Bulgarian Empire

Chapter 106: Bond Release 2

Ferdinand nodded. He knew the situation and feared it would be worse than the Ministry of Finance estimated! There is no joy and anger, and he said, "Hmm! I know the royal family will take the lead in buying five million Leva, and the rest you will have to figure out yourselves!!!"

...

After leaving the palace, Kennedi's mood was instantly much better after gaining the support of Knyaz Ferdinand, with one-tenth of the first bonds sold before they even were released.

With the lead role of the royal family, it is necessary to show the capitalist side and then call on the national public to buy so that they can sell out a large part of the domestic sales, then the pressure of the last sales to be much less.

In fact, the Bulgarian government is trying to publish the news of the debt papers, and by now, the word has spread. Most of the world is still in an economic crisis, which holds back the energy of many corporations. Otherwise, they would have already sharpened their knives.

The scenes Kennedi expected did not appear. They sent out the letter of offer from the Ministry of Finance, but most banks just ignored it. At this point, is everyone busy trying to snip them?

How much profit can be made from regular bonds, not to mention the current economic situation is bad. Who can sell them? What kind of money do you have to pay to buy? Might you as well have gone down the river?

The number of banks involved in the brokerage process was much smaller than expected, and none of the major international banks came.

At this moment, the Ministry of Finance is facing difficulties. Although there are nominally more than a dozen banks, but if it comes to strength, the top three are actually local banks, which give a face to the three, and all the CEOs are here!

Karl from the Royal Bulgarian Bank, Viktor Ivanov from the United Bulgarian Bank of Industry and Commerce, and Nikolai from the Bulgarian National Bank.

There is no doubt that the first two are Ferdinand's estates, only the first is publicly known, and the second is not!

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In order to show the priority of this tender, Prime Minister Constantine also came to the scene personally. He was also dumbfounded, not to mention the tender or the fact that all the banks that came together could eat the first batch of debt rolls, thank goodness!

There was no choice but to turn his attention to the Minister of Finance, hoping that he would have a plan to solve the problem. Konstantin asked in a low voice: "Kennedi, what should we do now? Where did all these banks come from it? How come I have not heard of most of them!!!"

Kennedi said with a bitter smile: "Not only you have not heard, but I also have not heard! Who knows how these vampires will suddenly not come! The first thing you need to do is ask the National Bank to provide a guarantee. At least first get through this hurdle to retain the government's credibility, to say it!

Konstantin was silent for a while, then said ruthlessly: "In that case, anyway, there is no need to continue the talks, let's just announce our conditions! Do as you like, we can't trust it anyway!"

Kennedi gritted his teeth and said, "Okay, let's do it! If anyone buys less than five million Leva, they are out, i won't accept them!!!"

...

In a bad mood, Kennedi took the host's seat and opened the door, "Welcome, everyone, to the tender for the licensing of the National Debt Agency of the Bulgarian Government today!

I won't say much more since the relevant information has already been sent to you before! To qualify as an agent is simple, as long as the following three items are met.

First, banks acting as sales agents shall have a guaranteed sales quota of not less than five million Leva each time and shall pay the funds for the bonds in advance to the Ministry of Finance.

Second, the agency fee, within five million you take 1.5%, five million to ten million you take 2%, and so on, after each increase of five million increases the fees by 0.5%, up to 3% capped.

Thirdly, other aspects perform according to international practice. In case of doubt, the two sides will negotiate and resolve!"

As soon as Kennedi's words fell, there was uproar below. How is this a negotiation? It has been completely settled. Does not this put everyone a pain in the ass?

The guaranteed sales are a little higher, so it's just a big deal, and this one could still be handled by a few banks jointly.

The problem is that the rate is too ambitious. The international fees are in the range of 2.5%. According to Kennedi's request, there is a 2.5% fee for a laddered vertical rate with a combined debt volume of 30 million Leva for the agent.

Of course, it is more profitable to surpass, and if it is lower than this figure, naturally, it is a loss. It is clear to tell everyone, if you don't have the strength, don't come.

These small banks now can not come even if they want to unite, and the average share is more than five million for each. Without preparation in advance, taking so much at once, it may have to be finished if something goes wrong.

It would be best if you did not think that the 2.5% commission is very high. You should know that the exchange rate in the 19th century was not low. After the sale worldwide and then converted into Leva, this process is not a low cost.

The bank can only do this business. If others come to do it, the exchange rate alone can make you lose money!

"Mr. Kennedi, is it too much to ask for such conditions? There is no way we can accept it! Is it possible that your Bulgarian National Debt was originally a joke, for the sake of humor?" Klinische Bank representative sat up and said in mockery.

Kennedi did not feel angry and said with a smile: "This gentleman is too much. We in Bulgaria set the conditions, is not to select a strong partner? If your side can not afford to bear it, leave the opportunity to a strong bank!"

Hearing Kennedi's words, the representative of Klinische Bank angrily said back, "Humph! In that case, then we'll take our leave!"

After saying that, he wouldn't let his head down and left, followed by several other small banks' representatives.

The scene became more terrible, but Kennedi does not regret it. It is important to know that the risk of cooperation with these small banks is huge. If one is not careful when the money runs away, where to find it?

There are only three local Bulgarian banks left, and all of them are considered old acquaintances. Konstantin is not afraid to lose face anymore and walks straight out from the back.

"All of you, gentlemen, as you can see, the outsiders have all gone! Now that we are all old acquaintances, the next one will be a good deal for you to handle!!" Konstantin made a formal gesture to the three people.

Well, even old Karl is dumbfounded, so it is a trick! We haven't even taken a position, and then they threw the entire $50 million debt roll at us.

Karl swept a glance at the other two who were confused, knowing that he still had to step in himself, and said with his signature smile, "Since Your Excellency thinks so highly of us, then the three of us will eat it jointly, and we will all contribute together to sell these 50 million bonds!"

"Mr. Karl is really generous enough, so I'll leave this amount of bonds to the three of you!" said Konstantin excitedly