America's Road To Fame Chapter 191

"What did Gared say about our conditions?"

In the reception room of Long Island Manor, in front of William Chen is Nelson from the Equity Investment Department of Meta Investment Company.

"He said he would consider our proposal, but has yet to answer us."

Nelson shook his head and said:

"In addition, boss, I got news that Gared's father was released from prison 20 days ago, but the Kushnar Group has not made any adjustments to the management, and is still led by Gared."

Gared's father, Charles Kushner, has been investigated for tax evasion and other charges.

At the time, he instituted a plan of retaliation and intimidation after he accidentally discovered that his brother-in-law was cooperating with the American government.

The elder Kushner hired a prostitute to seduce his brother-in-law, then arranged to record the encounter with a hidden camera in his New Jersey motel room, and sent the recording to his own sister, hoping This dangerous counterparty ceases to cooperate with investigators.

However, this plan did not work. In the end, Garred's father had to plead guilty under the investigation, pleading guilty to 18 counts, including tax evasion and witness tampering, and was sentenced to two years in prison.

Now that he has been released from prison, it seems that he has not returned to the Kushnar group publicly, and his son Gared is still leading the family company.

At that time, the agreement reached between William Chen and Kushnar Group was that Building 666 was valued at US$2 billion, and the other party invested US$1 billion to increase its shareholding in Building 666 Asset Management Company to 60%.

The Kushnar Group then received convertible loans totaling $2 billion in two installments for the building's renovation project. At present, the loan of 2 billion U.S. dollars has already received 1 billion U.S. dollars, and the remaining 1 billion U.S. dollars must be received within 5 months of the signing of the agreement, that is, in February this year, and now it has arrived in February. The due date for the last payment has been reached.

According to the provisions of the agreement at that time, if the Kushnar Group cannot transfer the funds into the account of the No. 666 Building Asset Management Company on time, then William Chen has the right to acquire the shares of the No. 666 Building Asset Management Company held by the Kushnar Group at the market price to 60%. share.

Therefore, if the Kushnar Group does not put this billion dollars into the account of the No. 666 Building Asset Management Company, Chen William can use the market price to acquire the No. 666 Building Asset Management Company held by the Kushnar Group, which accounts for 20% of the total share capital. Shares, so that his holdings reached 60%, thus completing the holding of No. 666 Building.

It took five months from the signing of the contract in early September to the present, and Chen William finally waited for this moment.

However, his purpose is not just to control Building 666, but to completely take over the building, so he asked Nelson to bring his own proposal to Gared, giving Gared two options:

If the other party cannot transfer the final $1 billion into the account of Building 666 Capital Management by February 5, then—

The first option, William Chen, will take back Kushnar Group's 20% stake in Building 666 Asset Management Company at a valuation of $2.4 billion to complete the holding of the building.

At the same time, if the Kushnar Group fails to complete the credit of the subsequent $1 billion convertible loan, the renovation project will be frozen.

Although the final payment for the renovation project will only be paid after the project is completed, as the controlling party at that time, William Chen will be able to find a reason to suspend the renovation project.

In other words, Kushnar Group will return the shareholding ratio of Building 666 to the original point after obtaining 480 million US dollars of funds from William Chen to buy 20% of the funds, and their first 1 billion US dollars loan will always be trapped In this renovation project…

Another option is for Chen William to buy all 60% shares of Kushnar Group in Building 666 Asset Management Company at a valuation of US$2.5 billion. At the same time, after signing the agreement, he will immediately pay US$1 billion to repay the first phase of Kushnar Group. $1 billion in borrowings.

glutinous rice

This is equivalent to the Kushnar Group can immediately withdraw all funds from Building 666, of course, certain losses are certain.

William Chen purchased the building shares at a valuation of $2.5 billion, which is equivalent to the Kushnar Group being able to get $1.5 billion in cash. The Kushnar Group initially took a 40% stake in Building 666 for $800 million, and then invested another $1 billion, which is equivalent to their final loss of $300 million on the deal.

But now is the subprime mortgage crisis. Even if there is a slight loss, the most important thing is to survive. As long as the company can persevere through the crisis, there is still hope of making it back.

For Chen William, it is equivalent to buying back 40% of the building shares in the Andal Trust Fund, which was originally bought by Gared for $800 million, with $500 million. This price is higher than when his predecessor sold these shares. The $640 million when it was given to the Andal Trust Fund was $140 million cheaper.

Now it depends on what Garred chooses in the end. Of course, it does not rule out that he will persevere and find funds to continue to lend to the No. 666 Building Fund Management Company to maintain their holdings and complete the renovation of the building.

This is just such a decision, which is obviously not rational.

Of course, William Chen can also use the [Black Swan Scroll] to make the Kushnar Group's situation worse and continue to lower his purchase price, but the reality is that despite the subprime mortgage crisis, real estate prices in the United States generally fell by more than 30%, and the highest Places are even close to 50%.

In New York City, however, house prices have fallen by between 15-20%, and even in parts of Manhattan, prices have fallen by less than 15%.

Therefore, according to the agreement, Chen William only has the priority to repurchase the shares, which does not mean that it can only be sold to Chen William, so if he lowers the price too hard, then it is very likely that the other party will sell it directly to others.

Then, compared to the one or two hundred million dollars he paid less at most, William Chen might as well use this [Black Swan Scroll] on Murdoch's side to help him acquire 20th Century Fox.

Compared with other industries, real estate is mainly a stable asset. In the United States, the value of real estate is limited, far less than the value-added of the Internet and film and television media industries.

It's like the MGM company that William Chen bought for $1.5 billion. Even if you add $500 million to start two movie projects, if it's not to help repay the debt, it will cost $2 billion.

When Amazon acquired MGM Pictures in the previous life and later, the asking price was as high as more than 8 billion US dollars, which was a 4 times increase in value.

But what about the building? Ten years later, the value can not be increased by 4 times, but it is not bad to have 2 times. Moreover, if there is a natural disaster, it will not only increase in value, but also depreciate.

Therefore, considering these circumstances, William Chen asked:

"Have you investigated the recent situation of the Kushnar Group?"

"It's very bad. Because of their financing difficulties, many projects in their home state of New Jersey have been shut down. It is also said that the subsidiaries of the Kushnar Group are also involved in the bonds of subprime mortgages, and there are very large losses, but the specific level of losses. , because it is not a listed company, there is no specific disclosure, but through what I have learned from some channels, I am afraid that the loss will not be less than 500 million US dollars, so basically their current situation, and the current lack of liquidity The financial situation, UU reading www.uukanshu.com is definitely impossible to get a loan of 1 billion US dollars through the bank channel."

What William Chen mainly wants to know now is how likely it is that the Kushnar Group will be able to come up with $1 billion on time. If they really end up with $1 billion at that time, then for William Chen, if they want to. It will take more effort to get the building back.

And once they can't come up with the money, facing the two options given by Chen William, they will most likely choose the latter, otherwise they will lose control and if the renovation project is stalled, even if they get a part and sell 20% of the shares The funds of 2 billion are not meaningful to them, because the shutdown of the project means that their 2 billion funds have been dragged here, and the huge financing pressure can also overwhelm them.

"Nielsen, can you try to investigate Marian Bentley next to Gared, she is a member of the German branch of the Bentley family. I would like to know the recent situation of the Bentley family in Germany. Not affected by the subprime mortgage crisis.”

William Chen thought that the only source of funds that Gared can rely on now is the Bentley family, which mainly focuses on banking business. That Marian Bentley is a descendant of the Bentley family.

"Okay, boss, I'll try my best to investigate in more detail."

Chapter end

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