Donnie's negotiation with William Mellon lasted until the following morning before a formal outcome was reached.
First, if Pandora Oil Company truly manages to acquire Sinclair Oil Corporation in the future, then Mellon Bank will need to repay the eight million US Dollar loan interest to Donnie Block.
Second, if the acquisition is completed, then Donnie's Pandora Oil, Sinclair Oil and William Mellon's Gulf Oil will undergo a stock swap. Donnie will be in charge of both Pandora Oil and Sinclair Oil, while William Mellon will still control Gulf Oil, but both parties must agree that if either side wants to give up their current oil company in the future, they can only sell their shares to the other at the current market price.
Third, the IPO listing of Atlantic City Broadcast can be handed over to Mellon Securities, but Mellon Securities is not the sole option. If there are other securities companies capable of offering better terms at the time, then Atlantic City Broadcast can invite them to join and take away a portion of the share that belongs to Mellon Securities!
After these three major issues were dealt with, the rest of the problems were easy to solve.
"Donnie, although our cooperation has experienced some turbulence, I must say, working with you has been the most pleasant among the many years I've had," William Mellon said, rising to his feet with a smile and shaking hands with Donnie.
Donnie, too, extended his hand and smiled, "Sincere cooperation always brings great pleasure!"
Then Donnie asked William Mellon, "So, what's next for you, are you heading back to your company?" Tʜe sourcᴇ of thɪs content ɪs ɴo(v)elFɪre.ɴet
William Mellon shook his head, "No, I'll be staying in Atlantic City for a while because I'm quite curious about how you're going to short Sinclair Oil."
To that, William Mellon seriously added, "Donnie, I must tell you, before this, I wasn't fully convinced of your achievements in Atlantic City. To me, much of this success seemed more like you just happen to be in the right place and stumbled upon the business. If someone else capable stood where you do, I believe they could have succeeded as well!"
Donnie laughed and replied, "Like a pig that flies in the wind, regardless of what breed it is, as long as it catches the wind, it can fly?"
"Haha!" Faced with Donnie's analogy, William Mellon couldn't help but laugh loudly, his laughter filled with genuine joy, "While I agree with your words, I've never seen anyone compare themselves to a pig before!"
Donnie gestured seriously and responded, "No, you're mistaken. I was only making an analogy with your words; I have never seen myself as the pig caught by the wind. Because a pig, if it stands in the wind, will fall once the wind stops, regardless of how high it flies, but I plan to soar ever higher!"
"OK!" William Mellon stopped smiling and went on, "But after this negotiation, I'm convinced that you truly are a successful businessman. So I'm very keen to see if you really can short Sinclair Oil. Although I still believe you won't succeed in this matter!"
Donnie also showed a smile and said, "I think you should anticipate my success because only if I'm successful can we move on to the next plan and complete the acquisition of Sinclair Oil."
Spreading his hands, William Mellon replied, "Well, I hope you succeed. But for now, as a friend, Donnie, could you perhaps show me some of Atlantic City's hospitality?"
Donnie laughed heartily and said, "Certainly, my driver will arrange everything for you and ensure you receive all the pleasures you desire!"
After handing William Mellon over to Steve Cotting, Donnie himself drove back to Block Tavern and then made a call to New York, directly instructing Helen, "Move!"
With the signal from Donnie, millions of dollars in capital in New York were mobilized instantly.
The process of short selling wasn't much different from that in later generations. Donnie's side needed to pay a 10% margin to the brokerage firms and could then borrow shares of Sinclair Oil from them for sale on the exchange.
Donnie's team also had to sign an agreement with the brokerage firms on a time to close positions; at that time, regardless of Sinclair Oil's stock price, Donnie had to provide the brokerage firms with an equivalent quantity of shares.
If by that time, Sinclair Oil's share price plummeted, Donnie would stand to make a huge profit. However, if Sinclair Oil's share price not only didn't fall but also grew against the trend because of Donnie's shorting strategy, then Donnie would naturally incur a loss.
Meanwhile, during this period, brokerage firms would monitor Donnie's account at all times to ensure that there were enough funds to pay back the borrowed stocks, or else they had the right to halt the cooperation with Donnie.
Although this process seemed straightforward, it was full of intricate details. Helen, who stayed in New York, served as the vanguard in Donnie's campaign, while Donnie himself directed from Atlantic City.
As a hot stock at the NYSE in those days, Sinclair Oil's stock attracted a lot of attention, and many people were interested in purchasing Sinclair Oil's shares.