The first round of auction items is a pink diamond ring provided by the Las Vegas jewelry appraisal authority. The main stone is a 9.55-carat fancy oval modified brilliant-cut pink diamond, set in 18k rose gold, with the color graded as Fancy Orangy Pink, and a clarity of VVS1. The estimated market price ranges from $750,000 to $810,000, with a starting bid of $500,000 and each bid increment is not less than $5,000.
Allen Zhang wasn’t interested in the first dozen or so rounds of auction items. He was merely enjoying the sight of the auction items and the long-legged models parading on stage.
Most assets at the Whale Auction are risky, akin to collateral or laundered items, overlapping with court auctions in nature. Essentially, the owners are either about to flee due to trouble or have already been incarcerated.
While the auction items are not inferior to those of other auctions, their prices are comparatively cheaper and more affordable. Occasionally, there are opportunities to snag a deal or purchase at a low price.
After all, from the look of the guests attending this auction, there is no capital verification required for entry, and their social status and influence aren’t impressive—there are hardly any big names, and not a single female celebrity in attendance.
However, thanks to the support of politicians and members of the Feather Club behind the scenes, the Whale Auction has been able to continue for a long time and maintain some influence in Los Angeles. Participants also receive a share of the profits each time.
From diamonds and jewelry to collectibles, round after round of items were projected on the screen, with prices ranging from several hundred thousand to around a million dollars, generally not exceeding five million. That is, until Pike Company came up.
"This round of the auction features a resource recovery company, with three facilities in the suburbs, professional equipment and 35 employees, with comprehensive professional certification in all departments. It also has contracts with 46 waste recycling stations in the city and suburbs, four waste electronics metal scrap treatment centers, two renewable energy recovery companies, one military industrial workshop, one electronics manufacturing company, and contracted truck fleets."
"However, Pike Company currently owes the bank $20.6 million, and a fire incident a week ago resulted in the death of 12 employees. It was declared a risk company by the court. At present, Pike’s shares are held by Mr. Pike and his company’s executives, constituting 97% of the company, with the remaining 3% held by retail investors. After the payment of the final auction amount, this will automatically transfer their shares to the buyer, who will enjoy 97% of the company’s shares and decision-making rights. The market estimated price is between $14.6 million and $18.5 million. The starting bid is $12 million, with each bid increment not less than $100,000."
In addition to the projection of the facilities and photos shown on the screen, the factory’s assembly line sorting equipment was already cleaned and organized. Even the stock area’s electronic waste was neatly stacked in the alleys.
With roughly several dozen tons of electronic waste, the processed value should be in between $200,000 and $350,000.
But such profits are just a drop in the bucket compared to the bank debt, hardly enough to even cover the daily interest payments.
As for the waste recycling stations, Allen Zhang’s own stations occupy several shares, and other electronic waste is primarily purchased in bulk from waste processing centers. The filtered precious metals are then sold to renewable energy companies and military workshops, generating profit.
The operating model is no different from that of recycling stations, which collect resources from individuals, process and filter valuable items, and then sell them to other business partners. The difference lies only in scale and the people involved.
The renewable energy companies recycle metals and produce aluminum cans for beverage companies. These cans are then sold, bought by consumers, and eventually recycled again, in a sustainable cycle.
Military and electronics companies use gold, silver, copper, platinum, and palladium in the production of circuits and circuit boards, making computers and electronic devices. Once these are worn out, they are discarded and await recycling.
After the auctioneer introduced the details, the people who were initially interested in Pike Company quickly lost their enthusiasm.
Spending over ten million dollars to purchase a run-down shell of a risk company, while also inheriting debt of $20.6 million to the bank, is utterly unreasonable.
The auction scene suddenly cooled down, and many people seated in the VIP area whispered among themselves and chatted, but none showed any desire or intention to buy.
Seeing this situation, Mr. Pike’s heart turned cold, thoroughly chilling him through.