Chereads / I Become A Noble in England / Chapter 361 - Chapter 361 Seizing the Opportunity

Chapter 361 - Chapter 361 Seizing the Opportunity

 "NVIDIA?"

  Catherine raised her head, looked at Barron with her beautiful eyes, and asked,

  "Should I use all my money to buy the stocks of this company?"

  Barron grabbed her hair and pressed down... He took a deep breath and said to her,

  "Yes, you can entrust a professional organization, or go to DS Investment Company to find someone to help you buy all the stocks of this company, and then keep them there until I notify you before selling them."

  Catherine secretly memorized the name and began to serve Barron wholeheartedly without further delay...

  In fact, at this time, Rich23 Capital had invested and quietly purchased approximately 80 million shares of Nvidia in the secondary market through several offshore companies, which together accounted for approximately 12% of its total shares and was worth more than US$500 million.

  Nvidia's shares have also risen from $5.86 per share at the beginning of the year to nearly $6.5.

  The reason why Barron still let Catherine use her 50 million pounds to buy Nvidia's shares is that even at the current price, it is still more than 4 times higher than its highest price in October 2007 before the subprime mortgage crisis broke out...

  And firstly, NVIDIA's current situation is that after launching the GeForce series of graphics cards, it has become a rising star in the graphics card field. After outlasting 100 graphics accelerator card companies, its business has been relatively stable, but it is still developing its own general compilation tools. Even in 2007, before NVIDIA launched its own compilation tool CUDA, its revenue declined.

  Second, Nvidia's shares at that time were very dispersed - before Nvidia went public in 1999, its main founder Huang Piyi's shareholding ratio was already less than 3.6%. Their shares were dispersed among many investment institutions, partners and employees. Correspondingly, the circulation volume in the secondary market was also extremely large.

  These two reasons are that after Rich23 Capital acquired a certain share of Nvidia's shares, Catherine continued to purchase 50 million pounds of Nvidia shares and was still able to buy them. Moreover, through covert and long-term purchases, the impact on the company's stock price would not be too great.

  As for why Rich23 Capital didn't continue to buy more shares of Nvidia,

  you know that the company's future market value could reach more than $1.5 trillion...

  The reason is that it is not the right time to get too deeply involved in Nvidia, because the current market value of Nvidia is less than 4.2 billion US dollars, but after the subprime mortgage crisis, its market value reached more than 24.5 billion US dollars. After the highest point before the subprime mortgage crisis, it once fell to nearly 3.5 billion US dollars...

  That was the best time to deeply intervene in Nvidia and "save" the company, just like BlackRock Group later became the main investor of Nvidia...

  Speaking of which, NVIDIA is still a very important company. In addition to its strength in graphics cards, NVIDIA's GPU later became a "strategic material" for accumulating computing power. The company's layout in artificial intelligence also made it a major force influencing the market structure.

  This is also the main reason why Nvidia's market value later exceeded 1.5 trillion US dollars.

  After leaving Catherine, Barron went to O2 Telecom.

  Although Barron and Catherine had studied together quite a few times during this period, he was still relatively careful...

  After all, she had just become a widow not long ago, but if she had Barron's child in a short period of time, it would not look good for her at least, and Barron would need to consider her.

  Therefore, in this case, he could only ask Mrs. Hall to supplement her nutrition.

  Maybe she couldn't adapt to it at first, but she got used to it slowly...

  …

  Now, representatives of the consortium of O2 Telecom and Caesar Fund have gone to the Czech Republic to participate in the bidding for the 51% stake in Czech Telecom held by the Czech government.  

  Not only O2 Telecom is interested in this part of the shares, but also Swisscom, Telefonica and some other consortiums are also coveting the controlling stake in Czech Telecom.

  At this time, it is very important to decide what price you will pay to get these shares.

  Previously, Swisscom and Telefonica's bids were both around $3 billion, and the Czech government has decided to make a final secret bid in the near future, at which time the party with the highest bid will be awarded 51% of Czech Telecom's shares.

  "Based on the evaluation, we believe that $3.3-3.4 billion is the most appropriate bid. After all, this is only 51% of Czech Telecom's shares. After obtaining these shares, we can also choose to bid to other shareholders to complete the overall acquisition. At that time, we will need to pay more funds. Therefore, we also need to consider that the current bid is too high, which will greatly increase the acquisition cost in the later stage of overall acquisition."

  After hearing what O2 Telecom CEO Barry Trelles said, Barron was silent for a moment, picked up a pen, and wrote a number on the paper in front of him:

  "We offer this price!"

  "$3.55 billion?!"

  Barry Trelles said with some hesitation:

  "This price is a little high..."

  "It's worth it. Otherwise, if we miss this opportunity, the price we have to pay for future acquisitions will probably not be low."

  Barry Treles quickly understood the meaning of Barron's words, and he nodded solemnly:

  "I understand, Your Highness."

  The reason why the price of $3.55 billion was determined was because Baron remembered that in the original time and space, Telefonica defeated Swisscom and other competitors at a price of $3.5 billion and obtained 51% of the shares of Czech Telecom. Now he is offering $50 million more than the other party...

  If this still fails to gain control of Czech Telecom, it only means that there are other factors behind this bidding. In that case, even if the bid is higher, O2 Telecom will still have no chance.

  As for the $3.55 billion price tag, it is slightly higher than the actual value of Czech Telecom as they assessed it...

  It is normal for this kind of acquisition to have a certain premium, and since it can take over the Czech telecommunications market and expand O2 Telecom's user base to the whole of Eastern Europe, this bid is relatively worthwhile.

  In addition, there is what Barron hinted at in his words to Barry Trelles just now. According to their analysis and the forecasts of many institutions, and most importantly, Barron's experience in his previous life, the merger and acquisition battle in the European telecommunications market will begin from this year, and the Eastern European market will definitely be a focus.

  At present, other telecom giants have more or less obtained or locked in acquisition targets. So if they miss out on Czech Telecom and choose other telecom companies, they will still face increasingly fierce competition - as each prey is reduced, the competition intensity for the remaining prey will continue to increase.

  Then the remaining acquisition targets may eventually require more funds than they currently do, and the importance of the other party will also become less and less...

  In this case, it would be better to strike at once and take what you can get now.

  And in terms of funds, Caesars Fund still has enough "ammunition" to provide to O2 Telecom.