Hollywood Hunter

Chapter 471 Possible bidding war

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For Janet's birthday, the couple flew to Miami together.

Taking advantage of the slump in the real estate industry in the United States, Janet purchased a 6-hectare seaside land in North Palm Beach, Miami last year. The land is located in a high-end wealthy area, with a golf course to the north, a private beach to the east and a beach to the south. Forest Park is a prime location.

If it weren't for the cold winter of the real estate industry that forced developers to cut back on development plans, and the buyer was Simon Westeros, who can bring a lot of fame to the wealthy area, this lot of land enough to build seven or eight mansions would certainly not be. Will be packaged for sale.

Even so, just the 6 hectares of land sold for $10 million.

Janet plans to invest 20 million US dollars to build a seaside manor. The main villa started last year, and the entire manor can be completed and occupied in the second half of next year.

As a transition, Janet also purchased a 1.5-acre mansion next to the manor. After the manor is completed, this half-hectare mansion will be directly incorporated into the manor.

Because of the news that Simon bought a property in this wealthy area, the surrounding house prices have risen by 20% in the past year.

Several luxury houses around Simon Manor have become the targets of many people's rush to buy, and the price is even more than double the average house price in the wealthy area. Smart developers also use the properties around Simon Manor as signboards and hold on tightly, hoping to sell them. Give more rich and famous people to further increase the popularity of this rich area.

Shopping, fishing, partying... Janet has a three-day holiday schedule from Friday to Sunday.

The couple returned to New York on Monday, March 16.

Sophia Fisher has not left.

A very detailed investigation has been done on ck in advance. Sofia's offer to ck on Saturday is US$50 million, of which US$40 million is used to purchase 55% of the shares held by ck shareholders, and US$10 million is injected into ck as a loan to alleviate this problem. the company's cash flow pressure.

In addition, Sophia also promised that after completing the acquisition of ck, Melisandre and even the entire Westeros system will provide the company with channel, legal, marketing and other resource support to help ck quickly reverse this situation. Difficulties faced and further development and growth.

In addition to family infighting, many of the problems ck faced at this time were similar to those of Gucci at the time. The rapid rise of Gucci was visible to everyone.

Although the price offered by Sophia is low, it is not harsh, and also reserves 45% of the shares for other shareholders of ck that can be reserved for future appreciation.

Therefore, although only 24 hours were given for consideration, after several attempts to negotiate a price to no avail, ck founder Calvin Klein and the company's board of directors finally accepted Melisandre at the last minute. offer.

News of the deal made a big splash in The New York Times on Monday.

After Gucci, Chateau Latour and Van Cleef \u0026 Arpels, Melisandre once again acquired a well-known luxury brand and continued to take a step towards the goal of a comprehensive luxury group.

ck is not a public company.

However, with the announcement of the news, the haze of bankruptcy that has been surrounding ck has been swept away, and under the circumstances of various media reports, even the sales of ck products have increased significantly. The attitude of the brand licensor who has been entangled with ck has also eased. Although they are more reluctant to let go of the license in their hands, they also express that they can make corresponding concessions in terms of licensing fees.

Simon isn't heading back to the West Coast this week, joining Janet in planning the next phase of Cersei Capital's development.

The first is the hedge fund Cersei Fund Management.

After the oil market operation was completed last year, Cersei Fund Management faced a "transition" problem.

In order to avoid possible targeting of the entire Westeros system, Cersei Fund Management will next try to minimize macro hedges that may affect a country's economy.

In fact, after the fall of the Berlin Wall, analysts at Cersei Fund Management predicted a reshuffle of the European monetary system.

In 1979, the eight countries of the European Community, led by Germany and France, established a European monetary system to fight against the US dollar. This system determined a relatively fixed exchange rate exchange mechanism according to the strength of the countries at that time. Joined in 1990.

That is two years ago.

However, after the merger of East and West Germany, Germany's economic strength has greatly increased, and it is very unfair for Germany to continue to maintain the original exchange rate system. In order to attract the UK to join, the exchange rate of the pound was significantly overvalued when it joined the European monetary system two years ago, thus creating a strong imbalance that needs to be reshuffled.

Of course, the United Kingdom, which has taken advantage of it, definitely does not want to reshuffle the cards, which requires some external force to promote.

In the original time and space, Soros’s Quantum Fund launched an attack on the British pound in September 1992, which ended in the sharp depreciation of European currencies such as the British pound, the Italian lira, and the Spanish peseta.

Soros personally netted $1 billion in this currency sniping and became famous in the first battle. The Quantum Fund and other hedge funds involved in sniping at European currencies also made a lot of money.

On the other hand, the UK re-exited from the European monetary system after the pound crisis, the European Community suffered heavy losses, and the status of the dollar was further consolidated.

Don't talk about the deep level involved

In the game of great powers, if you want, with Simon's prophetic advantage, Cersei Capital can now make arrangements for European currencies in advance, and slowly build short positions in currencies such as sterling and lira that are bound to plummet.

However, the Westeros system is not as pure as the Quantum Fund. Once this is done, Cersei Capital may be able to make a lot of money, but the entire Westeros system will definitely encounter hostility and targeting from European countries in the future. Don't think about doing business well in all aspects.

Therefore, after reading the relevant reports of Cersei Capital analysts, Simon personally banned Cersei Capital from participating in this operation, and not a penny was allowed.

With the big heads like the Quantum Fund in front, Cersei Capital doesn't seem to attract much attention even if it makes a small profit, but there is absolutely no need to dip it in oil for some residual soup.

Crucially, of course, Cersei Fund Management has more appropriate goals.

Tech stocks!

The wave of new technologies centered on the Internet has emerged in advance. New technology companies such as Microsoft, Intel, Oracle, Cisco, and AOL have seen their stock prices rise rapidly in the past two years. However, according to the information in memory, Simon is very clear that now The stock price is far from its craziest moment.

Therefore, now is definitely the best time to enter long U.S. tech stocks.

In the original time and space, Tiger Fund, which followed Quantum Fund to kill the Quartet in Southeast Asia in 1997, was liquidated in the next two years because of betting against short-selling technology stocks, and tens of billions of dollars lost more than 80% in just two years. , Hedge funds are a kind of zero-sum game. The case of the liquidation of Tiger Fund actually proved from the opposite direction how profitable the hedge funds were when they were long in the technology stock market at that time.

It may be a few years before the craziest period for tech stocks, but with the overall trend of the Nasdaq market, it will still be very profitable to enter long positions now.

More importantly, long technology stocks do not have the strong political risk that is required for macro hedging such as speculating on a country's currency. The overall trillion-dollar market value of the Nasdaq technology stock market is enough for Cersei Fund Management to run freely in it.

Inside an apartment on Fifth Avenue.

The time is Wednesday, March 18th.

Simon and Janet went home from get off work at the Cersei Capital headquarters in Midtown, and Sophia came to visit, and they talked about some things about ck while staying for dinner.

Although the two parties have reached a basic agreement, the formal signing of the acquisition contract still requires Melisandre to conduct more detailed operational and financial audits of ck to ensure that there are no unexpected debts and legal risks. If all goes well, the acquisition could be completed early next month at the latest.

"After the acquisition, ck's main energy will focus on the three product lines of men's and women's high-end fashion, jeans and underwear. Although high-end fashion will form a certain competition with Gucci, it can still enrich the diversity of Melisandre's fashion business. Sex. Jeans and underwear are more important, which is why I bought ck, because these two product lines are areas that Gucci has not been involved in.”

In the restaurant, Simon listened to Sophia's introduction and asked, "At the last party, Klein said that ck's perfume products are also selling well?"

Sophia shook her head and said: "The perfume business only accounts for about 5% of ck's total sales, and it is difficult to compete with brands such as Dior and Chanel. This product line will not be cancelled, but it will not invest more. We recently A few years have been focused on growing Gucci's fragrance business."

Janet, who habitually sat next to Simon, asked, "What about the brand licensing?"

Sophia said: "This aspect is a bit complicated, ck awarded pajamas, swimwear, glasses, socks, shoes, household goods and many other product categories in the 1980s. It is very difficult to take it back now, especially Melisandre. After the company enters ck. However, these authorizations will expire within five years at the latest. My goal is to cancel some authorizations through negotiation as much as possible. It is impossible to take back. ck's brand image."

Simon added: "If it is confirmed that there is no major problem with this company, at the Oscars at the end of the month, we can arrange some exposure of the ck brand."

"I'm already in touch," Sophia nodded, looked at Janet again, and asked, "How is the ltd acquisition going?"

ltd is the common abbreviation code for limited brands, the parent company of Victoria's Secret.

Janet said: "Recently, both kkr and blackstone have become interested in ltd. There may be a bidding war. If the final price is too high, we can only withdraw."

kkr is exactly the private equity firm that made the record-breaking Reynolds-Nabisco merger a few years ago, not to mention Blackstone, the old owner of Blackrock Asset Management, now in charge of Lawrence Fink.

Both companies are top private equity firms on Wall Street that cannot be underestimated.

Acquisition negotiations began quietly in February, and the two sides failed to reach an agreement after several contacts. Then, the news inevitably leaked.

Although the ltd side firmly denied that it was their own leaking the news, the facts were obvious.

Affected by the leak of the acquisition news, ltd's stock price has also risen significantly recently, and its market value has exceeded 1.5 billion US dollars.

Neither kkr nor Heiyan has made an official offer, but it is clear that once the two companies make a bid, a bidding war will be inevitable, and the planned goodwill acquisition will be impossible.

On Cersei Capital's side, Apollo Management's acquisition team has re-adjusted its acquisition plan, raising the upper limit of the offer for ltd to $2.5 billion, compared to the most

The expected transaction price of US$1.7 billion in the initial goodwill acquisition stage has been fully increased by US$800 million.

In the context of two rivals eyeing each other, even this is not determined to win.

However, the acquisition team has already secretly absorbed 4.9% of the shares of the ltd group. Even if this acquisition really fails, after cashing out the stock in hand, Cersei Capital is not busy.

In Simon's memory, the peak market value of the ltd group once exceeded 20 billion US dollars.

Even if the company is bought with $2.5 billion now, according to the usual five-year holding cycle of private equity firms, based on the upward trend of the U.S. economy in the next five years and the development potential of ltd itself, Simon believes that in five years, the ltd group will The share price of at least can ensure a doubling of 100% growth.

Over five years, the average annual return is 20%, which is not a low return on investment for private equity.

Simon returned to Los Angeles the next day, and the time also entered late March, and the 64th Academy Awards ceremony, which will be held on March 30, is approaching.

According to the voting process, the judges of the various Oscar awards have recently sent their ballots, and the results of the awards are basically settled.

Daenerys Entertainment's two key nominations this year, "Farewell to the Piano" and "The End of the Road" are destined to be just escorts. Others, such as the best documentary feature of "The World of Ice and Snow", and the best of "Raise the Red Lantern". Nominations such as Best Foreign Language Film have not put much effort into public relations.

This is destined to be a rather quiet year for Daenerys Entertainment in terms of awards.

Calculated, of the total 22 nominations under Daenerys Entertainment, the only one that is more guaranteed is Holly Hunter, the heroine of "A Farewell to the Piano".

The actress's Best Actress nomination was well deserved thanks to her stellar performance in "A Farewell to the Piano." Moreover, compared to several other candidates, Holly Hunter also has a deep accumulation of contacts in Hollywood. You must know that this actress was once Spielberg's girlfriend.

Holly Hunter's brokerage company icm has also invested a lot of resources and contacts in public relations in order for Hunter to get a small golden man.

Easter in 1992 was April 19.

One month in advance, Daenerys Entertainment's key project "Ninja Turtles 2" this year's Easter entered the sprint promotion stage.

Simon is quite satisfied with the final result of "Teenage Mutant Ninja Turtles 2". However, in the original time and space, the box office of several "Teenage Mutant Ninja Turtles" sequels released by New Line in the 1990s has plummeted, which also made him not interested in this sequel. Box office performance is a bit of a concern.

If the budget cost of the sequel is not only 30 million US dollars, and it also needs to cooperate with Blizzard Studio's "Ninja Turtles" series of games, Simon has considered canceling the production of the sequel like "Flying Over Innocent".

It was also because of Simon's concerns that Teenage Mutant Ninja Turtles didn't launch a sequel last year immediately after its debut in 1990.

In the final analysis, although the popularity of "Ninja Turtles" is very high, the IP image tends to be younger, and adult audiences can easily lose interest in the sequel after the initial freshness. For children's audiences, even if the film itself has achieved pg level, the live-action Teenage Mutant Ninja Turtles will not please children like cartoons.

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