Hong Kong variety show: The mastermind behind the scenes is emerging.
Chapter 83 The Ambition of a Media Empire
After a few meaningless, business-like compliments, the atmosphere gradually shifted from small talk to getting down to business.
Shen Zhou put down his bone china teacup and, as the middleman in this transaction, broke the silence first.
"Mr. Lu, I know your time is valuable, so I won't beat around the bush," Shen Zhou said, his sharp blue eyes peering at Lu Chen through his gold-rimmed glasses. "Sir Bao is very interested in the 16 million shares of Wharf Holdings you hold. I wonder if Mr. Lu would be willing to part with them? Of course, the price will definitely satisfy you."
Lu Chen smiled slightly, his fingers gently stroking the sofa armrest.
To part with something you love? Of course you should.
Wharf Holdings is indeed a goose that lays golden eggs, possessing a prime location in Tsim Sha Tsui and controlling the logistics lifeline of Hong Kong Island. But for Lu Chen now, this goose is too big and too hot to handle; he simply can't swallow it. His initial purpose for entering the market was very clear—to speculate and profit, and incidentally, to gain a favor.
From a rational business perspective, Wharf Holdings' current true value per share is just over HK$40. Now, with the takeover battle intensifying, the share price has been artificially inflated to HK$61, reaching its peak.
Flowers don't bloom for a hundred days, and stocks don't rise steadily forever. If we don't act now, and either Jardine Matheson or the shipping magnate wins, the stock price will inevitably plummet like a roller coaster.
Lu Chen is a gambler, but he is also a winner who knows when to leave.
"Since Sir John Paul needs it, I'm naturally willing to oblige," Lu Chen adjusted his posture, looking directly at the shipping magnate, "but I wonder about the price..."
The shipping magnate took a deep breath.
He knew the crucial moment had arrived.
"Young friend, I'm a straightforward man." The shipping magnate held up seven fingers. "Jardine Matheson's publicly announced price is HK$61 per share. I'm willing to add five dollars to that. HK$66 per share, what do you say?"
66 yuan!
Upon hearing this number, even Shen Zhou, who was standing to the side, raised an eyebrow slightly.
This is a full HK$5 higher than Jardine Matheson's HK$61! Based on 16 million shares, this means that the shipping magnate will have to pay more than HK$100 million more!
"66 yuan..."
Lu Chen tapped his fingers lightly on the armrest of the sofa, a thoughtful expression on his face, as if weighing the pros and cons. But in reality, he was overjoyed; the price had far exceeded his expectations.
Moreover, it's not just a matter of money.
Compared to the arrogant and declining Jardine Matheson & Co., Lu Chen was inclined from the beginning to sell his shares to the shipping magnate. Regardless of whether HSBC was behind the shipping magnate, this acquisition battle was essentially a historic challenge from Chinese conglomerates to British trading companies. The shipping magnate's victory would greatly boost the morale of Chinese enterprises, break the British monopoly, and improve the business environment for Chinese in Hong Kong.
As someone with a long-term vision, Lu Chen knew very well that a more vibrant business environment dominated by Chinese people would be of great benefit to his future plans.
This is not just a business, but a major trend.
Lu Chen stopped knocking and nodded slightly, meeting Bao Chuanwang's anxious gaze.
"Since you've brought up the matter, everything is negotiable," Lu Chen nodded, his tone decisive. "66 yuan, these shares are yours."
A simple sentence made both Bao Chuanwang and Shen Zhou breathe a sigh of relief, as if a huge burden had been lifted off their shoulders.
"However..." Lu Chen changed the subject, holding up one finger, "I have one more small condition."
Instantly, my heart, which had just settled down, jumped again.
Bao Chuanwang and Shen Zhou exchanged a glance. In this situation, even if Lu Chen wanted the moon in the sky, they would have to find a way to get it.
"Young friend Lu, please speak!" the shipping magnate said magnanimously. "Anything I, Bao, can do, I will do without hesitation!"
Lu Chen smiled and turned his gaze to Shen Zhou, who was standing to the side: "This condition may require Shen Daban to part with it."
"Me?" Shen Zhou was taken aback.
"I heard that HSBC holds about 20% of RTV's shares." Lu Chen turned to Shen Zhou, his gaze intense. "I want to buy it."
"What?"
Upon hearing this condition, both Shen Zhou and Bao Chuanwang were stunned.
They had imagined that Lu Chen would want land, shipping shares, or even HSBC's low-interest loan quota.
But what I never expected was that this young man would take a liking to—the television station.
It's important to know that in Hong Kong in the early 80s, the most profitable industries were always the "three pillars": real estate, finance, and shipping.
As for television stations?
That's a notorious "money pit".
The investment is huge, the equipment is expensive, the staff is redundant, and the payback period is extremely slow.
More importantly, the current television industry in Hong Kong is characterized by a "one dominant player and many strong contenders" situation. Shaw Brothers' TVB (Television Broadcasts Limited) holds a monopoly, accounting for more than 80% of the viewership and making a fortune.
As for RTV, although it was the first television station on Hong Kong Island, it has been constantly overshadowed by TVB in recent years and has suffered heavy losses. As for the unfortunate CTV, it is barely alive and on the verge of bankruptcy.
It's fair to say that the combined annual GG fees of these two companies are less than the increase in price of a single plot of land in Central.
“Mr. Lu, as a businessman, I am naturally willing to sell if the price is right. However, if I may be frank,” Shen Zhou put down his cigar, a hint of confusion in his eyes, “HSBC does indeed hold 20% of Lai Sun's shares, which were acquired as debt settlement from non-performing assets back then, but this stuff… isn't profitable. You're a shrewd businessman, why would you be interested in this?”
Why?
Lu Chen leaned back in his chair, a barely perceptible glint of cold light flashing in his eyes.
Because in this world, there are some things more important than money.
That is—the mouthpiece, the power of discourse, the ability to define right and wrong.
Living in Hong Kong, an island controlled by foreigners, Lu Chen understood all too well the importance of public opinion.
It was an invisible blade that killed without drawing blood.
Hate a competitor? Send in paparazzi to investigate, uncover dirt, and then expose them during prime time on the evening news. One blitz can halve their stock price and destroy their reputation.
Do you dislike a particular councilor or official? Secretly gather evidence of corruption and broadcast it on television as a "special report."
In this age of information asymmetry, controlling the television station is tantamount to controlling the eyes and ears of millions of people in Hong Kong; controlling the microphone means controlling the power to define justice.
and……
There was another, more secretive, and deeper reason, which Lu Chen naturally wouldn't reveal.
That is—money laundering.
As the "drinkhouse" expands its business, massive amounts of illicit money will be generated, whether it's counterfeit currency, weapons, or the future Takamagahara. And the current film and entertainment industry is practically a paradise created for money laundering.
What is the cost of a movie or a TV series?
This is entirely a mystery.
A prop gun costs 100 dollars to produce, but can be listed as 10,000 dollars on the books because it is a "specially made prop".
An explosion destroyed a building, making it incredibly valuable.
The exact number of extras and their individual salaries are impossible to ascertain.
As long as these inflated props are reasonably used up during filming, large sums of illicit money can legitimately enter bank accounts. This is a major reason why many film companies in Hong Kong later had triad connections behind them.
The reason for choosing RTV is that it is the best option among the three major television stations in Hong Kong. TVB's ratings far surpass those of RTV and CTV, but precisely because of this, TVB's major shareholders, Lee Ka and Shaw Lau-choi, are even less likely to sell their TVB shares.
As for CTV, it was a complete disaster. In order to establish the third television station on Hong Kong Island, they were forced to agree to broadcast eight hours of educational programming daily by the Hong Kong authorities; no wonder the ratings were so low!
Therefore, the only breakthrough now is Rediffusion Television (later ATV).
Although RTV is currently operating at a loss, its foundation remains solid. It possesses state-of-the-art equipment, a mature team, and a portfolio of high-quality intellectual property. Given sufficient funding and the right strategy, it is fully capable of competing with TVB. He believes that with his forward-thinking scripts and ideas, he can absolutely transform it into the most influential media empire in Hong Kong and even across Asia.
"Ms. Shen, I'm a young man," Lu Chen said, pulling himself out of his thoughts and revealing a smile full of "sentiment." "Young people always have some cultural dreams. And I think that with the development of Hong Kong's economy, the entertainment industry has a bright future."
"As for whether it will make money or not... I have the billion I made from Wharf Holdings, so I can afford to lose it."
The phrase "I can afford to lose money" was incredibly arrogant, and both Shen Zhou and Bao Chuanwang laughed.
Yeah, they just made a billion in cash, what's wrong with buying a TV station for fun? Just think of it as a high-class toy for the rich.
"Alright! Since Mr. Lu is in such a good mood, how could I refuse?" Shen Zhou immediately made the decision, "HSBC is willing to transfer the 20% stake. As for the price, we'll just offer 10% of the market price. Consider it a gesture of friendship with Mr. Lu."
For Shen Zhou, RTV was a dead-end asset that would die if it didn't receive financial support, and he had wanted to get rid of it for a long time. Now that Lu Chen was willing to take it over, he couldn't be happier.
"Thank you very much, Ms. Shen."
Lu Chen raised his teacup, using tea instead of wine, "Also, I have another favor to ask. I'm afraid we'll need Ms. Shen's help in making connections regarding the 70% stake held by Rediffusion."
The majority of Rediffusion Television's shares are held by its parent company, Rediffusion Holdings, with 70% owned by Rediffusion itself, HSBC holding 20%, and the remaining 10% held by some insignificant minority shareholders. Acquiring the first two would be tantamount to acquiring the entire television station.
"no problem!"
Shen Zhou was in a great mood and readily agreed, "Speaking of which, John's parent company is also very dissatisfied with Li's continuous losses and has long wanted to withdraw its investment and recoup its funds. As long as the price is right, I believe they will be happy to pass this burden on to you. I will personally call the chairman of Li's board of directors."
"That's troublesome."
Lu Chen nodded, a glint of ambition flashing in his eyes.
Relying on RTV (Rediffusion Television), and then acquiring several best-selling newspapers, and integrating some cinema resources...
A media empire belonging to Lu Chen and to Golden Harvest is about to rise in Hong Kong.
"Come on! Let's wish each other a pleasant collaboration!"
At this moment, the shipping magnate was most excited. He stood up and raised his teacup.
"It's a pleasure working with you."
"It's a pleasure working with you."
The three teacups gently touched in mid-air.
At this moment, the wheels of history roll ever onward.
With the acquisition of Wharf Holdings, the shipping magnate is about to embark on his real estate empire.
HSBC shed its burdens and strengthened its allies.
Lu Chen, on the other hand, calmly walked out of the HSBC Building with a billion yuan in cash and a key to a media empire.
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