The company was like a beast.
The more limbs the beast had, the larger the body, the more complex the blood vessels under the skin, and the more blood flowed through the blood vessels. For a company, cash was the blood that maintained its normal operation, supplying blood to the various organizations of the company, and creating value in circulation.
Business expansion, management mistakes, strategic adjustments, and a series of other measures could cause the company to temporarily "lose blood." Generally speaking, the best solution at this time was to borrow from the bank. However, Future Group was facing a problem.
Xin's banks probably didn't have the ability to transfuse blood for Future Group.
Therefore, with reference to B City Consortium and the Rothschild family's approach, Jiang Chen decided to build a blood supply heart for his own Future Group!
What was more convenient than opening a bank to get a loan?
Since he decided, he would do it!
The next day, Future Group, with lightning speed, through its subsidiaries, acquired a bank in California for 600 million US Dollar and renamed it Future Bank. The size of Future Bank wasn't large. It had no more than 20 branches in California, less than one million depositors, and a total deposit of 4.8 billion US Dollar. The loan-to-deposit ratio was 71%, and there were a few bad debts.
Just as people were speculating why Future Group wanted to acquire the unknown small bank in California, Future Group made a high-profile announcement that it would inject 10 billion US Dollar into Future Bank, and at the same time, it acquired a total of 11 small and medium-sized banks in North America, Europe, and Asia at a premium.
The progress of the acquisition was smooth, mainly because the price offered by Future Group made it impossible for the shareholders of the banks to refuse.
Immediately afterward, Future Bank began to restructure and integrated the businesses of these 11 small and medium-sized banks under the name Future Bank, directly transforming into a multinational bank.
The news of the opening of Penglai City was still brewing, and Future Group made another significant move. With such intensive acquisition of banks, did they not only want to be in the internet, but they also wanted to directly intervene in the financial sector?!
Future Group's move immediately attracted the attention of banks such as Citigroup and Morgan. Although they didn't think Future Group was worthy of being their opponent in the financial sector, the terrifying influence of the other party on the internet still made the veteran banking giants cautious.
As it turned out, their worries were not unfounded.
After Future Bank completed its restructuring, it immediately held a press conference to announce to the media that Future Bank had reached a partnership with Future Technology, a subsidiary of the same group, to simplify the payment process for virtual reality content. After applying for a Future Bank card, Future Technology would automatically register an online banking ID for the user. After identity verification, the ID could be activated.
With this move, Future Bank's depositor volume immediately rose to another level. However, what really motivated people to save money was not because of the simplified payment procedures, but because Future Bank's current deposit interest rate was as high as 1%, and the one-year fixed deposit interest rate was as high as 4%. For most ordinary people, this was a tangible benefit!
At the press conference, the CEO of Future Bank was even more outspoken in the face of questions from reporters.
"That's right, Future Bank's main business is to lend to Future Group! Would lending to Future Group lead to bad debts? Look at the robot Xiao Lin at home and the Future on your wrist. Do you think Future Group will go bankrupt? So please be assured to store your money with us. Unless Future Group goes bankrupt, you will never have to worry about not being able to withdraw your savings. "
Of course, there were also voices of doubt. For example, some peers hired experts and scholars in the financial field. They questioned the safety of Future Bank's deposits from the perspective that Future Bank's capital allocation was too simple and its ability to resist risks was poor.
However, even with these discordant voices, it still couldn't stop Future Group's march into the financial industry. After Future Bank announced its partnership with the parent company, the number of depositors and the total amount of deposits grew at a visible rate. By the end of March, the number had grown to an astonishing level …
"At present, Future Bank has 17.41 million depositors worldwide. The total amount of deposits converted to USD is 112.1 billion, and the loan-to-deposit ratio is 77%. At present, the CEO of Future Bank proposed to us to go public for financing, and then use the financing money to acquire other banks. What do you think? "Xia Shiyu asked.
Injecting 10 billion into Future Bank to complete the acquisition of 11 banks, including the 20 billion previously injected into Celestial Trade, Future Group's liquidity was stretched to a piano string.
"Does going public mean information disclosure?" Jiang Chen asked.
Xia Shiyu nodded. "If a listed company has a major investment project, or a major business adjustment that may cause stock price fluctuations, it is obliged to disclose the project details to the public, but only the investment details, and the parts that involve trade secrets can be kept. My suggestion is, if you only plan to use Future Bank to support the parent company's business, you might as well agree to go public. "
After all, only a large enough scale could support the elephant known as Future Group.
And going public was undoubtedly the best choice to expand the business!
Financial giants, including Citigroup and JP Morgan Chase, were all not public companies. It was with the money raised from the listing that they were able to accelerate their expansion and crush their competitors who were stuck in the same old rut.
Old financial giants such as Rothschild Bank, although rich, were no longer comparable to Citigroup and JP Morgan in terms of influence. One of the key reasons was that Rothschild had always been extremely stingy with the shares in its hands and never considered going public.
In a sense, Jiang Chen was also this type of person, but recently he made some changes to adapt to the times.
In the financial field, Jiang Chen didn't have any useful technology. At most, he could work on the security of depositor information. But the security of depositor information alone couldn't be a selling point to attract deposits. In order to expand Future Bank's business in a short period of time, the only way was to go public and then use the money to acquire competitors!
"Is 30% enough?" Jiang Chen thought for a moment and asked.
"That's enough." Xia Shiyu nodded.
"Good, then that's it. Putting the listing aside, I need Future Bank to temporarily tighten its lending policy, maintain the loan-to-deposit ratio at 80%, and prioritize Future Group's loan needs! "
"Yes!"
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