Extraordinary Genius - Chapter 746
Chapter 746 – Wait and See
AlthoughNasdaq’s requirement was only 3 market makers, Feng Yu went to look for morethan required.
This was because the more market makersthere were, there will be more competition. This way, the gap between the bidand sell price will not be too big, and the commission will be lowered. Thiswas also one of the costs of getting listed.
Also, this will lower the risk. If therewere too little market makers, they might collude and purposely raise the shareprices, and Feng Yu would have to pay them the difference or additionalcommission. After that, the share prices will plunge, and Feng Yu would be atthe losing end. This had happened before.
This time, Feng Yu had gotten Barclays,Goldman Sachs, Citibank, Morgen Stanley, Wells Fargo, etc. to be the marketmakers. All of these institutions were American top financial institutions.Each of them was able to sell the Sixth Sense Company’s shares at high prices.
Feng Yu also found out that Citibank hadhigh hopes in the listing of Sixth Sense Company, and this gave him confidence.The was why he was confident when he contacted Barclays and Goldman Sachs.
Morgen Stanley, Wells Fargo, etc. were alsoUS famous financial institutions. Some other financial institutions evenapproached Feng Yu.
Those that approached Feng Yu were notbecause they had high hopes on Sixth Sense Company, or they had seen thecompany’s financial reports or proposals. It was because they heard that thebiggest shareholder of Sixth Sense Company also owns more than 15% ofMicrosoft!
Feng Yu’s Microsoft shares were not sold tohim by the founders of Microsoft. It was bought from the open market at highprices and had no voting rights. But no one dares to look down on him.
The current market value of Microsoft wasalready more than 30 billion USD. That means this unknown Microsoftshareholder’s assets were more than 4.5 billion USD!
All the representatives of the financialinstitutions wanted to know this super tycoon. When the Sixth Sense Company waslooking for market makers, they took this opportunity to approach Feng Yu.
The financial institutions knew that thissuper tycoon should not have only one company. He must have other companies.When his other companies were to get listed, and they could be his marketmakers, they could make high profits. If they could collaborate with thisperson in other areas, it would be better.
But the representatives from thesefinancial institutions could not negotiate with Feng Yu. They felt they hadshown enough sincerity by sending their top management staffs. But Feng Yu knewthat these people were not the final decision-makers and were not interested intalking to them.
If these financial institutions want tospeak to Feng Yu, then they should send their real decision-maker over. Thesepeople were only working for their institutions. Their status in their companywas even lower than Kameda Masao in Sixth Sense Company. They might be able tomake some decisions, but they could be replaced anytime.
Feng Yu wanted always wanted to speak toBill Gates. After all, Feng Yu was also the third-biggest shareholder.
Feng Yu and Bill Gates had met once in thepast. It was when Feng Yu started to acquire Microsoft shares. Feng Yu hadbought Microsoft shares regardless of the prices. As long as someone wants tosell Microsoft shares, he will just buy it without thinking. This was becausehe knew Microsoft share prices will continue to rise.
This was what happened. No matter how muchFeng Yu paid for those shares, Microsoft shares still maintained a steadygrowth. This year, the increase will be even faster, and Microsoft will be splittingtheir shares.
This was because after Win95 was launched,Microsoft profits shot up. Although they still have not monopolized theoperating system industry because of Apple and IBM, their operating system wasthe easiest to use. Most importantly, Microsoft had signed contracts with manyPC manufacturers. All their PC will be installed with Microsoft software!
Feng Yu will not sell his Microsoft sharesnow. All his profits and liquid assets were all invested in Microsoft. AsMicrosoft share prices rise, his net-worth also increases.
Feng Yu never worried that Microsoft shareswill plunge. Even if the share prices fell, it was only for short term. Theprices will recover very fast. If you look at their share prices by months, youwill discover that Microsoft shares were increasing steadily.
Were there other shares that grow fasterthan Microsoft? Yes. There was a lot. Even in Hong Kong and China, there weremore than one company’s shares that rise more quickly than Microsoft in theshort term. But those shares only increase for a while, and Feng Yu had to continuallymonitor them. Microsoft, on the other hand, does not need to worry.
Also, Microsoft shares were Feng Yu’scapital to enter the US market. He will be able to enjoy high status with theseshares.
Just getting the market makers for SixthSenses Company could tell. Feng Yu had only let out some news, and thoserepresentatives from the financial institutions believed it without evenverifying the news.
Even if the news about Feng Yu was fake,those financial institutions had nothing to lose. As market makers, it wasstill very profitable. If the news about Feng Yu was real, then they will getto know a tycoon. They could make more profits from Feng Yu.
Kameda Masao was sitting beside Feng Yu. Hewas very nervous. “Manager Feng, How much do you think our shares will risewhen the market open? Will it shoot up by more than 10%?”
Feng Yu rolled his eyes at Kameda Masao.“10%? Are you belittling those market makers? The shares they sold had nevergrown less than 13% during the IPO. Our shares are issued by so many financialinstitutions. You should be more ambitious.”
With Feng Yu’s encouragement, Kameda Masaocautiously asked: “15%?”
Feng Yu shook his head, and Kameda Masaowas slightly disappointed. He had expected too much. But 13% was good enough.Feng Yu continued: “How can 15% be enough? Before the market opens, the marketmakers will have to discuss among themselves about the initial share prices. I estimateour share prices will rise at least 20% when the market opens!”
Kameda Masao was shocked. “How much? 20%increase when the market opens? How can this be possible? Only the techcompanies will get such a high increase during their IPO.”
Feng Yu patted Kameda Masao on his back: “Ihave always turned the impossible to possible. You just wait and see.”