America's Road To Wealth Chapter 201

  Chapter 201 Buying an NBA team in two hours

  The reason why Abel asked Pacific Commercial Bank to choose American Express.

   There is a reason.

   American Express's commercial banking business is not the best among banks.

   At best, it can be regarded as middle class.

  Can express the company's commercial banking business.

  Among banks at this level, because of their platforms and systems, they have a very high global coverage.

   This is clearly due to its very successful premium customer travel services.

   In terms of global coverage, American Express, a medium-sized commercial bank, is estimated to rank among the top five in the US banking industry.

  If the Pacific Commercial Bank can merge with or annex the American Express Company.

  The current overseas business in the Pacific Commercial Bank, which is almost equivalent to no, can open up the situation at once.

  At the same time, the scale of American Express Bank is just in the range that Pacific Bank hopes to annex.

   Even bigger, the Pacific Commercial Bank and Abel would not be able to swallow it with their current strength.

   More importantly, it started in September last year.

  Express's performance has been very poor.

   the bank's share price,

  From the highest point in 1996, one share was as high as 160 US dollars.

   It fell to September last year, and the highest price was only 27.35 US dollars per share.

   It fell to the end of January 2001, and there was only $13.65 per share left.

   Its total share capital is about 1.36 billion shares.

  Use the current stock price to calculate.

  The market value of American Express is only 1.359 billion X13.65.

   That is, the current market value of American Express is only about 18.55 billion US dollars.

   It is currently the cheapest company among the Dow Jones constituent stocks.

   Such a company has total assets of more than 20 billion U.S. dollars, custody assets of more than 160 billion U.S. dollars, and a market value of 18.55 billion U.S. dollars.

  This kind of company is definitely a very high-quality company in the eyes of a "stock market sniper" like Da Liu on Hong Kong Island.

  However, the share price of Renjia Express Company once exceeded 160 US dollars at its peak, and its total market value even exceeded 200 billion US dollars.

  It once reached its peak, but now it has fallen, and it looks like it will continue to fall.

   But its company has always been very stable internally, because it is almost an institutional stock.

  What are institutional stocks?

   are stock holders, most of them are institutions, that is, investment companies, banks and financial companies, and financial companies.

  As a company with a history of more than 150 years, its brand value is deeply rooted in the hearts of the European and American world.

   can even be selected as a Dow Jones service industry company.

  Its more than 80% of its shares are held by various large and small institutions, and more than 900 institutions hold its stocks.

  Currently its largest shareholder, named Berkshire, is Buffett's company.

  Buffett's company holds 151.61 million shares, accounting for 11.4% of the total share capital of American Express.

  Buffett's love for American Express is very famous in later generations.

  The second largest shareholder is Pioneer Pilot Group, which holds more than 9% of the shares.

  The top 20 shareholders hold more than 50% of the shares of American Express.

  In fact, because of its attributes as a Dow Jones constituent stock, it never lacks investors.

  Abe and the American Pacific Bank of Commerce, trying to swallow the words of American Express.

   It can be said that the difficulty is very high.

   But the good thing is that in the last USD/JPY battle.

  In addition to the cash profits, Smith Capital also gave Abel a lot of benefits.

  Among these benefits, there are many shares of American Express.

   During that time, Abe has acquired approximately 6.9% of AmEx stock.

  Combined with the Pacific Bank of Commerce, it has been buying and sweeping goods at low prices in the market during this period of time.

  Now Smith Capital, plus Pacific Commercial Bank.

  The shares of American Express held by the two companies already account for about 8%.

  This ratio can already be ranked as the third largest shareholder.

  The problem now is that the shares of American Express in the secondary market are only about 18%.

   Abel has already swept about 3%, and now there are at most about 15% left.

   Everything else is in the hands of the agency.

   This makes the Pacific Commercial Bank want to acquire the shares of American Express.

   Even if all the 15% of the shares are swept away, the shareholding ratio does not exceed 25%.

  The rest of the shares can only be in the primary market.

   That is to buy in the hands of those institutions.

  But once Abel made a gesture of sweeping goods, or wanting to acquire and annex.

   AmEx's stock is bound to skyrocket.

   It is estimated that it may cost tens of billions of dollars just to scan 15% of the odd stocks.

  The key is that you may not be able to scan it yet.

  Because in that process.

  The **** smell of capital is bound to attract the attention of global US stock investors.

   American Express itself is a high-quality company.

  At that time, the entire acquisition cost may exceed US$50 billion.

   This made Abel unacceptable.

   Fortunately, "Talent" told Abel that American Express will continue to fall this year.

  13.65 is not the end of it.

  In September of this year, there will be a very good opportunity to buy bottoms across the United States.

   Not as good as the one in 2008.

   But in 2008, this will be the best opportunity.

  Abel's goal is.

  Before that day comes, raise at least over $60 billion in funding and start hunting for the bottom line.

  As for the matter of American Express, you can put it aside for a while.

   February 5, 2001.

morning.

Los Angeles.

  MGM, the chairman's office on the top floor.

  Abel was lying on the sofa in the office lounge area bored, playing with Snake on his phone.

  He was waiting for a call from Allen, who was negotiating with Sony Columbia in the foothills of Beverly Hills.

  If they can come back by noon, they can have lunch together.

   At that time, Abel can also learn about the latest progress.

  Some time ago in Hawaii Island, Howard Stringer visited him personally.

  Abel gave the conditions.

   Howard Stringer went back and gave feedback to Sony's head office.

  By now, negotiations on this matter have already begun.

  Alan is the core of the think tank team.

   Take some people from the think tank to conduct final negotiations with the other party.

   The next ownership of Spider-Man Parker depends on the result of this negotiation.

  Greedy Snake played round after round, and Abel felt a little boring in the end.

  I don't know why, after experiencing the "delicacy of mountains and seas" and the happiness that I couldn't experience in my previous life.

   Now, he actually misses the games of pesticides and eating chicken that he used to play.

   It's a pity that his talents are limited to financial perception.

  It has no effect on the development of technology.

  And there are many things that cannot be produced by spending money on research and development.

  This also means, even if he is very rich.

  In 2022, ordinary people can play smart games, but he can't play them now.

  Thinking of this, Abel lost interest in the greedy snake in his hand.

  He threw the phone on the sofa, stood up and took a few steps, and when he reached the edge of the desk.

  He saw his desk, which was placed in the corner of the top "American Sun".

  Abel pulled it out directly and opened the newspaper.

  The American Sun was originally just a small newspaper in the New York area.

   Back then it was called the New York Sun.

  After being purchased by Abel, it happened to catch up with Abel's "Smith Storm" at that time.

  In addition to many exclusive revelations, there are also very distinctive newspaper bonuses.

   At the most exaggerated time last year, it once achieved sales of over one million in a single day.

  Single-day sales ranked among the top five in the United States.

  Subsequent as the Smith storm gradually subsided, its sales gradually decreased.

  After this year, it finally stabilized at a daily sales volume of around 500,000 copies.

  Attention, the "American Sun" with a daily sales volume of 500,000.

   In the current US daily newspaper category, it can only rank fifteenth.

  The Wall Street Journal has the highest daily sales volume, with an average daily sales volume of around 240 copies last year.

  However, this data is after 2022.

   Even the Wall Street Journal, which sells the most every day, has less than 700,000 copies left.

  The second-ranked "New York Times" has only 300,000 copies left.

  The "Daily News", which ranked twenty-second, only had more than 50,000 copies left.

   One can imagine how sluggish the sales of these American newspapers have been over the past two decades.

   Of course, this is related to the rise of the mobile Internet.

  Before the rise of the mobile Internet, even if there was an Internet impact.

  Before 2012, these newspapers were still able to hold good sales.

  And when the era of mobile Internet comes, as long as you can get on the ship of mobile Internet in time.

  The influence of these newspapers will not be reduced much.

  They just moved the daily paper news to the mobile phone.

  2001 now.

  The "American Sun" can sell 500,000 copies a day, and it is already a big newspaper at this time.

  Its positioning is mass entertainment, similar to Murdoch's "New York Post".

   Of course, most of the above content is popular with the public.

   At the same time, this newspaper has Abel's authorization.

   It likes to report all kinds of news about the boss Abel Smith.

  Many other newspapers don't have Abel's material, it has imperial charter, so it can report.

   This is one of the reasons why it can maintain sales of 500,000.

   "Smith Storm" even if it has already passed.

  There are still a lot of gossip people who like to read all kinds of news about young and handsome super rich people.

   It's like the news of Cong, even in 2022.

  Many people have seen it on their mobile phones, and they will still take a few more glances.

  Abel spread out today's New York Sun.

   The headline on the front page above is a matter that everyone in the United States is concerned about recently.

   That's the Texan who just moved into the White House.

  After he moved in, the first policy implemented.

   Tax cuts.

  Texans, announced that they will cut taxes for all Americans by $1.3 trillion during his term.

   This policy looks beautiful.

  Because in the United States, there are only two things that cannot be avoided.

  One is death and the other is tax payment.

   But it actually just looks good.

   You must know that in the United States, the tax payments of the poor and the rich are different.

  If it is a targeted tax cut, such as a tax cut specifically for the poor, then this kind of tax cut is still better.

  But if it is not a targeted tax cut, but everyone reduces it.

   In fact, it is the poor who suffer more.

  Because the overall tax payment of the poor is relatively low, if the overall tax payment is reduced, there is no way to reduce it much.

  I had to pay 105 yuan in tax, but now I only need to pay 100 yuan.

   That five bucks less is better than nothing.

  The rich pay high taxes. If the overall tax payment is reduced, the tax that can be saved will be a lot of money.

  The tax payment of 1.05 million becomes only 1 million, which means saving 50,000 US dollars.

  The total amount is only 1.3 trillion, and it is estimated that the final reduction to the poor will be at most 100 to 200 billion.

   More than one trillion yuan has been reduced to the rich and enterprises.

   And the person in the white house is a Xiangdang.

  His base cannot be on the side of the poor.

  This means that his tax cut policy cannot be a targeted tax cut.

   That is, everyone has a share, and the poor and the rich will lose together.

   This is actually realizing the disadvantages of the poor, but the poor cannot see it.

   Or if you see it, there is no way to stop it.

  This is a bit like the tax cut plan before Britain's Ali stepped down in 2022.

   Ali just announced the plan, and it hasn't started yet. He just announced it a little bit, and it directly caused the debt, foreign exchange, and stocks of the United Kingdom of Great Britain to collapse in the sunset period.

   Of course the United States will not be so miserable. The United States in 2001 had a solid foundation.

  The tax cut at this time will still have a certain promotion effect on society.

  It can also enhance the goodwill of enterprises and wealthy people towards small shrubs.

  First draw a piece of cake, if you want to eat it, just remember to choose me next time.

   No wonder he talked about it as soon as he took the stage.

   After looking at the headline for a while, Abel shook his head.

   Under the rendering of the White House and relevant departments.

  This topic is now the most concerned thing for all Americans.

   This makes even the "American Sun", which usually doesn't publish much current affairs news.

  The entire first page is full of similar reports, as well as expert interpretations.

   Abel was not interested in these, so he turned directly to the second page.

   Things got better after that, Hollywood and other entertainment news started to appear.

  Abel turned to the third page, which had turned into sports news.

  Commercial sports in the United States are very developed, and the four major leagues have attracted countless money.

  Abel saw in the newspaper that the Wizards vs Warriors lost 99:102.

   This reminded him of when he wanted to buy a basketball team on a whim last year.

   Later, because it was too difficult to buy the Lakers and Knicks, it was not bought in the end.

  He is bored playing mobile games right now.

  I think I might be able to play the game of NBA.

  He was holding the newspaper, and on the landline next to him, he pressed the number one button.

   Soon, David Jones walked in with Edward.

   "I'm looking for David, it's none of your business, Edward."

  Edward nodded and exited, while David came to the boss.

   "I'm going to buy a basketball team. Seriously this time." Abel said directly to David.

  David's answer is also very concise: "Which team do you want to buy?"

   "The Rockets." Abel sighed. He actually liked the Knicks.

   Not because he likes it, but because he likes New York.

   But the Knicks really aren't that easy to buy.

   Then buy the Rockets.

  Texas team, Abel is a Texan again.

  He felt that he deserved his name by buying the Rockets.

   "Okay. Then I will let the advisory team contact Leslie Alexander of the Houston Rockets."

  Abel nodded.

  Two hours later, before Alan Baker and others returned.

  Another core of the advisory group, York West.

  The former deputy general manager of Gephardt, a registered senior lobbyist in Washington, came to Abe with David Jones.

  At that time, Abel was bored and started playing with his snake.

   "BOSS." David Jones said.

   "Huh?" Abel put down his phone and looked up.

   "Let York Xi speak, they have completed the task you assigned."

   "Okay." Abel looked at York West.

  York West is a desert-American. It is amazing that a desert-American can be a lobbyist in Washington.

   Either York West is capable enough, or York West has a special family background.

   "BOSS." York Xi stepped forward and handed over a document:

   "This is the result of our conference call with Leslie Alexander just now."

   "Oh?" Abel asked David to take it, opened the file, and said:

   "Did Leslie Alexander say yes?"

   "The other party is willing to sell the Houston Rockets." York West said calmly:

   "The offer was $255 million. After we bargained, the price was finally settled at $240 million."

  "In 1993, when Leslie Alexander bought 80% of the team's shares from the previous owner of the Houston Rockets."

   "He only spent $85 million."

   "For eight years, Leslie Alexander has almost zero investment in this team."

   "And also on the team, made a profit of more than 20 million U.S. dollars."

   "Leslie Alexander agreed to the offer when we firmly set the price at $240 million."

   "However, Leslie Alexander only holds 80% of the shares of the Houston Rockets. The remaining shares are scattered in the hands of some small shareholders."

   "If you want to make a wholly-owned acquisition, you need at least 60 million U.S. dollars, which means the total acquisition amount is about 300 million U.S. dollars."

   Abel is quite satisfied with the answer given by York West.

   Not wrong, in 2001.

  The Rockets are only worth so much.

  The Rockets at this time are one of the least valuable teams in the NBA.

   It is really worth money, because it has won the No. 1 pick next year.

   After getting Dayao, with the support of Tianchao fans, the value has doubled several times.

  In parallel time and space.

  Even Leslie Alexander said it himself.

   "Dayao brought me a fortune of 1.2 billion."

   He said this in 2012, when Dayao had already retired.

   At that time, the market value of the Rockets was about 1.5 billion US dollars.

  Da Yao has just been to the Rockets for two years.

  In those two years, the Rockets' net profit exceeded the sum of the previous twenty years.

   Otherwise, think to yourself, before 2002, did you know that there were 50 million rabbits in the NBA?

   Heard of the Team Rocket bunny, a million people?

   Probably not.

  But after 2002, these two numbers are at least several hundred million or more.

   "300 million U.S. dollars? Not 300 million. My grandfather Alex and my father Alexander, the two of them probably have about 8% of the rocket's shares."

  Abel said: "But I think the price is more reasonable. Go sign the contract, York West, and change the name of the owner of this NBA team to Abel Smith."

  (end of this chapter)

Chapter end