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Chapter 779 - Chapter 779: The Girls (2)

As the two of them whispered softly to each other, Sophia noticed Yulia Shurshikina quietly get up and leave with a somewhat lost expression. She turned to the man still holding her waist and said in a low voice, "Another one. Do you enjoy capturing women's hearts like this?"

Simon's focus was on Sophia, so he hadn't noticed Yulia's mood. He replied, "You're blaming me for this? I've nearly forgotten how to capture a woman's heart. Capturing their body, though—that's a bit too easy."

Sophia chuckled and playfully patted his shoulder.

Thinking about it, she realized it made sense. With Simon's immense wealth, power, and status, he didn't need to do anything to attract women. Simply showing up would cause countless women to throw themselves at him. Where was the need to even try?

However, Sophia also realized something else: women who initially approached Simon with nothing but simple intentions of seeking his favor often ended up falling for him because of his overwhelming personality—his strength, tenderness, mystery, generosity, and intellect were all qualities that irresistibly drew women in. His aura of wealth and power only amplified these qualities.

Thinking about herself, she realized she had been one of those women too.

With no one else around, and feeling the man's subtle pressure, Sophia naturally shifted into his lap, her arms wrapping around his neck. Feeling an unexpected surge of emotion, she leaned in and kissed his cheek. "Suddenly, I'm a little worried you might forget me completely when I wake up one day."

Simon traced a circle on her belly through her black top and said, "That might have been possible before, but not anymore. You're my child's mother now."

Sophia leaned closer to him, a smile curving her lips. "Looks like I've discovered a little secret—if you want to make sure you're not forgotten, just have a baby."

Simon absentmindedly tapped a few notes on the piano keys and laughed, "I bet you're more determined to guard that secret than I am, right?"

Sophia didn't answer, but in her heart, she definitely didn't want other women to discover this secret. She quietly resolved to do whatever it took to prevent that from happening. Perhaps she should even discuss it with the two Jennies in private.

She was never a generous woman.

As these thoughts passed through her mind, she heard the soft notes of the piano. Turning slightly toward the instrument, she said, "Play something for me too. Hmm, and for the two babies."

"Of course."

Simon smiled, enjoying the fragrant presence of the woman in his arms. After a moment's thought, he kept one arm around her and began playing Beethoven's "Für Elise" with his free hand. It was a simple piece, but it perfectly suited the mood.

Sophia nestled in Simon's embrace, listening to the piano music drifting through the air. She suddenly understood how Yulia must have felt earlier.

This little man—he's a devil who steals women's hearts without even knowing it.

What a rascal.

With looks already attractive enough, a personality that made him so easy to get close to, plus unimaginable wealth, and an aura of being all-knowing and all-powerful—it was almost impossible to find another man like him in the world.

Time passed unnoticed until A Girl came in to remind them that dinner was ready. Only then did Sophia reluctantly get up from Simon's lap.

Since it was Chinese New Year's Eve, they had invited a Chinese chef to prepare a lavish holiday feast. Simon and Sophia couldn't possibly eat all the food themselves, so they kept a portion and distributed the rest to the many people in the mansion as a special treat for the occasion.

During dinner, Sophia discussed the ongoing negotiations to acquire Burberry with Simon.

Founded in 1856, Burberry was known for its iconic check pattern and royal endorsements, maintaining a strong presence for over a century. However, in the 1950s, Burberry's heirs sold the brand to GUS, a large British retail group, which removed the label of a family-owned business.

The economic boom of the 1980s led GUS to aggressively expand Burberry into markets in North America and Asia. This expansion came to a halt in 1992 when the European currency crisis hit, causing a recession in many European countries.

As one of GUS's key subsidiaries, Burberry began showing signs of inefficiency and declining profit margins due to overexpansion. At the same time, conglomerates like LVMH were rising, leaving Burberry struggling to find its footing under a diversified retail group.

When Sophia approached GUS late last year, they were quick to respond favorably.

As one of the UK's largest retail chains, GUS's businesses spanned a wide range of sectors, from fashion to home goods, electronics, insurance, and finance, with a total market value of over £13 billion on the London Stock Exchange.

With the economy in a slump, GUS was looking to streamline its operations. Offloading Burberry, a brand that had lost its direction, was seen as a good move.

While Burberry's 1980s expansion might have been overambitious for GUS, Sophia saw value in the luxury brand's extensive market presence in Europe, North America, and Asia. These resources could help advance the global expansion strategy for Daenerys's Melisandre Group's various brands.

Moreover, Burberry's distinctive style didn't directly compete with brands like Gucci, Versace, or CK, but rather added diversity to Melisandre's luxury portfolio.

All things considered, acquiring Burberry offered more benefits than risks.

By the end of the 1980s, Burberry's global revenues for the 1994 fiscal year reached £530 million, with net profits of £62 million, or roughly $790 million and $93 million, respectively.

After several rounds of negotiations in early January, the two parties settled on a price of £800 million, or $1.2 billion, with the deal structured as a combination of cash and stock. Melisandre Group would pay £400 million ($600 million) in cash and issue 6% of its own stock in exchange for 100% of Burberry's shares from GUS.

This deal would increase Melisandre's valuation from $7.3 billion after last year's Bulgari acquisition to $10 billion.

Once the acquisition was complete, the ownership structure of Melisandre would be as follows: 72.8% held by Westeros Company, 18.2% by Sophia, 6% by GUS, and 3% by the Bulgari family.

Simon and Sophia had discussed taking Melisandre public last year.

Although there wouldn't be any major acquisitions after Burberry in the short term, smaller investments or takeovers would continue. Going public would give Melisandre easier access to capital for these transactions. Additionally, the stock price premium from being a public company would enhance Melisandre's investment operations.

With an IPO on the horizon, they also needed to decide where to list the company.

During dinner, they concluded that it would be best to list in the United States.

Although Simon disliked putting all his eggs in one basket, given how deeply Westeros's interests were entrenched in the U.S. and the booming U.S. economy in the late 1990s, listing there was clearly the most beneficial option for Melisandre.

Even Nokia, which was listed on the London Stock Exchange, would soon be planning to go public on the New York Stock Exchange this year.

With this acquisition finalized, Melisandre, now boasting brands like Gucci, Versace, CK, Burberry, Bulgari, Van Cleef & Arpels, and Vacheron Constantin, had firmly surpassed LVMH, the French luxury group centered around Dior and Louis Vuitton, in terms of overall strength.

In the original timeline, Bernard Arnault, the head of LVMH, rose to power through a series of acquisitions during the economic boom of the 1980s, but retreated during the early 1990s recession. He later expanded aggressively again during the late 1990s economic revival.

The other two major luxury conglomerates, Kering and Richemont, also rose in the late 1990s.

Now, the luxury industry landscape was destined to diverge from that timeline.

Thanks to the strong foundation provided by the Westeros system, Melisandre had built a powerful "fleet" of luxury brands during the early 1990s recession, when other luxury groups were forced to rest and recover. The next step was to deepen its global presence during the late 1990s wave of globalization while preventing other competitors from rising.

At the very least, Kering, which once relied heavily on Gucci for the bulk of its sales, would no longer have a chance to emerge. Even Richemont, which specialized in jewelry and watches and owned Cartier as its flagship brand, would find it difficult to grow in the face of competition from Melisandre's Bulgari, Van Cleef & Arpels, and Vacheron Constantin.

During dinner, Simon and Sophia even discussed the possibility of one day acquiring Cartier itself.

The next morning, Simon and Sophia departed from London for Rome.

Sophia's trusted deputy, Angela Ahrendts, would handle the follow-up work in London. Having joined Melisandre more than six years ago, Ahrendts had risen from President of Gucci USA to CEO of Gucci and then to President of the entire Melisandre Group, proving her capabilities at every step.

Coincidentally, in the original timeline, it was Angela Ahrendts who, after joining Burberry in the new millennium, revived the struggling luxury brand. Over eight years, she tripled Burberry's stock price and restored it to the ranks of top luxury brands. This success later made

 her Apple's second-in-command, just below Tim Cook.

Although Apple's luxury strategy ultimately failed, it didn't diminish Ahrendts' achievements. At a time when competition in the smartphone industry was intensifying, her luxury branding strategy helped Apple maintain its distinction from other brands and avoid falling into a price war.

In any industry, moving from low-end to high-end is difficult, and going from high-end to even higher-end is even harder.

Thus, Apple's luxury strategy wasn't a mistake—it simply didn't succeed.

In contrast, after Ahrendts left, Apple adjusted its pricing strategy and started slashing prices. While this may have boosted short-term sales, it ultimately harmed Apple's brand value. Once their prices were on par with competitors' flagships, the outcome of a direct price war would be uncertain.

With Ahrendts once again overseeing Burberry's integration, both Simon and Sophia felt completely at ease.

From the time they left the recreation room the night before until they boarded the plane the next morning, Simon hadn't seen Yulia Shurshikina again. He suspected Sophia had discreetly sent her away but didn't mind. However, he hadn't forgotten his promise to create an MV for Yulia's ballet solo. On the flight to Rome, Simon sent an email to Daenerys Entertainment's UK branch, asking them to start planning the project.

Of all the Mediterranean cities, Simon preferred Cannes over Rome because Cannes' hilltop villas offered a panoramic view of the sea, a feeling Simon loved. Rome, however, was built on flat land and lacked the commanding sea views Simon enjoyed.

The reason they didn't go to Cannes was due to the ongoing friction between Westeros and France, which had been escalating since the Rwandan war last year.

After suffering a significant setback in Rwanda, France had been making petty moves against Simon for over six months. Last year, French media even tried to dig up dirt on UFMS in Ukraine, which Simon suspected was not purely out of journalistic zeal.

Moreover, Melisandre's rise, centered around its Italian brands, had also caused significant unease and hostility among French luxury companies, who had long held a dominant position.

In addition, Hollywood movies had been dominating the French box office in recent years.

Since the release of Batman, a series of blockbusters had eroded the market share of French domestic films. In the past few years, the top-grossing films in France had all been Hollywood productions.

And whether it was Batman, Jurassic Park, The Lion King, or last year's box office champion The Dark Knight Rises, they all had strong ties to Daenerys Entertainment and the Westeros system.

As a result, the French film industry had been calling for the government to impose barriers against Hollywood films. Of course, Hollywood wasn't going to back down either. Behind the scenes, they had been lobbying Washington to counteract these efforts, leading to fierce private battles between the two sides.

In short, Simon had become a thorn in the side of various factions in France. Even if he kept a low profile, there was no guarantee that the French wouldn't stir up trouble.

So he simply avoided France altogether.

Compared to France, Italy was a much safer option, despite the Stefano family incident last year. Simon had deep roots in Italy, thanks to years of careful cultivation. It was also likely that the European Universal Studios would be located near Rome, making it an ideal place for Sophia to relax during her pregnancy.

Their residence was a 30-acre farm-style estate in the southern suburbs of Rome.

While much of northern Europe was still blanketed in snow and enduring the coldest part of the year, Rome, along the Mediterranean coast, was warm and springlike. The estate, designed by Sophia, featured a harmonious blend of lawns, trees, low walls, and stone structures, resembling a picturesque countryside painting.

Additionally, it was here that Simon finally met the girls he had unknowingly been taking care of for exactly one year.

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