Video Game Empire - Chapter 674

Since the Iraqi invasion of Kuwait in August last year, which triggered a surge in international oil prices, the U.S. stock market immediately turned from ups and downs. After the U.S. military defeated Iraq like lightning, the U.S. market finally ended the nearly half-year slump and began to slowly climb again.

The biggest support for the overall rise in the U.S. stock market is the consumption bull market that started last year. The most typical representatives of this are Coca-Cola and Wal-Mart. Even in the second half of last year, when U.S. stocks were trending lower, Coca-Cola’s shares were bucking the trend.

In less than a year, Coca-Cola’s total market value has risen from $30 billion to $45 billion, making it the seventh-largest company in the U.S. stock market. Another consumer giant, Walmart, is even more powerful, rising from $32 billion to $60 billion, and its market value has almost doubled!

As the world’s largest electronics chain hypermarket, CG, a subsidiary of the Oriental Group, has also grown from less than US$20 billion in market value to US$30 billion with the current consumption bull market. Top 10 companies.

“Mr. Rubin, you must have a general understanding of the situation of Dongfang Research Institute and Dongfang Game Company. These two companies have excellent profitability and are not short of funds! Especially Dongfang Game Company, the whole year of this year. The pre-tax profit will definitely exceed 2 billion! In the face of such an outstanding company that can bring me huge benefits, what reason can you use to persuade me to reduce my shareholding and transfer some of the benefits to others?

I currently hold more than 97% of the shares of Dongfang Game Company. For example, if I take out 20% of the shares for public offering, what price are you and Goldman Sachs going to help me underwrite these shares? “Li Xuan asked with great interest.

“Although I don’t know the exact financial data of Dongfang Games, according to our latest Goldman Sachs analysis, Dongfang Games can be valued at $20 billion. That is to say, if you are prepared to take out a part of the shares yourself, and Instead of going public by issuing new shares, you can get $4 billion in cash all at once, of course, without deducting issuance fees and taxes!” Rubin’s eyes flashed a light, and he replied immediately.

He and Goldman Sachs finally waited for Li Xuan’s attitude to change. The other party did not reject it as categorically as before, which is already a very positive signal in Rubin’s view.

“Only 4 billion? Well, it’s a lot lower than I expected! If I don’t choose to list Dongfang Games, this 20% stake will bring me at least $400 million in pre-tax profits!

And if I choose to reduce my shareholding and go public, although I can get a huge amount of cash back, where should I invest the money to ensure that I can earn $400 million in profits every year? You know, I’m not short of money, so if Goldman Sachs wants to take on the big business of listing Dongfang Games, it has to help me find a good place to spend money first! “Li Xuan said with a smile.

Rubin frowned. His heart activity at the moment was described by a classic catchphrase in Southwest China, that is, Mom sells batches! Since you have no shortage of cash, why insist on it, you can directly issue additional shares! It’s a pity that Li Xuan’s meaning is already obvious. He wants to take advantage of the opportunity of Dongfang Game Company’s listing to directly reduce his shareholding, so as to bring himself back a large amount of cash for other investments.

It’s just that Rubin didn’t have time to figure out Li Xuan’s specific investment intentions, but the other party’s intentions were also very clear. He agreed to let Dongfang Game Company go public! Therefore, no matter what Li Xuan’s follow-up conditions are, Goldman Sachs must do its best to meet the requirements of the other party. Because this business is likely to be the largest IPO in the U.S. stock market this year!

“Li Sheng, if you have so much money that you have nowhere to spend, you might as well give it to Jiahua Group and let me help you spend the huge sum of money! Cathay Bank’s business is limited to Chinatowns in Los Angeles, San Francisco, and New York. It can’t really help us open up the mainstream market in the US! Therefore, if Jiahua Bank wants to gain a foothold on Wall Street, it must acquire a major national bank in the US!” Yang Lingjun, who was also accompanying in the box, answered appropriately.

And as soon as he finished speaking, Robert Rubin understood at once! Li Xuan wants to cash out a large amount of money through the listing of Dongfang Game Company to help Jiahua Bank enter the North American market! Therefore, Goldman Sachs may undertake two huge businesses this time instead of one, and his mood suddenly turned from cloudy to sunny.

According to the ranking of the world’s top 100 banks by the British “Banker” magazine not long ago, Jiahua Bank ranked 76th in the world in terms of asset size. All left behind. However, Jiahua Bank’s business is mainly limited to a corner of Hong Kong, and its global influence cannot match its huge asset scale.

The United States is not only the world’s largest single market, Wall Street is the center of the world’s capital flow. If Jiahua Bank wants to go global, it must advance to the United States!

Since the 1960s, the U.S. economy has gradually begun to turn out of reality. The current global hegemony of the United States is largely based on the capital hegemony of Wall Street. After all, it is impossible for most companies to support the rapid development of the entire Dongfang Group in the early stage just by relying on their own cash flow, not only without any credit, like Dongfang Game Company.

Even with the existence of Li Xuan, the Oriental Group’s acquisition of RCA was also inseparable from the support of huge bank credit! It is precisely because he is well aware of the power of finance that Li Xuan established Jiahua Bank a long time ago. It is thanks to the strong capital output provided by Jiahua Bank that the Oriental Group can develop a huge electronic industry system around itself in just ten years.

But Li Xuan’s previous positioning for Jiahua was just to be the capital overlord in a corner of Hong Kong, helping him better control the base of Hong Kong. So far, this primary goal has been almost fully achieved. According to a survey report released by the Oriental Economic Research Institute not long ago, the contribution rate of the electronics industry to the economy of Hong Kong has exceeded 50%!

The Oriental Department, which Li Xuan built around the Oriental Group, not only occupies half of Hong Kong, but also extends its tentacles to every corner. That’s why he has the confidence to directly confront the Hong Kong Governor and the Hong Kong British authorities, because the real situation is that the British can no longer ignore Li Xuan. If the British Hong Kong authorities dare to leave him alone, the situation in Hong Kong may be out of control the next day!

This is like South Korea’s Samsung-Star Empire, which is so huge that even the Blue House can’t start ~www.mtlnovel.com~ Because once Samsung is attacked, South Korea’s economy may collapse. Therefore, even if the South Korean government arrests the chairman of Samsung on a charge, it can only be released in the form of amnesty soon after!

After Li Xuan realized the layout of his hometown, he naturally had longer-term goals. The current Dongfang Group has no less hard power than any consortium in Europe, America and Japan, so how can it lack a world-class bank.

You must know that whether it is a European or American consortium or a Japanese consortium, the bank will always be the most important link among them. Because the bank is the fulcrum, you can easily leverage capital far beyond your own strength! For example, Jiahua Bank’s current total credit is about 280 billion Hong Kong dollars, of which almost 160 billion is invested in the electronics industry.

In other words, Jiahua Bank alone has injected more than US$20 billion in credit into the electronics industry in Hong Kong and surrounding areas. With such abundant financial support, how could Hong Kong’s electronics industry not rise rapidly!

. m.

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