Reborn Xiangjiang as a Tycoon

Chapter 67 High valuation or cabbage price?

The place where Lin Baicheng and Wade Thomas arranged to meet was a coffee shop. Wade Thomas was the Goldman Sachs executive whom Lin Baicheng met through Phil Smith's connection.

"Mr. Thomas!" "Mr. Lin!"

Wade Thomas is only in his early thirties this year and is already an executive at Goldman Sachs. It can be said that he is young and promising.

The two chatted for a few words.

Lin Baicheng got to the point: "Mr. Thomas, I entrusted Goldman Sachs to help me invest in Microsoft and Apple. How did you do with this matter?"

"Mr. Lin, please believe in the strength of our Goldman Sachs, we will not let you down."

Wade Thomas smiled and said, "Currently our staff have contacted the shareholders of these two companies. Both of them are new companies. They do not refuse our Goldman Sachs investment. Now

We are discussing the valuation of the two companies and the proportion of shares we are willing to give up."

"Of course I believe in your ability of Goldman Sachs, otherwise I would not have entrusted you to Goldman Sachs to do this, but would have looked for another investment bank."

With that said, Lin Baicheng asked: "Mr. Thomas, how much does Goldman Sachs value Microsoft and Apple? How much do the shareholders of these two companies value their companies?"

"The valuations of these two companies are not high, and their revenue is average, especially Microsoft. Apple's personal computers look good, and they may have good results, but who can say for sure.

"

"We give Microsoft a valuation of US$1.5 million. However, Microsoft's two young bosses, Bill Gates and Paul Allen, are very confident and believe that the current valuation of the company cannot reflect the true value of Microsoft.

, they believe that US$5 million is the valuation Microsoft should have. But don’t worry, Mr. Lin, we at Goldman Sachs will never accept this valuation, and we are confident that Microsoft’s valuation will be lower than US$2 million.”

"As for Apple, this company launched their company's personal computer at the West Coast Computer Show in April this year. This is also the first personal computer in human history. Although it seems useless, it is still out of curiosity.

Psychological people buy it, so there are still some sales.”

"We valued Apple at US$3 million, but the other party thought that US$8 million was appropriate, but this was simply impossible. This valuation was too high. We believed that Apple's valuation could not exceed US$4 million.

And we are confident that we can negotiate it."

"Unlike Microsoft, Apple has loans from banks. Once sales are unfavorable and the personal computer is lost, Apple's shareholders will be jointly and severally liable, so they definitely want to introduce funds faster."

Wade Thomas replied, if the compensation given by Lin Baicheng had not been generous enough, Goldman Sachs would not have noticed these two small companies at all, and it would be almost impossible to invest in such small companies.

Speaking of which, Wade Thomas really doesn't understand why Lin Baicheng, the boss of Xiangjiang Game Company, wants to invest in these two companies. But as long as Goldman Sachs can earn commissions, it has nothing to do with Goldman Sachs whether Lin Baicheng's investment can make money in the future.

.

After hearing Wade Thomas's answer, Lin Baicheng was a little surprised. The valuations of these two companies were too low. Compared with the future of these two companies, they were nothing more than cabbage prices.

However, being able to buy the shares of these two companies at cabbage prices is such a good thing that Lin Baicheng is eager to have more, and I believe no one will refuse.

Lin Baicheng asked with concern: "Mr. Thomas, how many shares are these two companies willing to give up?"

“Apple is willing to give up more shares, because the company’s angel investor Mike Markkula is willing to give up half of his shares, which is 15% of the shares, and other share holders are also willing to give up a total of 15%.

% of the shares, which adds up to 30% of the shares.”

"As for Microsoft, the company's shares are concentrated in the hands of Bill Gates and Paul Allen. Paul Allen is willing to give up 15% of his shares, but Bill Gates is only willing to give up 5% of his shares.

, saying that he is optimistic about the company’s future development and is not willing to sell more shares for the time being.”

"It's good to have 30% of the shares. If it's more, the founders of the company will have too few shares, which is not conducive to the development of the company."

Lin Baicheng was very satisfied with being able to get 30% of the shares in the early stage. No matter how much he got, he would still be worried that the founder would abandon the company and start another one, or transfer the company's assets. As long as the benefits were big enough, there would be nothing in this world.

Nothing is impossible, and the benefits that Microsoft and Apple can bring in the future are very likely to encourage some people to do so.

"Mr. Thomas, Apple, since you have valued this company at US$3 million, I am willing to double it to a valuation of US$6 million, and invest US$1.8 million to acquire 30% of the company's shares.

I hope you can negotiate with Apple as soon as possible about the investment."

"As for Microsoft, the valuation of US$5 million required by the other party is fine, but I want 30% of the shares. If the other party is only willing to give up 20% of the shares, then I can only give a valuation of US$3 million. What exactly is the valuation?

The choice depends on the other party."

"Mr. Lin, if you are willing to give these two companies such a high valuation, I believe we can reach an agreement soon."

Wade Thomas said immediately, thinking that he must persuade the two young bosses of Microsoft to sell 10% more shares. You know, Goldman Sachs helped Lin Baicheng obtain 10% of the shares of the two companies, and he could get it from Lin Baicheng.

Remuneration of $500,000.

As long as the two young bosses are persuaded to sell more shares, Goldman Sachs can earn an extra US$500,000 without any other payment. How can we not do such a good thing? Besides, the valuation given by Lin Baicheng is very high, and can even be said to be

It is ridiculously high, more than double the valuation given by Goldman Sachs. You must know that the valuation given by Goldman Sachs itself already has a premium in it. Now it has doubled again. If the negotiation fails, then it is because the people below have the ability to do things.

Problem.

"Then I will wait for your good news, Mr. Thomas."

Lin Baicheng couldn't help but smile when he heard this. Although the remuneration to Goldman Sachs was a bit high, it was all worth it, as long as he could get the shares of these two companies. Thinking about the benefits that can be obtained from the shares in the future, these current investments are simply not worth it.

A piece of cake.

Lin Baicheng knew very well that if Goldman Sachs had not helped negotiate the investment, Lin Baicheng would have been able to invest in these two companies by himself, and the shares he could obtain would probably not be as many as now. And even if it was only 1% less of the shares

, ten years from now, it will be a huge sum.

"Mr. Lin, just wait for the good news to come."

Wade Thomas is very happy. This kind of business can make a lot of money without any effort, and Goldman Sachs also wants to promote it as soon as possible to avoid changes.

(Thanks to ‘Blue Collar Xiaoxiaoshengjjj’ for the huge reward and support!)

(End of chapter)