Soviet Godfather
Vol 3 Chapter 218: Sell Lotus Software
Griffith still has some experience after all, and his initial offer was quickly rejected by the opponent. The other party welcomed Griffith and Monsanto to cooperate on the sale of Roundup, but Monsanto was not interested in the deal proposed by Dakota Noodle Growers.
"Not interested?" Griffith didn't believe these nonsense? The overall chemical industry is currently in a recession. Although Monsanto has the explosive product of Roundup, it is not enough to support the existing scale of operations. Otherwise, Monsanto will not wait to enter the seed industry.
Although Kalim and Seryosha did not directly make a move, they have been paying attention to the deal. Because so far, Sergei Shah has no experience in operating an industrial enterprise of the size of Monsanto. This company was founded in 1901, 20 years earlier than the time when the Soviet Union was founded. Although it has not been listed, it is already among the top ten chemical companies in the United States and has a wide range of customers worldwide.
For a long time, Sergey Shah’s business has been mainly in finance, real estate, agriculture and entertainment. Although Yota Communications is a technology company, it is far less than Monsanto in terms of scale and number of employees. Therefore, this acquisition can be regarded as a brand-new challenge that Sergei and Sergey had never faced before.
In fact, Sergey Shah knew very well that he was unable to change the sad fate of the disintegration of the Soviet Union, and the most left after the disintegration of the Soviet Union were industrial enterprises like Monsanto. If you want to have better development in the future, Sergei will face the test of acquiring industrial enterprises sooner or later. Therefore, Monsanto counts as Sergei's first experiment.
Griffiths quickly told Kalim of the rejection of the other party. After obtaining Sergei's consent, Kalim authorized Griffith with a higher price, the overall valuation of Monsanto. It will reach seven billion U.S. dollars, which is already a sky-high price in the current era. At the same time, in order to make the acquisition more certain, Griffith also approached Monsanto's financial advisory company Morgan Stanley to negotiate the deal together.
So after this week, the Dakota Pasta Growers Company represented by Griffith, Morgan Stanley, and Monsanto started a new round of negotiations. In order to show his sincerity, Seriosha made it clear that the transaction will be paid entirely in cash, which greatly increases the attractiveness of the other party.
But this is how things like negotiation are. The more you follow the other party, the higher the other's psychological expectations. Faced with Griffith's fair price, Monsanto's CEO is always silent. Griffith knew very well that although the CEO is the company's top leader, he is also a part-time worker, and the shareholders are the owners of the company. This price must be approved by the board of directors before it is possible to negotiate.
"Or else, Mr. Griffith! We still need to think about your price. You also know that we have many promising projects that are progressing smoothly, such as our Molecular Biology Laboratory, which has just The genetic engineering project has made significant progress. This is a revolutionary technology that is likely to disrupt the entire seed production industry! But I agree that you will conduct a preliminary due diligence on us, and we will open some necessary information to you..." Monsanto’s The ceo responded calmly.
After hearing these words, Griffith finally took a reassurance. It seems that the price really moved the other party. After all, having seven billion US dollars in cash at once is definitely a good deal, and most people will be satisfied. this price. The other party also accepted the Dakota Pasta Growers' acquisition because of their enthusiasm, because the other party's intention is very clear, and you can now inspect the goods first.
"Sorry, two gentlemen, can I say something?" the representative of Morgan Stanley said suddenly.
Monsanto’s CEO and Griffith both looked at him, wondering what he was going to do? Just listen to the representative of Morgan Stanley saying: "I have a report on the prospects of the seed production industry here. According to our estimation, the profit of the entire seed production industry is about 10 billion yuan (the data in 2016 was 37 billion yuan). USD) USD. We at Morgan Stanley don’t think Monsanto’s molecular biology laboratory can bring much profit to the entire company. We are more optimistic about your company’s development in the biomedical industry! Monsanto’s chemical business has been showing up in the past few years. The downward trend, I hope your company can consider our analysis and make a decision that is beneficial to investors!"
Griffith understood that Morgan Stanley's representative was persuading Monsanto to accept the deal. This was actually helping Griffith secretly, and Griffith gave this guy a grateful look. In fact, the other party’s good intentions are also purposeful. They hope to finance a hugely expensive transaction.
At the end of the negotiation, some progress was finally made~www.wuxiaspot.com~ During Monsanto’s hesitation, Griffith and Seleosa behind him were not idle at all. Griffith’s investigation The team soon came to Monsanto to investigate the financial status of the acquisition target. On the other hand, Sergey Shah is raising funds for the acquisition law. At the beginning of the year, Eva once bought an office software company called Lotus Software. The company's product lotus1-2-3 has been sought after by the market once it was launched and has become a dark horse this year. Originally Sergey wanted to introduce some of the company's technology to the Soviet Union to improve the office automation level of the National Housing Bank, but from Sergey's eyes, the current level of lotus1-2-3 is still far behind.
Now Serozha is a little bit down on this company, and it happens to be acquiring Monsanto now, and Lotus Software is gaining momentum, so Serozha thinks it is a wise choice to sell this company at this time. Eva is still one of Microsoft's main shareholders. Since lotus 1-2-3 was listed soon, Microsoft has developed a strong interest in this company, but Eva's attitude has always been rejected.
"Eva, talk to the people at Microsoft! I don't think the Lotus software is of much use in our hands!" Said Seryosha, who had always been to Vancouver to meet him, said.
"But this company is now a star company! And the profitability is also good!" Eva asked puzzled.
"I am more interested in Monsanto now, and the limitations of office software are too great. Microsoft will enter this field sooner or later. It would be more cost-effective to buy them in exchange for cash and shares!" Xie Liao Sha explained to Eva.
"Okay, I will contact them. What is your price?" Eva said obediently.
"Five billion dollars!"
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