Wow.

Many people were shocked when the news of the acquisition of F.B.N.K Financial Company came out, because there was no news about it before, and the most difficult thing for them to accept was that the F.B.N.K Financial Company, which has a market value of up to $500 million, was only sold for $20 million.

"What...... F.B.N.K Financial Company was actually merged? ”

"F.B.N.K Financial Company 20 million dollars, jumping price fire sale, what does that idiot want to do with Winnieburg?"

"Crazy, all crazy......"

……

Outside.

Many people could not understand why F.B.N.K Financial would sell the company at a discount, and the stock price of F.B.N.K Financial plunged 18.7% on the day.

F.B.N.K Financial Company is a listed company, and there are still 20% of the outstanding shares on the stock market, but Tang Bao is not in a hurry to recover these shares.

At this time, the stock price is at a high level, and it is not cost-effective to buy back shares.

The disclosure of the merger and acquisition news immediately became a very hot news material, and various news media reported on the matter intensively.

After half a month, Tang made another move, and he staged a miracle of mergers and acquisitions, and only used $20 million to pocket the F.B.N.K financial company with a market value of nearly $500 million. According to our information, Tang acquired 81.2% of the shares from 13 shareholders of F.B.*N.K Financial Corporation** for a single share equivalent to $1.07 per share. As a result, F.B.N.K. Financial Corp.'s share price plummeted, falling below $20 per share to close at $19.36 per share. —The Wall Street Journal.

"The shareholders of F.B.N.K Financial are crazy, and companies worth hundreds of millions of dollars have been sold for cabbage prices by their fools. It's fair to say that this deal is full of weirdness. According to the reporter's understanding, East West Bank and F.B.N.K financial company have been in contact before, but there has been no news of discussing mergers and acquisitions. It seems that this is more than the deal is done all of a sudden. No more than a week before and after. What is even more puzzling is why the F.B.N.K financial company, worth hundreds of millions of dollars, was sold for only $20 million. Either the shareholders of F.B.N.K Financial are crazy, or there may be some kind of crisis in their company that forces them to sell at a low price...... F.B.N.K Financial has a problem, we'll see! —Los Angeles Times.

Tang is embarking on a move into the U.S. banking industry, and East West Bank, formerly known as California's Redwood Community Bank, was bought by Don due to a run. After that, it changed the decline and developed rapidly. F.B.N.K Financial was the first large savings and loan bank to be acquired, and this could be the beginning of East West Bank's frenzied expansion! Will East West Bank break out like Phoenix Investment Group......" -- U.S. News.

"East West Bank's acquisition of F.B.N.K Financial was a disaster, what are the White House officials doing, and why would they agree to the acquisition?" -- A local tabloid.

"The cheapest savings and loan bank in the United States, you can take it home for as long as 20 million dollars......" - Fresno Bee Newspaper.

……

……

Since the relevant personnel of East West Bank and F.B.N.K Financial Corporation refused to be interviewed by reporters, none of the parties could get an accurate reason. I can only guess, analyze, or ridicule by myself, anyway, I can change the way to attract the attention of readers and increase newspaper sales.

Caskell Financial Bank, Headquarters.

Look at the news in the newspaper about the sale of F.B.N.K financial company at a low price. There was a buzz of heated discussion in the conference room.

The news caused some panic among the directors of Casker Financial Bank. At the same time, he was very dissatisfied with Veneberg's behavior.

Journalists don't know the inside story of the sale at a discount, and in order to attract the attention of readers, they are there to talk nonsense. It's a lot of imagination, but they can't guess it.

The business of F.B.N.K Financial and Castelle Financial is very similar, think of the difficulties that their own banks are experiencing. They will understand why they are selling at a discount.

"Bang, this bastard ......"

A director angrily slapped the conference table and scolded angrily. They were still discussing how to hide the company's predicament, but when Veneburg did this, all parties would definitely draw attention to the reasons for the low price of F.B.N.K. Finance.

The fact that F.B.N.K finance is mired in real estate financing loans will certainly not be able to hide it, which will drag many banks to die with them.

Why?

The real estate market is sluggish, and it is impossible to drag down only F.B.N.K financial companies, and those banks that are too involved in this market will not be able to escape.

Arguably.

The outbreak of the F.B.N.K Financial Company crisis will detonate the entire banking crisis......

"Everything has happened, no matter how angry it is, everyone should think about how to deal with the next storm!" Finally, there are directors who are level-headed.

Soon.

The directors came up with a plan to deal with it.

The first plan is to gather funds to deal with the crisis, recover loans as much as possible, borrow funds from other banks, and start issuing a bank bond.

The second plan is to introduce new shareholders to further increase capital reserves and strengthen the ability to respond to crises.

The third option is to sell the Cassel Financial Bank.

The fourth option is to apply to the court for bankruptcy protection......

……

There are not many banking institutions that are as anxious and angry as Caskel Financial Bank, and they all have some problems to a greater or lesser extent.

Suddenly raised the vigilance, and they were all thinking about how to deal with it. Of course, there are some banks who don't take this seriously and don't take it seriously.

But.

However, the number of loans between banks in various parts of the United States has skyrocketed several times, and the interest rate on borrowing has also skyrocketed, reaching a terrifying 6% for half-year loans, and it is not necessarily possible to borrow money. More and more banks are borrowing money, while the number of those who have funds and dare to lend money has plummeted.

"Hey, President Hans, our bank has some difficulties in capital turnover, can you lend me a sum of money for emergency, it only takes half a year, and the interest rate is easy to say...... 6.5%, is that okay? No money? The 7% ......"

"Hi. Hello, Joan. I want to borrow $50 million at a rate of 6.75%! ”

"No funds? No, Daniel, you can't die without help...... I'm going to pay you 7.5% of the interest on the loan. The president of a bank was anxious and hurriedly raised the interest rate, hoping to impress the other party.

"Well, I'm sorry to tell you, our bank is also short of funds, and I can't help you." After speaking. Without waiting for the other party to say more, he hurriedly hung up the phone.

……

"Repay the loan? George, we still have more than two years left in the term of the loan, and it is not due! ”

"I understand, it's just that we are not optimistic about the profit expectations of this project, and I hope you will pay back the money quickly, and we don't want interest."

"Not optimistic about this project? George, this is one of the best projects in California, and if it weren't for the face of a friend. We will not choose to use your bank loans. ”

……

Time.

The market is full of borrowed funds, repaying loans, and many banks are recovering funds at any cost...... He even did not hesitate to abandon projects with good prospects.

The atmosphere of panic is spreading rapidly......

……

"Hehe, some banks are still quite vigilant." Nowadays, many banks are in a hurry to withdraw their funds. This matter was widely interpreted by the media, and Tang Bao was naturally very concerned.

"Boss, I'm afraid this is affected by the sale of F.B.N.K financial company at a low price. Many small banking institutions rely on real estate loans to survive. As long as there is a problem in the real estate market, they will inevitably come back to trouble......" Veneburger laughs.

For Tang Bao's invitation, Winnieberg only thought about it for a few days. He agreed, officially joined East West Bank, and was appointed vice president of the bank.

Well.

Tang Bao nodded, the U.S. real estate market was very prosperous a few days ago, housing prices have risen one after another, and many banks have made a lot of money from this.

It's just this deformed way of doing business, making money quickly, but also dying quickly. There is little turmoil in the real estate market, and these banks will be so worried that they can't sleep!

……

Time is like water, and it is the middle of June in the blink of an eye.

At this time.

The other two banks that were in talks with East West Bank, Mid-Atlantic Bank and PIKT Holdings, finally couldn't sit still because of the panic in the market, and suddenly accelerated the negotiations, and soon reached an agreement to buy them.

Ultimately.

East West Bank's $76.5 million acquisition of a 69.3% stake in Mid-Atlantic Bank; Acquired an 85% stake in Pikt Holding Bank for US$132 million.

Generally.

The finances of the Mid-Atlantic Bank and the PIKT Holding Bank are much better than those of the F.B.N.K Finance Company, and the loans involved in the real estate sector, although deep, are not hanging from this tree. That's why the two banks were able to hold out for so long in the negotiations.

The two acquisitions were submitted to the U.S. regulators for approval, and it took only a short time to get the approval of the acquisition.

Hereunto.

The three acquisitions that Robert followed up and promoted have all been successfully completed, and it took more than five months from the attempt to contact and the completion of the acquisition.

Followed by.

East West Bank held a press conference, and Tang Bao personally came forward to announce the news of East West Bank's acquisition of Mid-Atlantic Regional Bank and PIKT Holding Bank.

"In the near future, East West Bank will recover the outstanding shares of the three banks and then apply for delisting!" When asked by a reporter what East West Bank's next move would be, Tang replied with a smile. The three banks are all listed banks, and the shares acquired by Tang Bao were all purchased from major shareholders, and although they have a controlling stake, there are still a few shares circulating in the stock market. Without recycling these shares, it will be difficult for East West Bank to integrate effectively with the three banks.

Wow.

The reporters were very surprised by Tang Bao's answer, and they thought that Tang Bao would take advantage of the opportunity of integrating with the three listed banks to promote the listing of East West Bank in one fell swoop.

……

"Hello, Don, I'm a reporter for the New York Times, how did you manage to acquire F.B.N.K Financial Company for $20 million?"

"This is a normal business acquisition, because F.B.N.K Financial is only worth $20 million! Even $20 million may be expensive. Tang Bao responded with a smile.

Wow.

As soon as these words came out, the reporters below suddenly exploded, and there were many discussions, and they didn't understand what Tang Bao meant.

$20 million acquired F.B.N.K financial company, which has a market value of nearly $500 million, and feels that it has lost money.

Oh.

God, what's wrong with the world.

Many reporters were unable to accept and understand Tang Bao's remarks.

"Don, may I ask why the value of F.B.N.K financial company is only worth 20 million dollars?" The reporter asked again, and seemed to disagree with Tang Bao's evaluation.

"Huh...... This involves the financial problems of F.B.N.K financial company, and it is inconvenient for me to disclose the specifics. To be honest, if East West Bank were a publicly traded bank, I wouldn't consider buying F.B.N.K Financial because it would probably be a disaster. It's true! ”

Financial problems?

Some reporters' eyes suddenly lit up, and it was possible that F.B.N.K financial company had an intractable financial dilemma and was forced to sell it.

"Don, does F.B.N.K Financial have an intractable debt problem?"

"It's a trade secret, I have nothing to say!" Tang Bao shook his head, he only did this to suppress the stock price of F.B.N.K Financial Company and clear the way for his next share repurchase action. Not only is it a question of the cost of buybacks, but there are other challenges, such as the fact that some stockholders are not so willing to accept buyback proposals......

"Don, do the other two banks that were acquired by East West Bank have similar debt problems?" The shrewd reporter hurriedly asked.

on this.

Tang Bao just smiled and shook his head, but didn't say it explicitly. Then, the reporters raised a series of questions about the acquisition of East West Bank, and Tang Bao answered some of them, while others avoided answering.

"Recently, many banks have been borrowing funds, recovering loans, and trying to repatriate funds as much as possible. Don, what do you think about this? ”

"Well, that's a very clever move."

"Oh."

When many reporters heard Tang Bao's answer, they immediately became interested, and secretly wondered why Tang Bao would appreciate this kind of repatriation of funds.

"Tang, these banks have capped their lending rates to 7.5 percent in order to borrow money, and the yield on many bonds is much higher. Some banks are in a hurry to recover their loans, give up the interest on the loans, and even offend their customers, and they pay a heavy price......"

"Uh, maybe. They paid a heavy price for it, but it could save their bank and keep them alive. So, I said, their behavior of recouping funds at any cost is really very smart. Tang Bao said calmly.

Speaking of which.

Tang Bao naturally knew what the reporters below wanted to ask, so he continued: "Well, the current financial market is not very good. In particular, those banks and fund companies that are too deeply involved in real estate may fall into the quagmire. Attentive people may find that home prices in the United States are falling, home sales are declining, and the housing crisis will soon erupt, triggering a banking crisis. ”

"A real estate-induced crisis in the U.S. banking sector is about to erupt!" Tang Bao confidently issued a prophecy, and then did not give the reporters a chance to ask, and left directly. (To be continued......) R1292