Every Mont’s business is built on a fragile balance. There are no signs of mutual attacks among the large warlords within the Mariluo Kingdom; they are all quietly developing on their own.
Before they are ready to eliminate others and establish a unified regi, the warlords appear very amicable on the surface.
Even if there are so minor frictions, they will not evolve into larger-scale ard conflicts.
But if Every Mont is severed from the warlord behind it, the other major warlords would have a reason and purpose to act, establishing a supply system with Every Mont and seizing the business!
Therefore, Lynch doesn’t care at all about Sanchez and his General father’s attitude. In the Federation, everyone must comply with the rules of the ga here.
No matter if that person is the son of a warlord.
Or the warlord himself, General.
Or even the President of the Federation.
They all have to obey these rules, the rules made by the capitalists.
The happenings at Every Mont’s shareholder eting did not stay hidden for long. After confirming a reconvening of the shareholder eting on May 1st, next month, the changes from this eting spread instantly.
Soone is deliberately publicizing what happened at this eting, and without guessing, Lynch knows it must be the banks.
If the capitalists of Bupen are crocodiles, then the banks are prehistoric crocodiles.
Their size is larger, their teeth are sharper, and naturally, their appetite is more voracious!
They saw an opportunity, a chance to make big money, so they want to push this matter towards their anticipated direction.
As a major shareholder, Lynch is also obviously within their "co-optation" range.
On the third night after the temporary shareholders’ eting was held, a manager from Rongsheng Gold Bank’s Asset Execution Departnt personally ca to visit Lynch.
The Asset Execution Departnt engages in the work of selling off the assets of individuals or enterprises who can’t pay back the bank to recover the "loss" for the departnt.
Fortunately, they are a bank; they are capitalists; if they didn’t have this façade, people would describe their actions as "fencing."
After eting Lynch, the manager presented so small gifts, all of them inexpensive crafts, and the two then entered Lynch’s study.
"Mr. Lynch, the bank has already reassessed the risks of what happened at today’s Every Mont shareholder eting internally. We believe that continuing to hold Every Mont Company’s shares long-term can’t bring us considerable benefits."
Lynch crossed his legs, pressing his hands on them, and nodded slightly, indicating for the manager to continue.
The smile on the manager’s face beca even warr; Lynch’s lack of interruption ant they had a foundation for cooperation. "You are the major shareholder of the company. I have less than ten percent of the shares myself, plus so people we can win over."
"We have already acquired the key votes."
"The dispute over the ownership of Every Mont’s founding stock may last a long ti, potentially causing us significant losses, so the bank has provided us with a new option internally."
Lynch nodded again, "Go on."
The departnt manager pursed his lips as if considering his speech strategy and ideas, and after a while, he said, "We plan to join forces with those companies initiating the acquisition. As long as our shares exceed fifty-one percent, we can dismantle Every Mont."
"We noticed that Every Mont’s currently most profitable departnt is Kleve, so we will separate it, along with the rapidly developing general tobacco departnt."
"Most of the other departnts are in continuous loss or break-even states, and those will be abandoned by us..."
In simple terms, Rongsheng Gold Bank intends to first unite the power of major shareholders to gain absolute control over the board.
Next, the company will be split into over a dozen different independent companies, and all shareholders’ equity structures will be readjusted; these companies are split into two situations.
The first kind is prepared to be abandoned, and the second is prepared to be harvested.
Those companies set to be abandoned will mortgage all real estate to the bank in exchange for a sum of money, which will then be lent through so special channels in a no-interest, indefinite way to the companies ready to be harvested.
Then those planned-abandoned companies apply for bankruptcy, and the bank takes over their real estate, not only not losing but possibly making a profit.
After all, loaning out six or seven million for ten million worth of real estate isn’t easy, but the bank processes these real estates much more easily.
Having acquired a large sum of money, the company waiting to be harvested sees a sudden surge in market value, because with a large sum of money in hand, a little "adornnt" easily attracts investors’ attention.
Then it’s "sold at a premium," where everyone gets a satisfactory return, except for those who were dood to be "abandoned" from the start.
Of course, their losses won’t be too great; after the company goes bankrupt, their lives won’t change much.
It might just be like ordinary people needing to find a job to make a living instead of sitting in air-conditioned rooms looking at quarterly reports and pondering where to dine at night.
This is a common tactic and currently the most popular financial operation in Bupen; thus, people call these financial companies the "jackals of Bupen."
They don’t care about the founders’ lives; by trampling on others’ dreams, destroying others’ futures, they put future money into their present pockets.
After completing this, they leave behind companies applying for bankruptcy and a mass of unemployed people, without any concern.
Lynch looked at the executive manager, hitting the core, "Is soone planning to purchase Every Mont’s tobacco business?"
The executive manager’s pupils contracted rapidly, and he imdiately lowered his head to conceal his unnatural facial expression. When he looked up again, his expression and deanor were back to normal.
Yet his slight, instantaneous change was caught by Lynch.
"Why would you think that, Mr. Lynch?" The executive manager eventually couldn’t help it; he knew this might fool ordinary people but couldn’t deceive soone like Lynch, who guessed the truth.
If he hadn’t guessed the truth, maybe he’d be kept in the dark for a while, but Lynch had a target now: with just a few calls, he could discover the truth, so the manager did not hide it and voiced his query.
Lynch neither showed any pride nor elation for guessing right, remaining ever so calm, "I don’t need to guess. The tobacco business of Every Mont, plus squeezing other departnts, just the Kleve business alone is worth at least six billion."
"A business of this magnitude cannot be quickly absorbed by the market, and the cost of self-operation is too high; the only possibility is soone has an eye on this business, intending to acquire it through you..."
The executive departnt manager sighed, conceding.
"Shi Haoyun Company has taken a fancy to this business. They also heard what happened at the eting and contacted us..."
Shi Haoyun, also known as Every Mont, is one of the three major tobacco companies in the Federation, belonging to the later developed companies.
Originally, it was just an ordinary tobacco company, and like most dium and small tobacco companies, it had dominance in a specific region, but nationwide, it appeared weak.
The CEO of Shi Haoyun seized a very important opportunity early on, launching several lines of filtered mixed cigarettes suitable for won.
At the ti, feminist groups were launching campaigns like "Won Have the Right to Smoke in Public," but no cigarettes on the market were specifically designed for won with a slightly milder flavor.
As soon as Shi Haoyun’s ladies’ cigarettes ca out, they imdiately beca a hit across the Federation and, because they actively participated in and supported feminist movents, have now beco one of the most beloved companies by modern won.
This small, previously unnoticed tobacco company beca one of the three major tobacco companies in the Federation overnight.
Of course, this is also directly related to the spending power of those won. Ladies’ cigarettes are often more expensive than n’s cigarettes, but in terms of raw material usage, they require less; adding just a baking process brings more profit.
Shi Haoyun, after rapid expansion, is still seeking further expansion, aiming to grow big and strong.
It’s been said that whether a tobacco company truly has strength is evident if they have the Kleve business.
Kleve, as a favored consur product in high society, is sothing Shi Haoyun envies. However, they helplessly couldn’t penetrate this circle.
This is also one of the prices they paid for succeeding with ladies’ cigarettes—as mainstream high society remains male-dominated, they dislike Shi Haoyun’s business strategy, hence the long-pending breakthrough.
After Every Mont encountered problems, Rongsheng Gold Bank’s first reaction was to contact Shi Haoyun. They have always wanted a breakthrough, and now there is an opportunity.
The reason Rongsheng Gold Bank took this step is because they can gain the most benefits from this split acquisition case.
This includes a large number of high-quality real estate properties under Every Mont, the returns from their shares in Every Mont, part of the loans they pay will return to their pockets, and they will lend money to Shi Haoyun, enabling Shi Haoyun to buy Every Mont’s Kleve business.
Even the money lent to Shi Haoyun will transform into debt equity as they did with Every Mont.
Lent money becos an investnt, directly acquiring shares to collect dividends, and when danger arises, they either dump the shares or reclaim interest and principal.
With a quick turnaround, the profits range from tens of millions to billions, which is enough to tempt Rongsheng Gold Bank’s shareholders.
So they sent soone to actively contact Lynch, hoping to gain Lynch’s support. Only with enough supporters can this plan continue.
User Comments
0 comments from readers