Hong Kong 1980: The Savage Era

Chapter 492 494 [Pampas Grass]

According to the information, Wang Laboratories is on the verge of bankruptcy and some of its industries will be acquired by peer companies.

Luo Qihong suddenly had the idea of ​​acquisition. With the computer industry as his foundation, he could enter other technology sectors at any time, but the funds required would be huge, at least 10 billion US dollars, or perhaps more.

"Do I really have to cash out my stock market investment?" Luo Qihong muttered to himself, but quickly rejected the idea.

The reason is very simple. Investing in the stock market is sure to make money, and it doesn't take long, and the profit margin is high. Investing in Wang Laboratories will take several years to get your money back, so the profit loss is huge.

This leaves only two options: one is to partner with others, and the other is to take out a loan.

Luo Qihong and Wang An have the same idea, that is, the company is in the hands of the family and will not serve as a wedding dress for others, so it does not matter even if one or two "Huo Guangs" appear.

Therefore, partnering with others is basically not an option, and the only option is to take out a loan.

So Luo Qihong immediately packed some documents, notified the driver, and went to Bank of China.

VIP reception room of Citibank Bank in Central.

Luo Qihong took a sip of coffee and said to Busquere, "You helped Citibank solve such a big problem. Why don't you transfer back to the US headquarters and stay in Hong Kong?"

Busquere said with a smile, "Luo Sheng, you don't know that the Bank of America suffered such a huge loss some time ago, and only Hong Kong made a profit. I can't go back to clean up their mess. Besides, those people have great influence in the United States, and I can't do a good job. It's better for me to go back to Hong Kong and work hard."

"It's not like I have gained nothing. I am now a member of the board of directors of Citibank and the head of the Asia region."

"Mr. Busquere, we have known each other for a long time. I think you made a good choice. The most difficult thing for a financier to do is not to be greedy and to know how to make choices," said Luo Qihong.

"Luo Sheng, you are right. Most of those who fail do so because of greed and arrogance." Buskere nodded seriously, agreeing with Luo Qihong's statement.

"Actually, I'm here today to apply for a loan for a project, and the amount will be quite large." Luo Qihong stared at Busquere.

"How much does Luo Sheng need?"

Luo Qihong raised his hand and said, "5 million US dollars."

Calculated based on the exchange rate of 7.8 between the Hong Kong dollar and the US dollar, the loan is 39 billion Hong Kong dollars, which is not a small amount.

Buskele frowned and asked, "Which project does Luo Sheng want to invest in? I need to do a good investigation before I can get back to you."

"I happen to have some information about Wang Laboratories in the United States. You can take a look at it first." Luo Qihong took out a stack of documents from his briefcase and placed them in front of Buskere.

Although Buskere no longer works in the United States, he always pays attention to the American market and has heard a lot of news about Wang Laboratories.

"Mr. Luo, Wang Laboratories is about to go bankrupt. Why do you want to take over? What do you see in this company?" Buskele was not in a hurry to look through the documents. Instead, he asked Luo Qihong with a serious face.

Although Luo Qihong's approach was a bit strange, Busquere did not dare to easily deny the project, because Luo Qihong had been famous for a long time, had a good vision, and rarely made mistakes.

"There are two more important reasons. One is that Wang Laboratories was founded by Chinese, so I can get started quickly. The other is that the technology boom is on the rise in the United States, especially high-tech in personal computers," Luo Qihong responded succinctly.

Buskele nodded and began to flip through the documents quickly and casually, his expression becoming increasingly uglier.

Fifteen minutes later, Buskele said, "Are you, Mr. Luo, attracted by Wang Laboratories' talent pool and production lines? If so, I think there are more options and there is no need to choose Wang Laboratories, which is a big burden." "No, I'm attracted by the brand of Wang Laboratories. You should know that it takes at least several years to establish a brand. Although it costs more money and requires risks, there are also many benefits." Luo Qihong explained that his determination would not change because of a few words.

"If Citibank believes in me, I suggest that the bank become a shareholder and director of Wang Laboratories, which will surely bring rich profits in the future."

Busquere responded, "This project is too big. I need to report it to headquarters and let them decide."

"Mr. Luo can contact the people at Wang An Computer Company first. I think the people at the headquarters will definitely agree to provide you with a loan. Mr. Luo is one of the largest customers of the Bank of China."

"Okay, then I'll wait for your good news." Luo Qihong smiled faintly.

Bank of China has just escaped from a bankruptcy crisis, so it is natural that it has to be cautious when facing such a project. Once problems arise, the next bankruptcy crisis will be even more terrifying.

The next day, Luo Qihong went to the Mandarin Oriental Hotel in Central to meet with HSBC's boss, Mr. Pavillion.

Pu Weishi is not as famous as his predecessor, Stephen Sham, but he has been implementing Stephen Sham's internationalization strategy for HSBC and has studied the feasibility of acquiring about 30 European banks.

However, the acquisition prices of these banks were either too high or the business base was too narrow, which was not what HSBC wanted. Finally, in 87, Pavlyuchenko set his sights on Midland Bank, one of the four major clearing banks in the UK.

Pu Weishi was a very cautious person. He did not choose to quickly acquire Midland Bank, but instead adopted a step-by-step approach to slowly acquire its shares.

In 90, HSBC's business in the United States and Europe hit the rocks, with losses amounting to hundreds of millions of dollars. Midland Bank faced even greater difficulties. At that time, the United Kingdom had begun to enter a period of economic recession, and the bank inevitably suffered huge losses in its domestic lending business.

At that time, Luo Qihong acted decisively and acquired a lot of shares of Midland Bank, becoming its fourth largest shareholder, holding 4% of the shares.

By 92, both HSBC and Midland Bank had recovered and acquisitions were back on track.

In fact, in 91, Midland Bank rejected HSBC's acquisition plan because 15 international banks wanted to acquire Midland Bank, the most active of which was Lloyds Bank, one of the four major settlement banks.

In 86, Lloyds Bank came to Hong Kong to acquire Standard Chartered Bank, but was defeated by Pao Yue-kong, Lo Chi-hung and others.

"Mr. Luo, we meet again." Pu Weishi was the first to greet.

"Hello, Mr. Pu Weishi!" Luo Qihong smiled and shook hands with Pu Weishi.

"I would like to personally thank you for your support to HSBC. Siu On Group is one of HSBC's largest clients in Hong Kong." Pu Weishi played the favor card right from the start.

However, Luo Qihong was not very grateful. "HSBC is the Federal Reserve of Hong Kong. Zhaoan Group naturally relies on it."

Soon, the topic turned to Lloyds Bank's acquisition of Midland Bank.

"Mr. Pu Weishi, Heng'an Investment Company is an international investment company. We have always followed the principle of profit first. As long as HSBC's bid is higher than that of Lloyds Bank, I have no reason to refuse." Luo Qihong didn't care about playing the favor card.

Pu Weishi is about to step down, and he only wants to acquire Midland Bank while in office. Accepting his favor will be of no use at all. Besides, the Zhaoan Group is already one of the top ten chaebols in Hong Kong and is not afraid of HSBC at all.

HSBC will not lend, but there are other banks that are willing to lend. Besides, Zhaoan Group has so many listed companies under its umbrella that it can raise funds for share offerings, or directly undertake the responsibility on its own.

(End of this chapter)