Chapter 774 – Change in attitude
“……so Mr. Feng is interested in invest in Amazon. Do you all have any objects?” Jeff looked at the rest of the directors.
Although the shareholders held the most power in a company, these directors on the board of directors held more than 75% of the company’s shares. If they agree to let Feng Yu invest, that means the majority of the shareholders had agreed.
“Jeff, you still have not mentioned how much is Mr. Feng investing and how many shares he wants. Also, is this a venture investment or a normal investment?”
Venture investment is different from regular investments. Venture investment will typically not interfere with the company’s operations, and most of the shares involved do not have voting rights. This type of investment is only waiting for the company to be listed to get its returns. It also has priority over the dividends.
Ordinary investment meant Feng Yu would hold the shares permanently and have the intention to interfere with the management of the company. He will have authority like other shareholders.
“Mr. Feng told him that he has no problem with the investment amount. He is not a venture capitalist. He wants some rights in the company.” Jeff explained.
“He has no problem with the amount? I don’t get it. Will you agree to let him invest 100 million and dilute our shares by more than 90%?” A director asked.
“That’s the reason why I called for this meeting. I want to discuss with all of you on how much Mr. Feng can invest and the proportion of shares. We must settle this as soon as possible. The earlier we can settle this, the earlier we can get the funds, and Amazon will be able to grow faster.” Jeff took a glance at that shareholder. He was trying to create trouble.
After Jeff asked this question, all the directors did not say anything. No one wants to be the first to state their views.
“Robert, didn’t you want to sell your shares the last time we met? Have you changed your mind because you know someone is going to invest in the company?” Jeff called out to one director.
“I invest is for profits and not for your dreams. I did not see any hope of getting profits previously. But now, I saw it, and that’s why I will not sell off my shares.” Robert replied slowly.
Only a fool like you talks about dreams. I invest is for money. Although you do not agree to get this company listed, with someone investing in the company, the company will have higher potential and returns.
Once the company has profits, then the share prices will shoot up when it is listed. I will sell off my shares then, and my returns will be much higher. If you want to buy my shares now, fine. You have to buy my shares at a premium price. Do you have the money?
“Robert, you should at least let us know how much you allow Mr. Feng to invest. You are one of the directors, and you have to share your views. If you do not have any views, then I think our company’s board of directors can do with one less director.”
Jeff had purposely targeted Robert. If Robert starts to express his views and state a share proportion that is not accepted by other shareholders, the other shareholders might kick him out of the board. If Robert does not say his views, Jeff could make use of this as an excuse to kick him out too.
Robert stared at Jeff angrily. He was forced to say something. “The company requires at least tens of millions to grow. But I think we should not let one person invest so much into the company. If we allow one person to invest so much, he will hold more than 50% shares of the company and will have more power over us. So, I suggest that his investment should be above 10 million, but not more than 30 million. This way, we still have control over the company’s future.”
Robert had given a safe answer. But he revealed his intention of wanting to get this company listed.
The rest of the directors nodded. They agreed with Robert. Getting listed was the fastest way for them to get their returns. They also agreed with the proportion suggested by him. They do not want an outsider to be the biggest shareholder, as they will face the risk of getting kick out by Feng Yu.
Jeff frowned. He regretted letting Mr. Feng coming over to the company. Mr. Feng was Microsoft’s director and was interested in investing in Amazon. Those small shareholders got news of this, and all of them decided not to sell off their shares. A few days ago, all of them were still arguing and wanting to withdraw from the company!
Jeff also did not want to let Mr. Feng become Amazon’s biggest shareholder. This was a company he set up, and if he loses the company because of getting more investments, he might as well remain status quo.
“What about the rest? We need to finalize a figure. The sooner we come to a decision, the earlier we can get the funds, and the company will grow faster. Our website, increasing customer base, suppliers, etc. all need money.” Jeff said.
“Jeff, although the registered capital for our company is 30 million, after developing for so long, the value of the company should increase. I think we can ask Mr. Feng to invest 25 million and give him 35% shares.” A director suggested.
Jeff looked at that director and sneered: “If it is you, will you agree?” Jeff also wants the value of Amazon to increase. But the company has been losing money all this while.
“If you don’t try, how do you know he will not agree? I heard that you two could click. Maybe he will accept this proposal? Don’t forget, if he agreed to this, all of our shares would increase in value. You also stand to gain from this.”
Robert immediately said: “I agree.”
“I also agree.”
All the directors agreed and looked at Jeff. The rest of the directors had agreed, and Jeff had no other choice but to go along with it.
“Since all of you agree, then you all can speak to Mr. Feng. I can tell all of you are more confident than me.” Jeff angrily said.
The company had zero profits and have been making losses. But all of you insist that the value of the company had increased. I also want the company’s value to increase. But do you all think other people are fools? If the company’s value had increased, why did all of you want to sell your shares a few days ago?
Since all of you think so highly of yourselves, then you all should go and speak to him!
“Jeff, you are the Chairman of the board and the company’s representative. You should be the one negotiating with him. We are all thinking about the interest of the shareholders. This shouldn’t be a problem, right? How do you know he will not agree if you don’t try?” Robert said while holding his cigar.
“What Robert said is correct. Jeff, when we invested in your company, you promised to place our interest as the top priority. Now, you should do as we request.” Another director added.
The rest of the directors nodded. Jeff was furious but had no other choice!
“Fine. I will speak to Mr. Feng. Don’t blame me if the negotiation fails and the company doesn’t get this investment. All of us will suffer losses together!” Jeff said and stormed out of the meeting room.
……
“Mr. Ralph, I’m Jeff Bezos. I would like to meet with Mr. Feng. There is something I need to discuss with him.”
Ralph covered the receiver of the phone and told Feng Yu that Jeff was calling. Feng Yu took the phone from him: “Jeff? Is there any good news for me?”
“Mr. Feng, I would like to meet you. Things are not proceeding as I thought.”
Feng Yu frowned. “Ok. Come over to my house this evening. I will treat you to a Chinese dinner. My address is……”