The price offered by Hawat was within the acceptable range of Sun Dahai, and the specific situation was left to David to negotiate with the personnel from the Youlian Marketing Department who would arrive in a few days.
David now serves as the president of the London branch of Skoll Bank, and he also holds a concurrent position at the Zurich headquarters, so he runs both sides.
Because the original president and two vice presidents of the London Branch were transferred to Russia and Xiangjiang to prepare for the establishment of branches respectively, the management of the London Branch is temporarily thin.
In the afternoon, David ran over after getting the news from his secretary. He followed Sun Dahai to the club and listened to Sun Dahai's investment plan.
It was just a club participating in the Third Division League. Before David came here, he didn't expect that Sun Dahai would be so big. He wanted to invest more than 200 million yuan into it, so he felt a little hesitant.
"Isn't 10% of the club's shares worth more than 20 million pounds, less than 40 million U.S. dollars? What's so difficult for you? With the Bank of Gaul, your net profit will be 200 million U.S. dollars, right?
?" Sun Dahai asked puzzledly.
"Oh, you don't know. When Leon Group invited me here this time, I thought they were going to implement the repurchase clause immediately. But then I found out that they were going to continue to drive up the stock price to completely bring down their opponents.
Moreover, they have begun to prepare to steal some high-quality resources from their opponents after defeating them, so their cash flow is somewhat insufficient.
They came to me because they hoped to use some other resources to replace the stocks in my hand when executing the stock repurchase. In this way, the cash in my hand was not enough. I was also thinking that after I bought the yacht with this money
, even if you invest some money in your football club, it will still be more than enough! As a result..."
When Sun Dahai heard this, he felt a little dizzy.
"Do they want to replace all of it with other assets, or buy part of it with cash and replace the other part with other assets?" Sun Dahai asked.
"Of course they hope not to use cash, but to replace everything with other assets. However, under my objection, the result of the discussion now is 28%. They will use cash to repurchase 20% of the stock, and the remaining
Eighty percent can only be replaced with other assets."
Sun Dahai and David both felt a little surprised, but everyone could understand the situation of Leon Group.
A fierce hostile takeover and anti-takeover battle was fought, and both parties forced the stock to its current position. Even if Leon Group finally won, the losses it suffered were not small.
Especially in terms of cash flow, it is estimated that both parties have mortgaged all the assets that can be easily mortgaged, and it will not be able to recover in a short time.
After winning, although the Leon Group was able to control the stock price to slowly fall, it trapped the opponent in the stock market and laundered part of the funds eager to escape into its own hands, but most of their funds had also been turned into stocks. They wanted to make money in the short term.
It is impossible to realize it within a short period of time.
Moreover, since the current stock prices of Bank of Gallia are artificially high, major banks are not stupid and cannot accept stocks with artificially high stock prices as collateral to continue to issue loans.
And the Leon Group wants to take advantage of the time difference to rob its opponents of high-quality projects first.
Therefore, it is completely understandable that Leon Group wants to complete stock buybacks through asset swaps.
Moreover, since this is a proposal put forward by the Leon Group, Sun Dahai and David will definitely take a big bite out of the asset valuation in business negotiations.
Estimating based on the actual value alone, they can earn at least 10 more points. If they are not in urgent need of cash, such a swap is actually more beneficial to them, because what the other party brings out must be high-quality goods that they would not easily sell.
assets.
Leon Group will not suffer losses either. They save cash flow, which means they save time in fundraising and capital mobilization, so they can take the initiative at any time and get more benefits from their opponents.
In this way, they not only make up for their losses in the valuation of the replacement assets, but also make greater profits, achieving a win-win situation with Sun Dahai and the others.
David was broad-minded and fat. When he talked about money just now, he looked sad. But now he suddenly thought of something and became happy.
"Sun, I'm thinking, they may have a headache right now. How should I explain it to you?
Our company's main business is construction machinery. Although it is not mining-specific equipment, we have business contacts with Leon Group and its downstream enterprises on some passing equipment.
If I want to exchange assets, I can get some mineral shares from them, or a long-term large order for certain primary minerals, and I can sell them by changing hands.
I just don’t know what they will prepare for you, your business scope is not related to theirs.”
Sun Dahai also laughed: "Then let them have a headache. Their mining projects are mainly in Africa. Don't say I won't do mining. Even if I do, I won't want the assets there."
Many places in Africa are really in chaos. Doing business there without the strong support of the state is sheer chaos. I can't just organize an armed force to protect the mines just for this little money."
This situation of the Leon Group also slightly disrupted Sun Dahai's plan. His original idea was similar to David's, and he was also planning to allocate part of the funds from the buyback funds of the White Knight Plan to invest in Banat Football
The club is under construction.
Sun Dahai holds 2.99% of Bank of Gaul's shares, which is three times the amount of David's. According to the agreement, if the Leon Group repurchases it at 20% off the current market value, it will need more than 900 million U.S. dollars in repurchase funds.
If the cash and assets are exchanged for 28%, then Sun Dahai can only obtain less than 200 million US dollars in cash.
Sun Dahai's package plan for Banat Football Club requires a total of 220 million pounds, equivalent to 350 million U.S. dollars. In other words, if there are no other changes, Sun Dahai still has a funding gap of nearly 200 million U.S. dollars.
In fact, the funding gap faced by Sun Dahai may be even larger.
Because the replaced assets are unlikely to be discounted in the short term, if it were convenient to discount, Leon Group would have mortgaged or sold it long ago and would not appear in front of Sun Dahai at all.
Sun Dahai is different from David. His roots are in Europe. The worst he can do is convert the debt into Leon Group's mineral product orders. At that time, it will be very convenient whether it is to transfer the order or sell the goods directly to his customers.
Sun Dahai was talking to David and thinking quickly in his mind.
The White Knight Plan uses Sun Dahai’s personal name. Sun Dahai’s other personal funds are currently stored in the CPC account of Citibank headquarters.
However, most of the assets in the account are stocks that Sun Dahai is optimistic about, such as Microsoft stocks. Sun Dahai intends to hold these assets for a long time and it is impossible to cash them out.
There is not much cash left in the account, only 10 to 20 million US dollars. This is the pocket money Sun Dahai left for himself, but it is not enough to fill the funding gap.