Hong Kong 1980: The Savage Era

Chapter 396 397 [Very Courageous]

It is unlikely that Hysan Development will be successful in the acquisition, but the fear it has created is equally real, and it is not up to the Ricci family and shareholders to disbelieve it.

Because Liu Luanxiong himself is famous, and there is a giant like Luo Qihong standing behind him, and banks are also willing to lend money to Liu Luanxiong.

Once the Li family lost Hysan Development Company, it would be like losing their limbs and could only survive until their collapse.

Luo Qihong is very cunning. He was not idle while Liu Luanxiong was taking action against Hysan Development Company.

Furama Hotel Central

Luo Qihong made an appointment to meet with Chen Bin, chairman of Dachang Real Estate Company.

Dachang Real Estate Company was one of the five tigers of Chinese real estate in the early 80s. However, its founder Chen Detai was conservative and missed the development opportunities, allowing other real estate companies to catch up.

Now that Chen Detai is dead, his son Chen Bin has inherited his conservative style and has basically not made any major moves. Dachang Real Estate has also become a second-rate company among Chinese real estate companies.

But Dachang Real Estate was once glorious and held some priceless assets.

Luo Qihong originally looked down on it, but it might be very effective against the Li family.

After a while of flattery, we gradually got to the point.

"Mr. Chen, let me get straight to the point." Luo Qihong said, "You should have heard the rumors in the market. I know that Dachang Real Estate Company holds a lot of shares in Hysan Development Company. I hope to get it."

"You name a price, I won't bargain."

Once the news came out, the share price of Hysan Development Company would no longer be decided by Luo Qihong and Liu Luanxiong.

Chen Bin thought of Chen Detai's instructions before his death and felt very embarrassed. He was very self-aware and he could not afford to offend either the Li family or Luo Qihong.

"Luo Sheng, we are all Chinese, why don't I be the middleman and let you and Li Sheng have a good chat?"

Luo Qihong smiled and said, "I appreciate Mr. Chen's kindness. I have already contacted the Li family, but we couldn't come to an agreement. If Mr. Chen is unwilling to sell those shares, I won't force him, I just want a clear answer."

"Mr. Luo, to be honest, Dachang Real Estate Company only holds 3.4% of the shares of Hysan Development Company, which can't play any role at all." Chen Bin politely refused.

"Okay, I understand what Mr. Chen means. Can Mr. Chen remain neutral on this matter?" Luo Qihong asked.

"Okay, I won't help either side."

"Thank you, Mr. Chen! I have another request. I can pay a 2% premium, based on the peak price in 87, to acquire 25% of Hysan Place's equity from Dachang Real Estate Company. What do you think, Mr. Chen?" Luo Qihong asked.

Of course Chen Bin understood Luo Qihong's purpose, and he also knew that Luo Qihong had been waiting for him here from the beginning.

"Mr. Chen helped me, so I owe him a favor. I can also promise to help Dachang Real Estate Company resist any attacks from the Li family in the future, without limit on the number of times." Luo Qihong vowed.

Since there is an oath to guarantee it, there will certainly be punishment for refusal.

So, Chen Bin was suddenly at a loss and didn't know how to choose.

He didn't want to offend anyone, but unfortunately he had no choice now. He might not even be able to deal with Liu Luanxiong, let alone Luo Qihong.

Luo Qihong didn't urge Chen Bin. He just drank tea and read a magazine.

"Okay, 25% equity interest in Hysan Place at a 2% premium." Chen Bin accepted his fate. Luo Qihong smiled and said, "In fact, Hysan Development was not fair. When it was listed, it weakened your equity and did not help Dachang Real Estate. Mr. Chen should not feel guilty."

Chen Detai died in 81 and Hysan Development Company was listed in 83.

The shares held by Dachang Real Estate Company were weakened, and Dachang Real Estate Company was also kicked out of the board of directors. Luo Qihong didn't believe that Chen Bin was not angry, but was just afraid of the power of the Li family and had to endure it.

Chen Bin didn't say anything, just nodded.

Wednesday, May 3

Cheng Jianshen rushed into the office, his face looking very panicked, as if something terrible had happened.

"Boss, this is bad. The Li family announced that they hold a 2.1% stake in Zhaoan Real Estate Company and have acquired the company in its entirety."

Hearing this, Luo Qihong's eyes widened. He didn't expect Li Dingchang to be so powerful that he could pull off such a trick and acquire Zhaoan Real Estate Company with a market value of more than 50 billion yuan.

He then sat firmly in the leather chair and said with a smile, "When did the Li family become so sharp? Even the entire Hysan Development Company may not be able to replace it."

"De'an Securities Investment Company holds a 40% stake in Zhao'an Real Estate Company. It seems very stable. Why not continue to consolidate the stake?!" Cheng Jianshen said worriedly.

Luo Qihong waved his hand and said, "Li Dingchang is playing the same trick as Liu Luanxiong, threatening to acquire him without even considering whether he has the ability to do so."

"Don't worry! Go buy a newspaper and ask them to report on the current situation of the Li family and Hysan Development. This will let outside shareholders know that Li Dingchang is strong on the outside but weak on the inside."

"Okay." Seeing that the boss had made the decision, Cheng Jianshen said nothing more.

Luo Qihong thought about it and decided to call Bai Jinyan and ask her to increase her stake in Zhaoan Real Estate Company by about 4%.

Naturally, all major newspapers reported the news, but many articles favored the Li family, believing that the Li family must have some foundation as they have been in Hong Kong for half a century.

If they dare to launch a comprehensive acquisition of Zhaoan Real Estate Company, they must have something to rely on.

As a result, the share price of Zhaoan Real Estate Company rose significantly, and its market value once exceeded 60 billion yuan.

Under Luo Qihong's instructions, Zhaoan Real Estate Company did not respond for a long time, and remained silent even when interviewed by reporters.

Therefore, rumors spread everywhere. Some people said that Luo Qihong was very angry and was looking for the flaws of the Li family. Others said that Luo Qihong was afraid and was negotiating with the Li family.
It was not until the end of March that Siu On Properties announced that it held a 3% stake in Hysan Place. At the same time, it joined hands with Chinese Estates Holdings to launch a full acquisition of Hysan Development Company and already held a 25% stake.

This news exploded in the Hong Kong stock market like a bomb. Investors flocked into the stock market and asked traders to buy shares of Hysan Development Company, fearing that they would be one step behind.

Li Dingchang thought of this step, but it caused panic among the tribesmen.

One Liu Luanxiong was enough for them to deal with, and now with the addition of Luo Qihong, it is questionable whether the Li family can withstand it, let alone acquire Zhaoan Real Estate.

Li's Family House
Elders such as Li Rongsen, Li Rongda, and Li Luyanqun were sitting, and only Li Dingchang, a member of the third generation, sat down, and he was the first to sit.

"Dingchang, what did you do? You actually offended two barbarians and gave them an excuse." Li Rongsen was the first to accuse, his face very serious.

"Uncle Sen, I was forced to do this. If I don't do this, the property reconstruction plan of Enping Road will be shelved." Li Dingchang said unconvinced, "I didn't provoke them first. They broke in. If we ignore them, our family will not only lose our ancestral property, but also lose face, and even attract other covetous people."

(End of this chapter)