v3 Chapter 770： Take a stake in IBM

That night, Arthur Blank gathered with Bernie Marcus and told him what had happened in the morning, and the two had a deep conversation.

The specific content is not important.

Importantly, two days later, Xia Yu received a call from Arthur Blank, asking him to go to the Home Depot Company again.

Xia Yu immediately took people there and met Arthur Blank and Bernie Marcus at Home Depot.

"Mr. Blank, Mr. Marcus, hello!"

"Mr. Xia, welcome to you!"

After a while, everyone sat in a small conference room, sitting opposite each other, as if they were in a negotiating posture.

Arthur Blank and Bernie Marcus looked at each other. The former said to Xia Yu: "Mr. Xia, I invite you this time because of the day before yesterday. I have discussed with Bernie about the North Star. We initially decided to accept the capital company’s investment."

"The specific result can only be decided after negotiation."

Xia Yu nodded slightly and said, "Of course, cooperation can only be done if both parties are satisfied."

"So, does it officially start now?"

"Okay, then let's start!"

Arthur Blank smiled and nodded.

Then Shuangyi started the negotiation process.

Private companies that are not listed are good for this. When making any decision, there are very few steps and extremely high efficiency.

Two days ago, Xia Yu had already given a preliminary plan, and Arthur Blank had also specifically considered it, so the negotiation is very quick now.

The whole talk was intermittent and lasted until noon the next day, when the contract was officially signed.

First of all, Arthur Blank and Bernie Marcus support Polaris Capital's acquisition of more than 100 other minority shareholders.

The second point is that the Home Depot Company has valued US$18 million and received US$10 million in financing from Polaris Capital.

The third point is that Polaris Capital has loaned 25 million US dollars to Home Depot.

The Home Depot company has already mortgaged a total of five million US dollars at this time, so the net worth is only 13 million US dollars.

Even after receiving tens of millions of dollars in financing from Polaris Capital, the net worth is only 23 million dollars.

The $25 million loan exceeds the assets of the Home Depot Company. If it were placed in any financial institution in the world, it would not agree to this loan.

However, Xia Yu knew the future of Home Depot, so he could hardly agree to this condition of Arthur Blank and won the latter's favor.

The last one is a condition put forward by Arthur Blank after Xia Yu disagrees with the AB share reform.

That is, as long as the Home Depot Company does not lose money for three consecutive years, and Arthur Blank and Bernie Marcus do not violate the law or intentionally harm the interests of the company, Polaris Capital cannot force the two to be expelled unless they voluntarily resign.

This condition is a self-insurance clause specially set up. If there is no such clause, Arthur Blank is not at ease.

After all, the total equity of the two of them is only 52%. If they raise 10 million US dollars, the total equity of the two of them is only 33.43%, which is very dangerous.

If Polaris Capital acquires the equity of all other shareholders of Home Depot, plus the equity obtained through financing, the shareholding ratio will reach 66.57%, which is a 0.1% equity difference. Absolute holdings can dominate everything at Home Depot in one word, even including the removal of Arthur Blanc from the CEO position.

After the signing of the contract, Xia Yu directly credited $10 million to the Home Depot Company's account, and the remaining $25 million in loans will be credited to the company in two months.

And these two months will be the operating time for Polaris Capital to acquire other shareholders' equity.

If the acquisition can be completed in advance, then the funds will also be injected in advance, which Arthur Blank also knows, Xia Yu is to urge them to help.

The financing decision was made directly by Arthur Blank and Bernie Marcus, and no board of directors was held at all.

Although there are as many as 144 shareholders of The Home Depot Company, each of them holds no more than 0.5% of the shares. There is no opportunity to sit on the board of directors or interfere in the management of Home Depot. This is equity The benefits of fragmentation to the controlling shareholder.

After obtaining the equity financing, Xia Yu did not have time to personally take charge of the remaining equity acquisition process, so he called Peter Lynch and asked him to arrange the acquisition team to take charge of the equity acquisition.

After Home Depot's affairs, Xia Yu specially invited Ted Turner to dinner, gave some suggestions for Turner Broadcasting Company and the next lawsuit, and then flew to New York the next day.

After arriving in New York, Xia Yu first settled down, then came to the Bridgewater Fund and found Rey Dario.

"Rey, have you done it already?"

As soon as he came to Rey Dario's office and sat down, Xia Yu asked straight into the subject.

Before flying from San Francisco to Atlanta, Xia Yu suddenly thought of something and called Rey Dario to buy IBM's equity on his behalf.

Nowadays, IBM is indeed worthy of the title of the blue giant in the media, but it is the most valuable company in the United States, with a market value of 36.8 billion US dollars.

If IBM can be acquired, Xia Yu has the strength to give IBM a controlling stake.

But this kind of thinking is just a matter of thinking in your dreams.

All of the ten largest consortia in the United States have the strength to eat IBM. If there is a chance, I believe that none of the ten largest consortia will not be tempted, and it will not be the turn of Xia Yu but even if there is no way to control IBM It is also possible to buy shares. Equity acquisition is very difficult, but it does not need too much. A few percent is enough to break into the ranks of the top ten shareholders. After all, IBM's equity is too dispersed.

If Xia Yu wants to get involved in the high-tech industry, if he obtains shares in IBM and becomes an important shareholder, he will have a decisive effect on his actions in the semiconductor and software industries with the efficient increase of BUFF.

Today, IBM's power is so strong!

Almost all semiconductor companies and software companies in the United States have to look down on their faces and look at their faces. If any company can catch an IBM car, it will have a lot of money.

But if it is blocked by IBM, the future will be gloomy.

Rey Dario looked serious and said to Xia Yu: "Boss, I have collected all the information and made a preliminary plan for the equity acquisition. Now I am short of funds."

With the current market value of IBM, even if it is to acquire 1% of the equity, it will cost 368 million U.S. dollars. If it is to acquire 3%, it will require more than 1 billion U.S. dollars, far exceeding the strength of Bridgewater Fund.

When the Bridgewater Fund was established last year, Xia Yu only gave the initial capital of 100 million US dollars, and it has been used until now. Although the Bridgewater Fund cooperates with banks to use leverage, it has not been used all the time.

Fortunately, Xia Yu had already told him before that he would provide funds for the bridge water fund company to come forward to purchase.

After all, Polaris Capital is far away in San Francisco on the West Coast, and the branch in New York is still under construction and temporarily unable to operate.

Now that time is tight and the task is heavy, I can only trouble the Bridgewater Fund to come forward.

PS: Ask for recommended tickets, monthly tickets and subscriptions!

https://

Please remember the domain name of this book's first publication:. Apex novel mobile version reading URL: