Rebirth 76: Industrial Internet Empire

Yang Mo and his entourage walked into the reception room under the guidance of Vanessa.

After waiting for 5 minutes, David Silva hurriedly opened the door and said with an apologetic look: "Hello, I am David Silva, CEO of Merlo Bank. I am very sorry. I was talking to UBS just now. The business representatives have kept you waiting for a long time to discuss cooperation..."

Yang Mo secretly cursed in his heart: He is really a cooked duck—he has a tough mouth!

But he still said calmly: "Hello, Mr. David Silva, I am Yang Mo of Zhiyuan Group."

"Are you Yang Mo of Zhiyuan Group? Zhiyuan Group single-handedly defeated Keller Capital, Hongshan Capital and JPMorgan Investment Bank on the SGX and Tokyo Stock Exchange, and it has become a good story on Wall Street..." David Silva was solemn. Respect.

The winner takes all in the capital market. This is an eternal law. Even your defeated opponents will respect you if you have the strength!

Yang Mo chuckled and said: "It's just good luck! There is no permanent winner in the capital market. Just like Merlo Bank, which is currently at a trough, if it can survive the current difficulties safely, maybe it won't be long before it is in Silva. Under the leadership of Sir, it has been reborn..."

Not telling lies in front of real people, David Silva stopped pretending and said with a wry smile: "Run runs have always been the most fatal weakness of major commercial banks. Merlo Bank is indeed in a liquidity crisis. I don't know if Zhiyuan Can the group provide short-term equity mortgage financing to Merlo Bank?”

Yang Mo pondered for a moment and then asked: "Mr. Silva, how much funds does Bank Merlo need to survive this run crisis safely?"

"About US$5 million can allow Bank Merlo to survive this crisis. If it is run properly, US$3.5 million is almost enough..." David Silva said.

"This money can barely survive the current run crisis, and then what? Will the bad debts of Texas real estate developers' financing and housing loans be wiped out?" Yang Mo asked with a smile.

"Oil prices cannot stay low forever, and the Texas real estate market will slowly pick up as oil prices rise. The federal government and the Federal Savings and Loan Association will not allow so many commercial banks in Texas to be in trouble without reaching out. A helping hand..." David Silva defended.

"Mr. Silva, in fact, you should know in your heart that there will be no miracle. The Federal Savings and Loan Association itself cannot be protected. Unless a systemic financial risk occurs, the federal government will not use taxpayers' money to rescue a commercial bank... Yang Mo said lightly.

"What do you think?" David Silva asked.

"When Melo Bank has reached this point, other than entering bankruptcy protection procedures and waiting for asset reorganization, I'm afraid there is no better way..." Yang Mo said with a smile.

David Silva suppressed his annoyance and said calmly: "Mr. Yang came all the way here just to tell me this, right?"

Yang Mo smiled and said: "Of course not. Lobbying the board of directors to sell Merlo Bank as a whole is your best choice! I think Mr. Silva is definitely not willing to become the CEO of a bank that has entered bankruptcy protection. Doing this to you For a banker, it can be regarded as an indelible stain on his career..."

After David Silva pondered for a long time, he said in a solemn tone: "Mr. Yang, I can lobby the board of directors to sell the entire Merlo Bank to Zhiyuan Group, but I have a condition. After the Zhiyuan acquisition is successful, I must ensure that no existing employees are involved. The adjustment of work is too big, and it has nothing to do with Merlo Bank getting to where it is today..."

Yang Mo smiled and said: "There is no problem with this. Mr. Silva, including you, can continue to serve as the CEO of Merlo Bank. If the acquisition can be successful at a reasonable price and work together to survive the run crisis safely, Zhiyuan Group will increase your option incentives as appropriate..."

David Silva suddenly felt full of desire for survival. Before Yang Mo and the others came, for a moment, he was even ready to withdraw from the financial circle. This is the fate of a loser!

For board members, it is naturally the best choice to be able to sell the entire equity of Merlo Bank before entering bankruptcy protection proceedings.

Although Bank Merlo still has some assets, in the face of a large-scale run, they have no other choice but to file for bankruptcy protection and then seek asset restructuring.

With the high non-performing asset ratio and the severance pay for so many employees, it’s hard to say how much can be recovered from asset restructuring.

Yang Mo indeed picked a good time. The double blow of low oil prices and the bursting of the real estate bubble caused small and medium-sized commercial banks in Texas to go bankrupt...

With the active promotion of David Silva, the board of directors of Bank Merlo, which is beleaguered internally and externally, agreed to sell off all the shares of Bank Merlo for US$8.5 million...

After Zhiyuan Group fully acquired Bank Merlo, it urgently injected hundreds of millions of dollars, finally stabilizing the mood of depositors and safely weathering the run crisis.

After the Melo Bank crisis was resolved, a phone call from Luo Binghui caused Yang Mo to change his itinerary. Instead of returning to New York, he took Qian Ning and Christian to fly from Austin to Sweden.

Stockholm, Sweden, Volvo Cars headquarters.

Volvo Cars President Hakan Frissenger showed strong interest in Yang Mo's special visit. The construction of the Uddevalla plant consumed almost all of Volvo's circulating funds.

The well-known Zhiyuan Group has become an upstart in the capital market in recent years. Since Hakan Frissenger became the president of Volvo Cars, a series of big moves have made Volvo's need for funds greater than ever before!

As soon as Yang Mo and others sat down in the reception room, Hakan Frisenger hurriedly opened the door and came in.

After a brief exchange of greetings, Yang Mo said straight to the point: "Mr. Frissenger, Zhiyuan Group is interested in getting involved in the automobile industry. I wonder if your company is interested in cooperation?"

Hakan Frissenger said with a smile: "Mr. Yang, to be honest, Volvo has plans to raise equity in the near future. We are planning to take out about 13% of the equity and obtain US$4 million in financing from the capital market... …”

"A valuation of US$26 billion? Is this Mr. Friessenger's own valuation of Volvo Cars? Or is it the evaluation report of a third-party organization?" Yang Mo asked calmly.

"This is an appraisal report given by the largest accounting firm in Stockholm. This price actually ignores the high growth of Volvo Cars in recent years. The actual valuation should be higher than this appraisal report..." Hakan - Friesenger handed over a folder and said with a smile.

"Mr. Frisenger, I think this valuation report is obviously too high for your company's brand premium..." Yang Mo said calmly after reading the report.