Chapter 361 Business Action
The blue leather plan is not thick, but it has nearly twenty pages. Even Su Peng reads it very quickly, and it took him five minutes to finish it all.
"Is this your plan?"
Su Peng looked at Huo Lin with some doubts and threw the blue plan in his hand over.
"Yes, although this plan is a little risky, it can ensure the efficiency of your capital use to the greatest extent. With our understanding of the helmsman of Leiden, Eunya Leiden, she has more than 80% chance of accepting the conditions we have proposed."
"Is that true..."
After hearing this, Su Peng tapped the leather sofa with his fingers.
I have to say that Merrill Lynch’s plan is indeed worthy.
"I have some financial knowledge. According to your opinion, aren't I unable to obtain any stake in Merrill Lynch for the time being?"
Su Peng tapped his fingers on the sofa and suddenly looked up and asked.
"It is indeed the case...but please trust the judgment of Merrill Lynch's legal counsel and financial psychology experts, and follow the plan in the plan. Although you cannot obtain equity in Layton in a short period of time, you can achieve your goal."
Huo Lin stood in front of Su Peng like a butler, and said to Su Peng.
"Is that true..."
Su Peng pondered and began to think about the contents of this blue plan.
This plan is actually very creative. Its specific manifestation is that Merrill Lynch’s investment consultant does not recommend Su Peng to acquire Layton now.
Because according to the feasibility report given by the other party, if Su Peng does this, it will increase the shares of Leton Company in a short period of time. In this way, the other party will get a relatively good financial statement. Based on these, they can apply for additional shares and obtain funds by issuing more stocks.
This will allow the other party to get out of the predicament, and Su Peng can only obtain a small part of the shares and cannot achieve his goal. Moreover, this small part of the shares will be divided by the shares that Layton continues to be sold, which will really make wedding clothes for others.
Merrill Lynch’s plan is to not acquire Layton, but to use Su Peng’s money to purchase Layton’s company issued bonds as agreed in the legal treaty, and then sign some restrictive affiliated documents with Layton. At the same time, a bet contract must be signed.
Su Peng has a little knowledge of financial knowledge and generally knows the difference between stocks and corporate bonds.
To put it bluntly, the nature of stocks is roughly equivalent to a few people working together to invest in business. Whether the business is losing or making money, the principal will not be returned in full, but dividends will be distributed according to proportion.
In other words, if the value of the company is reduced, your principal will decrease, the company's assets will grow, and the company's stock value will increase, and the company will pay dividends. You can pay dividends according to the stock, that is, the amount of the partnership issued.
Because you are one of the investors. You have a certain say in the company's affairs, and you can even directly do specific positions to run the company.
Corporate bonds are another way.
When a company issues bonds, the purchaser is equivalent to a borrower. He lends money to the company. The company and the owner of the bond are not in a joint venture. The owner of the bond is the creditor, but he does not participate in the specific operation of the company. The principal is guaranteed. The company must return the principal in its entirety at the maturity period, and in addition to the principal, there is also a certain interest.
In half of this interest rate, it will be higher than the interest rate of the bank.
But in general, creditors do not participate in the specific operation of the company, and do not have the right to hold a board of directors and serve as an executive director in law. They can only indirectly achieve their goals by exerting pressure.
The rights and obligations of equity holders and creditors are different, and the legal priority of creditors is the preferred equity holders. If the company goes bankrupt, the company's assets should be returned to the creditor first, and then the creditor's assets will be repaid until all the creditor's assets are repaid before they can be returned to the equity holders.
Merrill Lynch's plan is to allow Su Peng to borrow at least $400 million, purchase Leiden's corporate bonds, and then obtain the rights of directors through indirect means.
These indirect means include four authority contracts and one bet contract.
The authority contracts include: 1. After Su Peng purchased Leiden Corporate Bonds, he convened a board of directors and gave Su Peng the equivalent equity qualification for the corresponding debt during the bond repayment period, that is, after the resolution of the board of directors, he obtained the status of becoming a shareholder without equity.
2. Before the board of directors recognizes that Su Peng has the qualifications of a special director of the company, and defines that Su Peng has the right to convene directors to convene a board of directors.
3. Before Su Peng’s debt is repaid, he will automatically obtain the qualification of an executive director and obtain the power to dispatch subordinate organizations in the company.
4. The above rights shall take effect immediately except that all directors agree to the right to be invalidated and repay Su Peng's funds with unanimous votes.
These four articles are not in the conventional rules of the company law, but are the bilateral agreement between Su Peng as a legal person and Leiden Company.
According to Huolin, Su Peng believed that Merrill Lynch's negotiating experts would be able to handle this matter clearly and allow Su Peng to obtain what he wanted.
"The solution sounds good, but it's a bit complicated. Will you guarantee that there will be no problems?"
Su Peng finally thought about it and thought that this matter was quite reliable. If he became a creditor and obtained the rights of the equity holder, he could also consider it.
"There will be twists and turns, but the purpose will definitely be achieved."
Holin promised confidently, and he said confidently: "We have found a very reputable commercial company to buy information. We may know more about the current situation of Leighton Company than they themselves. Most of the people in Leighton Company are looking forward to having some money to solve their difficulties. Most of their shareholders are not people with strong control. They just hope to make money. There is an extra gentleman like you in the board of directors, and they don't care about it."
"That's good... If you're sure, then you can dismiss the people from Layton as soon as possible."
Su Peng said to Huolin that Huolin had issued a military order and was also very motivated at this time. Su Peng signed the authorization procedures for this financial action. Huolin immediately started to travel, contacted Merrill Lynch's financial experts and negotiation experts, and prepared to contact Merrill Lynch's company.
Su Peng completely became the boss, and the matter was handed over to Huo Lin, which was also a test for him. If Huo Lin's matter was not done well, Su Peng would have to consider whether to change someone to be his own investment consultant or another investment bank.
In the following days, Su Peng will be online, practicing "The Essay of the Essay", offline, and thinking about his skills in reality.
About three days later, Huo Lin brought two more followers to Su Peng's villa to find Su Peng.
"How is it? Are everything going well?"
Su Peng saw Huo Lin's face with joy, and felt that the matter was almost done, so he asked him.
"Not yet, but it's just one last step."
Holin said, and then he took out the meeting minutes of the past few days and handed it to Su Peng, saying: "We contacted the helmsman of Layton as quickly as possible. Thanks to Merrill Lynch's reputation over the years, the other party seriously thought about our proposals and issued an invitation from the board of directors to convene the directors of Layton to discuss and vote."
"However, the other party also put forward two conditions before convening the board meeting."
"The first condition is the number and time of purchasing the bonds of Layton Company. The total value of the bonds shall not be less than US$450 million, and shall not be transferred within five years and shall not be required to be returned in advance."
"The second condition is that you can consider establishing your special director and executive director through a contract. However, your priority in the company is to be arranged in accordance with the equity of your debts and equality, and will not exceed the order of orders of your directors' orders, and of course, it will not exceed the order of priority of decisions made by the board of directors."
Su Peng frowned slightly after hearing this.
After thinking about it, Su Peng said: "You can talk about it, but I have a few supplementary conditions."
"Bonds can be non-exclusive or not returned in advance, but the time must be shortened to within three years."
"And, I want a priority equity. After three years, I have the right to choose to subscribe to stocks with the money I lend to Leighton or ask them to repay the money. If the market value of Leighton grows and the stock price increases, I ask to subscribe to stocks at the share price I borrowed. If their stocks are lower, I have the right to claim their interest repayment."
"Secondly, the voting rights of independent directors in the company can be calculated as they say and based on the equity of the bonds in equal shares, but the rights of the executive director should be elevated to the same position as the chairman."
Su Peng's two conditions, one ensures that his investment will not suffer losses, and the other is to obtain the right to use the violent organization of Leiden Company that he wants. Without these two conditions, he probably would not have invested in Leiden Company.
Huolin nodded, he stepped aside and called directly.
Not long after, he covered the phone's soundtrack, walked over and said, "The other party did not say whether to agree or not. However, the secretary of the chairman of Leiden Company, Ou Yani, said that Miss Ou Yani, invited you to attend the board meeting held a day later in Leiden Company, and then negotiate with the directors of Leiden Company to discuss this matter together."
Su Peng heard this and pondered for a while, but when he thought about it, he would not lose a piece of meat when he went to the meeting. He nodded and said, "Yes, reply to them, I will definitely be there at that time."
Huolin nodded, whispered a few words to the phone, and then closed the line.
Su Peng stood in the living room of his villa and took a deep breath.
"Ou Yanni of Layton Company...I don't know, what kind of woman is this?"
Chapter completed!