Back to 1995

Chapter 612 Feng Shui takes turns

"Impossible, the board of directors of the Telephone and Telegraph Group and Wall Street investors will not allow the sale of Bell Labs!"

For Song Yang's offer, Betts directly rejected it. He didn't want to sell Bell Labs for $[-] million.

"President Betts, we all know the situation of Bell Labs. It is the best choice for both of us that America Telecom takes over Bell Labs. The Telephone and Telegraph Group is the second largest shareholder of America Telecom."

Song Yang also secretly warned Betts that if news spread that the Telephone and Telegraph Group was unwilling to fund Bell Labs, the Telephone and Telegraph Group's reputation would be ruined, at least not welcomed by the entire scientific research industry. up.

Bates didn't care about Song Yang's rhetoric at all. She said this just to raise the price, and she didn't really keep Bell Labs for Christmas.

"Song, let's change the way. Telephone and Telegraph Group can transfer Bell Labs to you, but America Telecom needs to transfer 5% of the equity. Telephone and Telegraph Group can pay you another fee for this!"

Betts smiled and said to Song Yang, as long as Song Yang transfers 5% of American Telecom's equity to Telephone and Telegraph Group, Telephone and Telegraph Group not only does not need money, but also gives Bell Labs to Song Yang for free. Willing to compensate Song Yang for another fee.

Listening to the lion's open quotation, Song Yang couldn't help rubbing his brows. Betts might as well raise the price directly to Bell Labs.

The current valuation of American Telecom has long been an astronomical figure. Now American Telecom is the largest telecommunications broadband and mobile Internet operator in America, and has established operation centers in Canada, England, Bangzi, Singapore and other places.

Although American Telecom failed to do what it boasted before, it established an Internet IP center in North America, Europe, and Asia, built 75 data centers around the world, entered 80 regions, and provided broadband Internet for [-] cities around the world. The laid optical cable can go around the earth twice...

But now, American Telecom is out-and-out, the world's largest broadband operator, and now in the American broadband market, from New York to Chicago to Washington, Houston and other major cities, more than [-]% of the broadband lines are Laid by American Telecom.

In addition, the mobile signal towers being built in major cities such as New York, Los Angeles, and London are also built by American Telecom, providing mobile Internet services for millions of users.

There are now more than [-] American Telecom offline stores in major cities in America and North America, and America Telecom has become one of the top ten mobile phone retailers in America!

Broadband, mobile Internet business plus offline mobile phone retail stores, American Telecom is not the most profitable one in the telecom industry, but compared with other telecom peers, life is obviously better in the future, which Telephone and Telegraph Group sees It's clear.

Telephone charges and SMS charges will probably not be the most profitable business in the telecommunications industry in the future. On the contrary, broadband and mobile Internet services may become the most profitable business. This is the estimate made by the marketing department of the Telephone and Telegraph Group!
Regardless of whether it is true or not, it is absolutely true that the Telephone and Telegraph Group is now greedy for American Telecom. If it can acquire American Telecom, the Telephone and Telegraph Group is willing to pay any price.

It's just that, not long after America Telecom was established, the Telephone and Telegraph Group wanted to buy it, but they couldn't get it. Now it's even more difficult.

No one knows what the valuation of American Telecom is now. Now is the golden age of the telecom industry. With the release of the new telecom bill, the valuations of major telecom companies have begun to soar, and there have also been companies like American Telecom. Such a group of new bullies in the telecommunications industry.

But two years ago, American Telecom was not as large as it is today, and its valuation was raised by the "great benefactor" Enron to more than tens of billions of dollars. Now, America Telecom's valuation is uncertain, even if it is called No one can object to a valuation of 400 or even [-] billion U.S. dollars. After all, this thing is not all the price called by American Telecom itself. Shareholders such as Enron, Comerica Bank, and Telephone and Telegraph Group will definitely not object. ...

Now the Telephone and Telegraph Group is the second largest shareholder of American Telecom, holding more than 28% of the shares. If Bell Labs can be used, we can get more shares of American Telecom from Song Yang, so that the equity held by it can exceed 30%. , or even more, the Telephone and Telegraph Group will be able to find ways to slowly seize the controlling stake in America Telecom!
The relationship between Bates and Telephone and Telegraph Group and Song Yang has always been considered good, but this involves the controlling stake in American Telecom, which is related to the interests of more than tens of billions of dollars. When it is time to stab the knife, Bates is Never soft-hearted.

Similarly, if someday, Telephone and Telegraph Group gets into trouble, the stock price plummets, and so on, as long as the timing is right, America Telecom may not have the idea of ​​backhanding Big Brother. If you swallow the elephant, you will immediately become a big brother in the global telecommunications industry!

Song Yang took a deep breath, "President Betts, you know this is impossible. If the Telephone and Telegraph Group gets more shares in American Telecom, America Telecom will be in trouble!"

Bates smiled slightly, "Song, you misunderstood, no one wants to take America Telecom away from you, even if you give up 5% of the shares, you are still the largest shareholder holding 49% of America Telecom, Nobody can take America Telecom out of your hands."

Before America Telecom acquired the telecommunications business from the Telephone and Telegraph Group, and relying on the mountain of Telephone and Telegraph Group, life was easier, but at the same time, Song Yang also gave up a large amount of equity. It dropped directly to 54%.

However, the 49% stake and the 51% controlling stake do not seem to be much different, only 2%, but it is this 2% that determines America Telecom, who has the final say!
Song Yang would not believe Bates' nonsense. If the Telephone and Telegraph Group got too much equity in America Telecom, he would know without thinking that Bestes would definitely snatch the controlling stake in America Telecom.

Seeing that Song Yang was silent, Bates looked a little serious, "Song, the Telephone and Telegraph Group, wants to get more equity in American Telecom, not because they want to compete with you, but because the telecom industry is going to change. Yes, WorldCom has started to acquire MFS Telecom, Telephone and Telegraph Group will support American Telecom, but make sure that American Telecom is on the side of Telephone and Telegraph Group!"

Song Yang was stunned for a moment. WorldCom was buying other telecommunications companies everywhere, which was not surprising to Song Yang, but the acquisition of MFS Telecom still surprised Song Yang.

MFS Telecom is a hard bone. It had challenged WorldCom before and acquired UUnet Telecom at a price of up to 21 billion US dollars under the nose of WorldCom, setting off a wave of telecom acquisition frenzy.

But now, MFS Telecom is going to be killed by WorldCom, which makes people think too much. Song Yang looked at Betes and said, "MFS Telecom is not cheap..."

"125 billion US dollars, according to the Telephone and Telegraph Group, the board of directors of MFS Group has approved the acquisition by WorldCom. MFS will be acquired by WorldCom at a price of 125 billion US dollars. Bernard Ebes is crazy It's..."

When mentioning Ebes, the head of WorldCom, Best sneered sarcastically, threatening that Bernard Ebes was taking advantage of him by initiating the acquisition.

Cursing and scolding, Betts is also somewhat envious. As the head of the American telecommunications giant, Bernard Ebes can initiate a series of mergers and acquisitions of the century, but Best can only support the phone. The mess of the Telegram Group, the power of the two is incomparable!

Hearing this news, Song Yang couldn't help but think about it. Worldcom's acquisition of MFS Telecom, no accident, will make the competition in the telecom industry more fierce, and the war between giants will start again.

Today WorldCom can acquire MFS, and tomorrow Southwestern Bell, Sprint, Charter Communications, etc. will be able to acquire other telecommunications giants. They are also giants in the telecommunications industry. Is it possible that they can still be inferior to WorldCom? !

America Telecom's situation will be even more difficult. Telecom giants such as WorldCom and Sprint will sooner or later compete with America Telecom in broadband, mobile Internet and other industries. , American Telecom really can't withstand the hunting of these telecom giants.

Bates waited for Song Yang's decision with all his leisure. He knew that Song Yang could weigh the pros and cons of it.

"2%!"

"North America Global Investment Foundation can then transfer 2% of American Telecom's equity to Telephone and Telegraph Group, and Bell Labs to American Telecom!"

If America Telecom is given a valuation of US$300 billion now, then this 2% equity is equivalent to US$[-] million, and US$[-] million can be exchanged for a Bell Labs. In the end who suffered.

He didn't get the desired 5% stake in American Telecom, but 2% is not bad. The Telephone and Telegraph Group's stake in American Telecom directly reached 30%.

He got 2% of American Telecom's equity, and got rid of the big burden of Bell Labs, and firmly tied American Telecom to the chariot of Telephone and Telegraph Group, which was enough for Betts to explain to the board of directors and Wall Street!

"The Telephone and Telegraph Group will always support America Telecom, no matter which opponent it faces!" Betts stretched out his hand to Song Yang.

Song Yang frowned, "I hope so!"

"Mr. Ebbes, MFS Board of Directors, accept WorldCom's offer!"

Inside the MFS headquarters, MFS president James Crowe looked at Bernard Ebes, who was bowing down to MFS with a victorious attitude, with a complicated expression.

Think back to a year ago, James Crowe was still leading MFS Telecom to challenge Bernard Ebes, but in the blink of an eye, Ebes had already occupied his lair.

Bernard Ebbes picked up the purchase agreement and said jokingly to Crowe, "Welcome to WorldCom!"

(End of this chapter)