Chapter 401: Greater Trouble in the United States (2)
"Li, look at this report, the wind seems to be starting to change!" Charleson handed Li Xuan a copy of the New York Post, which had just been published today.
The New York Post was one of the most active newspapers in the RCA contamination incident, and published several articles in a row attacking RCA. In today's article, their focus is no longer limited to RCA, and it seems that they want to involve Li Xuan and the Oriental Group!
The article makes a bold guess that Li Xuan and the Oriental Group may have known about the serious pollution of RCA's Taiwan branch as early as a year ago. Because according to Nickerson in an interview with the New York Post, when the Eastern Group cooperated with RCA to build a picture tube factory in Chinese mainland, it sent several visiting groups to the Taoyuan main factory for detailed inspections.
The author believes that the investigation team of the Dongfang Company, through so many inspections, could not have found the fatal loopholes in the Taoyuan factory, because the RCA company did not cover up at all at that time. And when the Eastern Group launched a blitzkrieg takeover war against RCA, Li Xuan suddenly threw out this important trick, forcing the major shareholders of RCA to quickly comply.
Because if this pollution incident is discovered, RCA's share price is likely to be cut in half, and shareholders will lose a lot. At that time, the Oriental Company acquired at a premium, allowing these shareholders to exit unscathed. Therefore, in the transaction of the Eastern Group's acquisition of RCA, it is likely that there is insider trading that harms the interests of minority shareholders!
Last year, the Oriental Group completed a complete acquisition of RCA at a total cost of $51.5 billion per share, at a total cost of $5.22 billion.
But in the past year, RCA has sold off a series of non-core edge businesses such as the aerospace division, the insurance division, and the blanket factory. Quickly recovered up to $1.25 billion in cash.
NBC Broadcaster, on the other hand, has spun off from RCA and is preparing to list on the New York Stock Exchange. Wall Street investment banks give NBC broadcasters a valuation. Up to $4 billion.
Since the beginning of this year, the U.S. stock market has entered a new round of bull market cycle. NBC's financial numbers are very good, and it has obtained a good valuation by taking advantage of the opportunity of the bull riding to go public.
The value of these two aspects alone has reached $5.25 billion, which is more than the total cost of the Oriental Group's acquisition of RCA. And the remaining assets of RCA's home appliance division, including televisions and video recorders, can be worth five or six billion dollars.
So at the beginning, many people thought that Li Xuan was the unjust taker, but now it seems that it is indeed a very beautiful move. Apparently unhappy with the outcome, an attack began against RCA and the Eastern Bloc.
Do Americans really care about the pollution scandal caused by an overseas branch of RCA? Not necessarily? The pollution incident did not happen in the United States, and everyone has a lot of time. It's better to care about whether the New York Giants can make the playoffs this year!
The incident was exposed only because some people needed some reason to launch an attack. Most of the U.S. media outlets that reported on the RCA pollution incident did not even bother to send a few reporters to Taiwan, where the incident occurred, to conduct on-the-spot interviews, but kept quoting the so-called truths that Nixon told during the interview.
"It seems that it is necessary to shut up this Nexon as soon as possible!" Li Xuan said with a frown.
"We have gathered some evidence, he did accept bribes from a number of upstream suppliers during his tenure in the Taiwan branch, but these Taiwanese suppliers are not willing to come forward to testify!" Charleson shook his head a little helplessly.
"The U.S. Foreign Anti-Bribery Act shouldn't be able to control foreigners, right?" Li Xuan saw Charleson nodding before continuing, "You give me the information of these suppliers." I'll figure it out!"
Perhaps out of consideration to avoid causing panic in society, the Taiwan authorities have been very strict in controlling the progress of the investigation into the pollution incident at RCA's Taoyuan plant! So as long as Nexon can be silenced, the United States will soon have a lack of follow-up news. And let this incident cool down quickly.
"Gentlemen, we're really in big trouble this time!" said Bradshaw, the chairman of the RCA, as he pushed open the door and walked in with a gloomy face. "I just got the news that someone seems to be lobbying the parliamentarians and gentlemen. Reopen the investigation into the merger and acquisition of RCA by the Oriental Group last year!"
This is very bad news indeed. Li Xuan and Charleson were speechless for a long time after hearing this!
"Do you know who is behind it?" Li Xuan asked softly in a deep voice.
"We've been investigating who was behind the scenes to encourage Nickerson to speak up, and we finally tracked down an environmental charity! And there are a number of Wall Street predators on the charity's donation list! And according to the information that Congressman Schumer revealed to me this time, the team in charge of this lobbying seems to be inextricably linked to Wall Street!" Bradshaw said.
Li Xuan always thought that the attack might be carried out by other competitors of the Eastern Bloc, but he did not expect it to be Wall Street! What is their purpose?
"Not long ago, I received a call from two old friends in the investment community, both of whom wanted to buy some shares of NBC broadcasting!" Bradshaw continued to Li Xuan.
Although NBC TV has been strongly challenged by cable TV, ABC and CBS, it still stubbornly retains the No. 1 position in the national ratings share, and its profitability is also very stable!
However, Li Xuan did not think that those predators on Wall Street were only aiming at an NBC broadcasting company! The Oriental Group has a lot of coveted fat! For example, the Oriental Research Institute and the Oriental Game Company, including Salomon Brothers, Goldman Sachs, Merrill Lynch, Morgan Stanley, and other major investment banks on NeWall Street, have all thrown olive branches to Li Xuan, hoping that they will run these two companies to go public in the United States.
Like the computer park company that has been listed on the NASDAQ, the Oriental Group has also firmly held an absolute controlling stake. A number of investment funds have said they hope to buy a stake from Orient Holdings. But now that a new bull run in the U.S. stock market has just begun, and the share price of the computer park has been rising, it is not wise to transfer equity now.
Perhaps some people on Wall Street hope to gather evidence against the Oriental Group by investigating the merger and acquisition of RCA by the Oriental Group, so as to force Li Xuan to give up enough interests! (To be continued......