Chapter 9 - THE COMPANY THAT STILL NEEDED MONEY
The board could celebrate governance or pay debt.
It could not do both with words.
The bridge facility cost nearly $1.4 million a month.
Route Systems still burned cash.
The CFO presented three options.
Sell another asset.
Raise equity.
Bring in a minority investor directly into Route Systems.
The third preserved upside and reduced debt.
It also diluted future ownership.
Sophie preferred it.
Not because it was glamorous.
Because it solved the problem without pretending the government contract was guaranteed.
The independent committee contacted strategic investors.
Two offers arrived.
One valued Route Systems at $760 million.
Another at $790 million with performance conditions.
Then Preston’s fund submitted a minority proposal too.
Maya laughed when she saw it.
“Persistent.”
Preston had every right to bid if properly disclosed.
Sophie wanted to reject him automatically.
She did not.
The committee compared all offers.
Vance’s terms were competitive but demanded patent preferences.
The board chose another investor.
Price:
$785 million implied valuation.
Minority stake:
28 percent.
Proceeds:
enough to reduce debt and fund redesign.
No full sale.
No family bailout.
No miracle.
Then the government contract remained uncertain.
Good.
The plan did not depend on it.
Preston’s strongest business argument was gone.
But his personal fight was not.
He filed a shareholder action challenging Sophie’s founder-trust activation.
His claim:
Charles’s transfer violated the original trust amendment process.
The wet signature existed.
The procedural notice might not.
If Preston won, Sophie’s voting control could be suspended.
Maya read the filing.
“He only needs enough uncertainty to reopen leverage.”
Sophie stared.
“Can he win?”
“Yes.”
That answer frightened her more than certainty.
Then Jack called.
He had finally gotten the Porsche running.
“Not finished,” he said.
“What does that mean?”
“It starts.”
“That sounds finished.”
“No.”
“Why?”
“The onboard memory is showing a locked voice file.”
Sophie went still.
“From my father?”
“Probably.”
“Can you open it?”
Jack paused.
“Not without your authorization.”
May you like
That answer made her smile.
Progress, apparently, could be measured in men asking before opening things.
