If people understand the econs, Logan decision to tell the kids to "stop playing toy soldiers" with a publicly traded company and "make your own pile" with the pile received from selling Waystar to the eccentric tech billionaire at a significant premium was a good decision fiduciary-ly to the shareholders.
Best series ever created, an absolute masterpiece. Also kind of funny that AT&T which owns CNN, a competitor to Fox Corp and owns HBO made this about their competition even though both conglomerates are guilty of what’s portrayed
It's mainly bc of Rupert Murdoch. He's a very unique figure and there isn't anyone quite like him (or his family) in the AT&T or Warner or Discovery side of things. David Milch also had plans to make a show based on the Murdochs (intended moreso to be a drama) for HBO but it fell through. Idea came up again to form the basis of Succession after being proposed by Jesse Armstrong.
AT&T no longer "owns" CNN or HBO. Warner Bros Discovery owns them. WBD is a mega corp now all on its own, with numerous private companies holding stock, but the majority shareholder now is Advanced Publications.
Yeah but Murdoch is a fairly unique case, and we see this power struggle in the show that isn’t exactly happening with the Redstone family (ViacomCBS), who the Pierces are clearly based off of.
I found a very subtle, but very believable aspect of this show's writing/acting that makes the show highly believable: the stuttering, ummms, uhhhhs, and ahhhsss of Logan Roy's kids. They deliver their lines in way that show they are not sure if themselves. They are scared of their dad. It totally sets this apart from anything else on tv. Watch the show with subtitles and it will be way more pronounced.
That makes the show a lot like so many other shows. It is like Malcolm in the Middle, Married With Children, Girls, Seinfeld, Arrested Development, Everybody Loves Raymond, and Game of Thrones.
I keep thinking about when the family go to one of their mansions for a huge dinner party and then something happens and they order all the food to be thrown away. We’re talking about an insane amount of food that wasn’t contaminated in any way. That hurt and It was fake food in a tv show, but it still hurt.😢😢😂😂
But that's just it, they NEVER complete a deal. Nothing ever changes. "Succession" suggests that someone will eventually take over from Logan but I am not so sure that will happen. It's a bunch of people on the phone who are indecisive and in the process look to screw each other over. Yet I still watch it. I am hooked.
That’s what turned me off. As someone from a family business I can tell you none of the kids of Logan are even fit to be janitors. There is no way Logan would ever give them any real power. It’s a wholly unrealistic show and I honestly don’t get the hype. Great acting and cinematography but the characters are badly written.
Connor’s mom was mentioned. She was abused in like every way by Logan physically, too, and had mental health issues. She was like hauled off to an asylum in the early 80s or some shit
This was interesting but as a person who has no knowledge of the business world I think the show did great with context clues and I never felt lost on the business end.
You should do an episode about companies that use different share structures to keep voting with founders. So many people don't understand how little actual power they have over certain companies. Even Ford still has a class B share with something like 35x the voting power of a class A share.
Most families tend to lose their wealth within 3 generations. These fools are pretty accurate representation of into what, families started by great men devolve into.
Isn't a lot of that just math though? A rich guy has 2 kids, who have 2 kids, who have 2 kids. Every time the wealth gets passed on it gets split into smaller and smaller shares.
@@rayden54 No, The thinking behind it is that the 3rd generation is that they are too spoiled that once their parents die, they do not know how to run their family business, so it fails, and or they spend all of their family money since they never had to work to earn money.
That is still a majority stake compared to everybody else, not to say other shareholders can’t pile together to gain a majority, but their percentages are so minuscule it would take a Herculean coming together of a group of people to greedy to give up their piece of the pie.
@@rishirama6883 The Roy's don't own a majority of the company. Majority means more than 50% (they own 36%). If they had a majority, no one could takeover the company even if all the other shareholders stood against the Roy's. What they do have is a *plurality* which means largest share out of anyone else (but not necessarily more than 50%)
The interesting thing is, Connor is the least respected of the children, and yet he’s the only one who went to do his own thing. Sure, it didn’t really work out, as most people could’ve predicted, but he went for it.
Yeah just wanna double down on this and say you might be excited to watch this because of finance themes, but you will also be treated to a drama of epic proportions about family and power. People refer to the show as Shakespearean for a reason. It's a real gem.
I've just finished watching "The House of Gucci" film which cover the downfall of the Gucci family and the reason why it fell is solely because of greed. And 5 mins later BAM!! How money works drops new video of how Business Deals in Succession Actually Works so i think this is a sign XD
Was sceptical at first, but decided to try it out. REALLY good series! Im in the middle of it, and absolutely love it! And im very picky about watching good series. But this is some Breaking-bad-level quality! Thankyou!!
@@HowMoneyWorks it is somewhat realistic though. I allegedly new a family that also levered a family business 10x to live lavishly and then took 20 years or so to fully unravel there crimes🤣😅 divorce, the children got out fine mostly, the wife remarried, the husband tried more scemes😮
7:50 As of early 2024 this is happening in the grocery store industry. Kroger trying to buy Albertsons and the authorities want to make sure that doesn’t exacerbate local monopolies.
It technically didn't fail since it still had more assets than liabilities. But it will fail because people are stupid and their psychology will trigger a bank run.
The thing is, almost everyone at the top are snakes and two faced. So if you can't play by their rules you can't survive. So yes, a lot of them want to keep their wealth and assets, wouldn't you? If you were to work your ass off for many years just to let Jeff Bezoa to buy you for $10 mil would you take the offer or fight back to keep your corporation running?
I do like how they talk in succession. In private the kids don't talk professional and highly educated. They act like people who know they got a lot of money.
i really expected logan to fumble his words and be a caricature during his speech in season 1 but no. And throughout the next seasons it showed how cut throat and manipulative he is. There really is a reason why hes a fucking billionaire. (Unlike real life billionaires who just inherited an emerald mine and is fumbling his way to success lmao)
Eh, say what you like about Elon Musk, but his work with SpaceX in particular _was_ genuinely revolutionary. Both in terms of the business model and developing reusable rockets, SpaceX single-handedly cut the cost per kg to get stuff into space by a factor of ten. Which to me is more impressive than building a media company.
SpaceX is one thing. Btw, anyone can accuse him of getting contacts on Washington. Another is total lack of inspiration to be as a person, unless you want to be a lil pr1ck that was born with money and a manipulative @ssh0l3. And total f*ck3ry on business. Not being competent to do a single sh1t without f*ck1n something or tryin to cut throat someone.
@@merrymachiavelli2041 but was that him, or his workers(who routinely get ripped off(to the point that he is known for that)) while getting govt subsidies(which musk argues against) to keep the company afloat
I heard stories about brothers trying to kill each other over something as little as a house. Things can turn nasty even over small sums of cash. Greed for money is the root of all evil.
@@Doge_Of_Wallstreet preach. Live laugh love as corny as it is is the key to life. As long as you are warm and full and in good company you have no reason to feel unhappy. (assuming no mental issues)
@@Doge_Of_Wallstreet Despite what a movie might have said, greed is always bad. Greed and envy that follows it are the root of all evil in my opinion as well.
During the threat of the margin call why didn't they just reverse split the stock to keep it above $130? I never heard them say it was based on market cap but on actual price per share.
The loan wasn’t made by Waystar Royco, the shares were just used as collateral. They couldn’t reverse stock split the org just because Logan took on a loan too big
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I don't understand why were those kids were sad at the end lol? Didn't they get rich after the company was sold? Now the can build their own thing if they want. And they were dying to become ceo of a company which they have not even created smh.
Don't forget, Secession is an HBO TV Series that focuses on the problematic family relationships of the Roy family patriarch Logan Roy and his four children: Kendall, Shiv, Roman, and Connor.
The company is worth 500M-2B? Seriously? Considering how many pies they have their fingers in, I'd imagine they need to add a 0. This is an international media conglomerate, not a well-ish know lawn furniture manufacturer
@@tahasinameen3422 Give or take. SPOILERS: Because Logan wanted to buy out Kendall's shares for 2B. But that would be over market price at the time. But I believe that 2B was what each got in the end withe th Gojo deal.
Weird that you sight that it’s the Murdock that the series is based on, considering that the children don’t really give a crap who takes over and there is very little infighting.
Huh - Murdochs two sons do not get along - he broke up his empire between news and entertainment. James took the entertainment part - and Lochlan has the news. It was a Huge deal - that is still having ramifications today. For instance all the regional fox sports channels - were paired off from the entertainment division and sold to an entity bally sports - created by Sinclair - that has since gone bankrupt - and has caused a lot of upheaval in the industry. That all occured because James saw what Fox news was doing to promote Trump - and wanted no part of it. No idea where you get your information from - ( probably faux news ) that would completely make sense. BTW Faux news is being sued- for libel by Dominion voting systems for all the disinformation they broadcast about election fraud - it was totally untrue -and the court documents prove that Faux knew it all along - they stand to lose at least $ 2.7 billion in damages - and the jury may very well award punitive damages considering how egregious the fraud was. That trial begins next week in Delaware - I am sure James feels quite content in not having any part of that fiasco and substantial loss of $.
Oh man. Your video made want to go and continue watching the show. I had to stop because all the characters are assholes beyond redeemption and I couldn't empathize with any of them. I'll give it another try.
I can relate to this. Sometimes it's hard to sit and watch without being uncomfortable because they're all so cruel and it's terrifying to observe this level of realism. At this point I'm only still watching because it has become so important to find out how it ends, since they are currently airing the final season. I imagine the ending will be quite dramatic!
Ah yes, amazing show indeed - "what's that? we need private funding? here's my buddy stewie, the only private equity guy in the world" Bravo Mylod 👏 how does he do it? 🤯
Much better than business or law deals in suits or billions that’s just filled with very stupid sports metaphors. That’s why I like industry. They don’t mess about the actual finance side of the show for their audience
I’m closing in on my retirement and I’d like to move from Minnesota to a warmer climate, but the prices on homes are stupidly ridiculous and Mortgage prices has been skyrocketing on a roll(currently over 7%) do I just invest my spare cash into stock and wait for a housing crash or should I go ahead to buy a home anyways
Well to me the greatest lesson of 2022 in the stock market: Nobody knows what is going to happen next, so practice some humility and follow a strategy with a long term edge.
Nobody knows anything; You need to create your own process, manage risk, and stick to the plan, through thick or thin, While also continuously learning from mistakes and improving.
@@logisticsdelivery Uncertainty... it took me 5 years to stop trying to predict what bout to happen in market based on charts studying, cause you never know. not having a mentor cost me 5 years of pain I learn to go we’re the market is wanting to go and keep it simple with discipline.
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00:00 Introduction to the show and the Roy family 01:23 Understanding the Roy family's business structure and the Family Trust 03:01 The importance of the Family Trust and voting power 04:01 Logan Roy's plan to add his new wife to the Family Trust and the children's reaction 05:08 The motivation behind the Roy children's desire to take over the business 06:18 Mergers and Acquisitions in the show, with a focus on the Valter deal 08:01 Different types of mergers and the challenges they present 08:47 The potential for the Roy family to lose control of the company 11:02 Shareholders' decision to trade their shares or hold on to them 11:23 The Roy family's reluctance to sell their shares 12:03 Logan Roy's plan to sell the company and his deal with his ex-wife 13:08 Recommendation of the show and comparison to real-life corporate fraud
Please do one video on how to avoid political risk using such structures , specifically expropriation of your business in third world countries I know you did one other on the Pandora papers but please focus on avoiding expropriation and whether acquiring a loan from more stable and influential regions would and can keep such moves being done by third world despots
technically it's similar to Murdoch family but after the finale( and overall)murdoch family is probably way smarter than this family:d it's more like writers want that ending in real life but..
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For each family member on the trust - not in total. Right now in season 4, I think each siblings share is 2 billion. When you add their 6 bil to the other beneficiaries of the family trust, it seems it could easily add up to a 36% stake.
I don't know much about the show but if that woman isn't the mother to any of the children she has no business being on the trust. I hate parents like this so much. I would never do my children like this for a fleshlight basically.
It is hard to find such an obscene amount of backstabbing in a family over money even mildly entertaining. If anything this is an object lesson in how generational wealth produces weakness in every capacity possible. This happens in any family in a smaller scale.
