章 369: Chapter 369: Acquisition of Shares in Hilton Hotels
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Nick Hilton was unwinding with friends at a bar when he received an urgent call from his father, Conrad Hilton. The gravity in Conrad's voice as he asked Nick to come home immediately filled him with dread.
When Nick arrived, he found Conrad's expression tight with worry. "Why the hell did you provoke Elizabeth Taylor?" Conrad shouted.
"I didn't do anything wrong, Dad," Nick replied, bewildered. "She's just an actress. I gave her some flowers, that's all."
Conrad's eyes flared with anger. "You have no idea who you're dealing with. Elizabeth Taylor is Jon Hardy's woman. You know who Jon Hardy is, don't you?"
The name Hardy made Nick's blood run cold. Jon Hardy was infamous in their circles, known for his ruthless control over Los Angeles's largest gang and his recent dramatic actions involving HD Security. The idea of crossing him was terrifying.
"Father, I didn't know Taylor was Hardy's. I only tried to show interest," Nick said, his voice trembling.
"If you had done more, you'd be looking at a corpse, not just a warning," Conrad snapped. "I've just received a call from Andy, Hardy's president, warning that if you keep up this nonsense, the Hilton family will face full-scale war from Hardy Group. That means total destruction."
Nick's face paled. His father's threat of revoking his inheritance hit him hard. The thought of being cut off from the family fortune was unbearable.
"Father, please. I realize my mistake. I won't do anything like this again," Nick pleaded.
Conrad's stern gaze softened slightly. "Good. I'm sending you to Milan to oversee the construction of our new hotel there. Stay away from Elizabeth Taylor and don't come back until the hotel's opening. Consider this a test. Fail, and your heir status is at risk."
The next day, Nick flew to Milan, leaving his father to handle the fallout. Conrad Hilton wasted no time in reaching out to Andy from Hardy Group.
"Mr. Andy, I apologize for my son's behavior. He has been instructed to stay away from Miss Taylor, and I've sent him to Italy," Conrad said. "I would like to meet Mr. Hardy to apologize in person and discuss potential cooperation, especially in the hotel industry."
Andy relayed Conrad's request to Hardy, who responded nonchalantly. "Arrange the meeting."
The meeting took place in Las Vegas, where Hardy had been spending time with Monroe, Taylor, and Ava Gardner, all rehearsing for upcoming performances. Conrad recognized the three women as Hardy's partners, a testament to Hardy's formidable presence and influence.
Hardy greeted Conrad with a smile and a handshake. "I hear you want to discuss cooperation."
Conrad nodded. "Las Vegas has immense potential. Hilton Hotels wants to expand here, and possibly into casinos as well."
Hardy raised an eyebrow. "Many want to open casinos in Las Vegas, but it's not just about having money."
Conrad was aware of Hardy's reputation and knew it took more than money to impress him. "We're looking to partner with you, with Hardy Group leading the effort."
Hardy paused before responding. "The Hardy Group has considered entering the hotel industry, but we've been too busy. We're interested in a partnership, but we want 30% of Hilton Hotels' shares. Anything less wouldn't be worth it."
Conrad was taken aback. "Mr. Hardy, the Hilton family only holds 42% of the shares."
"Then discuss it with your fellow shareholders and arrange to sell me the shares proportionately. With the additional funds, Hilton Hotels can acquire more properties and grow faster," Hardy proposed.
Conrad knew that Hardy's offer was tempting. Mergers and acquisitions were the quickest route to growth, and Hardy's capital made this opportunity hard to pass up.
"Let me discuss it with the shareholders," Conrad said.
"Of course," Hardy replied, taking a leisurely puff from his cigar.
"By the way, how many Hilton hotels are there now?" Hardy inquired.
"There are 28 hotels, including locations in New York, San Francisco, Los Angeles, and international cities like London, Paris, and Rome. We're also planning a new hotel in Milan," Conrad answered proudly.
Hardy nodded with a faint smile. "I have contacts in these cities. If you need assistance, feel free to reach out."
As Conrad left the meeting, he couldn't shake the feeling that Hardy's offer came with underlying warnings. The mention of his friends in various cities hinted at potential threats.
Back at Hilton, Conrad discussed the offer with the shareholders. Despite their reluctance, they decided to issue additional shares to meet Hardy's demand. Hardy Group acquired a 30% stake in Hilton Hotels for $48 million, making them the largest shareholder and relegating the Hilton family to a secondary position.
Simultaneously, Hilton Hotels announced plans to build a new hotel in Las Vegas and acquire Statla Hotel, known as the "World Hotel Emperor." This deal would be the largest real estate transaction in U.S. history.
Despite Hardy's capital infusion, Hilton Hotels still needed additional funding, which they planned to secure from Wells Fargo Bank, with Hardy's endorsement making the process smoother.
Hardy's acquisition of Hilton shares wasn't a mere coincidence but a strategic business move. The competitive nature of the business world often surpassed even the most intense battles, and Hardy's involvement signaled both a challenge and an opportunity for Hilton.
The value of Hilton Hotels' stock surged following the announcement, benefiting shareholders and signaling the start of a new era for the company.
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