My autobiography is definitely not a tragedy!-Chapter 779 - 470 Cooperation

The technology line alters the world’s trajectory!

Meng Lang’s "World Version Upgrade Plan" was quietly levering industries worldwide to accelerate into the future...

Despite the absence of grand publicity, and limited rollout, a few AI products had not yet made significant market impact.

But the substantial lead in AI technology and the visibility and buzz it brought, had, with the help of media and user hype, increasingly caught the eye of capital investors...

Tang Yijing felt fortunate that he had discovered the treasure that was Baiyeji well before his peers.

Not long ago, he had thought that spending 10 billion RMB for a 67% equity mortgage in Baiyeji was somewhat inflated.

But now, he realized the deal was an absolute bargain!

"Those Wall Street elites do indeed have a keen and cutthroat vision..." Tang Yijing couldn’t help but exclaim.

Just as a hint of rising was perceived, the executives had already decided to acquire Baiyeji ahead of other investment banks at all costs!

billion?

No! That was certainly not Baiyeji’s final valuation!

Considering their recent impressive performance, they are likely to become the next super potential stock to hit a market value of hundreds of billions!

Thanks to that, Gaosheng’s executives had temporarily expanded his authority and promised him the position of Deputy President at Gaosheng Asian Investment Bank upon success.

With his status inside Gaosheng, this could almost be described as an ascension to heaven!

The only downside was that the other party had risen too quickly, and they were unable to acquire it at a lower cost initially...

From acquiring the parent company, Changqing Biological, to later settling for a secondary goal of a 10% stake in Baiyeji, and now only managing to secure a pledge of shares.

From Gaosheng’s repeated reluctant compromises, one could see that Baiyeji’s rise had exceeded the pace of their strategic adjustments... free𝑤ebnovel.com

[You capitalists will never be able to successfully acquire us!]

It was only now that Tang Yijing had to admit, the wager his daughter Tang Xiaoqi made with him at the restaurant appeared increasingly unlikely to be won by him.

Ignoring the astounding performance of Baiyeji in the AI field attracting the attention of the world’s top powers, their net worth skyrocketed.

Even Changqing Biological had recently garnered immense attention for developing the "African Z vaccine", seemingly on the eve of taking flight.

For a unicorn company that has already demonstrated phenomenal growth potential like this, Gaosheng’s chances of achieving outright control...

...were possible only if the domestic capital and Gao Yuan both went completely insane!

However, Chairman Gao seemed to be making a desperate gamble that appeared shrewd but foolish... that was borrowing money from Gaosheng!

There’s a maneuver called "debt-to-equity swap"...

billion in debt with an interest of 1 billion a year is a heavy burden for any company.

Let alone one that is still a start-up with immense potential but gradually climbing profitability.

It’s akin to a property developer borrowing to buy land.

If the business profits outpace the cost of capital, it is a sign of healthy borrowing, like leveraging for growth with multiplied profits.

But if it fails to outpace the cost of capital, the resulting vicious cycle of compounding interest is akin to hastening its demise.

The end result for most similar companies is often borrowing to the point of no return, ending in either bankruptcy or flight.

So, a company’s size isn’t necessarily indicative of its strength; it could just mean more borrowing...

Of course, Gaosheng was aware that a super potential stock like Baiyeji had the capital and confidence for high-leverage maneuvers.

Given the current technological edge, the company’s market potential was vast, and seeing profits multiply several times over wasn’t unthinkable.

But... this is under normal circumstances...

What if Baiyeji suddenly stumbled?

Gao Yuan was notoriously known for her aggressive borrowing and all-in maneuvers, gunning for a 150% debt-to-equity ratio.

While this facilitated rapid growth, it also planted major risks.

That is, any issue within the entire financial chain could trigger systemic liquidity crisis within the group.

At that time, Gaosheng might not only exchange their 10 billion debt for Baiyeji’s 67% stake but could at least become one of the key shareholders.

Once in the boardroom, with the various business resources Gaosheng held, numerous tactics would become viable...

In essence, Gao Yuan’s 10-billion loan granted Gaosheng a ticket to this star enterprise during a nearly exclusive window of opportunity!

However, all these plans were predicated on disrupting Gao Yuan’s meticulously organized investment strategy.

In the normal course of market competition, Gao Yuan’s robust and aggressive tactics might be hard to undermine, but the business world is more than just fair competition...

Tang Yijing looked up at the shiny logo beneath the high-rise building...

Xu Group!

...

"Cooperate? With Gaosheng?"

"Yes, Mr. Xu, you are a well-known entrepreneur in Su Province, and we are an internationally recognized investment bank. There is space for collaboration between us in many areas. It’s truly mutually beneficial, a win-win situation!"

Tang Yijing said to Xu Jingsong with a smile across the table.

The rivalry between Gao Yuan and Xu Jingsong was an open secret in Su City.

Xu Jingsong’s efforts to hobble the development of Changqing Biological using his resources and connections wasn’t new, and gathering information on this wasn’t hard.

Add to that the political jockeying between the top two figures in Su City, two major competing groups had unofficially formed.

The most uptodate nove𝙡s are published on fr(e)𝒆webnov(e)l.com