A well-groomed Caucasian American with white hair and beard is sitting in front of Feng Yu. This man has a confident look on his face. Even the World's Second Richest Man, Feng Yu, does not seem to be able to affect him.
Ralph said. "Mr. Sanders, my boss is very interested in your company. This is not the first time I had contacted you, and we had met several times. Your company's market value is over 70 billion USD at that time, but it is only around 20 billion USD now. "
What he is trying to say is, Jerry Sanders, are you regretting? We had only offered 51% of the company's shares in the past, and we can even reduce our investments. But now, according to the original price, he can buy the entire AMD and still have money left over!
Sanders still has a smile on his face. "Feng, I have never doubted that you want to acquire AMD. Your name is enough to convince me that you will give me a suitable price. But I am the one who set up AMD, and I have deep feelings for it. Just like the company you founded, will you sell it? Although the company's market value is shrinking, the company is still making profits, right? "
This old man is not easy to deal with. That's right. Although AMD's market value had shrunk more than many companies, AMD is still making profits. Last year's profits are more than 1 billion USD, and this year's profits are more than 3 billion USD. Even though the global economy is not doing well this year, the PC industry is developing rapidly.
My company is still making profits, and I will not sell it even if the share prices rise or fall. Anyway, I am not suffering any losses. It's those investors who are suffering losses. When the stock price rises, I can cash out the non-voting shares that I've won as a reward. I can also keep them and wait for the price to rise before selling them again. Or, I can just wait for the dividends.
AMD is different from those dot-com companies whose share prices had plummeted. AMD has a physical company and is doing well. Although AMD is being suppressed by Intel in terms of CPU, so what? Intel does not dare to let AMD go bankrupt. Otherwise, it will become a monopoly, and AMD will be fined heavily. Furthermore, AMD will be forced to split the CPU into smaller companies!
"Sanders, AMD had only started making profits last year and had been in the red before. If it weren't for the stock market bubble, your company would have gone bankrupt long ago. I'm not afraid to tell you that we have secretly acquired some of your company's shares. Although the transaction is not completed, the contract has been signed. These shares are enough to guarantee that we will be the biggest shareholder after you. "Ralph said with a sarcastic smile.
You are the one who founded the company, but you do not have the money to develop it. If not, AMD would have gone bankrupt a long time ago.
You don't want to sell your company's shares, but you can't stop others from selling. This was especially true for banks and other investment institutions. Many investment institutions had suffered significant losses due to the stock market bubble. They urgently needed to withdraw their funds to reduce their losses.
Under Feng Yu's instructions, Ralph made use of this opportunity to sign agreements with many investment institutions. He would buy the shares of those companies at 120% of the market price.
At that time, when the US stock market recovered, AMD's share price also rose a little, and those investment institutions thought that they had gotten a bargain. But after the WorldCom and Arthur Andersen scandals broke out, more companies in the US were implicated, and the US stock market plunged. AMD's share prices plunged again.
Even Intel's share prices had fallen to around 30 million USD. At the end of 1999, Intel's share prices had exceeded 500 billion USD!
Now, it seems that those shareholders who thought they had gotten a bargain had suffered a loss. Based on the current market price of 120%, it was at least 10% lower than what they had paid in the past!
It was a pity that the contracts had already been signed. They had to complete the deal by the end of the month. They all wanted to complete it as soon as possible, but Ralph wasn't in a hurry. Who asked them to set a flexible date for the deal? Wind and Rain Holdings will make more profits for every day they delay.
But there are still some shareholders like Sanders who did not want to sell their shares. If not, they could acquire all the voting shares from other shareholders and own 49% of the company's voting rights. Although it is still lower than Sanders' 51%, Feng Yu's reputation is enough to challenge Sanders.
Of course, other than buying some of the non-voting shares from the shareholders, Ralph did not buy any of the non-voting shares in the market. If not for the voting rights, AMD's voting shares are not worth buying at all!
Ralph thought Sanders will be surprised when he told him that he had become the second-biggest shareholder of AMD. However, Saunders did not seem to care at all.
"Oh? So what? I am still the company's major shareholder with 51% of the company's voting rights. You had said that our company had turned losses into profits since last year. I did not sell my shares when the share prices were high. Now that the share prices have fallen, do you think I will sell my shares? On the contrary, I am also preparing to buy my company's shares. Oh, I forgot to tell you that my voting rights might be higher than 51% in a few days. "
Ralph's face changed. That shareholder, whom he had not managed to persuade, was convinced by Sanders. But Ralph had already offered a good price, and Sanders will not offer a higher price.
Ralph thought for a while. It should be because he had bought the shares of the other shareholders previously, which made this shareholder alert and unhappy. After all, those shareholders were all cheated by Ralph in disguise. Although the cause was also their greed, Ralph was not the only one.
But if Sanders becomes the controlling shareholder, it will not be easy to deal with him. After all, Ralph had only bought 30% of the company's voting rights.
Feng Yu suddenly laughed. "Sanders, you are getting old."
Sanders's confident face changed. "Feng, what do you mean? Are you mocking me? "
"No. I am saying you had lost your drive. Under your leadership, Chao Wei will forever live in Intel's shadow. Indeed, AMD's profits should be high this year, and your new generation of processors are selling well. But have you ever thought that the gap between AMD and Intel is more than ten times? Whether it was in terms of market value, sales, or profits, they were all the same. Are you satisfied with 10% of the market share? "
"I had just worked with Bill Gates on a video game console not long ago. In the past, there was a company with 10% market share called Sega. I think you should have heard of it. At the end of last month, Sega announced that they had sold their video game business to Nintendo because they could no longer operate. 10% market share … this is the outcome! "
… …
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