Darkstone Code
Chapter 169 - 0167 The Battle Between People_2

Chapter 169: 0167 The Battle Between People_2

So they pinned their hopes of a counterattack on the merchants of Curilan City, which was also their first time hoping these people could be of some use to bring the price down.

But their silence gave the merchants in Curilan City the impression that... "this is roughly how things are", didn’t the merchants from Sabin City all remain silent without objection?

They didn’t know much about Lynch Company; after all, it was a company from another city. In this era of inconvenient communication, people only focused on things that interest them.

Moreover, the person who brought them there was the mayor’s personal attendant, Noah. Noah subtly told them he was optimistic about Lynch Company, which was telling them to find a way to acquire some shares of Lynch Company, at least enough to attend the company’s board meetings.

As long as they could acquire some shares and increase pressure on the board through these shareholders, they could make Lynch invest more construction funds in Curilan City and provide more jobs.

Sometimes one must say, being a politician in the Federation is not an easy job because a qualified politician needs not only to understand politics and its gameplay but also to have a sufficient understanding of the economy.

These people came with very simple intentions. At this point, seeing the people opposite not speaking, tacitly agreeing with Lynch’s statements, they naturally also stayed silent.

Both sides were silent, and honestly, this somewhat surprised Lynch. He initially thought these people would start suppressing his valuation. He had even planned that later he would make concessions on the price, but he would split the business into three companies, making them still pay him fully.

But they chose to tacitly agree, which somewhat made Lynch find them a bit adorable, foolishly adorable.

He nodded slightly and patted the armrest of the sofa; this matter was basically settled, leaving only the negotiating over amount and payment methods.

"At least half in cash, that’s the bottom line..."

Finally, someone interrupted Lynch. The speaker was a merchant from the Sabin City side, feeling if they continued to keep quiet, the other side would keep silent like fools.

By that time, many issues would be hard to reverse, so they had no choice but to speak up.

"That’s impossible, Mr. Lynch!", the speaker was tall and thin. Many times, when people think of capitalists, they imagine someone slightly balding, greasy middle-aged fat, very cunning.

Actually, this is a product of the times; most capitalists maintain a very healthy physique because they have dedicated caretakers or others managing their health. They also have enough time and money to use the most advanced, scientific methods to solve their issues.

A scientist once said that the most cutting-edge technological inventions in the world were invented to better serve the rich; they never considered serving ordinary people from the beginning.

And the more successful the capitalist, the stricter in terms of self-discipline. It’s hard now to find those overweight capitalists who are out of breath walking, greasy and cunning.

Lynch looked at him, and he met Lynch’s gaze unabashedly, thinking about how he was about to lose a substantial amount of money, and someone wanted to cut a chunk off his head; he would never agree, not in a million years!

After expressing a strong opposition, his tone slightly softened, "Mr. Lynch, you know the current situation; it’s getting harder and harder to recover cash, and we have to deal with many other emergencies..."

Others nodded in agreement, recovering payment is difficult, but spending money is simple. Every month, just paying various wages, utilities, or site usage management fees gives them a headache.

If Lynch insists on such a high cash percentage, some of them might instantly fall into a difficult cash flow situation, even leading to a broken capital chain.

So a 50% cash percentage is absolutely impossible!

Lynch looked at him, "So, how much do you think is appropriate?"

The tall, thin man gave a result they had discussed, "About 15%. This percentage is quite reasonable."

Lynch shook his head directly, "No, too little; I can’t agree."

The tall, thin man seemed to confer with others and raised it by two points, "17% cash, this is our greatest sincerity!"

Lynch stood up directly, dusted off his pants, looking down at them, "I had some drinks tonight, and my mind is a bit foggy; we think we need to reconsider this issue. Let’s meet tomorrow or the day after to discuss it."

The tall, thin man also spoke resolutely, "Even if it’s tomorrow or the day after, this percentage won’t change much."

Lynch snorted, turned, and left.

Actually, Lynch had seen their tricks when he first entered the trade. They didn’t care about his valuation of his company because they might never have intended to spend much from the start.

I have to say, Mark is a kind and honest kid, while these capitalists look weak, but they’re the real wolves!

Their trick, once you get past it, is nothing special. A company’s market value is composed of various aspects. To determine how much a company is worth, look at its net value.

But no company will discuss its net value with others. Simple example, many companies use bank loans as annual revenue, and debt operation is normal, so they avoid discussing net value issues.

For example, a company with a hundred-billion valuation might have its value reduced to a few million instantly if net value is spoken, or even become negative.

So capitalists cleverly introduced the concept of expected value into market value estimation. Frankly, it means including the estimated, potential, and likely earnings into the company’s value in advance, creating a short-term market value estimation, and pushing this short-term market valuation as the company’s full value to people.

Even if Lynch values his company at a billion, merchants wouldn’t find it a headache. Solving it is simple; they’d do their own billion-dollar valuation business and exchange cross-holdings to obtain shares in Lynch Company.

I’m a billion, you’re a billion, I trade my 10% for your 10%, no issue, right?

If my company suddenly collapses later, it’s due to poor management, and you can’t blame me.

And the shares of your company I hold, I’d offset against third-party debt companies to settle debts. In other words, they can fully tie down a company without capital.

So despite Lynch Company’s valuation being so high, these people aren’t afraid, they have their ways.

What truly gives them a headache is Lynch’s demand for cash percentage, which is actual cash with no room for manipulation.

Whether it’s one-dollar bills or hundred-dollar bills, it’s all money, all cash!

Their initial plan was to spend around two million to gain a minimum of 30% of Lynch Company’s shares. But now, with the valuation issue unchanged and the price unaltered, they could only manipulate the cash proportion.

Even now, according to their method, with roughly three to four hundred thousand cash, they could acquire 35% of shares in a seventy-million valuation company like Lynch’s!

Sounds like a fantasy, using three to four hundred thousand to buy over two million worth of shares, but this is the most common trick in the capital market because they would use various company shares, property rights approximately valued at over two million as trades.

Note, it’s merely "possible". The financial market is full of risks, and some things can become worthless overnight.

Just this time, they might not achieve their ideal. When it comes to cunning and deceit, Lynch surely outsmarts them!

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