Reborn in Hong Kong as a Tycoon

Chapter 669 Cooperation and Competition (Two in One)

When the people from Goldman Sachs arrived, when Lin Baicheng chatted with them, he also told them about the acquisition.

"Mr. Allen, don't worry, we Goldman Sachs has the largest and most professional team in the United States, and we will definitely be able to give you the most satisfactory plan to help you complete the acquisition."

It was not Wade Thomas who spoke, but Sean Dener, the vice president of Goldman Sachs, who came to the party of Galaxy Games Company with Wade Thomas this time.

Since it is a party where all shareholders are invited, Goldman Sachs will definitely send a more important executive to come.

"I believe in the strength of Goldman Sachs, so I will wait for Goldman Sachs' acquisition plan."

Lin Baicheng smiled, and after saying that he was going to entertain others, he took his leave and left.

After he left, Sean Denner said to Wade Thomas: "Thomas, Mr. Allen said that he also found Citigroup. He is a major customer of our company. You usually want to maintain your friendship with Mr. Allen, but He cannot be poached by Citigroup."

As for the acquisition, Sean Dana didn't say much, because he will hand over this matter to the acquisition and mergers department.

"I've been around a lot with Allen, and we have a good relationship. I will maintain my friendship with him."

Wade Thomas nodded to express his understanding. Sean Denner did not need to say that he would maintain a friendly relationship with Lin Baicheng, which was his network.

To put it bluntly, with a big capitalist like Lin Baicheng as a friend, even if Wade Thomas wants to leave Goldman Sachs one day, with these contacts, he will have a lot to do whether he goes to other investment banks or starts his own company.

Sean Dana nodded and didn't say any more. He believed that Wade Thomas was a smart person, and he didn't need him to teach him how to maintain connections.

"After the party starts, let's find a chance to chat with Mr. Allen."

"it is good."

Wade Thomas responded.

"Lawrence from Citigroup is here, let's meet him."

Sean Dana said, and walked towards Deren Lawrence who was also walking with a smile on his face.

"Mr. Thomas! Mr. Dana!"

Deren Lawrence toasted and said hello. Both of them are executives of Goldman Sachs. As the vice president of rival Citigroup, it is impossible for Deren Lawrence not to know the two, just like the executives of Goldman Sachs know the executives of Citigroup Everyone is the same.

Know yourself and know your enemy and you will never be imperiled in a hundred battles. Although the United States does not have this sentence, they understand the meaning.

"Mr. Lawrence."

Sean Dena raised his glass and said with a smile: "Just now Mr. Allen said that there is an acquisition to be entrusted to Goldman Sachs. Goldman Sachs has the most professional team in this area, and it is also a shareholder of the Telephone and Telegraph Company. I believe that Goldman Sachs will The proposed acquisition plan will definitely satisfy Mr. Allen."

"Mr. Allen also entrusted Citigroup, and Citigroup is also a shareholder of the Telephone and Telegraph Company. As for the team, I don't think Citigroup's team will lose to Goldman Sachs, do you think so?"

Deren Lawrence immediately responded tit-for-tat, not to mention the long-term idea of ​​befriending Lin Baicheng, the benefits that this single acquisition can bring are enough to make Citigroup excited and must beat Goldman Sachs.

Sean Dener immediately said: "Citigroup's team is still inferior to Goldman Sachs, which can be seen from the fact that Goldman Sachs' revenue and profits over the years are higher than Citigroup."

"It's just a temporary ups and downs. In the past, when Citigroup also had higher revenue and profit than Goldman Sachs, the temporary victory and defeat didn't mean anything." Derren Lawrence smiled nonchalantly.

"At least it shows that Goldman Sachs' current team is better than Citigroup's current team."

Sean Denner said this sentence not only to Deren Lawrence, but also to Lin Baicheng and other people who have the possibility of cooperation, to put Goldman Sachs above Citigroup, so that the possibility of everyone choosing Goldman Sachs will increase. greatly increased.

"The team at Citi has always been the best."

Deren Lawrence narrowed his eyes slightly, feeling very upset, but helpless.No way, who told the other party to tell the truth, the performance of Goldman Sachs has indeed been better than that of Citigroup in the past few years, even if you want to refute it, you have no idea.

"Mr. Allen is a major client of Goldman Sachs, and Goldman Sachs will provide the best service for Mr. Allen. This time, Goldman Sachs will do it for Mr. Allen."

Sean Dana smiled smugly, and did not say that the Goldman Sachs team is better than the Citigroup team, but changed the topic.How could he not know about Citigroup's thoughts, Lin Baicheng is a major client of Goldman Sachs, how could Goldman Sachs watch the major client being poached away.

"Then let's wait and see."

Derren Lawrence did not speak harshly, but he was more determined in his heart to make this order well, let Lin Baicheng and the outside world see Citigroup's ability, lest the outside world really think that Goldman Sachs is the number one on Wall Street, and they will go to Goldman Sachs in the future cooperated.

On Wall Street, it is true that Goldman Sachs and Citigroup are competitors, but sometimes they are cooperative relationships. It can be said that there is competition in cooperation, and cooperation in competition, so no one will tear their faces.

Therefore, although Deren Lawrence was very upset, he did not leave in a hurry, but chatted with Sean Dena hypocritically.

After chatting for a few words, Sean Dana said, "Mr. Lawrence, what do you think of Citigroup regarding New Century Software?"

"Huh? What does Mr. Dana mean by that?"

Deren Lawrence couldn't help but feel moved when he heard that. When New Century Software raised funds last August, it was led by Goldman Sachs and Citigroup. The two companies each held 5% of the shares of New Century Software, except for Lin Baicheng. second largest shareholder.

And New Century Software's performance last year was also very good. Its revenue exceeded 2 million US dollars, and its profit exceeded 1 million US dollars. Even if the net profit is deducted from the purchase of office buildings, there will still be more than 6000 million US dollars left.

New Century Software’s pre-financing valuation was US$5.5 million, and its post-financing valuation was US$6.6 million. The company’s performance last year had a relatively large increase compared to the previous year, so Wall Street institutions did not value New Century Software’s valuation. If it is less than US$8 million, Goldman Sachs and Citigroup, which hold shares, value the company at US$9.2 million.

Goldman Sachs and Citigroup are shareholders of New Century Software, and they will definitely increase the valuation of New Century Software as much as possible, so that their investment can earn more on paper profits.

When Goldman Sachs and Citigroup participated in the financing of New Century Software, they spent US$2750 million to get 5% of the shares. If the company is currently valued at US$9.2 million, it is worth US$4600 million, and the two companies each made a book profit of US$1850 million.

The reason why it is called a book profit is because the valuation of US$9.2 million was made by Goldman Sachs and Citigroup. Not everyone agrees, and because New Century Software has not yet been listed, it is difficult to exchange shares in the hands of the two companies. into cash of corresponding value.

"New Century Software's performance last year was so good, and the company has been in business for more than a year. I think it's time for New Century Software to go public. After all, the number of computer users in the United States and even the world is limited, and the number of users who need office software is only a few. Less."

Sean Dana spread the word out and said that in order to promote the listing of New Century Software, Goldman Sachs and Citigroup must cooperate, and even contact other shareholders to persuade Lin Baicheng together.

As for coercion, it is impossible. Lin Baicheng is the largest shareholder of New Century Software. If he firmly disagrees with the listing of New Century Software, Goldman Sachs, Citigroup and other institutions will have nothing to do.

"The performance of New Century Software is very good now. It is indeed a better choice to go public when the performance is good."

Deren Lawrence has no objection, but Citigroup has Citigroup's judgment. In Citigroup's view, with IBM's entry into the personal computer market, the personal computer market will be developed, and more people will use personal computers in the future, and these incremental markets will There must be some potential customers of office software.

In Citigroup's view, New Century Software's performance will not be bad as long as there are no competitors for office software.

Of course, the performance is not bad, but this is just an expectation, so Citigroup will not object to letting New Century Software go public now.After the company goes public, Citigroup will be able to take more initiative and hold shares if it wants to. If it thinks that New Century Software's performance will deteriorate, it can cash it in the secondary market at any time.

What's more, if New Century Software's IPO is handed over to Citigroup, Citigroup can earn an underwriting fee first.

Of course, Goldman Sachs is also a shareholder of New Century Software. If the company IPOs, Goldman Sachs will definitely not give up this opportunity. Therefore, the two are competitors. At that time, the biggest possibility is to become the underwriter of New Century Software's IPO together. Some.

Sean Dana said: "Since Citigroup also means the same thing, after the party starts, let's find a time to chat with Mr. Allen. If you want New Century Software to go public, you need to talk to Mr. Allen. "

"Okay, let's all be together then."

Deren Lawrence didn't refuse, and he wasn't even prepared to make a move. After all, this matter really requires the full cooperation of both parties, rather than holding each other back.

After negotiating this matter, the two parties separated, after all, they each needed to communicate.

At seven o'clock in the evening, the party officially started.

Lin Baicheng simply delivered some speeches, and then chatted with the shareholders of Xinghe Game Company.

Lin Baicheng told the shareholders that after the expiration of the sales restriction of Xinghe Game Company, he himself will not reduce his holdings in the secondary market. It will be too big, Goldman Sachs and other institutions have to reduce their holdings to deal with it themselves, and he will ask the company management to cooperate with them as much as possible.

That's right, Lin Baicheng asked the management of Xinghe Game Company to cooperate with Goldman Sachs and other institutions to ship as much as possible. It seems like insider trading, but this is actually an unspoken rule, and it is not harmful to him.

Institutions participate in the financing of enterprises in order to make money, so that institutions can withdraw from the company calmly and smoothly, so that institutions can make money. In this way, if Lin Baicheng still has enterprises to raise funds in the future, the institution will definitely be willing to continue to cooperate with him.

Otherwise, Goldman Sachs and other institutions will participate in the financing of a company under the name of Lin Baicheng, and the company will suffer losses, and the money of the institution will be wasted. You see, whether the institution is willing to cooperate with Lin Baicheng next time, even if it is willing, it will continue to lower the company's profit valuation.

On the contrary, if the institution that participates in equity financing has made money, it will definitely be willing to continue to cooperate with Lin Baicheng next time. It will be easier for Lin Baicheng's company to need financing, and it can also get a higher valuation.

Of course, asking the company's management to cooperate with Goldman Sachs and other institutions does not mean unconditional cooperation. Fake news will never be released. After all, if it is found out, it will bear legal responsibility.

"Mr. Smith, after the sale restriction expires, are you going to sell your stocks?"

While the shareholders were chatting, Iwasaki Mineryu asked Phil Smith next to him.

"I'm going to take another look."

Phil Smith did not hide his plan: "I don't hold many shares, but I'm not in a hurry. So I'm going to see how Allen does it. If he reduces his holdings by a large amount, I'll sell them too. ; if he sells only a small part, then I will continue to hold, long-term holding."

"Jun Lin's ability is still worthy of trust."

Iwasaki Mineryu nodded slightly, thinking that if Goldman Sachs and other institutions reduce their holdings, the stock price will definitely adjust.Once the stock price of Xinghe Game Company rises a little further, he can completely reduce some of his holdings, and buy back the reduced holdings after a correction, which can be regarded as a short-term trade.

Looking at the institution, Phil Smith said: "The stock price of Galaxy Games has more than doubled compared to when it was listed. Goldman Sachs and other institutions are holding a lower price than the listing price. The possibility of holding is very high. According to the style of Wall Street, it must be reduced while driving up the stock price, which will not only allow them to reduce their holdings smoothly, but also sell them at a good price.”

"It's no accident."

Iwasaki Mineryu also guessed this would be the case.

Looking at Mineryu Iwasaki, Phil Smith suddenly said: "The Zhonghe game company established by Alan and us will start the second round of financing in the second half of this year. If Mr. Iwasaki is interested, you can come and have a look at that time. "

Zhonghe Game Company only raised funds last year. It is not very short of money, but it is not rich in funds. Moreover, in the company's listing plan, it is best for the company to conduct three rounds of financing before listing, so that the company can raise more money. Funds, more funds can be invested in game development.

The more investment and the more games developed, the better the performance of the company, the smoother the listing, and a higher valuation when it goes public.

And every financing needs someone to subscribe. Phil Smith doesn't care that Mineryu Iwasaki is Japanese, as long as Mineryu Iwasaki can contribute money to participate in the financing.

"Of course I'm interested. If Zhonghe Game Company plans to raise funds at that time, please let me know."

Of course, Iwasaki Mineryu would not refuse, even if he didn't want to participate in the financing, he would not refuse immediately, that would be too offensive.

Besides, this is a company that Lin Baicheng also participated in investing in, and it is also a game company. Looking at the current market value of Xinghe Game Company, you can see that the game company has great potential, and Iwasaki Mineryu is also really interested.

Of course, whether the Zhonghe game company is worth investing in equity financing or not will require research and serious consideration and judgment, rather than making a decision all at once.

(End of this chapter)