Chapter 313: Ten Percent

At a restaurant on Venice Beach.

Bill Gates arrived directly from Los Angeles International Airport and headed here, nearing 12 o'clock. This rather famous restaurant was full of guests, but Simon had yet to arrive.

Guided to a reserved seat by a waiter, Bill Gates was pondering the matters ahead when he noticed a man and a woman quietly laughing as they walked in. Looking up, he immediately recognized them as Hollywood star Richard Gere and his supermodel girlfriend, Cindy Crawford.

Richard Gere had faded from the spotlight over the years, but his girlfriend was as stunning in reality as she was on television and newspapers.

Bill Gates's gaze lingered on Cindy Crawford a bit too long. Women are often sensitive to such gazes, and Crawford, feeling Gates's stare, turned to look at him. Noticing a somewhat familiar man with black-framed glasses, she didn't pay much attention and merely withdrew her gaze indifferently.

Realizing he was almost ignored, Bill Gates retracted his gaze, pretending to look around. It seemed that none of the patrons cared about the presence of a billionaire like him in the restaurant.

Just as he felt somewhat dejected, a commotion arose at the restaurant's entrance.

Looking again, it turned out that Simon Westeros had arrived. His bodyguards were holding back reporters attempting to approach, and the restaurant's waitstaff, noticing the commotion, proactively ran over to help the young man through the glass door.

As Simon Westeros entered, all eyes in the restaurant were drawn to him. Some patrons noticeably made moves as if they wanted to greet him, but ultimately stayed put.

Hesitating for a moment, Bill Gates stood up and took a few steps forward.

Simon approached, warmly extending his hand: "Hi, Bill, good afternoon."

Finally feeling the weight of attention on him, Bill Gates's mood was complex, but he managed a smile and shook hands with Simon, saying, "I'm glad to see you again, Simon."

As they were about to sit down, Richard Gere and Cindy Crawford approached, clearly aiming to please Simon with their greetings, a stark contrast to the natural aloofness they exhibited upon entering.

"Paramount's 'IA Files,' I believe I've seen the outline... Cindy, your performance in 'Gucci Marks' was really impressive. Maybe you could consider a move to Hollywood... Ha, just kidding, don't take it too seriously."

After exchanging a few pleasantries, Richard Gere and his companion returned to their seats.

Simon and Gates also sat down, watching the pretty waitress abandon her reserve to ask Simon for an autograph after taking his order, even leaving behind a card. Gates, recalling how Westeros had lent him a Boeing 767 for this trip, felt an accumulation of envy.

He had always been a focus in the IT circle, but next to this young man, in this glamorous city, he could hardly attract a sliver of attention.

Recalling how he was denied access to the front cabin of the plane by a stewardess because it was Westeros's private space, Gates resolved to one day own a plane that wouldn't lose to that of the young man's.

After the pleasantries, with some free time, Bill Gates initiated, "Simon, I've seen the World Wide Web technology of Ingrit Company in San Francisco. I must say, the potential for this technology's development is huge."

Ingrit Company's World Wide Web technology had already tightly linked Westeros Company's holdings in Cisco, America Online, SUN, and other companies.

However, Simon had no immediate plans to make Ingrit's graphical interface browser a built-in feature of the Windows system. He intended to keep a low profile, allowing the technology to mature for another year or two until it became the unrivaled standard in the industry, before promoting it on a large scale.

Ignoring Gates's topic, Simon simply smiled, "I've already tried the Windows 3.0 beta version. Compared to previous versions, Microsoft's product has made significant progress. It will surely gain further market recognition after its release next year."

Since Simon steered the conversation here, Gates went along, "So you've started buying more Microsoft stock again?"

"Yeah, you know, Bill, I've had a lot of funds recently. When I see a company I like, I definitely want to invest as soon as possible."

Bill Gates recalled many reports from this period.

The young man before him might not be the richest person on the Forbes list, but he was probably the billionaire with the most cash in the world. The cash size of Cersei Capital, shrouded in mystery, was said to reach $8 billion, half of which seemed to belong to this young man.

This $4 billion in cash alone exceeded the wealth of most of the world's super-rich.

Thinking this, Bill Gates said, "But Simon, I think you shouldn't continue buying. Westeros Company's ownership of Microsoft has already exceeded 10%. Due to Westeros's purchases, many institutions have also begun to tightly hold onto their Microsoft shares, and the scattered shares on the market are becoming increasingly scarce. As you know, a reduction in circulating shares will definitely have a strong suppressive effect on the stock price. I think Westeros Company already owns enough of Microsoft, and you might consider investing in other companies' stocks."

Simon had roughly guessed Gates's intention beforehand.

A decrease in the proportion of a company's shares available on the secondary market, resulting in reduced trading activity, indeed suppresses the stock price's rise.

"However, I still want to buy more Microsoft shares," Simon said, seemingly pondering for a moment before adding, "Bill, how about this? I've suggested this before: sell some of your Microsoft shares to me. I can buy them at 90% of the market price. You currently own 45% of the shares, and selling me 10% would still leave you as Microsoft's largest shareholder. Moreover, I have no interest in controlling Microsoft. If you sell me some shares, I can also grant you the voting rights of Westeros Company's Microsoft shares, with Westeros only acting as a pure shareholder."

Bill Gates couldn't help but think of the Boeing 767 he flew on to Los Angeles.

Although he quickly appeared on Forbes's list of wealthy individuals after Microsoft went public, ranking high on this year's Forbes North America list with a net worth of $1.5 billion, his lifestyle hardly matched that of a billionaire due to his assets being almost entirely in Microsoft shares.

For instance, he didn't even own a private jet.

Compared to the young man before him, the difference was even more stark.

Initially, when they first met, this young man had suggested buying Microsoft shares directly from him. Since Gates believed in Microsoft's stock's upward potential, he immediately refused.

Now, selling some shares to improve his lifestyle seemed appealing.

Selling a portion of his shares would not only retain control over the company but could even lead to absolute control, given the voting rights of Westeros Company's holdings.

However, selling 10% at once was definitely not an option.

Westeros was optimistic about Windows 3.0, and so was Gates.

Microsoft's market value had been around $3 billion throughout the year, but Gates believed that after the release of this operating system next year, the company's stock price would surge again.

"Simon, 10% is too much," Gates said after some

 thought. "Moreover, if you're buying, it must be at the market price. I won't sell at a discount."

Clearly, Gates's prior arrangement had some effect.

Simon showed no particular joy, patiently saying, "Bill, think about it. Selling me 10%, you could obtain the voting rights for 20% of Westeros Company's holdings. This would allow you to completely control the company."

"Up to 5%," Gates ignored Simon's enticement, adding, "However, I can talk to Allen. Perhaps he's also considering selling some shares."

At Microsoft's current market value, selling 5% of the shares would net Gates over $150 million.

In this era, that amount of money was quite substantial, considering a latest-model Gulfstream only cost a bit over $10 million. Moreover, with this money, Gates could make some other investments.

Bill Gates and Paul Allen still maintained a combined 70% ownership of Microsoft.

Initially, Gates had tried to reduce his partner's share to firmly control Microsoft. Now, in considering selling shares, Gates had not 'forgotten' about Allen.

Simon naturally didn't voice any objections, saying, "In that case, I can also contact Allen."

Gates ultimately sensed a certain excitement in Simon's tone, adding, "Simon, I can sell you some shares, but you must permanently grant me the voting rights of Westeros Company's holdings."

"That's impossible, Bill. You're likely to continue selling Microsoft shares in the future. It wouldn't be right for you to sell off most of your shares and still retain the voting rights of Westeros's holdings. However, I truly have no interest in contesting Microsoft's control. You are the most suitable leader for this company. Therefore, Westeros's authorization period will be ten years. Of course, I might also reduce my Microsoft holdings appropriately during this period, leaving Westeros free to act. For ten years, regardless of how much Westeros holds, the voting rights will be yours."

Bill Gates nodded slightly, then asked, "What about after ten years?"

Simon shrugged, "Ten years is a long time, Bill. Who knows what will happen then?"

"Alright," Gates nodded, finally saying, "Also, you must stop buying Microsoft shares from the open market."

"No problem."

As they chatted, the waitress quickly served lunch.

Securing Gates's 5%, Simon felt confident that convincing Paul Allen to transfer another 5% of Microsoft shares to Westeros wouldn't be too difficult.

In truth, Simon had hoped to secure an additional 5% stake, bringing his total Microsoft ownership to the planned 15%. Now, Westeros's Microsoft holdings might increase to 20%. Considering Microsoft's future growth potential, this deal was set to be highly profitable.

However, Simon also thought about funding issues.

Originally, increasing stakes in Microsoft and Intel was a plan spanning several months, allowing funds to be gathered gradually.

Westeros had many recent activities, and securing 10% of Microsoft shares at once would require over $300 million in cash.

Without drawing from Cersei Capital, Simon would need to borrow from banks again. Fortunately, by repaying over $200 million in principal and interest to various banks this year, his debt had reduced from $900 million at the start of the year to just over $700 million. Adding another $300 million in debt would still keep the total within the manageable $1 billion range.

After a pleasant lunch, to solidify Gates's decision to sell shares, Simon generously offered his Boeing 767 for Gates's return to Seattle.

The following days remained busy.

Daenerys Entertainment's major projects for the next year were in various stages of production, with the plan for 10 movies steadily progressing.

Considering the upcoming Los Angeles premiere of "Batman," Simon decided not to leave the United States, planning to fly to Australia to spend Christmas with his family after the premiere with Janet.

At Microsoft, Gates received news two days after his departure: Paul Allen also agreed to sell 5% of his Microsoft shares to Westeros. Simon instructed James Lebenthal to prioritize this deal, ensuring its smooth completion.

News spread quickly.

Compared to Intel's market value, which had surpassed $6 billion, Microsoft's stock had not seen significant gains over the past year, maintaining a value around $3 billion. The price even dipped following a minor crash in October.

Now, with the news of Westeros acquiring an additional 10% of Microsoft shares, the company's stock price immediately surged.

Fortunately, the parties had prearranged the price, and neither Gates nor Allen raised their prices due to the temporary stock rise. For Simon to conduct such a large transaction at market price was already quite rare.

Simultaneously, Westeros quickly discussed a new $300 million loan plan with Citibank.

Generally, it's difficult for companies to secure loans for stock purchases due to risk factors.

For Westeros, this was not an issue.

No one doubted Westeros's ability to repay, knowing that if not for the high tax costs associated with repatriating Cersei Capital's funds, Westeros wouldn't need loans at all.

With Cersei Capital's funds as a safety net, Westeros's loans virtually carried no risk.

___________________

(Support with power stones, comments or reviews)

If you guys enjoy this story, In support me on Patreon and get access to +200 advance Chapters

Read Ahead

Patreon.com/INNIT