Chapter 220

Chapter 220 Let's prepare local leeks together

2001.

April 1.

April Fool.

That day, when the market value of Sempra Energy Company was below the boom market level.

up to about 32 billion USD. Smith Capital's safe haven status, which lasted more than half a month, has also officially ended.

Smith Capital's safe haven position this time.

Mainly buying international spot gold, i.e. London gold.

This time, Smith Capital entered the market with 14.5 billion USD and 58 billion funds respectively with four times leverage while London Gold was around 235.00.

The average cost to open a position is approximately $240.00. The standard lot of gold in London is 100 ounces, or about 3.1 kilograms.

Based on an average opening price of $240/ounce.

A standard lot of gold in London is worth 240*100=24,000 US dollars.

58 billion US dollars, holding a total of 2,416,666 London gold lots.

The total number of standard London gold lots is 100 ounces and the swing point is 0.01 US dollars \\ ounce. That is to say one London standard lot of gold.

The profit or loss of one point is 100 × 0.01 USD = 1 USD.

Smith Capital holds about 2.41 million lots, with a one-point swing, a profit or loss of about $2.41 million.

When Smith Capital closed all its positions and exited the market.

Real-time gold price in London is $275.98. This is when Smith Capital closed a large amount of money and exited the market.

This causes its price to drop significantly.

In fact, Smith Capital's average exit position would be higher.

Because profit regression is a process.

Smith Capital exited the market at a high of 281.65. Smith Capital's average final exit position was $278.34.

In total, 3834 points of profit were made.

That means no interest, commission, etc.

This time Smith Capital has invested for half a month.

Total profit reached about 9.246 billion USD. When David Mellon announced that the safe harbor status had been lifted and all benefits from the transaction were lifted.

All of the third and fourth floors let out loud cheers.

Amid the cheers, the staff on the 1st and 2nd floors.

They also quickly learned the company's profit for half a month and everyone cheered together.

The resounding cheers of hundreds of people spread outside the building. People who don't know think there's some kind of celebration here.

New employees who have not long joined the company are silently calculating in their hearts:

Net profit was about 9.2 billion USD in half a month.

The result represented a doubling of Goldman Sachs' profits last year.

That's the total profit of five companies belonging to the five largest investment banks, accounting for more than half of their total profits last year.

This is General GE, the company with the largest market value in America, with profits equal to 130% compared to last year!

Wall Street practitioners unaware of this data were also current employees of Smith Capital. They all knew it once this kind of information came out.

Crowned the "Moses of Finance" king of Smith Capital.

The original bright light on his body will become even brighter.

And 280 merchants on the third and fourth floors.

Also achieve your wishes and get high bonuses. Twenty-eight team leaders were each awarded $100,000.

252 members, each 50,000 USD.

This news this time is also related to the company's profits.

Notify all employees of the entire company together.

That everyone else in the company who didn't participate was extremely jealous and envious. Moreover, because the company does not require confidentiality.

This news spread on Wall Street in a very short time.

Wall Street workers, listen to this.

First you don't believe it, then you confirm its credibility.

They also became jealous and envious of these two hundred and eighty people. Wall Street executives reacted differently after hearing the news.

Among them is Sally Winston, CEO of PNC Financial Services Group.

and Berkshire Chairman Warren Buffett.

The reaction of these two people was to go to the Smith Building very quickly.

Sally Winston, CEO of PNC Financial Services Group, is not visiting the Smith Building for the first time. Including this time, it must be three times.

Because it was around the 20th of last month.

Smith Capital recently announced that it will make a joint acquisition offer for Sempra.

Sally Winston came once.

At that time, Sally Winston came to ask for a share. Like Warren Buffett.

Last month, PNC Financial Services Group also acquired 4% of Smith Capital's shares.

Conditions are exactly the same as in Berkshire.

In other words, Sally Winston is now like Buffett.

Both are already shareholders of Smith Capital. Fourth floor, Abel's office.

Above the sofa in the sleeping area.

Two giants of the American financial industry.

Buffett and Winston each held a cup of Geisha coffee brewed for them by David Mellon, sipping lightly.

At that time, David was wearing a suit and looked very capable. Smith Capital CEO David confirmed the news to both shareholders with a smile on his face.

"Both of you, the news you heard is not false."

"That's right, in the past half year the company you invested in has earned more than 9.2 billion US dollars."

"You heard me right, it's $9.2 billion."

"Pure profit ~"

David Mellon is in a very good mood right now.

Thirty-five year old son of one of the Mellon branches in New York.

I never thought about it. Initially, I was a regular managing director at Goldman Sachs.

Maybe a year and a half later.

can cross paths on equal terms with the likes of Sally Winston and Buffett.

David Mellon couldn't help but look at Abel.

Andrew Mellon's descendants know all of this thanks to this young man in front of them. ".oh~"

Sally Winston happily said:

"No wonder I went out and picked up a Lincoln this morning!"

Lincoln in Sally Winston's mouth.

referring of course to Abraham Lincoln.

Portraits of American leaders are printed on US coins.

In many places in America there are such legends:

[If you find a coin, you will have good luck all day]

It was an original sentence that mainstream Americans understood, and of course everyone present could understand it.

Everyone knows it's Sally Winston's joy. Warren Buffett smiled, the god of the stock market couldn't help but say:

"Is trading precious metal futures profitable?

A shareholder of Smith Capital.

Buffett and Sally Winston of course know that Smith Capital's main investment battlefield in the past half month has been international spot gold.

"No ~ Dear Warren." David Mellon smiled and said:

"It's not making money on international precious metals. It's Abe Smith making money on international precious metals!"

"In fact, it involves more than just international precious metals futures contracts."

"As long as our King Smith wants it."

"Smith Capital can make money!"

David Mellon's words reveal his boundless admiration for Abel.

This made Buffett and Winston realize. No one can resist Abel's power in Smith Capital.

David Mellon, who recently moved from managing director to CEO, is a fan of Abel.

"Alright."

At this moment, Abel finally smiled and said:

"It's only $9.2 billion. Not $92 billion. I don't think that's anything to brag about."

When Abel said this, his tone was calm. Abel's mood right now is really like what he said.

But that sounded extremely harsh to the ears of Winston and Buffett in attendance.

Earning 9.2 billion USD in half a month is nothing special.

He is the chairman of Berkshire and CEO of PNC Financial Services Group.

Right now, I want to pour out the coffee I'm holding in Abel's hand. Of course.

They just think about it.

After all, they all invested in Smith Capital.

The more money Smith Capital makes, the happier they both are.

"RIGHT." Buffett and Winston heard Abel speak. "Sapla Energy, the network may be closed."

Abel smiled and said to both:

"Give me two days."

Listening to what Abel said, Buffett is fine.

Sally Winston, who was only about fifty years old, suddenly became excited.

"Understand." Sally Winston said happily.

Buffett nodded:

"I guess within those two days. I started selling yesterday."

Sally Winston suddenly realized: "No wonder the price dropped to 109 USD yesterday. It must be Warren, you sell!

Buffett shrugged:

"Other people are crazy, I am afraid, others are afraid, I am crazy. This saying is very useful in many cases."

David Mellon was a bit confused and didn't understand what the two American financial tycoons and Abel were talking about.

Not long ago, Smith Capital just ended its safe haven status.

That is, except for the times I went out to speak and broadcast live on television.

Today David had his first contact with the outside world. David is currently not very clear about external things.

"It is Sempra Energy," Abel explained to him.

"OH." David Mellon nodded:

"I just took a look. The real-time stock price is already $120. That's crazy. Is Sampra really worth that much?"

"Right." After David finished speaking, he asked Abel:

"I also asked about this just now. There are very few candidates for our global supply contract. So far, it has only reached 39% and there is still a long way to go to reach 51%. »

"Of course." Sally Winston smiled and said:

"Smith Capital was only willing to pay $68 per share. Today, Sempra Energy's stock increased to $120 per share on the stock market!

"What idiot would be willing to sell it to Smith Capital at such a low price?"

David Mellon was stunned for a moment, he looked at Sally Winston who was smiling widely.

looked at Abel and Buffett smiled again.

This reminds me of the conversation between the three of us earlier. David Mellon, also part of the Wall Street elite, immediately thought of something.

Thinking of this, David even lowered his voice.

"You… are you doing Sempra Energy?"

David whispered in surprise.

Abel calmly replied:

"Who said that? I'm interested in Sempra Energy. I am optimistic about its future. I am ready to make a global offer at $68 per share."

"As long as the price is right, I'll buy as much as I can. It's that simple."

Sally Winston smiled and said:

"Ha ~ PNC Financial Services Group thinks Sampra is a good stock that can make money for our investors, so why don't we enter the market?

"Even though Berkshire doesn't do a lot of short-term trading, that doesn't mean it doesn't do it at all. As long as it's beneficial for investors, Berkshire will occasionally do short-term trading. " Buffett spoke very seriously. These words came from three people, even though they said nothing.

But for David Mellon, it was basically all said and done.

This shocked David.

This is the relatively young class of Wall Street.

He never imagined that the three people in front of him would actually play like this. Even David Mellon suspected that it might not be just the three people in front of him who were playing like this.

Many on Wall Street may have been in on it this time.

Otherwise, there would be no way Sempra Energy stock would be available in such a short period of time.

It didn't even take two weeks and it directly more than doubled.

David smiled and shouted, "Okay. Alright. I understand, I understand."

clang ~ clang

Abel tapped his empty coffee cup.

"Mr. CEO of Smith Capital, don't worry about other companies. Just worry about your chairman's coffee cup, but it's empty."

"Oh ~" David Mellon bent down and picked up the coffee cup.

Sally Winston drank coffee quickly from her cup. "Please let me have another drink! Sir~" Sally Winston said smiling.

Buffett calmly drank his coffee, handed the coffee cup to David: "Please, Mr. Mellon."

David shook his head and smiled, but happily went to make them coffee.

There aren't many people in the entire Wall Street who can make coffee for these three people!

April 3.

Participated in the acquisition battle for "Sampra Energy".

Only repost comments from other media. "The New York Observer" and "The American Sun" never expressed their views.

A newspaper and a magazine simultaneously publish two reports with similar content.

In the report.

U.S. Pacific Bank of Commerce announced that it will purchase 51% of California Pacific Electric at a price of $100 per share.

This transaction involves an amount of 14.5 billion USD. Once completed, it will be the largest merger and acquisition deal ever for US business this year.

California Pacific Electric CEO Gavin · Gao Suo.

also confirmed the transaction at noon.

Gavin Gauth said the US Pacific Bank of Commerce has registered a $1 billion bond.

As long as approval is received from the US Department of Commerce, the transaction will be declared successful. As soon as this news was announced, the US stock market fluctuated.

A morning.

Sampra Energy from yesterday's high of $130 per share,

They all fell to $120 a share by midday.

After these two new announcements.

In the afternoon, after the US stock market opens. begins his stunt.

Wait until the evening when the US stock market closes.

Sempra Energy's stock price, which peaked yesterday at $125.50/share, is now just $109/share.

That night, Fox News, an affiliate of News Corporation.

during his hour-long media coverage. Also report what happened today.

[.Smith Capital never adjusted the offer price during the month-long general offer period. We see that Smith Capital clearly doesn't really care about Sempra Energy! ]

[.Grandfather. Abel Smith, he competes with everyone. He let a lot of people spend their savings on Sempra energy stock, pushing the price up to levels it shouldn't have been.]

[. But our Mr. Abel Smith, go back and buy a better quality Cal Pacific Electric.

[. He fooled everyone! We are all fooled! ]

[.]

That night, Fox News wasn't the only one saying that.

Most financial programs invite experts to say this.

Early tomorrow morning.

A large number of new newspapers and magazines are published.

also expressed similar views in the report—

In other words: [Abel Smith really doesn't need energy at all! ]

[He played tricks, took the mouse position, pushed Sempra Energy's stock price up, and then was able to sell it at a high price! ]

[What he really wants is California Pacific Electric next to him! ]

Similar reports are being made. Don't delay the opening of the stock market that day.

In response, Sempra Energy shares fell.

It went from $109 to $90 a share.

When the market closed that day, Sempra Energy's share price was just $78.

At that time, leeks on the US stock market were raging. Under pressure from public opinion.

The relevant US agency, the SEC, i.e. the US Securities and Exchange Commission, had to stand up and say:

Smith Capital did nothing illegal.

Because in the process, Sempra Energy stock prices increase and decrease.

Smith Capital, from start to finish, never used a general offering price above $68 to buy shares of Sempra Energy.

Likewise, I have never sold a single share of Sempra Energy for above $68. And not just Smith Capital, but no company in which Abel owns more than 10% of the shares participated in this Sempra Energy stock transaction.

Simply put, Abel Smith insisted on buying at $68 per share and he neither bought nor sold more shares, even if the stock rose or fell.

In this transaction he did not gain any profit, not even a penny.

From a relevant legal perspective, what Smith Capital and Abel did was not illegal.

As soon as the results of the SEC investigation were announced, the leeks were impressed. But this could not prevent Sampra Energy's collapse the next day.

It fell to $68 a share.

Smith Capital, which kept its promise, finally started selling.

She bought an unlimited number of shares of Sempra Energy for $68 per share.

This ultimately delayed the Sampra crisis.

Even during the process, it was slightly lifted.

It once returned to $70 a share.

Then Smith Capital stopped sweeping the goods

This made the leeks finally understand that people just want to buy it for $68.

No matter how many people there are, they will ignore it.

Since then, the stock of Sempra Energy has finally stopped at $68 a share. And so on until April 8.

Smith Capital announced that it has acquired 67% of Sempra Energy.

Absolute detention level has been reached according to current regulations.

Sempra Energy will then submit a delisting request.

Once approved, Smith Capital will completely delist Sempra Energy at a price of 68 USD per share. Currently, the enthusiasm of the entire US stock market, large or small, has exhausted itself.

That's it.

On the US stock market, the 19-day takeover battle for "Sampla Energy" has finally ended.

You don't have to wait any longer, I will continue writing the code, but I don't know when it will be finished. Anyway, this month I will definitely have 20,000 words divided into four chapters every day, and I will definitely have to take medicine. That means tomorrow there will be at least four chapters of over 20,000 words! Diarrhea at noon does not stop until after 8 o'clock

(end of this chapter)