Chapter 663: Two Panicking Companies Part Two (2/2)
The president shook his head. “We didn’t meet the head of Mandala, but we asked around on Wall Street for its evaluation and someone once offered $5 billion for 10% of Mandala’s shares and Mandala turned them down. There was also a proposal for a takeover of the company with an offer of $35 billion! Same thing happened; it was rejected by Mandala. Under this premise, if you want to acquire Mandala completely, I’m afraid you need to offer at least $60 billion. Our company’s market value is less than $100 billion, and it would be risky to spend $60 billion on acquisition. I’m afraid that you as the directors wouldn’t even agree with the acquisition because it would dilute the equity by 65%. Which one of the shareholders is willing to do this?”
The group of directors were silent.
“Mandala has such a high offer?”
The group of shareholders were quiet as well.
At this time, the marketing director who continued to follow up on this matter read the headlines on his phone and said, “Ladies and gentlemen, five minutes ago, the Mandala Lab gave out the pricing. This time they named their product ‘Revitalisation Series’ and divided it into three levels: the gold 50mL bottle for $1,299; the platinum 50mL bottle for $29,888; and $68,888 for a 10mL diamond bottle!”
Having heard the price, all the directors sighed out of relief.
Not only them, but directors of Estee Lauder in the M Nation also sighed out of relief.
It seemed like Mandala was planning to take the high-end market, and their price was more than ten to twenty times theirs, and so this way the competitiveness was not even on the same level, and it would reduce a lot of their losses.
“Why are the price differences so big between the three levels of gold, platinum, and diamond?” a director asked curiously.
“It probably has to do with the effect and the course of treatment. The description says that the gold bottle has a three-month course of treatment and can only be used for half a month. So according to the three-month effect then at least six bottles would be needed, which is equivalent to a cost of $7,700. The Platinum bottle is 50mL for a one-month course of treatment to see the effect. As for the diamond bottle, the description says that in just three days, there will be an effect, so they priced it at nearly $70,000. I think if that’s the case, I’m expecting us to lose some market share among the high-end wealthy customers.”