John Reid and Citibank's board of directors were very welcoming and eager for investors to inject capital into Citibank, but when this person was Tang Bao, they were not so excited, but instead felt a deep sense of unease. Pen & Fun & Pavilion www.biquge.info

Well.

John Rhett was somewhat resistant to Tang Bao's proposal to take a stake in Citibank, and had doubts and even caused uneasiness, but he did not directly refuse, and he planned to hear Tang Bao's specific conditions first. "Tang, presumably the stake in Citibank is not your temporary idea, you should have prepared a plan a long time ago, can I hear the specific conditions first?"

"Absolutely." Tang Bao said with a smile.

Then.

Tang Bao sorted out his thoughts a little and said, "Well, the current stock price of Citibank is about $12 per share, and the total market value is about $4.5 billion. Phoenix Investment Group injected a one-time capital of $2 billion into Citibank, a 30% stake, and requested three seats on the board of directors. ”

Burst.

John Red was so frightened that he vomited blood, and his face turned green. Where is this shareholding, it's like wanting to merge Citibank in one go. The equity of listed companies in the United States is very dispersed, accounting for 5% of the shares is considered a major shareholder, and holding 30% of the shares can basically control a company.

"President John, what do you think of my plan?" Tang Bao pretended not to see John Red's face, and asked with a smile.

Tang Bao knew that the conditions he proposed were very crazy, and it was impossible for the other party to agree, but what did it matter? Talk about business, ask for a price all over the sky, and pay back the money on the ground. He first set the starting point a little higher, leaving more room for bargaining, which is also more conducive to fighting for benefits.

Well.

Looking at Tang Bao with a smile on his face, John Rhett gradually returned to his usual calm and wisdom, Citibank is one of the top ten banks in the United States even if it is down, acquiring 30% of its equity, not to mention that Tang Bao is a Chinese, even Americans are difficult to achieve. Tang Bao is a smart person, and he will not be unclear about the doorway, but he still proposes such a desperate plan, naturally hoping to leave room for bargaining.

"Don, don't waste more time on this meaningless plan, there is no need to discuss it." John Rhett shook his head and said flatly.

Hey.

Sensing the change in John Red, Tang Bao couldn't help but be secretly shocked. But soon I saw that John Rhett was naturally not simple as the CEO of Citibank, and at first he was led by the nose because he had to restrain himself because he had to restrain himself, but now it suddenly became clear that Tang Bao also had plans for Citibank, so he would naturally change the passive situation.

"Heh, so President John is willing to start in-depth negotiations on Phoenix Investment Group's stake in Citibank?" Tang Bao said with a smile.

This.

John Rhett was stunned for a moment, and then said, "I'll still say that, let's listen to the specific conditions first." If you are in good faith, I will submit it to the Board of Directors for discussion. ”

He did not refuse to negotiate, but he did not let go casually. The matter of Phoenix Investment Group's shareholding is too important for him to decide alone.

Yo.

Thinking of the humility and politeness before, and then look at the faint arrogance that is now revealed. Tang Bao couldn't help but sigh in his heart, this change in attitude was really fast.

But.

Tang Bao didn't bother to care about these, and it was the right thing to take a stake in Citibank.

Phoenix Investment Group injected a one-time $1 billion into Citibank, a 15% stake, and asked for one seat on the board of directors. Does such a condition show my sincerity? Under normal circumstances, a capital injection of $1 billion would have to occupy 18% of the equity. Tang Bao said.

Hear the words.

John Rhett frowned slightly, to be honest, Citibank did take advantage of such conditions. However, Tang Bao's equity is still a little too much.

At present, the largest shareholder of Citibank only has 8.9% of the equity, and if Tang Bao injects capital to obtain 15% of the equity, he will directly become the largest shareholder of Citibank. Even requiring only one seat on the board of directors would have a huge impact on Citibank.

"Still not working?"

Tang Bao's face was unhappy. With a capital injection of $1 billion, he should have occupied 18% of the equity, and he only needed 15% of the equity, which was considered a premium acquisition. If you're not satisfied, you're a little too greedy. Citibank's situation, let alone a premium acquisition, is difficult to find investors for parity transactions.

He even doubted that Citibank would be willing to trade at a discount as long as other investors were willing to inject capital......

"Don, it's not that I'm not happy with your bid, but I have other problems." John Red pondered for a moment and spoke.

"Oh?"

Tang Bao looked at John Rhett and waited for the next step.

"The acquisition of a 15% stake in Citibank is still a bit too much for us to accept, and the acquisition will automatically trigger the Federal Reserve's review conditions, which may also be difficult to pass." John Reid explains.

Of course, Tang Bao knows that the Fed's review threshold for bank mergers and acquisitions is 10% equity, and as long as the 10% equity transaction is reached, the Fed's review conditions will be directly triggered. Many deals deliberately squeeze the acquired stake to less than 10 percent, such as 9.9 percent, in order to circumvent Fed scrutiny.

Well.

Tang Baoming knew that the review would be triggered, and he also wanted to acquire 15% of Citibank's equity, so he naturally had his considerations. After the Sino-US confrontation, Tang Bao's investment in the United States has not been affected, but some politicians have pointed the finger at Tang Bao, and he wants to take the opportunity of taking a stake in Citibank to test the attitude of the US government.

It is naturally good to pass the review smoothly. If there is too much resistance, he can cancel the transaction in advance and reduce the equity to less than 10%.

"You can't accept it?" Tang Bao asked.

"Yes."

John Rhett nodded.

"Why?" Tang Bao was surprised.

Tang, the 15% stake will make Phoenix Investment Group the largest shareholder of Citibank, and the entry into the board of directors will have an unpredictable impact on Citibank. And the East West Bank you control is also one of the top 10 banks in the United States, competing with Citibank. John Rhett said.

"Are you worried that Citibank's core trade secrets will be leaked to East West Bank?" Tang Bao asked with a smile.

"That's right."

John Rhett did not deny it.

"Huh. You don't have to worry about that. Phoenix and East West Bank operate independently, and it is impossible for East West Bank to use Phoenix to find out Citibank's secrets. After all, Phoenix Investment Group is the largest shareholder after taking a stake in Citibank, and divulging secrets is tantamount to damaging its own interests. In addition, Citibank also has a board representative in Phoenix Investment Group, which can be supervised at any time. ”

"Hmm."

John Reid thought about it and thought it made sense. There is still fierce competition between departments of one company, let alone two independent companies, even if they both work for the same boss, for the sake of their own interests, I am afraid that it is difficult to work together.

Is Phoenix Investments willing to help East West Bank at the expense of its own interests? Definitely unwilling, even if Tang Bao commands, the people below will resist.

Very simple.

No one likes to do things that harm themselves or others!

……

"Don, even if Citibank gets a $1 billion capital injection, I'm afraid it won't be enough!" John Rhett said with a deep frown.

Then.

John Rhett looked up at Tang Bao and said, "So, I hope that after Phoenix Investment Group takes a stake in Citibank, it can provide more financial support." ”

"Hah, there's nothing wrong with that. What's more, when the news of Phoenix Investment Group's stake in Citibank spreads, I think your situation will improve. Tang Bao said with a smile.

Hear the words.

John Reid also laughed, perhaps this is the biggest benefit of accepting Phoenix Investment Group's stake in Citibank. Every investment made by Phoenix Investment Group has a great impact on other investors.

Now Citibank shares do not dare to buy, but after the news of Phoenix Investment Group's stake in Citigroup is leaked, it is very likely that there will be a panic buying storm.

That's right.

Phoenix Investment Group has such magic! Countless facts have proved that there will definitely be unexpected surprises when investing with Phoenix Investment Group.

"Citibank is in this predicament, and it also needs to attract a few more powerful shareholders to support its development. President John, how about I introduce you to another investor? Tang Bao said suddenly.

Originally.

He and Alwaleed secretly negotiated the matter of investing in Citibank, and agreed to advance and retreat together, and now that the plan has changed, he has invested in Citibank in advance, and naturally he will not forget Alwaleed.

"Who is it?"

John Rhett asked cautiously. He was worried that the "investor" in Tang Bao's mouth was Tang Bao's secret affiliate, so he didn't dare to promise it easily.

"Alwalid!" Tang Bao said directly.

"Uh......" John Reid was stunned, searching hard in his mind, but there was no information, and he asked helplessly, "Don, who is this Alwalid?" ”

Ha.

Tang Bao laughed, in fact, this is not to blame John Reid for being unheard, Alwaleed's reputation now is far less than in his previous life, even if he holds the title of a Saudi prince. After investing in Citibank, he made a name for himself in the international financial community as Citibank's stock skyrocketed.

Right now.

He has not yet invested in Citibank, and Citibank's stock price is also at a low point, so naturally not many people will know who Alwaleed is.

"Alwaleed is a member of the Saudi royal family and is often referred to as Prince Al-Walid. His business is mainly in Saudi Arabia, and it's normal that you haven't heard of it. Tang Bao explained with a smile.

Oh.

John Reid came to his senses.

Then, he asked, "Don, are you sure he would be willing to take a stake in Citibank?" ”

"Hmm. I have some friendship with him, and I personally came forward to pull the strings, and he will definitely not refuse. He runs a bank in Saudi Arabia, an international bank like Citibank, which will certainly arouse his investment interest. Tang Bao's face was not red, and his heart was not beating and he lied repeatedly.

Tang Bao would never have told John Rhett that he had secretly messed with Alwalid's plan to invest in Citibank a year ago.

"Good. Don, please come forward to match, I very much welcome powerful investors to join the Citibank family. John Rhett said.

He agreed so happily, and naturally had his own considerations. Tang Bao has a 15% stake, which makes him very uneasy. Dora has a few powerful investors to join, which can directly dilute Tang Bao's equity......

"No problem."

Tang Bao replied very happily, he was afraid that John Rader would object, so he just agreed. However, he would never have imagined that John Reid had not yet taken a formal stake in Citibank, and he was preoccupied with how to dilute his stake. (To be continued.) )