century.

In 2000, we entered the 21st century.

At the first general meeting of the new millennium, Bill McNick was devastated.

Twentieth Century Fox president Tom Rothman formally applied to the board of directors that Bill McNick should take full responsibility for the major defeat of "Fight Club" and should remove him as chairman and CEO.

Because Fox's largest controlling shareholder, News Corp, did not make a statement, Bill McNick temporarily stayed on. But Tom Rothman also won the opportunity to hold the second shareholders' meeting half a month later.

It took half a month to communicate with News Corporation headquarters, and almost everyone understood that the next shareholders meeting would be when Bill McNick left 20th Century Fox.

Dunn's old partner, Bill McNick, has been having a bad time recently, and he has lost a lot of weight.

In contrast, the young Dunn was in high spirits!

On Monday, January 3, 2000, the Nasdaq reopened!

Yahoo stock opened at $442.92 and peaked at $477, with the Dow Jones index up 200 points.

Dunn gave an order to sell 300,000 shares at an average price of $469.

On January 4th, the opening price was US$464.5, the highest peak... It directly crossed the US$500 mark and reached US$500.13!

This time, not single Scott Swift went crazy, even Dunn shouted in surprise, it's done, it's today!

"Toss, as many as you have, throw them all for me!"

Dunn's roaring voice resounded through the VIP private room on the Nasdaq exchange.

On this day, the total trading volume of Yahoo stock reached more than 69 million shares, while Dunn sold 500,000 shares at an average price of $478.6 in three stages; sold 1 million shares at an average price of $482.3; sold 1 million shares at an average price of $466.7 The dollar average sold off the last 300,000 shares.

In the end, the 2.1 million Yahoo shares held by Dunn brought him a total of $1 billion in income!

For the fraction of $2.31 million, Dunn sent a check directly to Scott Swift.

He is not Dunn's manager, and it is impossible for him to receive 20% or more of the profit dividend. He is just a subordinate who works according to Dunn's order. Giving him a check of two million dollars is already a huge reward.

With an income of $1 billion, including Dunn's cost of $80 million, and a 15% capital income tax, Dunn earned a total of 10-15%*(10-0.8) = $862 million in net income by investing in Yahoo stock!

It's only January, and it's impossible for Dunn to pay taxes in advance. Anyway, he still needs to use the money to make a lot of money.

"I think the short-selling mechanism is now activated!"

Dunn who got the money was very excited, even a little carried away.

Scott Swift shook his head calmly: "Leveraged shorting... In simple terms, it is borrowing the stocks of other people or institutions and selling them now. Then, within the specified time limit, return the stocks. But now Yahoo stock is so hot, who would lend us stock?"

"what?"

Dunn was a layman and stared at Scott Swift in a daze, "What about now?"

"Wait!"

"Wait?"

"That's right, Yahoo stock is in an abnormal period right now. The stock price is too high, and it will definitely fall back in a short time." Scott looked very reliable, and he slowly pondered, "But now the Nasdaq index remains high, and the Dow Jones The index is also rising steadily, and Yahoo is another icon for tech stocks, and there will never be a big decline.”

Tang En curled his lips. The stockbroker was really fooling around with one mouth. If it wasn't for his foresight, he would have believed it.

"I just want to know, can we go short?"

"can!"

"when?"

"When the stock price stabilizes, it's about... between $300 and $350. At that time, it is time for retail investors and securities institutions to calm down, and normal futures operations can work."

"That's fine." Dunn nodded and smiled, "How to do it?"

Scott said: "I won't go into the details. There is a question. How much leverage do you want? The higher the ratio, the greater the risk."

"There's no risk! Um... just 100 times!"

"Difficult!" Scott frowned slightly, "Yahoo's total share capital is less than 250 million, and there are more than 100 million shares in the market, and we can 'borrow' about 10 million shares at most. Dunn, you If you want to make more money in the futures market, Yahoo alone can’t eat the $1 billion in your hands.”

Tang En's face turned pale and he pondered.