Hong Kong 1980: The Savage Era

Chapter 335 336 [Debt is a big problem]

A booming market has its own practices. Although Huaguang Real Estate Company will become a heavily indebted company and there will be a large amount of debt to repay after the privatization of Huaguang Real Estate, the local market is booming enough that it can cash out at a high level and keep important assets.

In a sluggish market, the privatization procedures will be simpler and easier, but the difference in funds between the two will not be too large. After all, shares can be issued to raise funds when the market is booming.

The two companies alone own four commercial buildings in Central, with a rental area of ​​more than 4 square feet, annual revenue of more than 60 million Hong Kong dollars and a net profit of more than 1 million yuan.

You should know that high-quality medium-sized real estate companies like Guangshengxing International have annual net profits of tens of millions, which shows the quality of these two companies.

"Let's privatize Legu Real Estate Company now. Huaguang Real Estate Company should buy more shares to acquire it at the lowest cost." Luo Qihong made the decision.

"Boss, the loan that Huaguang Real Estate owed when it acquired Legu Real Estate has not been repaid yet. If we insist on acquiring Legu Real Estate, I am worried about a crisis." Kang Wenyi said worriedly.

Luo Qihong thought about it and realized that he had not made securities and stock investments for Huaguang Real Estate Company for some time. It was time to help make some money.

"Notify Huaguang Real Estate Company and prepare a fund of 5 million. I will need it in great need."

"Yes! Boss!" Chen Zhilong agreed.

Then, Luo Qihong explained the company's land development matters.

Sunday, November 9

The finance ministers and central bank governors of the United States, Japan, Federal Germany, France and the United Kingdom signed the Plaza Accord at the Plaza Hotel in New York, inducing an orderly depreciation of the US dollar against major currencies in order to solve the problem of the United States' huge trade deficit.

It was a holiday, but Luo Qihong, who had investments in securities and stocks, had no intention of resting as he waited for news from the United States.

"I didn't expect Japan and the Federal Republic of Germany to be so short-sighted that they actually agreed to the appreciation of the yen and the mark." Bai Jinyan said with some regret.

Misjudgment would result in huge losses, but De'an Company has invested more than 30 billion Hong Kong dollars in Japan and can make a lot of profit.

"Politics determines the economic form. These two countries have to rely on the United States. How can they have their own opinions? Americans will not allow them to have their own opinions." Luo Qihong also breathed a sigh of relief.

Even though he knew about the Plaza Accord, he was still worried about unexpected things going wrong. After all, this was a leveraged investment of more than 1 billion yuan, and the interest generated would be more than 1 million yuan per month, which was very shocking.

Not making money means a loss, and a big loss at that.

"How much did you invest personally?" Bai Jinyan was sure that Luo Qihong had made a huge investment that appreciated in value.

"One hundred billion, all leveraged." Luo Qihong raised a finger and said with some pride.

Bai Jinyan was shocked. That was 1 billion, not 10 billion.

“So when do you plan to end your investment?”

"I estimate that the Japanese yen will appreciate by 10% in early October. The increase this year is about 10%. I should sell some of it in the middle of next year and sell it all the year after next." Luo Qihong expressed his plan.

"The interest generated will probably not be a small amount. Are you ready?" Bai Jinyan asked.

"At worst, I can sell some first and use the funds to repay the interest." Luo Qihong didn't care much about it.

"Don't be discouraged. The company's investment in Japan can also make a lot of profits." Luo Qihong said comfortingly.

Bai Jinyan smiled and said, "There are still some losses. If we use leverage, we can at least make a few hundred million in profit. If the profit is multiplied by the profit, then that would be a huge profit of more than 10 billion."

"According to your calculation, my assets can be doubled quickly, right?" Luo Qihong hugged Bai Jinyan's shoulders and said, "Be happy. You can earn money slowly. There will be plenty of opportunities in the future."

"I'm now considering whether I can let De'an Company enter the market by relying on its advantages in the Japanese market?" Bai Jinyan is still thinking about making money.

It is a little late to enter the money market now. There will definitely be a good market tomorrow, and investors will flock to the securities market to buy stocks vigorously.

"You can do it! But you can only drink some soup." Luo Qihong smiled faintly.

"It doesn't matter how much it is. At least I can make more money." Bai Jinyan said this and left the office to make arrangements for tomorrow's entry.

Luo Qihong shook his head. Dean Company was a large company with a huge business. In fact, it could recover the tens of millions of profits from other aspects. There was no need to "steal food like a hungry dog".

The next morning
The entire securities market in Hong Kong was going crazy, with countless securities investment companies pouring into the market, trying to grab a share of Japanese yen investments.

In order to get some shares as soon as possible, some companies tempted some owners with 5% profit and proposed acquisition. Some were even willing to pay 10% profit to get large investment orders.

Daoheng Group Meeting Room

Guo Lingcan knew that Luo Qihong must have a large number of Japanese yen investment orders, so he wanted to talk to Luo Qihong.

"Mr. Luo, you were so optimistic about the appreciation of the Japanese yen and the mark some time ago. I believe you have made a lot of investments, right?" Guo Lingcan stared at Luo Qihong with wolf-like eyes.

"There are some." Luo Qihong smiled slightly. Of course, it was impossible to deliver this to Daoheng Group.

"Can some of it be transferred to Daoheng Group? I am willing to increase the price by 10%." Guo Lingcan said.

Luo Qihong shook his head and said, "Mr. Guo has already said that I am optimistic about the appreciation of the Japanese yen. The Japanese yen will appreciate by more than 10%."

"Well, a gentleman should not take away what others like!" Guo Lingcan's purpose was obviously not this. "De'an Securities Investment Company has been in Japan for many years and has a large amount of investment. I wonder if it can help Daoheng Group get some shares of the yen appreciation investment?"

Luo Qihong hesitated for a moment and said awkwardly, "Mr. Guo, to be honest, De'an Company is scrambling for orders due to the appreciation of the Japanese yen. How can there be any left for others?"

"Mr. Luo, how about a 10% premium for each order?" Guo Lingcan raised a finger, with a meaningful smile on his face. "De'an Securities Investment Company has many projects. Although the appreciation of the yen can make a lot of money, it also takes time. It's better to move to other projects, which should be more profitable."

"Mr. Guo's words make sense. I'll try to allocate some orders to the group." Luo Qihong said with a smile, "In fact, if the group can invest in Japan, it will also have similar profits."

Guo Lingcan nodded. The appreciation of the Japanese yen would not happen all at once. With the help of Dean Investment Company, the Japanese market would be easy to open. Coupled with the appreciation of the Japanese yen, the profits should not be much worse than leveraged investment.

The key is that it can accommodate larger quantities without causing much trouble.

"Okay, then I will immediately raise 5 million yuan and give it to De'an Securities Investment Company." "Don't worry, some things take time to arrange." Luo Qihong didn't want to delay De'an Company's investment because of Daoheng Group.

"It's almost lunchtime. Is Luo Sheng free to have lunch together?" Guo Lingcan asked with a smile.

"Okay! Let's have a meal together." Luo Qihong nodded in response.

Guo Lingcan's reaction speed was really fast, and he found the breakthrough of the investment project in no time.

In fact, the share of yen appreciation that can be obtained is very small, and investing in the Japanese market is the right way out, which is a bit like attacking Wei to save Zhao.

Wednesday, May 9

The weather was a little cooler, and the light rain took away the heat from the air.

AMG officially announced that it had acquired 51.3% of the shares of Star Ferry Company, becoming the holding company of Star Ferry Company, and continued to carry out a comprehensive acquisition of Star Ferry Company.

This news dealt a heavy blow to the Hong Kong market.

In fact, many people thought that Li Zhaoji would win, but Liu Luanxiong narrowly won, which surprised these people.

Li Zhaoji is not a simple person either. Seeing that he has lost, he sold all of his 38% stake in Hengji Lighting Company to Aimego Company, intending to impose a heavy financial burden on Aimego Company.

Perhaps this way they can fight back and even regain control of the Star Ferry Company.

conference room
Liang Botao, Liu Luanxiong and Luo Qihong's seats were arranged in a triangle, and the atmosphere was very relaxed.

"Congratulations to Mr. Liu and Mr. Luo! Aigo has successfully acquired the Star Ferry Company." Liang Botao's face was full of smiles. This will also be the most important battle in his career.

After all, defeating Hong Kong's top rich man Li Zhaoji is definitely something worth bragging about.

"Congratulations! Mr. Liang will become the most popular acquisition expert in Hong Kong after this battle." Liu Luanxiong couldn't help but reply.

Luo Qihong smiled slightly, and immediately poured cold water on the two of them. "Li Zhaoji has sent someone to register to sell 38% of the shares, which requires at least 7 million yuan in cash flow. How do you plan to solve this problem?"

Liu Luanxiong smiled and said, "We have already thought of a countermeasure and have also negotiated with an investment company to take over Aigo. They are willing to take over the 38% stake at the highest price."

Luo Qihong nodded. It turned out that the two had already discussed it. No wonder it was so easy. However, another question came out: "According to the Company Law, the equity of the circulating stock market cannot be less than 25%. The equity held by the two has exceeded 75%. How to solve it?"

"Mr. Liang has already started reducing his holdings in Aigo and plans to reduce his holdings to 42%." Liu Luanxiong said, "The investment company will also reduce its holdings by about 8%. In the end, we and the investment company will hold a total of 72% of the shares."

"It seems that Mr. Liu has already made the arrangements." Luo Qihong smiled and said, "What about the debts of Aimico? Are there any other additional conditions for the investment company?"

"The debt issue is the most difficult. I don't have a good solution for now. I need to ask Mr. Luo for advice." Liu Luanxiong said, "As for the investment company, there are indeed other conditions. It is a bet agreement that requires us to increase the share price of Star Ferry to 2 yuan within two years, and it needs to be stabilized."

"The stock price is 20 yuan, so the market value is 26 billion yuan, which is 10 billion yuan higher than the actual asset value. There is only 2 years left, which is very difficult." Luo Qihong sighed.

"It is indeed difficult, but Aigo must take over the Star Ferry Company, and no bank is willing to loan 8 million yuan to Aigo. We can only use this risky method, otherwise the company will suffer heavy losses." Liu Luanxiong defended himself.

"Well, there is still a chance. Fortunately, Li Zhaoji did not let the Star Ferry Company be too heavily indebted. The debt ratio is only 31%." Luo Qihong did not want to be defeated like Liu Luanxiong and spit out what he had already eaten.

The two looked at Luo Qihong with shining eyes, hoping that Luo Qihong would continue speaking.

Luo Qihong said with a smile, "Don't look at me. If you want to quickly solve the debt problem, I can't think of any good way except investing in the stock market. As for the market value of the Star Ferry Company, you can take it easy and use Liu Sheng's sniping method to solve part of the debt problem."

"The speed at which the stock market makes money is probably not as fast as Liu Sheng's sniper tactics." Liang Botao retorted.

"Of course, but we must target large companies. You can't get much out of small companies," Luo Qihong reminded.

For example, Liu Luanxiong's attack on Nengda Technology Company only made a profit of 1 million yuan. He would have to attack at least 3 Nengda Technology Companies to solve part of the debt problem of Aimego Company.

"What Luo Sheng said makes sense. Sniping seems fast, but it is actually very slow. It requires a preparation period of 1 or 2 months in the early stage. Adding the time for sniping, it will take 3 months anyway to complete an order. We can do 4 orders a year, and if we are more able, we can do 5 or 6 orders." Liu Luanxiong told the truth.

Liang Botao nodded slightly and said no more.

"How about the share offering, Mr. Liu?" Luo Qihong asked.

This question is to ask whether Liu Luanxiong's personal funds can support the rights issue. After all, Liu Luanxiong is the weakest.

"Why not issue new shares?" Liu Luanxiong said, "Now the stock price of Aigo is good. I can sell some first and then buy new shares at a low price."

Liang Botao reminded, "The directors may not agree. It is better to issue shares, Mr. Liu."

Liu Luanxiong glanced at Luo Qihong and nodded, "Okay, let's do a small-scale share offering first, and then I'll see if there are any suitable large companies to target."

"We still need to take a multi-pronged approach. Not too much money can be gathered in one direction." Luo Qihong said, "Aimego Company needs to continue to develop new products. I will let Hexiang Trading Company focus on sales."

"Mr. Luo, I think we can join forces with Qiyun Investment Company to expand the scale of the 'treasure hunt' project." Liu Luanxiong suddenly remembered this money-making project.

If these companies on the verge of bankruptcy were managed carefully, it would not be a problem for them to earn tens of millions, which is no less than what they could earn from a single sniper attack.

"Okay, then let's talk to Miss Lin another day. I believe Miss Lin will not refuse." Luo Qihong said, "Or Mr. Liu can transfer the private investment company to Aigo Company and do this business on his own."

"Will this take away the business of Qiyun Investment Company?" Liu Luanxiong was obviously tempted.

"There are so many companies on the verge of bankruptcy in Hong Kong, and a large number of foreign companies are pouring in. The market is huge, and there is no situation of competing for business." Luo Qihong waved his hand.

Both of these companies are his affiliated companies, so there is no need to be biased.

"Okay, then I'll get started right away." Liu Luanxiong said.

(End of this chapter)