Bags than ever. If you think the bronx deserves its own beer maker . Meet the Master Builder of the bronx brewery. Nexthat and more over the half hour but first lets get headlines from carol massar. The big story at this hour alibaba seeking to raise 21. 1 billion dollars in what could be the largest ipo ever in the u. S. The plan to sell 320 american shares for 60 to 66 a piece. At the high end of that range, that means the offering would give the company a market value of 162 billion the company that supplies Image Processing chips for cameras shares rallied. They topped assessments. The californiabased company has grown sixfold since october of 2012. The u. S. Stocks report missed estimates. The economy added thousands of jobs which is the smallest gain of the year and comes after increase of 2012 jobs in the month of july. The Unemployment Rate falling because more people left of the workforce. Back to you. Thank you. We will stick to the theme because jack ma has some scratch. He is taking the public he is taking the company public. Valuation at 160 billion. Join me now is cory johnson who is typing away and also with us whichomberg intelligence provide context and a variety of industries. We need the need offenders knee defenders. Off with thet valuation which is a back a mathematical equation based on the number of American Depository Shares that will be issued. Is this within the range of people . It is in the lowend range. Atsome extent, looking recent ipos like facebook and twitter the market has been expecting them to be lower. It at christok at the sale. Price the sale. You can say it is a little bit under valuation. Less expensive than the most expensive stocks in the world. Maybe. What is it . 60 to 66 per share. This is an ipo that seems to be sucking money from out from everybodys portfolio. Itll be curious the affected has on the other chinese internet companies. Out there that decide they want exposure to high topline growth . Based in china. Some ofs it mean for the frothy or companies, Smaller Companies that have a lot more Financial Issues were some big fund will say they need half of a percent of the overall assets to go into the chinese internet growth and that can take it away from the other ones and put it into this company. This will be a lot of stock to fill. The roadshow will Begin Next Week for this Public Offering. If it is priced at the low end of the estimated range, is that because they dangled this bait in front of people and they say their reactions . Bankers want they raised the price during the initial. We are raising the price again. Sussed outsurlely the market. They think they can sell all the stock at the price they are listing today. Based on your experience covering this, is this going to be a feeding frenzy . I think people have been waiting a long time for this company to come out. We have seen the numbers 250 billion in transactions last year. A quarter of a trillion dollars in transactions. That is correct. Youll get Companies Like this to come out often. We were talking about facebook often but they had a very large audience. Did it have the revenue . No . Companies like this do not come around. Missile come out of the gate with great liquidity. This will be a stock that big Portfolio Managers will be able to buy in size. That is correct. We heard the percentage of the shares their selling is much higher than we typically seen. Some of that may have to do with that people are familiar with this company. It is very well established and it is already had a piece of its business public earlier. Itll have some of the hurdles that an unknown name like a twitter for public markets. This iseople that think an unknown company because they have not been watching it around the clock describe what is ali baba. Some compilation of a little bit of ebay, little bit of amazon, and little bit of paypal. It is Business Model to that. Fundamentally, it is a place that matches buyers and opposedlike nasdaq as to walmart where they take possession of goods from the manufacturer and seller to customers. They have a factory and shipping business that accounts for all of the mail in china because theres is so much stuff they are running through their system. They actually enabled the sellers by having a system to take ownership and briefly passing through the system. In russia, the same kind of format exists particularly because there is no electronic Payment System that is pervasive in the country. With alibaba, how do they actually make the money . Taking a couple of they take a markup in every single deal. One of the many interesting things you read in this is that the Chinese Consumer does not have a credit card typically. The Payment System is an important piece of the system. Another of the many risks in this deal. I know you will be busy all weekend long. I know youre already typing it in. Pages andings is 350 no one should be watching this broadcast saying they will buy the stock because everybody saying this is very exciting. There is a lot of risk in this deal and the filing is people should be aware. You can tweet questions towards you. Thank you very much. Do not miss the global broadcast alibaba story the that is on monday, september 8 at 9 p. M. Eastern only on bloomberg tv. Coming up, a wall street risk manager says goodbye to his desk job and he wants a new kind of risk. He started his own crepe business. I will ask him about turning dough into dollars. The Unemployment Rate fell to 6. 1 down from 6. 2 . I will speak to the president of hired. Com on why recent graduates are changing the startup life. That is up next. This is taking stock on bloomberg. I o will introduce you to a company that is breaking some boundaries. Works to break down the barriers of buying food directly from the farm. Trucks deliver wholesale quantities to retail customers. Richard braddock is the former chairman of fresh direct and the former president of citigroup so he knows a lot about money. He is the chairman of zaycon foods. Thank you for being here. Was i able to describe that correctly that you are basically meating this produce of and you were doing it at a whole soul wholesale scale . It starts with the customer. Customer somethe needs that are not being set aside today with a very clever Business Model. Model, it ishe basically from farm to consumer directly. Processecisely from the of writing from the farm right in front of the farm. You create a product and created in bulk. You put it on refrigerated trucks and ship it directly to customers. Gets fresh it product to the customer in three to six days depending on where your are in the country versus store based model which is 15 to 25. You get much fresher food. Secondly, there is a lot of economy in this distribution system. There are no warehouses. Because youwastage sell everything you buy i wont use that name. In addition to that, we have no meaningful inventory cost because we have the product for such a short period of time. Our consumer because they really love the service pays in advance so we have no credit exposure on the revenue. If you put all of that together, we sell 50 under retail. 50 . Is 50 less than if you were to go to the local Grocery Store . And we get a far fresher product. You mentioned the trucks. The refrigerated trucks that carry the produce but where did they go . They go to a location that has been designated an advertised or communicated by an email to the customers that have already spent the money. Exactly. They are waiting for us to show theye have local could be a Church Parking lot. There was a lot of attention to the fact that we are dealing with food. There are a lot of regulations and we satisfied that. Andperson gets an email says your product is ready, open in andunk, coem me we will put it on the back of your trucks with great fresh product, 50 off immediately. Where do you operate right now . It is basically available nationally. We are headquartered out of washington. At the early stage of our business formation. We are about four years old. 18 million revenue already and basically broken even. We do 75 of our business and only 14 of the country. We are really building our penetration. And pay it i invest and Pay Attention to the big trends that will be important that it not being taken advantage of today. One of the big ones is social media marketing. And massive number of people. These people have so far not been given a chance to do much commerce. If you give a social media person a great deal like this 50 off product, they will engage their friends and the marketing leverage of that is the way we are effectively marketing the business. I can see people going up to you on a regular basis. Thank you very much, richard braddock, the chairman of zaycon foods. Now from breaking boundaries and the food business to breaking boundaries and hiring. Hired. Com is a career marketplace that connects engineers and scientists and product managers to over 1000 companies. Hired members get an offering of five offers a week. 120,000. Es about i am joined by the president mehul patel. Describe the companies that youre currently working with. We work with a range of companies that start from Small Technology startups looking to hire initial teams to build their products all the way up to fortune 1000 companies. In new york, were seeing clients include american express, goldman sachs, bloomberg. We have recently started seeing a whole slew of hedge funds becoming interested. How does your Business Model differ than the traditional hiring services particularly in terms of the way you which you can get paid . To differences one is payment. First, the actual model. We think the model is broken. Neither candidate or clients have a good experience. Nobody loves recruiting or being recruited. We have split the model on its head. In the traditional model, you have candidates applying for a job. In our model, we focus on getting the absolute best candidates. We select the top 8 of candidates. Once they are on the platform and approved, we leave it to the companies to apply to the candidates. They make the request for an interview. They like the candidates to go and meet with them but to do that they have to give a significant amount of information about what the role the compensation, why the candidate is a great fit. How do you get compensated that is different from the current model once someone gets hired . The car model we get paid when they get hired. A fee thatfee is rather than getting paid up front we Ask Companies to pay us 1 of your annual salary for as long as the candidate is with them up to a limit of 24 months. We want to stand behind the candidates that we think are going to be successful. Inc. You very much for joining me. Mehul patel, the president of hired. Com. Wholl talk to a risk expert left his job on wall street to make crepes. That is next on taking stock. This is taking stock. A programming note on alibabas highly anticipated Public Offering which is the largest offering in u. S. History. We will find out how they became the first Global Internet company and what challengers of jack ma will face. We will show you in the alibaba story. The documentary draws on 200 hours of documented footage of the headquarters an event that event hosted by jack ma. Take a look. To see more of alibabas colorful founder jack ma, do not miss the global broadcast baba story the ali on monday, september 8, 9 p. M. Eastern only on seaso bloomberg television. We know that wall street is competitive. My next guest is added to walk away from a mortgage, bond and credit derivative job to focus on another high risk business food. He decided to make crepes. Joining me now is florent cohen, the founder of crepes and delices. How does it come into your mind that you are sitting at a nice job, you are doing risk and mortgage derivatives and say ah, i must make crepes. Where did this idea come from . My family has been in the business for about four generations. I decided at 1. I wanted to do it as well to make my own business. You wanted to follow in the footsteps of your family. Did they think you were crazy . They still think i am crazy. What is the extent of the business . We opened one week ago. Five days ago. Have you had any sleep . About two hours a night. And that is good for a start up. We have been open for five days. Where is it . On 72nd street between columbus and broadway. Manhattan. We have plenty of kids coming out of school in the neighborhood. How did you learn to make crepes . Did you have to go to a special school . I went back to france for culinary training to learn how to make it. It is quite difficult. I went back to new york to create the company. A have to actually go into bank account and spend some money in order to rent the space and get all of the equipment. How did you raise all of the money . It was my own money first and then i went to investors. We raised a little bit over 400,000 to start the business. You had to hire employees and so on. Did they ask you if you had any experience doing this . It is a big risk working for you. Since i have been doing training a while ago, they saw i know what i am doing. What does it take to actually make a good crepe . Passion. You have to be passionate about it. You the fun the best ingredients. Flour, eggsorganic and milk. You have to be good at making it. Is there a particular description . How would you describe the process of doing this . Do you make it on some type of hot appliance . The professional appliances very essential. Inches big and you need to make it in less than two minutes. It is a bigger challenge than making it at home. It is like a timed event. You have a favorite fa lavor . Salted caramel. Thank you very much. This is taking stock on bloomberg. This is taking stock on bloomberg. Now for a look at todays headlines, want to go to su keenan. A bit more on the big after the bell news alibaba, the Chinese Company, which made jack ma a billionaire reraise 21. 1 billion dollars which could be the largest sale of stock ever. The company vowed to go public in u. S. In may after hong kong rejected it. It plans to start meeting investors as early as monday. Meanwhile, u. S. And jamaican ships are sailing to a site author jamaican coast where a plane is believed to have crashed. The unresponsive plane that took new yorkich anfrom did not answer radio calls since 10 00 in the morning. It was temporarily tracked by two fighters and have to stop tracking. Aeing this pose to win jetline valued at 11 billion plane it agreed to the 737 that squeezes in more seats. Ryanair is the largest discount carrier. Back to you. Telling time can be quite routine but that is not the case if you are fortunate to where president eisenhowers rolex. How about the rare issue of Playboy Magazine or may be assigned photo of Albert Einstein . With details on these items and how you can bid on them, i am joined by Bobby Livingston of rr auction. At us Start Talking about watch, and particular watch that was given to president eisenhower. You go ahead. When general eisenhower was an fivestar general ahead of nato, rolex approached him and presented him with a watch. It is numb him number 150000 and they gave him it for saving europe from not see germany not see germany nazi germany. He wore this washed into the white house. What makes it so important is when rolex and data presented this watch, it was not a brand of prestige or power. Once president eisenhower was photographed by it, rolex begin to transform into the brand it is today. We feel is the most important rolex. When looking at the detail of the watch, i noticed there was the five stars engraved on the back of the watch itself. On the bracelet it has his initials. It has dde on it. It is impeccable and significant. He gave it to his valet that was with him until his death. He actually moved with eisenhower and his wife to gettysburg. In the 1980s, it was purchased by our client who has a great president ial collection. That is most of the option we are having on september 17 and 18, this president ial collection. This watch is the superstar of it. V rr auctions which is your company you are based in boston. It is based on commercial street. Working people learn more about bidding on this . Is an online only . You can attend live. You can bid online. Lets say the watch is not for you and you would like something a little more, i dont know, human. You are also auctioning off a lock of john adams hair. It is interesting. Where did it come from . It came from his granddaughter. It is quite common. It is a show of affection and you would show locks of your hair and people would collect it. It is a generous lot and it comes right from his family to a noted here collector in the 1800s. Something we about all understand a little more which is a signed photograph of howard einstein. Albert einstein. Hist is his own print of most famous photo the photograph of him sticking his tongue out. On his birthday, photographers in new york said give us a smile for his birthday and he turned and stuck his tongue out. Einstein himself called the photographer and had it cropped. Writes hoto, einstein this photo is outrageous, this gesture is outrageous and offensive. It may be offensive and ironic but minimum bid . 10,000 . We sold that picture in 2009 to 72,000 so we expect it exceed that. Even though 10,000 is the minimum, that is the starting bid. We could be looking at 100,000. What about the watch . It is the most expensive rolex ever offered. Formost expensive one sold over 1 million so we expect that to exceed it. There was an item related to Nelson Mandela returning to his prison. This is called the freedom torch. This was something that was made for that specific occasion. He spent 27 years and that prison. He ran against the president and came out with a torch made in that prison lit. Of freedom inlame south africa and it is symbolic and iconic of the end of apartheid. It is a significant historic piece of history. This is estimated to go for what . 50,000 . At 50,000started but it is one of those items you dont know what it is worth. It is the ultimate symbol of the end of apartheid. Another symbol which is a letter written by john f. Kennedy to the parents of a deceased crew member from pt109. The boat he served on in the navy. Of august 1, 1943, it was cut in half by a destroyer and commander kennedy lost two of his crewmen. Of the family got a telegraph from the government saying the family the son was missing. He wrote to them and asks for details about what happened that night and commander kennedy wrote to them that their son was lost. There was no details. They wrote him again and there are two letters explaining exactly what happened that night. Now from a note of sadness to perhaps a note more joyful, re was an edition the First Edition of Playboy Magazine. The First Edition was . 50 and a sensation and sold out. A guy two or three years later sent hugh hafner five dollars and when this copy he says this was a filed copy. Him a pristine First Edition, hafners first copy. Minimum bid . Forhese typically sell 10,000 to 20,000 but since this is his personal copy, this could go right past that. The auction at september 17 and 18 in boston, massachusetts. Thank you for sharing these items for us. Bobby livingston of rr auction. We will stay on top of the alibaba news coming up next. That is coming up on bloomberg west. First, heavy ever tried to brew beer in a bag . ,e will talk beer and bags next including some handbags that are made out of metal. I will talk to back make your on her career and craftsmanship. Every new york city borough should have its own beer, correct . We will meet the cofounder of the bronx brewery. Our big news of the day alibaba, the Chinese Company that made cofounder jack ma a billionaire will raise as much as 21 billion in its initial Public Offering which could be the largest sale ever of a new stock. Company wouldrce value itself at around 160 2 billion will start meeting with investors on monday on the roadshow. Much more coming up on bloomberg west only on bloomberg. It is fashion week in new york but trends on my next guest mind, wendy stevens, who creates handmade purses with some serious staying power. This is because her designs are created in a workshop and made of various metals. She joins me now. Besides being from cleveland, the home of u. S. Steel, have to ask you how did you decide that metal was the material you wanted to work with . The city of new york is full of metal. The years i was there, you see it everywhere. Subways, telephone booths. Construction sites. There is a lot of industrial surplus materials on canal street where you can buy these materials. You started out doing this without really knowing a lot of the details of the craftsmanship involved in turning metal into these kinds of products. Correct. I asked Hardware Store owners, lumbers, roofing people. The owner of your building was in the Plumbing Supply business and you ask him for advice. I asked some of the guys to help me solder. How to why do this and what do i use . It was a long road. The long road takes you to pennsylvania where you and your husband have a workshop. There was a catastrophic fire which destroyed your entire studio. Nearly 20 years of work as well. We rebuilt and it was actually an amazing opportunity. With 20 years of making the work and starting with a clean slate. We created a magical studio workshop. You were at the right place at the right time. Give us an idea of some of the works you are most proud of. I know you brought some but i am wondering if you could describe some of the functions and forms. Whichis like asking child alike best. The iphone holder has gone such great reception. I love making them all. Seriously, that is what i love to do. Some of the forms combine a little bit of leather with the actual metal, right . Leather has been a part of it. It makes it a little more userfriendly, softer. It fits the body nicely. What about the price because these are oneoff items . It is limited production. 195 toange from retail 950. It is a labor of love. How did this labor of love turned into a business . There were certain key people that turned it into something that they liked into products that can be found at stores like or day and this was in the 1980s i was first in line and had some and bags and the buyer said they love it and it would take three of each. It took me all summer to make them. From there, it went to the galleries of the east village. Galleries kind of led me repe a sales to a sales which represented my husband. What kind of metal obviously, there is stainless steel. Yes. At this point they are stainless steel. Any chance you will work with any kinds of metal . Working with copper, brass. Once i started with a stainless, there was no turning back. It is so lightweight and durable. So many variations you can do with stainless. What about your soldering technique . I dont do it anymore. I was pregnant with our daughter and realized i had to stop soldering. I did a collection of all cold attached pieces. No soldering at all. I ended up selling just as many. A long way from you from the first hammer and nail going into a piece of copper. You found that was a malleable material to use. Well done. Thank you for sharing this with us. Stevens. Esigner wendy was aars ago, the bronx beer mecca. Now, the suds are flowing again. You will meet the cofounder of the bronx brewery. Coming up on bloomberg west, they will have the very latest on the ali baba ipo. They plan to raise more than 21 million which is 21 billion which is the largest Public Offering in u. S. History. That is coming up on bloomberg west. This is taking stock on bloomberg. 1900s, part of the bronx was a beer lovers paradise. That had seven breweries and a 20 block radius. By the 1960s, that all disappeared but now beer is making a comeback in the bronx and joining me is the cofounder of the bronx brewery, chris gallant. Thank you for being here. Before we go to the bronx, we have to delve into a little background of chris gallant. Tell me about your experience. You were doing work for Heineken International, right . I was. I work in south america, mostly brazil. I could not ask for a better job. Was that how you learned about the Beer Industry . It was my first job in the Beer Industry so i learned a lot of Different Things from sales to marketing while working down there. Was this after you are at bain . During and after. Then you go down into the whole thing with hiding it Heineken International in brazil and then what . A lightbulb goes off over your head to do your own brewery . I have to move back to new york and have to be my own brewery. I partnered up with a couple of guys from the bronx and we decided to open up a brewery. You opened it up in port morris. 130 six st. It is a little bit of a challenge to put something up there, isnt it . We love it. There is a lot of great breweries. It is easy to get to from anywhere in the city, new jersey, connecticut. The neighborhood is changing. You built the brewery your self . You guys designed it . You have a dog run and you want to do the whole beer garden thing. We have a very big backyard. We built a dog run. As soon as we open that, we will encourage people to come and bring their dogs and have some beer. What are the some of the steps involved because when you are for starting a brewery, sometimes you have contact. That is what you did. We did something called a proprietorship. We went up to her brewery which we partnered up in connecticut. We went up there and brew the beer and bought it back to the city. We did that for a couple of years until we got enough capital together. What makes the bronx brewery, the beer itself distinctive . We make only pale ales. That is her favorite beer and drink. We think we make it very well. It is a very well balanced, very approachable beer. You can drink it at a fine dining restaurant or a sports bar. You have six different brews . We have one year round and for seasonal brews. We will have four yearround brews and four seasonal. What about people coming to actually see the whole process . We are just about to open for tours and taste testing. What about the raising of money . Obviously, this is a challenging business, particularly if you are not going to do huge volume. It is. Lots and lots of friends and family that were very nice. We eventually got a bank loan. What kind of volume are you looking to do . Last year, we did about 5000 barrels which is two cakes. This year we will do about 8000 barrels. The reception locally . We are about 600 restaurants and 500 Grocery Stores around long island. Would you like to expand nationally . Regionally first. As far as getting the licenses and all of the Legal Paperwork involved, what was that like . It is a long process. There is federal, state, city permits so there is quite a bit to do. I passed it on to my partner. Are there any beers or mentors that you cant of look to in the industry to say i would like my beer to be like that but only better. Who was the icon in the business . There are a lot of great pale ales out there. Great. Sierra nevadas great beers and they have made a name for themselves in the marketplace. What about the actual marketing . I noticed the logo, the look of the company which is very important. Marketing is so important for beer. When you walk into a Grocery Store, you see 100 beers on the shelf. You need to stand out on the shelf to distinguish yourself. It is very aggressive, distinctive and we hope people recognize that. You are making everybody very thirsty. Thank you, chris gallant. Thank you for taking stock. I am pimm fox. Live from pier three in San Francisco or at least from bloomberg headquarters in new york, we are bloomberg west. The ecommerce giant is on track to be the largest ipo in u. S. History. Billion. Ed 21. 1 investors will sell 320 million shares, giving alibaba aa