Chapter 225: Meeting Guo Sida
Guo Sida's return to New York in such a hurry means that the robbery of Columbia Pictures is a complete success. Thinking of this, Tang Bao's mood became more and more comfortable.
……
Coca-Cola meeting room.
"Mr. Tang, I have admired the name for a long time, hello!" The door to the conference room was opened, and the man at the head walked into the conference room in three steps and two steps.
Almost at the same time.
Tang Bao, who was waiting for Guo Sida in the conference room in advance, also got up immediately and shook hands with Guo Sida. Guo Sida, a descendant of Cuban aristocracy, in 1960 the Cuban revolution, Castro nationalized Coca-Cola's Cuban factory, and Guo Sida, a chemical engineer working in the Cuban Coca-Cola factory, left Cuba and transferred to the United States headquarters to work. Frankly speaking, sitting in the position of CEO of Coca-Cola requires not only strength, but also a little luck, but luck alone is obviously not enough. Guo Sida's ability to sit on the CEO throne as a Cuban American can be seen in its power.
"Hello, Mr. Guo Sida!"
Tang Bao shook hands with Guo Sida while quietly looking at this Cuban-American chemical engineer, in fact, the taste of Coca-Cola has changed a lot compared with before, and the Cuban named Guo Sida in front of him is the one who led the change in Coca-Cola's taste.
It may sound ironic but it is an indisputable fact that one of America's greatest corporations has taken another leap forward because of its hostile Cubans.
"Mr. Tang, please!"
After a simple greeting exchange, Guo Sida made a gesture of invitation to Tang Bao and invited Tang Bao to take a seat. Although Starr and Tang Bao have reached an agreement on the sale of Columbia Pictures, there are still some details that need to be discussed.
"Thank you!"
Tang Bao smiled, and he was not polite, and sat down directly.
Forthwith.
Guo Sida went straight to the point. He still has a lot of doubts about this multi-billion dollar deal, and it is necessary to confirm a few points personally.
"President Guo Stard, I think Mr. Starr has fully explained the terms of the transaction regarding the sale of Columbia Pictures, I don't know if you have any doubts?" Seeing Guo Sida holding a document and staring at it without blinking, Tang Bao smiled.
Billions of dollars in transactions require patience.
Therefore.
Regarding Guo Sida's failure to sign directly as expected, Tang Bao did not question angrily.
"Hmm. Mr. Tang, then you're welcome! Guo Sida said.
Tang Bao's face did not change, and he still smiled and nodded.
"First of all, Mr. Tang is proposing to buy Columbia Pictures for $3 billion and take on its $1.6 billion debt, and the purchase price is a lump sum payment in all cash, right? So how do you set the payment time, and how do you ensure that the payment is made in time according to the contract? Guo Sida asked, he has many doubts, but the biggest concern is still the problem of money. This all-cash acquisition is very tempting. However, it is also often more prone to disputes, because there are not a few cases of buyers deliberately delaying payment and making trouble, although I heard that Tang Bao made tens of billions of dollars in the gold futures market, but that is unreliable rumors. Besides, having money is not an absolute guarantee of performance.
"That's right! The payment time is set within one month after the transaction is concluded, as for the payment guarantee...... What kind of guarantee does President Guo Sida want? Tang Bao asked with a smile.
"I would like to set up a default clause in the M&A, where one party terminates the transaction without cause or delays the payment of the transaction, and the other party is required to pay 10% of the total transaction amount! Of course, force majeure factors such as the government's veto of mergers and acquisitions are excluded! ”
"No problem. Just do what President Guo Sida said! Tang Bao agreed very happily. Dare to worry about the default of mergers and acquisitions...... It's no wonder that Coca-Cola has been negotiating with Sony before, and now it is abandoning Sony in favor of Phoenix Investment Group. If Phoenix Investment Group changes its mind halfway, it may not only offend Sony, but also put Columbia Pictures in an even more unpredictable predicament.
It is not surprising that Guo Sida has such concerns.
Similarly, Tang Bao also has this concern, at present, his acquisition of Columbia Pictures is still in the secret stage, and he is also afraid that Sony will hear some rumors and disrupt his plan and deployment.
"Secondly, let's talk about Mr. Tang's support for Coca-Cola."
"Oh? I don't know what kind of support President Guo Sida needs? "Coca-Cola's stock is a relatively stable stock, and the stock dividend income is also very stable, which is a very suitable stock for long-term investment. Therefore, it is not impossible to increase your holdings of Coca-Cola stock when you have spare money.
"It is rumored that Phoenix Investment Group has a list of gold stocks, and all the stocks on the list will last for a long time, increase their holdings on dips, but never sell? Recently, there has been a lot of buzz in the market that Coca-Cola will be the first stock to be kicked off the list of gold stocks and replaced by the strong PepsiCo...... Hopefully, Mr. Tang will feel free to show some gestures of support for Coca-Cola stock. Guo Sida said.
"Hehe, the heavy stocks of Phoenix Investment Group generally do not change, well, at least not now! President Guo Sida does not have to worry about Coca-Cola being replaced by competitors! Tang Bao comforted with a smile.
Hear the words.
Guo Sida's face showed surprise, "Phoenix Investment Group really has a list of gold stocks?" I thought it was just a market rumor, but from Tang Bao's words, it seems that there is really this list of gold stocks.
"If you believe, you will have, and if you don't believe, you will not!"
Tang Bao replied with a smile and did not respond positively to Guo Sida's question. The list of gold stocks that went viral outside may be the list of 70 potential stocks with heavy positions listed by him in the stock market crash of '87. As long as this thing exists, sooner or later it will leak out, and it will definitely not be hidden. It's not surprising at all, after all, even if the list of famous stocks is not deliberately mentioned, careful people will find its existence. With the departure of some employees and job hopping, leaks are normal.
Hear the words.
Guo Sida immediately understood that Tang Bao didn't want to discuss too much about it, so he didn't talk about it anymore and quietly changed the topic.
"Phoenix Investment Group's investment in Coca-Cola is long-term, and President Guo Sida does not have to worry about the sharp fluctuations in the stock price affecting my investment intention. As for your competition with Pepsi, I am more optimistic about you......" Tang Bao gave Guo Sida a reassurance.
Well.
Guo Sida nodded with great satisfaction, and his heart was settled. With Tang Bao's clear statement, coupled with Buffett's support. At least there won't be chaos inside. He was also able to focus on dealing with and solving Coca-Cola's dilemma, saving him a lot of trouble in winning the trust of the board.
After all.
Not everyone is Buffett and can calmly deal with wild fluctuations in stock prices. In fact, as Coca-Cola's stock price has fallen one after another, many shareholders have begun to pressure the company's management to take measures to boost the stock price. If Phoenix Investment Group also joins, the pressure on Guo Sida will undoubtedly be unbearable, so Tang Bao's statement made him feel reassured.
Of course.
Guo Sida realized that Tang Bao was very interested in Columbia Pictures, and he felt the need to use this leverage to get more support. For example, he sought help from Tang Baolai to boost Coca-Cola's stock price...... The most important point is that Tang Bao has such strength.
No way.
Guo Sida is a professional manager, he can't ignore the sharp fluctuations in stock prices, if it is difficult to change this situation for a long time, it will make shareholders unhappy, and if shareholders are unhappy, then his CEO position may be replaced by a new person. Since the beginning of the year, Coca-Cola's stock price has fallen by more than 20%, and Guo Sida's pressure is really not ordinary.
Well, Phoenix Investment Group holds a 6% stake in Coca-Cola. The collapse in Coca-Cola's share price is also bad for us. I will do everything I can to support the stock price when necessary, including absorbing Coca-Cola shares from the secondary market...... However, I hope that there will be no misunderstanding, and President Guo Sida will rest assured. I don't have any intention of getting in control of Coca-Cola! Tang Bao assured.
According to the historical development trajectory, Buffett also took advantage of Coca-Cola's predicament to decisively take out a large amount of money to increase his holdings of Coca-Cola stocks.
If memory serves.
At this time, Buffett may have begun to secretly increase his holdings!
And Coca-Cola's stock price plummeted only because investors were affected by the Pepsi overtaking Coca-Cola, and as long as Coca-Cola holds its ground, it will quickly turn the situation around. The stock price will also return to flattening. In general, Coca-Cola's stock has struggled to explode, but it has steadily appreciated.
"Thank you, Mr. Tang, for your understanding and support!"
Get promised. Guo Sida breathed a sigh of relief again, obviously, Tang Bao's statement of increasing his holdings of Coca-Cola shares was tantamount to a relief in the snow for him.
“……”
Tang Bao smiled and nodded, and said: "Mr. Guo Sida, I believe you can see that I am sincere about this transaction!" ”
"Of course, of course!" Guo Sida said.
Ponder for a moment.
Guo Sida sat up straight and asked tentatively, "Mr. Tang, I don't know if you can talk to a few large bottlers in the United States?" ”
"Huh? How...... Could it be that you are not going well with Coca-Cola bottled cooperation? Tang Bao asked in surprise. Starr mentioned it at the charity gala before, so Tang Bao knew that Guo Sida had tense negotiations with the bottler, and the head of Coca-Cola could come forward to negotiate in person, and now Guo Sida asked for help for this, which shows that the negotiations with the bottler are not going well.
Hear the words.
Guo Sida smiled bitterly and nodded.
"It's a pity that Phoenix Investment Group has no intersection with American beverage bottlers, so I'm afraid it won't help!" Tang Bao shook his head helplessly.
Coca-Cola's traditional business model is only responsible for selling the beverage concentrate to bottlers at a fixed price, and then the packaging and sales process is completely controlled by the bottlers, and it is difficult for Coca-Cola to effectively control the decisions of bottlers without holding shares. Especially at the critical moment when Coca-Cola's market share was overtaken by PepsiCo and sales were affected, the differences between the two sides increased significantly, and the relationship became more and more tense.
"It's okay, trust me to fix this problem." The disappointment in Guo Sida's eyes was only a flash, and he quickly became energetic.
See here.
Tang Bao is not surprised, Guo Sida has been in Coca-Cola almost all his life, and he has seen more storms and waves, how could he be hit by this trouble. Besides, when Coca-Cola sells Columbia Pictures stock, it will raise $3 billion, and then it will be much more confident when it goes to battle the bottlers again. However, Tang Bao still asked more driven by curiosity, "If you get the money to sell Columbia Pictures, will you take a stake in the bottler or build your own bottler?" ”
"It's hard to say for sure, it depends on the negotiations with the bottlers, but I'll consider a small stake first."
Tang Bao nodded silently, which is in line with the historical development process of Coca-Cola. Investing in the bottling plant is just a means for Coca-Cola to balance and influence the bottling process, and the ultimate goal is still to expand beverage sales. Obviously, it is not the most economical to build your own bottling plant in the United States, where labor costs are high.
……
Although the meeting between Tang Bao and Guo Sida was in a hurry, it went smoothly and the two sides had a very pleasant talk.
Random.
The two initialed an agreement and only had to wait for a formal contract to be drawn up by their teams of lawyers before the deal was completed. Of course, the prerequisite for the successful completion of the transaction is the approval of the US regulatory authorities. (To be continued......)