Chapter 1319: The McCormick family must be in crisis

James McCormick hesitated, with fierce struggles in his heart.

Seeing this, Yalman Simmons instead revealed a smile, feeling more confident.

After learning earlier that he was to plot against the Chicago Consortium, the four major banks of the Chicago Consortium, his boss Peter Lynch and he both agreed that the Northern Trust Bank was the most suitable target for acquisition.

The Continental Illinois Bank was the strongest, but its model was different and it had already been infiltrated by the Morgan Consortium.

The First Chicago National Bank was also very good, but it had already been infiltrated by the Rockefeller Consortium.

The Harris Trust and Savings Bank and the Northern Trust Bank were not far apart. The two banks had commonalities, but also significant differences.

Harris Trust and Savings Bank has a strong trust business, but its personal savings business is also very good, accounting for a significant proportion.

Northern Trust Bank's business, on the other hand, includes asset services, fund management, asset management, trusts and banking solutions, etc.

But the key consideration in choosing Northern Trust Bank is that it has a significant presence in Canada and the UK, and is influential in Europe.

This influence is complementary to Wells Fargo.

Of course, Alman Simmons had considered taking over Harris Trust and Savings Bank and Northern Trust Bank at the same time, but after some calculations, he gave up, as his strength did not allow it.

Even the Morgan and Rockefeller consortia focused on one bank each. After the Chicago consortium's crisis, the other consortia would definitely be tempted, so being able to take over one bank was already considered extremely good.

After all, it is better to have one bird in the hand than ten birds in the forest!

'President McCormick, at a time like this, I personally feel that you should think about yourself and the McCormick family first and foremost. Why should you care about anyone else?'

Armand Simmons' words were like a bolt from the blue, and they awakened James McCormick.

The selfish side of human nature quickly took over.

James McCormick didn't say anything hypocritical, but instead asked directly, 'So what price are you prepared to pay?'

'I'm sure others will be interested too!'

Due to the time constraints, James McCormick also directly ignored the need to have a professional team negotiate and instead negotiated himself.

'But I was the first to approach you, wasn't I?'

'Maybe there really will be others who are tempted, but they all want to wait until the end, preferably when the Continental Illinois Bank is on the verge of bankruptcy and can take over the bank assets for one dollar,'

Yalman Simmons said coldly, rebutting with great force.

James McCormick's face turned a little ugly, but he did not shamelessly retort, but instead asked again, 'Now it's between us, I just want to know what price you are willing to pay?'

'One hundred million US dollars!'

Armand Simmons decisively quoted a price.

According to the corresponding 13.8% stake, which is equivalent to more than 28 billion US dollars in assets, Northern Trust Bank is worth 720 million US dollars in his mind!

This is also roughly the same as Northern Trust Bank's core capital.

Although the assets of the bank belong to the customers, the value of the customers should not be counted for nothing.

Therefore, James McCormick immediately retorted, 'No way, this price is too low.'

'At least 400 million US dollars!'

Armand Simmons sneered, 'Last year, Northern Trust Bank's net profit was only 21 million US dollars. With this profit, do you dare say that Northern Trust Bank is worth nearly 3 billion US dollars?'

'Even if it goes public, it's more than a hundred times the price-earnings ratio. President McCormick, you really think big.'

'What's more, this year, Northern Trust Bank will definitely be hit hard, and it will definitely lose 100%.'

'At the current rate of capital loss at Northern Trust Bank, with assets of more than 28 billion U.S. dollars, it would be very good to retain 20 billion U.S. dollars.'

'One hundred million U.S. dollars is already a very high premium!'

'No more!'

James McCormick's face twitched as he argued: 'But it is undeniable that Northern Trust Bank has sufficient potential. It is just a special situation. As long as it can survive this year, the situation will definitely improve.'

'But I can give you a face saving and reduce it by 50 million US dollars.'

'That's too high...'

Yalman Simmons continued to bargain.

...

The two major American bankers were now like two hawkers, arguing with spittle flying.

But neither one of them left, both trying to find out the other's bottom line within the agreed framework.

After nearly half an hour of arguing, they finally reached an agreement.

The final price for 13.8% of the shares in Northern Trust Bank was 220 million US dollars.

Translated, this was equivalent to a value of nearly 1.6 billion US dollars for Northern Trust Bank.

This price was certainly low.

But there was no other way. The Chicago consortium was in crisis, Continental Illinois was in crisis, and so was the McCormick family.

The actual situation of Northern Trust Bank was really not good.

So, J.R. Simms had successfully taken advantage of the crisis.

However, James McCormick was still quite satisfied.

Selling 4.65% of Motorola would get him back 360 million dollars.

Together with the current 220 million US dollars, this amounts to 580 million US dollars.

This amount of money is usually considered very large, but what about at this critical moment?

"President Simmons, I have urgent business and need to go back first. Please send someone to our company to sign the contract after you return.'

'Of course, the most important thing is to have the funds ready.'

As they were about to leave, the two shook hands and a smile appeared on their faces.

'Of course, no problem. I'll send someone over right away.'

'Okay.'

...

Wells Fargo also had a branch in Chicago, and Yalman Simmons had already prepared the manpower. After returning to the branch, he immediately sent someone to lead the team to Continental Illinois Bank.

That day, the contract was signed, 580 million in funds was transferred, and the equity of both companies was obtained.

The equity of Motorola was only purchased incidentally for the parent company Polaris Capital, and what Wells Fargo really needed was only the equity of Northern Trust Bank.

In addition to the majority shareholder, the Kloon family, the most difficult stake to buy, held by the Continental Illinois Bank, has been obtained.

Next, Yalman Simmons will have the team quickly launch an acquisition of the other shareholders.

He will not wait until the last minute.

Although the price of the acquisition is higher now, the competition is minimal.

Moreover, as long as Northern Trust Bank can be acquired earlier and separated from its relationship with the Chicago consortium, the crisis will naturally be resolved and Northern Trust Bank's losses will be minimized.

In that case, the price of the acquisition was not considered high.

The news of the acquisition of these two stakes quickly reached Xia Yuer.

Xia Yuer immediately ordered an increase in the intensity of the all-out offensive.

The funds of the Continental Illinois Bank must be depleted as soon as possible, and the McCormick family must be plunged into crisis before he could get what he really wanted.