Chapter 271: The offer is low

Having made up his mind, Simon asked, "So, Mr. Maekawa, what kind of price are you going to offer?"

"Based on the information we've gathered, Cersei Capital's current net asset value should be around $2.5 billion, and we can bid $3 billion," Maekawa said. ”

Simon didn't wait for Haruo Maekawa to continue, then shook his head and said, "Mr. Maekawa, this offer is too insincere. I am very optimistic that the Nikkei 225 Index will hit a high of more than 40,000 points, and as long as I keep my long position, I will be able to get at least another $1 billion in the next few months. And, if you still want me to shy away from shorting the Tokyo stock market after the broader market turn, a $3 billion quote is even more unlikely. ”

"Mr. Westeros, I'm sure you're not a greedy person, and you're describing just an idealized hypothesis. ”

"If my operation in the North American stock market two years ago hadn't become a given, probably everyone would have thought it was just an idealistic assumption. Mr. Maekawa, I am still very confident in my judgment. ”

Haruo Maekawa was silent for a moment, then raised his hand slightly and said, "So, how much do you think is appropriate?"

Without thinking, Simon made an offer: "$5 billion." ”

Haruo Maekawa blurted out: "It's too high." ”

Simon noticed the obvious gesture in Haruo Maekawa's words, and suddenly realized that his offer might be a little low.

If you think about it, just the Japanese stock market has a total market capitalization of more than $7 trillion, not to mention the Japanese property market and even the entire Japanese economy.

In comparison, $5 billion can bring him out of the market, a 'variable' that could cause a stock market crash, and the price is well worth it.

What's more, the Japanese didn't pay him a large sum of cash for nothing, and they also had access to Cersei Capital's entire portfolio.

Of the total net asset value of Cersei Capital of about $2.5 billion, cash reserves are $500 million, and the value of various types of portfolios is about $2 billion, with a total holding ratio of 80%.

According to the data in Simon's memory, if this portfolio of financial products such as stocks, bonds, and stock index futures were held until the peak of the Japanese market, the total value would not be less than $3.5 billion including cash. Coupled with the fact that Simon also needs to give up the opportunity to short the Japanese stock market in the future, the opening price of $5 billion is indeed not high.

You must know that after the Japanese stock market turned around, the Nikkei 225 index plummeted by 10,000 points in just four months, a decline of more than 25%. If Cersei Capital can build a position of the same size as the current bulls, a 25% decline in four months would be enough to bring Simon billions of dollars in profits.

Of course, this is just an ideal hypothesis.

Japan is actually a very closed market, and I remember that after the collapse of the Japanese stock market, the Japanese government took a lot of harsh restrictive measures to prevent speculative capital from rushing to short selling. What's more, stock index futures are a two-way zero-sum game, and in the case of a stock market crash, there is a lack of bullish capital, and it is not so easy for Cersei Capital to establish short positions.

All in all, taking advantage of this opportunity to cash out at once is definitely the best option.

Since it was Haruo Maekawa, the former governor of the Bank of Japan, who personally stepped in, it must be the major Japanese banks and the major chaebols who paid for the deal.

Thanks to the rapid development of the Japanese economy over the years, the world's top 10 largest banks are all Japanese banks, and their total assets range from hundreds of billions of dollars to trillions of dollars. The economic strength of Japan's major chaebols, as we all know, is even stronger.

These capital forces are just a little bit from their fingers, and $5 billion is more than enough.

However, although he realized that his offer was low, Simon had no intention of backing up.

In less than half a year, the principal of $1.57 billion skyrocketed to $5 billion, which not only far exceeded Simon's expectations, but also saved him a lot of time. With such a large amount of money cashed out in advance, Simon could also concentrate on the North American bond market, oil futures, and many other things.

"Mr. Maekawa, the price of $5 billion is very reasonable. I don't think you're going to cash out immediately after you buy out Cersei Capital's portfolio. If we reach an agreement as soon as possible, and you can give certain assurances, Cersei Capital can continue to increase its holdings tomorrow to send a signal to the outside world that I am still bullish on the Japanese stock market, so as to minimize the risk of Friday's sharp decline. ”

Haruo Maekawa only showed a slightly hesitant expression, then quickly nodded and continued to talk about the conditions of the Japanese side: "Simon, we can accept such an offer. However, in addition to the conditions just now, we also want to continue to have you in charge of Cersei Capital on the surface. Of course, just on the surface, we will remotely control the trading of Cersei Capital. ”

Simon immediately understood the subtext of Haruko Maekawa.

The Japanese want to rely on Cersei Capital to maintain investors' confidence in the Japanese stock market.

If Simon is bearish on the Japanese stock market, the outcome is likely to be catastrophic, as evidenced by Friday's one-day plunge in the Japanese stock market. On the contrary, if Simon has remained bullish on the Japanese stock market, a large number of short capitals eyeing the Japanese stock market will not dare to bet rashly

Cersei Capital happens to be the most intuitive manifestation of Simon's personal will.

Everyone knows how big the bubble is in the Japanese stock market.

The main purpose of the Japanese doing this now is to buy time to do more to push the Japanese economy for a soft landing.

Therefore, Simon speculates that after the Japanese buy Cersei Capital's portfolio, they will not choose to cash out at all unless the situation is completely irretrievable.

As long as you can buy more time for the Japanese economy, billions of dollars of money will be worth losing even completely. After all, if the Japanese government wants to bail out the market in the event of a stock market crash, even if it uses tens of billions of dollars, it may not be effective.

After sorting out the stakes of these joints, Simon once again felt that his offer was too low.

However, as Haruo Maekawa just said, Simon is indeed not a greedy person.

Maybe his offer is higher, and the Japanese will grit their teeth and agree, but the relationship between the two sides will not be as peaceful as it is now.

After all, in recent years, the popular hostile merger, the acquired company through the redemption of shares to send away the hostile acquirer, the premium rarely exceeds 100%. Cersei Capital's net worth is only $2.5 billion, and if Simon's offer exceeds $5 billion, the deal will not be a business, but a blackmail.

$5 billion, a 100% premium, is probably a psychological price that is more acceptable to the Japanese.

Although he has been cultivated in his bones for a long time with an instinctive resistance to the Japanese, Simon has no intention of deliberately confronting the Japanese.

Simon has no sense of belonging to the United States, nor does he have much hatred for Japan, he is just a lonely ghost who is lucky enough to occupy someone else's body, and he can only protect the interests of himself and those around him.

Seeing that Haruo Maekawa was still waiting for his reply, Simon nodded and added, "Mr. Maekawa, I can agree that you will continue to operate with Cersei Capital, however, I will not publicly express any views on the Japanese economy, whether positive or negative. In addition, Cersei Capital still belongs to me, and you can only get the ownership of the five sub-funds, and after this incident, I also hope that you can return the shells of these five sub-funds to me. Of course, it doesn't matter if they don't, but they can no longer be affiliated with Cersei Capital, well, and the period is limited to the five years we just agreed. ”

"No problem," Haruo Maekawa readily agreed, reached over and shook Simon's hand, and when the deal was completed, he couldn't wait to say Simon's proposal just now: "Mr. Westeros, we can pay a deposit of $500 million today, and I hope you can fulfill your promise just now, and increase the long position of Cersei Capital as promised after the market opens tomorrow." ”

Simon let go of Maekawa's hand and nodded: "Of course, actually, in order to avoid more unnecessary speculation in the market, I plan to leave Australia in the afternoon." ”

"That's the best," Haruo Maekawa said, and then asked, "Just, our specific deal agreement?"

The two have just negotiated a rough plan, and many details still need to be considered in detail.

Simon said, "My girlfriend Jenny and Tony can negotiate with you on my behalf. ”

Haruo Maekawa reminded: "Mr. Westeros, we want this matter to be kept as secret as possible, and the fewer people who know about it, the better. ”

"I understand, though, I can't stay in Australia forever. Moreover, during this time, Cersei Capital has always been in charge of Jenny and Tony. If you want to continue to maintain Cersei Capital, the two of them will definitely have to get involved. Moreover, it is impossible for us to hide this from investors, but I will try my best to cooperate with the control of the news. You can also sign a non-disclosure agreement if you feel it is necessary. ”

"So," Haruo Maekawa stood up, bowed slightly, and stretched out his hand to Simon again, "I hope we can work together happily this time." ”

Simon also stood up, reached out and shook the other's hand, and smiled, "I hope so, too." ”

This matter was negotiated, and Haruo Maekawa and his entourage left quickly.

Simon briefed Janet and Anthony about the deal just now, and both of them knew how much advantage Cersei Capital had, so naturally they would not object. Anthony immediately called Raymond Johnston, who was still in Western Australia, and hoped that the old man would come back to take charge of the overall situation.

The other investors of Cersei Capital are the most secure for the old man to communicate in person.

Being able to cash out at one time will not be objected to by other investors, and the key is confidentiality.

Simon wasn't too worried about this, and the forces that could be chosen to participate in Cersei's capital were all close to the Johnston family. At the beginning, the old man set a high investment threshold, and in the end, only nine external capitals such as the Murdoch family, the Fairfax family, and the Parker family participated.

In the 80s, the Australian economy was very dependent on Japan, and like the Johnston family, most of the Australian forces that invested in Cersei Capital had various connections with Japanese capital. Since everyone has benefited, perhaps coupled with the constraints of the confidentiality agreement, there is no need to risk offending the Japanese to expose the layout of the other party.

Even, with proper communication, other investors don't have to know who bought out Cersei Capital's portfolio.

Of course, these details are not something Simon needs to worry about.

Raymond Johnston flew back from Perth, Western Australia at two o'clock in the afternoon.

Simon and the old man met to discuss it, and then rushed to Melbourne Airport in the western suburbs, where Janet had to stay for a while.

In Melbourne Airport, looking at the tractor towing a Boeing 767 to the runway, Simon said to Janet beside him: "It just so happens that you can buy a Boeing 767 this time, I don't like to rent it like this all the time, I will place an order when I go back, and you can design the interior decoration yourself when you go back after a while." In the future, we will also be able to travel to and from Australia more easily. ”

Janet took Simon's arm, mumbled, and said, "Auntie has already helped you buy the remaining buildings on that plot of land in Manhattan." ”

Simon nodded, "I know." ”

Although it was handed over to the shell company that Veronica helped set up to operate, the funds still had to be transferred from Westeros, and Simon naturally knew about it.

Because of the continued decline in the North American housing market, Simon's purchase of a property between 59th and 60th Streets, east of Madison Avenue in Manhattan, for the construction of the Westeros Tower has become very smooth.

The purchase of all six buildings, including the land, cost a total of $173 million, a much higher cost than Simon had initially estimated.

Moreover, the cost of building Manhattan's tallest building in the shape of the Avengers Tower is also very expensive. Simon privately commissioned a real estate design company to do a rough statistics, just the main building, the cost will not be less than 500 million US dollars, if Simon has high requirements for building materials, design details, safety protection, etc., the cost is not capped.

In addition, the construction of such a building must first solve the problem of the users of the building, otherwise, if the building with more than 100 floors is vacant, the result will be disastrous.

The Westeros Tower is Simon's personal dream, and even if he doesn't think about the user for the time being, Simon doesn't intend to make do with it to a low standard, he wants everything to be built to the highest standard. As a result, the cost of Westeros Tower will rise to $1 billion.

$1 billion may not be a big deal in twenty or thirty years, but it is sky-high in this era.

Although Simon's profit from the Japanese financial market this time was enough to pay for the construction of the Westeros Tower, he had a lot more pressing things to do and had to put the plan on hold. Moreover, the idea of buying a Boeing 767 first was also a compromise.

Simon wanted to get the three wishes that Janet talked about that night, but the reality was hardly satisfactory.

After all, if Simon is desperate to fulfill his wishes, the result is likely to be that he does not have enough capital to keep those things alive.

I'm still not rich enough after all.

Seeing that Simon just answered and stopped talking, Janet suddenly chuckled, turned her head sideways and rubbed Simon's shoulder, and said, "Isn't it disappointing this time?"

Simon wondered, "Huh?"

"My aunt has been in Singapore for the last few days. ”

Simon decisively pretended to be stupid: "What's wrong with your aunt?"

"Hmph," Janet squinted at Simon and snorted, "Someone got drunk last night and sniffed like a puppy around someone's neck." ”

Simon was not fooled at all, shook his head and said, "I wasn't drunk, and besides, you fell asleep before me." ”

"In the middle of the night, I woke up. ”

"I sleep well and don't do anything strange in my dreams. ”

"How do you know what it's like when you're asleep?"

"You snore when you fall asleep. ”

"I won't !!"

"How do you know?"

"Little bastard, I almost changed the subject by you," Janet put her arms around Simon's arm and said accusatory, but her tone softened again, and she said softly, "That's not right, Simon." ”

Simon has always known that Janet is an extremely intelligent woman, not to mention that the two have been together for so long, there is probably no second person in the world who knows herself better than her. And, starting with Catherine, there is a certain attribute in him that is difficult to hide.

After a pause, Simon still hummed inaudibly.

The two were silent for a moment, and Janet leaned her head on Simon's shoulder and said, "Actually, you can find some girls who are younger than you, they are more suitable for you." Well, not too small either, or it will be troublesome. ”

Simon smiled and asked, "So what do you do?"

"Of course I'm your girlfriend, and I'll be your wife in the future," Janet said as a matter of course, "Men have to come home when they steal food outside." Dad used to be like this a lot, and he and Mom are still doing well for so many years. ”

Simon pretended to be interested and said, "Tell me more, maybe I can find an opportunity to blackmail your old man." ”

"How blackmail you, it's almost the same as being beaten," Janet patted Simon on the body, and said, "This is what my mother told me, she used to like to see the old man when he made up lies and deceived her after not returning at night, and my father has settled down when he is old these years." Little bastard, we're going to be like Mom and Dad until we're old, right?"

Simon nodded without hesitation, feeling the faint melancholy in Janet's tone, and reached out to hug the woman into his arms.

For the sake of Cersei Capital, reporters were still arranged around, and they happened to take a warm picture of the two standing in the west sun.

The Boeing 767 entered the runway, everything was ready, and Neil Bennett motioned not far away for Simon to board the plane.

After a few words of farewell, Simon was about to leave, but was stopped by Janetra and asked, "Little bastard, do I really snore when I sleep?"

Simon smiled and lowered his head and kissed Janet on the lips, "Of course not, lie to you." ”

"Really?"

"Really. ”

Janet was still not reassured, and warned: "You must not lie to me, I will go back and sleep and let my mother help me take a look." ”

A casual little joke to change the subject, it seems that the consequences are serious.

Simon stopped teasing, finally hugged Janet and walked to the private jet on the runway.