KKR and Silver Lake Capital are naturally for the acquisition of Avago by Galaxy Capital, they are the majority shareholders, controlling the development direction of the company, and the company has changed from a double giant to a three-bureau head, and it is difficult to say how much impact it will have on the future development of Avago. As old fritters on Wall Street, they have no fear of Galaxy Capital joining. However, the growing market in the mainland is endlessly attractive to them, but the country's closed and immature financial environment is not friendly to their development. In particular, KKR's best leveraged buyout is even more difficult in China, and even after ten years, they have not made any major moves in China. The emergence of Galaxy Capital is both a challenge and an opportunity for them.

Anwargo has nine seats on the board, and Zhou Shi's stake is less than 30 percent, but he still hopes to get three of them, that is, to cut meat from the other two in disguise. Naturally, they would not agree to such a request, and the negotiations reached an impasse.

Although there were some twists and turns in the negotiations, KKR's Kravis and Silver Lake Capital's Glenn Hutchins did not stop them from meeting with Zhou Shi and Lu He. The place where they met was a golf course, and Zhou Shi was not interested in this kind of aerobic exercise at all. But going with the flow, which is also one of the essential athletic skills for social interaction, a lot of confidential negotiations are done between a few shots. As for the simple reasoning, it will be very difficult for someone to eavesdrop on the conversation.

"How about let's join the acquisition of Singapore-chartered semiconductors?" said Kravis

Zhou Lu and the two looked at each other quietly, and it was not unexpected.

"If you don't have an opinion on our development strategy, we are unlikely to have an opinion" Zhou Shi did not refuse, he wished that someone would fund it.

"Oh, I don't know what you're going to do after the acquisition. "Glenn Hutchins

"Basically, there will not be much change, that is, to increase technology research and development and capital investment. Adhere to the company's policy of not making a profit within five years!" Zhou Shi said that he felt that it didn't matter, money or not, it was really a trivial matter for him, even if he was allowed to invest 5 billion US dollars in 5 years, it would not be difficult at all, but unfortunately there were only one or two such tyrants in the world, KKR and Silver Lake Capital were not among them. They target mature companies, which have positive cash flow and can stay afloat after taking a lot of debt.

"It's very risky!" said Glenn Hutchins

"There are not many ways for backward enterprises to develop. Zhou Shi simply said that for the development of these high-tech enterprises, he can only rely on strength to speak, even if Zhou Shi digs more than a dozen Liang Mengsong from TSMC, if there is no place for them, then catching up with TSMC is just talking, and if it really develops, I am afraid that it will not even be able to meet its own needs. The reason why the launch of the first generation of smart phones has been delayed for a long time is closely related to the poor development of his semiconductor company.

Kravis didn't say anything, continuing to invest without producing, it is obviously a very radical measure, if it succeeds, it's okay, it's a great adventure, if it fails, hehehe, it's not enough to get back the money, how much investment can be recovered is the last word.

For a while, there was silence on the road, and no one spoke.

"We have another project, I wonder if you are interested?" Zhou Shi

"What project?" said Kravis

"Micron Technology!" Zhou Shi blurted out.

Although one of the founders of Micron Technology, the potato king of the United States, Simplao, died in May this year. But his other founder, Steve Appleton, is still in the post. This is a company leader with an energetic and never-say-die spirit. Tianhe Securities had preliminary contact with him, and the results were not optimistic.

"Micron, that memory chip manufacturer?" said Glenn Hutchins

"That's right, it's a company with a lot of potential. "Zhou Shi

"But the entire memory industry is losing money. "Glenn Hutchins

"I hope to take advantage of this opportunity to expand the industry's losses!" Zhou Shi said.

"Extend the loss!" exclaimed Glenn Hutchins

"That's right, Samsung Semiconductor is using the same method to shuffle the market, and if we can control Micron, I believe we can raise this money. "Zhou Shi

"I'm not worried about money, and the risk is not small this time, right?" said Kravis.

"Although the investment is not much, the probability of success is very high. Zhou Shi briefly introduced them to some information found on the Internet, and made further analysis and assumptions about the actions after the acquisition.

Although the spot price of DRAM has fallen below the cash cost, Micron has advanced technology in DRAM and NAND, and if it is supported financially, it may not be able to beat Samsung.

Zhou Shi's words made them interested, and after a while, they officially discussed the topic. Micron's CEO Steve Appleton is a topic that can't be stirred up.

Appleton is a well-known sports enthusiast who enjoys participating in scuba diving, surfing, and dirt bike and motorcycle racing, as well as aerobatics. He was injured while flying an aerobatic flight in 2004. A few years later, in 2012, he crashed while testing a Lancair single-engine aircraft. The adage that you will not die if you do not die is fully proven, and he himself said: I would rather die a wonderful death than collapse on a hospital bed. He could hardly ever be short of an adventurous spirit!

"If we can get Appleton's support, there is a good chance that this operation will succeed. The financial crisis is a good opportunity!"

"Yes, if we miss such an opportunity, we will be difficult to find a more suitable opportunity" week

Micron's stock price is still declining, with a price of less than $2.5 per share, and the market value of the White Tiger and Xuanwu Fund are all absorbing stocks, and the market value is even less than $3 billion. Compared with his role, such a price can be said to be the price of cabbage. Sometimes, Zhou Shi even thinks that the subprime mortgage crisis can last a few more months, giving him the opportunity to buy or absorb more high-quality assets. As for the lives and deaths of others, he didn't think so much.

After talking to the two bigwigs from KKR and Silver Lake Capital, everyone made some concessions. First of all, it was determined that Galaxy Capital White Tiger Fund could obtain two seats on the board of directors of Avago, and the last seat needed to be jointly approved by the three parties.

The terms were negotiated and the acquisition went more smoothly, and although the price of the acquisition increased, Galaxy Capital also spent a full $750 million based on Anwar's market capitalization of US$2.9 billion. Fortunately, the fall in oil prices has allowed their earnings to make up for this part of the expenses. The price negotiations for Singapore's licensed semiconductors have also come to an end, with a total cost of US$3.2 billion and an actual outlay of around US$1.3 billion, including debt and convertible preferred shares. Compared with the acquisition of ATIC (Abu Dhabi Sovereign Fund) in the previous life, Galaxy Capital spent more than $700 million less. The two acquisitions, including other costs, amounted to almost $2.1 billion. At this point in time, having such a large transaction is really shocking for those who are interested!

(End of chapter)