Rebirth 79: I opened a bank in the United States

Chapter 640 The prelude to the counterattack!
pre-booked celebration dinner
In nature, it is basically the same as opening champagne at halftime.According to historical practice, when this kind of flag is established, it is often a big reversal of the plot.
What kind of villain who pretends to be a cup, was killed by the protagonist who suddenly exploded?
However, at this moment, at least on HT's side, no one would think that Pepsi is the protagonist!
"Coca-Cola's latest announcement! The new chairman of the board of directors, Robert Goizueta, has finally fired his first fire after taking office for nearly two years!"

"Diversified Coca-Cola: Coca-Cola's Goals Looking Away!"

"Spending [-] million US dollars to gobble up HT's stock, the battle between red and blue on the fast food track may burn again!"

The day after Carter agreed to lend his shares to Fidelity Investments, and then through Fidelity Investments, to PepsiCo.The draft that has been prepared has been published first in the "Boston Herald", "Boston Post", "New York Post" and other media!

At the same time, Pepsi has just thrown out a large number of stocks and plans to drive HT into the mud in one fell swoop.In other words, the service providers and executors of PepsiCo's M&A business, Morgan Stanley and KKR traders were stunned to discover that
The sell orders thrown out by oneself are being eaten by people with generous sums!

The opening price of 5.72, along with the last sale of 4000 million shares, caused the panic of selling almost instantly.No, this can't be called panic, to be precise, it's called numbness!

At this point in time, the vast majority of retail investors no longer have HT shares.HT, who has not responded to actions for a long time, has long worn out people's patience
The price of 5 dollars, no one dares to accept!

then down to 4.9, down to 4.8 down to $4.5
Just when they feel that the money is almost stable, they will start to repurchase when it reaches three dollars.Finally, when the entire acquisition cost was averaged at just over three dollars per share, the case was closed.
The bill appeared!
Moreover, it is still the kind that is unstoppable once it appears!

The first purchase order was completed almost instantly!

The small amount of more than 2000 million shares from Fidelity Investment was successfully traded at a price of 4.5 US dollars in an instant.Just waiting for delivery!
"Hurry up and notify Pepsi that the situation has changed. It is recommended to cancel the limit order! Also, let them prepare the margin payment!"

In the trading floor of Morgan Stanley, when he saw that huge purchase, an MD in charge of the business directly shouted to a ppt monkey in the team.

But in fact, this kind of shock did not require him to shout at all.Even a novice can realize: God, things are about to change!
The purchase of 2000 million shares was locked, and Coca-Cola's 9000 million US dollars was instantly reduced by 1000 million.But the remaining [-] million in the account are still searching for orders with limit orders that cannot last too long
Of course, in this era when electronic transactions have just become popular, many order searches still rely on the traditional telephone mode.
"For $[-], we want one hundred thousand shares!"

"Sorry, our consignor has canceled the limit order just now. We have no right to sell at this price!"

"Then the market price! Show me $[-]! I want all of your one hundred thousand shares of HT stock!"

"Five three, it just went up again!"

"make a deal!"

At the same time that the money in the securities fund account prepared by Coca-Cola was outflowing like a flood, HT's stock price was on a rocket!

On the other side of Pepsi, Sculley's ass also seemed to be pushed by a rocket!
Because, the HT stocks that Pepsi actually owns are not as many as imagined.
Almost half of the investment of more than 4000 million yuan was invested in Morgan Stanley and KKR.In order to reach a cooperation with these two M&A experts, and to fill them up.

The premium acquisition of more than 260 million shares directly went to more than 2000 million funds.Similarly, there are only so many stocks directly attributable to PepsiCo.The rest is all borrowed!

Outsiders may not know, but Sculley knows how much he has played
Except for the small 5.72 million shares borrowed at $4000.There is also a small amount of 800 million US dollars, when HT's stock price was 7 US dollars and 6 US dollars respectively, a large number of stocks were borrowed as margin.

Even if the average cost is US$6.5 per share, that is, the margin for a single share is US$0.65, this is another borrowing of nearly 1000 million shares.
It can be said that, in theory, Pepsi has already mastered the right to dispose of almost all HT stocks except for a part of HT stocks held by Carter himself.But here comes the problem!
For HT, which has a total share capital of just over 6000 million shares, Carter himself has more than 1000 million shares that have not been moved (mortgaged to the bank), and the control of the remaining nearly 5000 million shares is in the hands of PepsiCo.

But this control, first, it is only temporary; second, it is not free!

What is borrowed is not your own.The ownership of these stocks is actually still in the hands of various financial institutions, or even more specifically, in the hands of customers associated with these financial institutions.

The agency is just an intermediary!
When PepsiCo wants to borrow HT's stock to do things, how does it know who owns HT's stock?
At this time, the main commercial brokerage business group of financial institutions appeared.They know who among their customers holds HT stocks, and as a scalper, they earn the difference in the middle
As the real owners of these stocks, ordinary customers don't have the time to pay full attention to the stock market.The actual right of disposal is usually entrusted to financial institutions.
Financial institutions, as an intermediary, act as a large scalper.naturally also
Can't escape the common problem of the scalper industry: You may make money, but I will never lose money!

If you pay the margin, I can still listen to your Pepsi call to see whether to sell or how to do it; if you don’t make up the margin and the stock price continues to rise, then they will take action to close the position themselves to recover the loss.At the same time, PepsiCo is required to repay the interest
But for Pepsi, the fun is great!

Coca-Cola, since Napoca has a time difference.At the time of the limit order, when the supply is completely greater than the demand, after buying as little as 2000 million shares, the remaining funds have not been used up yet!
There are still a large number of buy orders waiting to be matched in the market!

They waved bills: $5, sell or not?Do not sell?
$6!Still not selling?

$7!

If Pepsi at this time, choose not to sell shares.Seeing that they are quoting higher and higher prices, I need to make up the security deposit on my side.
For a stock with less than 3000 million shares, every $1 increase in the stock price means that PepsiCo needs to pay an extra $300 million to supplement the margin.It doesn't look like much.
But now, the largest HT stock position does not seem to be with PepsiCo.But actually, it's all on his side.
If Pepsi has not been sold, the situation in the market will immediately reverse.

Demand is greater than supply!
God knows what the price will rise to!

In addition, as time goes by, every extra day means that the interest to be compensated in the future is increasing!
If the stock is sold.
So what are you drawing yourself? !

difficult!
too difficult!
(End of this chapter)