Reborn as a Hong Kong Tycoon

Chapter 577 Reconciliation, the price of failure (two in one)

Seattle, Blue Software Inc.

In the company's meeting room, there were two groups of people sitting on either side of the long table.

Bill Gates and Paul Allen are the bosses of the company, so they are naturally there, and opposite them are Bill Hawes and his lawyers, accountants, assistants and others.

"You two, this is the third day of our negotiation. If we can't reach an agreement today, I think our negotiation should end here."

Bill Hawes said threateningly that Lin Baicheng's words gave him confidence, but he still hoped that the negotiation could be completed, and only through the negotiation can he show his ability.

Negotiations with Bill Gates and Paul Allen collapsed. If anyone can do it, just send someone over and propose a condition that the two cannot agree to, and the negotiation will naturally collapse.

Therefore, in Bill Harveys' view, since the boss sent him to negotiate, the boss still hopes that the negotiation will be successful on the basis of meeting the boss's conditions.

"Well, let's talk about a result today."

Bill Gates also does not want to continue to procrastinate, wasting time on negotiations does not make any sense.

"About the chairman's shareholding in Blue Software."

Immediately afterwards, the two parties negotiated how many shares Lin Baicheng could hold in Blue Software. This was the biggest disagreement between the two parties. However, the valuation of Blue Software had an approximate value, so it was not a big problem.

Bill Harveys wanted to fight for more shares of Blue Software Company for Lin Baicheng. Lin Baicheng said that he must get at least 20% of the shares. Of course, he couldn't just get 20% of the shares for Lin Baicheng. The ability is very poor, so the shares he wants to fight for must be more than 20%, otherwise he would rather fail the negotiation.

Bill Gates and Paul Allen did not want to give Lin Baicheng too many shares. After all, the two parties are in a hostile relationship. If they give Lin Baicheng too many shares, it may affect their control of the company.

This negotiation is the last time, so the two sides are slowly revealing their respective bottom lines.

Bill Harveys said that Lin Baicheng wants 22% of the shares of Blue Software, and in the next two years, as long as Blue Software has financing, Lin Baicheng has the same proportion of priority and investment rights.In this way, Blue Software will not be able to forcibly dilute Lin Baicheng's shares within two years.

The bottom line of Bill Gates and Paul Allen is even lower, and they are only willing to give up 20% of the shares, but they are the ones who initiate the negotiations, and they are also the ones who are entangled in lawsuits, so after discussing for a while, they still A compromise was made to give up 2% of the shares.

However, Bill Gates and Paul Allen also have a condition, that is, among the 22% shares that Lin Baicheng can get, 5% of the shares must be handed over to Bill Gates for five years.

Bill Harveys refused to agree after hearing this, but Bill Gates said that he was worried that Lin Baicheng would fight for the control of the company. Since he can promise that Lin Baicheng's shares will not be forcibly diluted in the next two years, then Lin Baicheng should also Make concessions and reassure him.

Bill Gates showed a relatively firm attitude. Bill Harveys could not guarantee whether Bill Gates would be young and energetic. Therefore, after thinking about it, he said that he would report to Lin Baicheng, and the specific answer would be up to the chairman Lin Baicheng. To make a decision.

Therefore, the negotiations between the two parties ended temporarily, and Bill Harveys took people away from Blue Software and went back to the hotel.

After Bill Harveys and others left.

Paul Allen said to Bill Gates: "Bill, what are you going to do if Allen is unwilling to give in and agree to let you own the 5% equity?"

"What else can I do, I can only choose to compromise."

Bill Gates shook his head and talked about this step. It is impossible for him to fail the negotiation because of Lin Baicheng's refusal to make concessions.

Paul Allen was a little surprised when he heard this: "Bill, I thought you would stick to it."

"Paul, the two of us are involved in lawsuits. If we don't reach a settlement with Allen, not only will we be in trouble, but the company's software will also be in trouble. This is the most important point."

What worries Bill Gates is that there are lawsuits over the ownership of the technology and patents of Blue Software's computer operating system. Once the company grows, investors will definitely worry about thunderstorms, which will inevitably have a major impact on the company's valuation. Influence.In addition, if the company has been fighting lawsuits, it is really hard to say whether the company can develop, so solving troubles is the most important thing.

"Bill, if you can think that way, then I can rest assured."

Paul Allen was really worried that Bill Gates was too egotistical. Now that he heard what Bill Gates said, he was immediately relieved, and at the same time, he was more confident in whether the company could develop.

On the other side, Bill Hawes, who returned to the hotel, tried to contact Lin Baicheng in New York.

It is really inconvenient to not have a mobile phone nowadays, but after several turnarounds, Bill Harveys still contacted Lin Baicheng, and then reported the negotiation results to Lin Baicheng.

"22% of the shares, 17% of the shares?"

Lin Baicheng thought about it after listening, and said after a while: "You can hand over 5% of the shares to Bill Gates, but in terms of time, it is equivalent to the number of years we have obtained the priority and investment rights. That is to say, if I The shares of the company have only two years of preferential investment rights, so the 5% stake for Bill Gates is also two years."

"Yes, chairman, I will let him agree."

Bill Harveys said he didn't ask Bill Gates what to do if he didn't say yes.

Lin Baicheng said: "I think three years is enough for Blue Software's priority and investment rights, so Bill Gates is given three years to exercise the shares. Of course, if Bill Gates wants to set the time at five If it is two years, then five years, there is no need to persist."

Bill Harveys immediately said: "Okay, I will try to set the time as three years."

Lin Baicheng asked: "So, what do you say about Blue Software's valuation and Microsoft's asset allocation?"

"Blue Software's valuation is not high, between US$800 million and US$1000 million. The specific valuation needs to be discussed again. The most valuable thing for the company is the technology and patents of the computer operating system, as well as an IBM colleague. Purchase contract for operating software from Blue Software."

"As for Microsoft Corporation, Bill Gates and Paul Allen have agreed to transfer their shares to you, and the company will be valued at $600 million. This has been negotiated. Once the negotiations are successfully concluded, then The transfer of shares will be completed, and at the same time Microsoft will sign an agreement with Blue Software to jointly hold the technology and patents of the computer operating system."

Bill Harveys answered aloud.

"I have no objection to the valuation of the two companies, but for Microsoft, there should be no problem with the share transfer contract. After the transaction is completed, the company will be moved to Los Angeles. If Microsoft's employees want to stay, start recruiting again. According to the procedures, those who have no problem with ability will stay. And those employees who do not want to stay in the company, follow the normal resignation procedures."

Lin Baicheng plans to let New Century Software Company and Microsoft Corporation do research and development and sales of computer operating systems together. However, the two companies only cooperate on this technology, so they will jointly invest in the establishment of the company, while Microsoft Corporation will retain the existing operating system. There is business, and if Lin Baicheng suddenly has any ideas, he can ask Microsoft to do it.

Since Microsoft is going to cooperate with New Century Software, it makes sense to move Microsoft to Los Angeles.He has no special affection for Redmond, and there is no need for Microsoft to put it there, and it is more convenient for transportation and talent recruitment in Los Angeles.

Bill Harveys responded, "Okay, I'll do my job."

Lin Baicheng said: "Well, talk to me after the negotiation with Bill Gates has a final result."

"Yes, Chairman!"

Bill Hawes responded, and after Lin Baicheng hung up the phone, he put down the phone.

In the afternoon, Bill Hawes took people to Blue Software Company again, and started negotiations with Bill Gates and Paul Allen in the conference room.

When Bill Hawes put forward Lin Baicheng's conditions, Bill Gates agreed after only a little consideration. The three-year driving time of 5% of the shares and the three-year priority and investment rights of Lin Baicheng's 22% shares are all within the tolerance of Bill Gates, and he can accept them.

After Bill Gates agreed to the conditions proposed by Lin Baicheng, the negotiation was basically completed. Later, the valuation negotiation of Blue Software Company was negotiated. The two parties did not entangle for long, and soon reached an agreement with a valuation of 900 million US dollars.

林佰诚出198万美元获得蓝色软件公司22%的股权，同时出210万美元收购比尔·盖茨和保罗·艾伦两人手中70%的微软股份，总计花了408万美元。

The reason why Microsoft is valued at US$600 million, and Bill Gates and Paul Allen’s combined 70% shares are worth US$210 million is because Microsoft has a debt of US$500 million, which is shared by the three shareholders. Fortunately, the cash in the company's account and outstanding accounts add up to 200 million US dollars, so the company's debt is 300 million US dollars, and Bill Gates' 420 million US dollars in their share value will deduct 210 million US dollars.

In the end, Bill Gates and Paul Allen only got $210 million from Microsoft.

This time, Bill Gates and Paul Allen can be said to have lost quite a lot. Microsoft’s previous valuation was around 70 million US dollars, and their 700% shares were worth 400 million US dollars. The next three $ million.

In addition, Bill Gates and Paul Allen have a relatively high shareholding ratio in Microsoft Corporation. Even if IBM takes a stake, their shares will not be diluted too much.

But in today's Blue Software Company, Lin Baicheng personally holds 22% of the shares. I don't know how much IBM will hold, but I think it's 10% to 20%. The two of them hold no more shares than Microsoft. More often, maybe even less.

The result of this is that after a mess, Bill Gates and Paul Allen not only failed to make money, but lost money.

But this is the price of failure. Bill Gates and Paul Allen wanted to kick Lin Baicheng out of the game, but things were not done well, and the loser would naturally have to pay the price.At least they are not involved in lawsuits now, and Blue Software has no lawsuits either. As long as Blue Software gets on the ship of IBM, they will have hope and a future.

Compared with Bill Gates and others, Lin Baicheng obtained 22% of the shares of Blue Software Company and the entire Microsoft Corporation. The actual value of Microsoft Corporation should be higher than the valuation of 600 million US dollars, but not too much higher , what Lin Baicheng valued was the technology and patents of the company's computer operating system.

However, although Lin Baicheng has obtained the technology and patents of the computer operating system, he can't guarantee that the company's development can be compared with that of Blue Software, which is backed by IBM. Fortunately, he still holds 22% of the shares of Blue Software. He can still eat the meat of the computer operating system.

That night, Lin Baicheng learned the final result of the negotiation from Bill Harveys.He is not very satisfied with this, but fortunately he has no loss and can accept it.

In fact, if possible, Lin Baicheng hopes that Microsoft can develop as smoothly as it did before the rebirth. Even if the 30% of the shares he held at the beginning have been diluted for several rounds, it should be no problem to retain 15% of the shares before the company goes public.

Microsoft will definitely acquire other companies during its development, and the acquisition has always been a part cash plus part share acquisition model. Shareholders' shares will still be diluted, but the diluted shares are relatively small at that time.

Therefore, Lin Baicheng believes that when Microsoft develops to a market value of 10 billion U.S. dollars, he should still be able to hold % of Microsoft's shares, which is equivalent to billion U.S. dollars in assets, and he will have a solid income in his pocket.

Now, although Blue Software has also reached a cooperation with IBM, Lin Baicheng also holds 22% of the shares of Blue Software and is the company's major shareholder.

But the future has changed. Whether Blue Software can develop into another "Microsoft" in the future, Lin Baicheng is really not sure, and it is hard to say how much money he will have left with his 22% shares.

As for the company jointly established by New Century Software and Microsoft, Lin Baicheng is even less confident. He is not sure whether this company can compete with Blue Software, let alone develop this company into a giant.

Therefore, now the stable assets of tens of billions of dollars have become uncertain assets. If anyone wants the former, the assets of tens of billions of dollars are enough.

It's a pity that everything has become an established fact. What Lin Baicheng can do is to keep the operating system company alive. He knows the future prospects of this industry, so as long as the company keeps alive, maybe there will be a bright future.

Of course, surviving is the bottom line. It is best to let the company develop into a giant and occupy the computer operating system market like Microsoft before its rebirth, then Lin Baicheng will earn more from the shares held by him.In that case, he would also like to thank Bill Gates and Paul Allen for kicking him out of Microsoft.

(End of this chapter)