Reborn since 1993

Chapter 1363 I anticipated your prediction

In its previous life, Yahoo's market capitalization soared to a peak of $1280 billion. Now, the philanthropist Li Keqiang is only giving away 6% of Yahoo's equity for a market capitalization of hundreds of billions of dollars. Isn't this just a bargain for the people at Yahoo?!

Li Dashanren sold his shares to the Yahoo board at a "dirt cheap" price, yet they still think it's too expensive. Isn't that like getting a bargain and then complaining?
It's such a waste of Li Dongling and Dongke's deep brotherly affection for Yahoo.

Seeing Li Dongling's resolute attitude, Yang Zhiyuan and Kugel both knew that Li Dongling probably wouldn't bargain with them on this deal.

Furthermore, both Yang Zhiyuan and Kugel have their own agendas. Both of them have contacted a group of their respective supporters this time.

Koogel, needless to say, was a professional manager sent up by Sequoia Capital and Wall Street institutions to seize control of Yahoo.

This time, Koogler naturally brought in Sequoia Capital and Wall Street firms, hoping to acquire as much Yahoo equity as possible.

Jerry Yang, on the other hand, contacted supporters and found an American consortium to take over Yahoo's shares, hoping to get them on Yahoo's board of directors to gain their support and increase his influence at Yahoo.

Therefore, the 6% Yahoo equity that Dongke gave up by Zhixing Foundation and Feiyan Technology was basically divided up by Yang Zhiyuan and the supporters behind Kogel.

This power struggle between the professional manager and the founder is destined to leave neither of them with an option to back down!
Despite Dongke's tough stance, Yang Zhiyuan and Kugel did not argue over the price of the share repurchase.

The challenge facing the two of them was how to allocate the 6% Yahoo shares they had repurchased.

Yang Zhiyuan and Kugel exchanged a glance, both knowing that this was not the time to argue. They should first get the shares back, and then deal with how to distribute them later.

Given Yahoo's current popularity, if the Yahoo board doesn't repurchase its shares, there will be plenty of Wall Street institutions and conglomerates willing to snap them up. Even with a market capitalization of $100 billion, they might not be able to get back that many shares.

"The Yahoo board of directors... agreed to repurchase 6% of Yahoo's shares at the price proposed by Dongke."

However, Yahoo will need time to raise this money and pay Dongling High-Tech in installments!

After whispering to Yang Zhiyuan for a moment, Kugel finally spoke to Li Dongling.

"make a deal!"

"The Yahoo board has made the wisest decision ever!"

"Yahoo and Dongke will always be the best allies!"

Li Dongling extended his hand to Yahoo, agreeing to what is currently the largest transaction in the history of the internet.

In a few years, major internet deals will frequently occur. Even next year, American Online (AOL) will undergo a landmark merger with Time Warner, exchanging shares worth over $1650 billion – the ultimate fireworks display of the internet boom.

In the future, in an era of frequent acquisitions in the internet industry, such as Facebook's acquisition of WhatsApp, Microsoft's acquisition of LinkedIn, and Facebook's acquisition of Instagram, cash acquisitions often amount to tens or hundreds of billions of dollars.

Compared to the major transactions of later generations, Dongke's current sale of Yahoo shares is nothing at all.

But that was in the future. Before today, such a large cash transaction had never occurred in the history of the global Internet.

Yahoo repurchased 6% of its shares at a premium, with the total transaction value exceeding six billion US dollars, setting a record for the largest transaction in the history of the global internet!
The moment the contract was signed, truckloads of champagne were wheeled into the meeting room, and then the entire room was filled with the aroma of champagne.

……

In Hong Kong, the Li family of Changjiang was gathered together. In addition to the three members of the Li family, including the father and son, Li family confidants Huo Jianning, Yuan Tianfan, and Zhou Nianmao, the legal manager of Changjiang, were also present.

After the return of Hong Kong, PCCW suffered consecutive defeats to Cyberport, which actually eased the relationship between Li Zekai and the Li family of Cheung Kong.

These experiences have made Li Zekai realize that he is connected to the Li family of the Yangtze River, whether he wants to admit it or not, that's how outsiders see it.

Even if he were to break away from the main branch of the Yangtze River Li family, he would still be a branch of the Yangtze River Li family, and no one would consider them as two separate families.

Moreover, Li Zekai also realized that if he wanted to compete with Cyberport, he would need the support of the Li family of Cheung Kong, including their resources, connections, and funds.

These circumstances have led to an increasingly close relationship between Li Zekai and the Li family of the Yangtze River, eliminating the previous barriers between them.

Today, Li Zekai returned to the Li family home in Cheung Kong, intending to discuss matters related to TVB. However, upon arriving, he overheard Cheung Kong's boss, Mr. Li, discussing matters related to Orange Telecom with Huo Jianning and his confidants.

"I've always believed in not trying to earn the last penny!"

The voice of Mr. Li from Changjiang Securities came out: "The global Internet has reached a point of frenzy, but the revenue and performance of the Internet cannot support the current market value."

I believe that this internet frenzy will not last long, and related industries such as telecommunications and computers may also experience changes.

Mergers and acquisitions are happening frequently in the old European telecommunications market, with telecommunications giants such as Vodafone, BT, and Mannesmann all vying for dominance.

Orange Telecom's position in the UK telecommunications market is currently quite delicate, and I believe now is the best time to acquire it. Rather than letting Orange Telecom compete with Vodafone and others, it's better to let Mannesmann and Vodafone vie for Orange Telecom!

When Li Zekai and Yuan Tianfan heard that Boss Li of Yangtze River was going to take over Orange Telecom, they couldn't help but feel a chill.

Orange Telecom is currently the third-largest mobile communications operator in the UK, but there is a significant gap between it and telecom giants like Vodafone.

Continuing to fight might not be advantageous. Mr. Li from Changjiang Telecom plans to take advantage of the merger and acquisition frenzy in the telecommunications industry triggered by the booming internet industry and sell Orange Telecom at a high price!

Given the current telecommunications market, Orange Telecom could fetch an astronomical price, which would drastically change the UK telecommunications market. Whoever acquires Orange Telecom, currently the third largest player in the industry, would have the opportunity to become the leader in the UK telecommunications industry. Several major European telecommunications giants are determined to fight tooth and nail for Orange Telecom!

Mr. Li, the boss of Changjiang Group, is always decisive. Once he makes a decision, he doesn't hesitate any longer. "Jian Ning, when you return to England this time, spread the word that Changjiang Group intends to sell Orange Telecom!"

"Yes!"

As Mr. Li's right-hand man at Changjiang Bank, Huo Jianning has always resolutely carried out Mr. Li's decisions without questioning whether they were right or wrong.

Seeing how Changjiang's boss, Mr. Li, decisively decided the fate of Orange Telecom, reigniting the fierce competition in the British telecommunications market, Yuan Tianfan gained a new understanding of Mr. Li's resoluteness.

After meeting with Mr. Li of Cheung Kong and settling the matter of the British oranges, Li Zekai took the opportunity to bring up the TVB matter to Mr. Li of Cheung Kong.

"We absolutely must acquire TVB and PCCW!"

“If Yingke Power fails again this time, not only will Yingke Power's reputation plummet, but the prestige of the first wealthy family in Lijiagang City will also fall sharply!” Li Zekai said.

"What do you mean by the number one wealthy family in Hong Kong? It's all just an empty title. It's not something to be taken seriously!"

Mr. Li, the owner of Changjiang, waved his hand and said that he had never cared about such empty titles, although he knew that in Hong Kong and Southeast Asia, these empty titles could sometimes be very useful.

"but……"

Mr. Li, the owner of Cheung Kong, pondered for a moment, "We really should take over TVB. At the very least, we can't let some people outside of Hong Kong get their hands on it again!"

Mr. Li has also begun to be wary of Cyberport. In recent years, Cheung Kong Group has been expanding overseas on a large scale, especially in the UK, where the Li family of Cheung Kong has become the largest overseas investor company in the UK.

With so much money spent overseas and so much capital transferred out, the influence of the Li family in Hong Kong has inevitably declined.

However, Mr. Li of Changjiang was not prepared to completely withdraw from Hong Kong. Hong Kong was still the main base and stronghold of the Changjiang Li family. If they wanted to expand overseas to Britain, Canada, and old Europe, they would need Hong Kong to provide a continuous flow of cash to the Changjiang Li family!

Mr. Li had actually heard about the various rumors circulating in the port city, such as the rumor that the Li family of Changjiang was going to move away completely.

If they can take over TVB, it will prove to the people of Hong Kong that the Lee family of Cheung Kong is still in Hong Kong, which will reassure the public.

Moreover, after the British left, the Lee family of Cheung Kong continuously lost their voice. With TVB, the Lee family of Cheung Kong regained their voice in Hong Kong!

"Yingke Power can submit a bid to TVB, and I'll also invite Mr. Shao to have afternoon tea together!"

Mr. Li from Cheung Kong Group said to Li Zekai, his meaning was very clear: he wanted to use the resources of Cheung Kong Group to support PCCW in taking over TVB!
Just then, the phone of the eldest son of the Li family in the Yangtze River suddenly rang. After answering the call, the eldest son of the Li family in the Yangtze River said to Mr. Li and everyone present, "Something has happened!"

When Mr. Li and his entourage moved to the living room and turned on the TV, the scene they saw left everyone stunned.

"Today is the most important day in Yahoo's history!"
Yahoo is making history on the internet like never before, and making Yahoo even greater is our mission!

I hereby announce that Yahoo! has reached an acquisition agreement with GeoCities, and GeoCities will become a member of the Yahoo! family!

On the television screen, Jerry Yang, speaking on behalf of Yahoo, shouted that he would make Yahoo even greater. As Yahoo's spokesperson and the internet god created by Yahoo, Jerry Yang usually makes these kinds of announcements of important news personally.

Following Yang Zhiyuan, Li Dashanren also appeared in front of the camera with a big smile, saying, "It's an honor to witness the greatest day in the history of the Internet!"

Following these two images, the voice of the host from Hong Kong TV station announced, "Breaking news from our station: Yahoo has reached an acquisition agreement with the Zhi Xing Foundation, the major shareholder representing GeoCities. Yahoo has completed the acquisition of GeoCities for US$5.1 billion."

The Zhi Xing Foundation, which holds a 35% stake in GeoCities, received US$17.85 billion in cash in this acquisition, equivalent to HK$140.4 billion!

"Furthermore, according to the latest news from Pingyang TV in mainland China, Yahoo's board of directors has reached a 6% equity repurchase agreement with Zhixing Foundation and Feiyan Technology."

This repurchase is at a premium, and Yahoo! will likely pay more than US$6 billion, equivalent to HK$48 billion!
Both of these transactions have set new records in the history of global internet transactions!

Mr. Li, the owner of Changjiang, who had just been shouting that he wouldn't earn the last penny, narrowed his eyes when he saw Dongling Hi-Tech on TV selling off its shares in an internet company in a clearance sale!

(End of this chapter)