Chapter 296: Boston Crowd
From this point of view, Carnegie's remaining shares in the steel company can serve as a guarantee for his daughter's future. Sheffield felt that he was doing a good deed. According to historical data, Carnegie's daughter should have inherited less than one-tenth of Carnegie's wealth when he died.
The remaining shares are definitely more valuable than Carnegie's original will, and the others have no inheritance rights. Prenuptial agreements have already appeared in the United States at this time, and Carnegie himself was a pioneer in this regard. He and his wife signed a prenuptial agreement before getting married.
As for how the wealth of Carnegie's daughter disappeared, Sheffield was not sure, but he knew that after Rockefeller Jr., the Rockefeller family began to marry into other companies starting with the third generation of members. In fact, it started with Edith Rockefeller, who was marrying on behalf of Rockefeller Jr.
The Rockefeller family and the Carnegie family had intermarried before, but it is not known which generation it started.
"Should I get there before Rockefeller Jr." After careful consideration in his mind, Sheffield decided to forget it. Carnegie's daughter is only three years old now. Thinking of this, he felt that he was too unlucky to do something to a three-year-old girl. Even if it was a marriage, he couldn't do it himself because the age difference was too big.
As for the grand reception after the contract, Sheffield had no interest in it. He was not very good at dancing, so he could only sit aside, drink and chat. It was not time to sign the contract and leave yet, there was still a lot to do.
"According to our contract, if Carnegie wants to sell the remaining shares, we both have to agree. Together with Carnegie's remaining 10% shares, the three of us own 70% of the steel company's shares. To be on the safe side after the listing, we still have to hold a relatively majority of shares." Sheffield held the wine glass and saluted the young Rockefeller who had just left the dance floor.
Rockefeller Jr. sat down and nodded, "I understand your difficulty. After all, this amount of money is not a small amount for anyone."
"Need I tell you? A new richest man in the United States has been born." Sheffield blew his hair close to his eyebrows. "Not only have I withdrawn funds from all departments of the United Company, including my share of the supermarket chain and oil revenue, I also owe money to many people, including the Vanderbilt family. Can you believe it?"
As for Edith Rockefeller's money, Sheffield did not mention it. If he had to mention it, he would only say that they were one family and did not have two opinions. He believed that Standard Oil was under great pressure, and it was not just 18 million that was taken out.
Therefore, at the beginning, the two of them were mentally prepared. The new Carnegie Standard United Steel Company must be listed to cash out. Although the prospect of having a monopoly is very good, they must do it within their means. Otherwise, they might feel good about themselves like Mr. Chang, thinking that they have a good chance of winning with 800,000 against 600,000.
Compared with the long-term accumulation of Standard Oil, the pressure on Sheffield is still greater. After all, before this, United was an asset-heavy company with few monetized industries. Being able to appear here and stand shoulder to shoulder with Standard Oil is already an extraordinary performance of the supermarket chain and the oil.
The 150 million must not be spent in a flash. Some of it must be brought back through the stock market, otherwise there will be a risk of broken capital chain. There is no need to look for examples in later generations. Many of Rockefeller, Morgan, and Carnegie's opponents in this era had experienced broken capital chains that led to the collapse of their careers. These tycoons achieved their fame with their own blood.
However, a big business also has its advantages. If things really don't work out, the joint company can still sell land. There is a saying that third-rate companies sell products, second-rate companies sell services, first-rate companies sell concepts, and super first-rate companies sell buildings! Sony sold its headquarters to get through the crisis, and the joint company can sell land instead.
"That's not a problem. If the steel company goes public, we just need to be careful of Morgan. But to be honest, even Morgan can't do anything about the listing of such a large steel company." Rockefeller Jr. comforted.
"I was most afraid of him at that time. A few years ago, when I took a small company public, he made me sick." Sheffield still remembers the unusual troubles Coca-Cola encountered when it went public.
But at that time, Coca-Cola was of no concern to Sheffield. If it were to cause trouble when it went public now, it would be fatal, as this steel company had all his current wealth.
"No, if Morgan interferes, it will only ruin his reputation." Rockefeller Jr. glanced at Sheffield, who looked guilty, and finally said softly, "Are you afraid of a break in the capital chain? In fact, all this will not be a problem if you just ask me for help."
"As long as I ask you, all this will certainly not be a problem. Give it to you!" Sheffield stretched out his hand towards Rockefeller Jr. and made a begging gesture.
"What?" This made Rockefeller Jr. confused, and he couldn't figure out what Sheffield was doing.
"Regarding the extension of the contract for the Texas oil field!" Sheffield raised his eyebrows and said in a very smart way, "You have been eyeing half of my oil revenue for a long time. You have been dreaming of extending it. Do you think I don't know?"
"Hehe, but you won't agree unless you encounter difficulties!" Little Rockefeller snorted and laughed, knowing that this attempt had been anticipated long ago. It doesn't matter, there must be other ways. He felt that he would not lose a sister in vain, and he would definitely be able to get his place back somewhere.
The merger of Carnegie Steel Company has been settled, but the aftermath has just begun. The parties involved have different interpretations. Edith Rockefeller's marriage directly led to the merger of Standard Oil and Chicago Industries.
In recent years, the relationship between Standard Oil and United Oil has itself been the focus of discussion among many companies. No one knew to what extent the two parties could cooperate, but through this merger and acquisition, everyone understood that the cooperation between the two companies could reach an unimaginable level.
"Do you think it's true, as some rumors say, that Edith Rockefeller ate the inexperienced slave owner?" Adams' face was full of delight, indicating that although his family had produced two generations of presidents, they were still very interested in dirty tricks. "Little Rockefeller's sister seems to be much older than the slave owner, right? So it seems that Edith Rockefeller's child is his."
"Don't talk nonsense without evidence. The Morgans are the ones who are suffering now. Anyone with eyes knows that the establishment of U.S. Steel was their attempt to replicate the railway's infiltration and integrate the steel industry without anyone noticing. This infiltration was successful once, but now it's been stopped by two companies. Morgan is so angry that he wants to jump off his boss's office." Lowell said with a gloating tone, "As far as I can remember, I don't think Morgan has ever suffered any loss. His eyes seem to be able to see the future. Whether the economy is booming or depressed, he can always find an advantage. It's really gratifying that he suffered a loss this time."
"You can't say we suffered a loss. We can only say that we didn't achieve our goal. The steel industry is now dominated by two giants. It's too early to say who will be the final winner." Lawrence disagreed with his two friends and said slowly, "Just look at Standard Oil and United. Standard Oil is the industry's super trust, while United's model is not like that. It is a highly concentrated giant conglomerate. To be honest, there has never been a conglomerate as big as the Sheffield Family. In some ways, it is comparable to a trust."
All large companies have their own development paths and different models. A trust is a company or a legal person, and its organizational form is to reach a common strategy through the internal administrative channels of the company. Because it is an internal administrative channel and does not involve negotiations between companies, the trust is the most stable of the four monopoly methods.
Cartels control the output and price of a product through certain agreements or regulations. If there are disagreements among cartel members, the cartel usually cannot be maintained. Carnegie Steel Company has long been the ultimate enemy of the United States Steel Cartel and an important member of the cartel. The steel magnate, as an important member of the cartel, did anti-cartel things, which annoyed other steel companies.
The trust model originated from the Rockefeller family, but the conglomerate model originated from the German Empire. Therefore, most companies in the United States are trust models.
"A super trust and a giant conglomerate!" Lowell thought for a moment and said, "With such a combination, it's understandable that Morgan lost. It's even more difficult for us to do anything if it's our turn. If this continues, it would be too scary for the two companies to reach some kind of cooperation."
"In fact, there are shortcomings. Haven't you noticed? Most conglomerates at least have a decent banking system. The Sheffield family, which relies entirely on administrative orders, almost never has one." Lawrence stretched out his hand and knocked on the table. "The Sheffield family's weak United Bank in the West cannot bear such a responsibility at all."
"But Standard Oil's banking system can make up for this?" Lowell thought for a moment, a light flashed in his mind, and he whispered, "Do you think Morgan will open banks in the western states?"
(End of this chapter)
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