Novel Bin Chapter 71 Morgan Decision
In the center of town, the imposing factory loomed like a giant, its towering smokestacks belching out thick plumes of smoke. The factory was the lifeblood of the town, providing employment for hundreds of workers and fueling the economy of the entire region.
A horse-drawn carriage stopped in front of the main office. The footman, stationed behind the carriage, jumped down and opened the door for the person inside.
John Morgan stepped out of the sleek black carriage, his three-piece black suit hugging his form perfectly. His black top hat sat firmly on his head, adding a touch of old-world elegance to his already impeccable outfit. With polished black leather dress shoes, he made his way up to the main office that looked like a stately manor. As he approached the building, he composed himself by clearing his throat before knocking.
The door swung open, revealing a beautiful woman standing before him. It was Amelia Weiss, the company\'s executive secretary, and he recognized her immediately. "Good evening, Mr. John Morgan," Amelia said with a smile. "Please come in, Mr. Axelsen and Nielsen are waiting for you in the office."
John stepped inside, taking in the simplicity of the room around him. The walls were painted a muted beige color, and a few small, framed paintings hung on them. A modest wooden desk dominated the center of the room, with a few scattered papers and a single pen atop it. The electric lamps cast a warm, golden glow over everything, adding a sense of coziness and warmth to the space. A vase of wildflowers stood on a small table by the window, their bright colors standing out against the subdued background of the room.
Jonathan offered him a seat in front of him while Poul was seated behind the desk. Amelia brought tea before disappearing from the room.
Morgan began, "I was informed about the content of the meeting. This is about an investor wanting to invest in your company. But the investment that person is going to make would result in our shares being diluted, am I right?"
"That\'s correct, Mr. Morgan. We want to ask you a simple question. Are you fine with your shares being diluted?" Poul asked.
Before Morgan could answer, Poul broke down the numbers, emphasizing the percentage increase in John\'s investment.
"Let me break it down for you," Poul began, with a tone of authority. "At the moment, the company\'s valuation is sitting at an impressive forty-five million dollars. Jonathan and I hold forty-five percent stakes, which translates to a staggering twenty million and two hundred fifty thousand dollars. On the other hand, your ten percent stake is currently valued at four million and five hundred thousand dollars. That is about a six hundred and fifty percent increase in your investment."
"I know, I already calculated that," Morgan said, seemingly unperturbed at the increase of his investment. "But before we get into those investment talks, have you already apologized to Lady Fiora Whitney?"
"Ah, the noblewoman? Yeah, I already had Amelia send the formal statements to the press. Don\'t worry, I made it sincere and heartfelt enough where her heart will be swayed," Poul said nonchalantly.
Morgan probed, "Really? Why is it sounding to me like you don\'t care?"
"Maybe because I actually don\'t care at all, and the letter was just a formality so that the company wouldn\'t face repercussions," Poul replied with a shrug.
"That isn\'t funny, Nielsen," Morgan chided lightly.
"Look, Mr. Morgan. I don\'t really get why you bother with high society when you yourself came from a humble background. I mean it\'s not like they are the source of our income."
"Because having connections with high society would yield more profit," Morgan asserted, "As they are my main clients. They borrow money from me and return it with interest on a specified date. Not only that, it allows us to make connections, making it advantageous for any businesses."
"I am aware that having connections to high-society is important but if they aren\'t going to respect me, then they wouldn\'t be worthy of my time. If they are your main clients, then for me it\'s the railroad company. They are the ones who are generating our company profit. And who do you think owns most of the railroad in Avalonia? That\'s right, it\'s the commodore Wandervilt!" Poul countered
"I understand your frustration, Mr. Nielsen," John said, "and I agree that it\'s important to be respected by high society connections. However, I also believe that it\'s a two-way street. While we may not necessarily agree with their ways, high society connections have the potential to provide us with new investment opportunities, as well as access to a broader range of clients. In addition, they can help us create brand awareness and increase our overall reputation, which could lead to business growth beyond expectations.
"Furthermore, just because someone comes from a humble background doesn\'t necessarily mean that they will not see value in high society connections. Wanderbilt may have come from humble beginnings, but he is now a powerful figure in the railroad industry, and he likely has connections in high society that he leverages to his advantage."
"Gentleman!" Jonathan stepped in as he felt that the argument it\'s\' getting heated. "Why don\'t we proceed to business? My partner issued a statement so that\'s done. We are convened here to talk about the new investor, not to quarrel among ourselves."
There was silence in the room as Morgan and Poul reflected on their actions.
As Jonathan interjected, the atmosphere in the room seemed to lighten, with both Poul and Morgan appearing to take a deep breath and gather their composure. As they settled back into their chairs, their gazes met, and it was evident that the tension in the room had somewhat abated.
"Let\'s talk business," Morgan said. "I want to know who the investor is and how much he is going to invest."
"Well, it\'s not a he, Mr. Morgan, it\'s a she. Caroline Dupont is her name, and she is the founder of Loreal. She is offering a whopping fifteen million dollars," Poul informed him.
"Caroline Dupont? That French woman? Why is she interested in the railroad business?"
"Well, it\'s part of the deal," Poul responded, as he leaned forward.
"Deal? What kind of deal? Be specific, Mr. Nielsen," Morgan queried.
"We know that Caroline Dupont is a brilliant chemist, responsible for the invention of the majority of modern cosmetics. Furthermore, she is well-versed in smokeless gunpowder technology, which will be utilized to fill cartridges for the weapon we are designing for the United States Army. She will help us overcome the limitations of the current smokeless gunpowder, enhancing its effectiveness, and making it more appealing to the military," Poul elaborated. "In exchange for her assistance with the gunpowder, she will be permitted to invest in our company."
"The fifteen million dollars that she is offering will finance our expansion into Europe. It\'s like hitting two birds with one stone. We get the much-needed capital, and we also get access to the formula for the smokeless gunpowder," Jonathan added, emphasizing the importance of the deal.
"In that case, I am willing to dilute my shares," Morgan announced. "Caroline\'s investment would provide us with the necessary funds to expand our business in Europe, generating more profits for our company."
"Are you absolutely certain that you don\'t mind diluting your shares?" Poul inquired once more, wanting to ensure that Morgan was aware of the consequences.
"That\'s correct, Mr. Nielsen. If Caroline\'s investment helps you create a weapon that the military is satisfied with, and they place thousands of orders, then it is worth it," Morgan replied confidently.
"Fantastic, I\'ll inform Miss Dupont about the outcome of our discussion. Thank you, Mr. Morgan, for being flexible," Poul said appreciatively.
"What do you mean flexible? That\'s the most practical course of action," Morgan responded, shaking his head.
Indeed, Morgan had made the right decision by agreeing to dilute his shares. This would allow the company to receive additional funding, which could be used to expand and grow the business. This would ultimately result in higher profits and dividends in the future, offsetting any losses that Morgan might incur in the short term.
By not diluting his shares, Morgan may have missed out on the potential benefits of additional investments in the company, such as increased profitability, growth, and new business opportunities.
"Let\'s finalize this by signing the contract," Jonathan suggested, handing Morgan the document.
Morgan opened the document and scrutinized it thoroughly, carefully examining the terms and conditions. After reading through it, he nodded his approval.
"May I have a pen?" he asked.
Poul handed him a beautiful fountain pen, and Morgan signed the document.