Reborn in America, I'm serious about making money.
Chapter 278 Dahua 36 Listing 2
Zhuhai is close to Haojiang, a world-famous D city, and Zhuhai is the gateway to Haojiang. Its situation is similar to that of Shenzhen, but its economy is much worse.
The reason is that Macau is a D city, while Hong Kong is a free port; one is an entertainment city that developed based on spinach, and the other is a free port with a good harbor that developed based on commerce; the two are naturally incomparable. Commerce is a necessity for people's livelihood, while spinach is a pastime for the wealthy.
If Dahua 36 Pharmaceutical Company were located in Shenzhen, it would attract a hundredfold increase in subscriptions. Land in Shenzhen is so valuable, much more expensive than in Zhuhai. When land in Shenzhen was over 100,000 yuan per square meter, it was only around 10,000 yuan per square meter there.
Dahua 36 quickly completed all the procedures and officially went public in 2003. On the first day of listing, the stock opened 20% higher, which can be considered a good start. However, it pulled back a little by the end of the day, and the closing price was HK$2.18.
However, they managed to save face and avoid a break in the hairline.
The funds raised from Dahua 36's IPO will primarily be used to purchase some patented technologies from North America, which will then be produced and sold in mainland China. One of these technologies is a polypeptide drug used to treat tumors, which is also effective against terminal malignant tumors, but it is quite expensive—yes, very expensive.
The production of this drug is a biotechnology, and the yield is extremely low. One injection costs 20,000 yuan, and six injections are needed a year. It's simply not something an ordinary person can afford.
In North America, this drug is unaffordable for ordinary people, and the target audience there is small. They sold the licensed technology from Asia to Dahua 36 Pharmaceutical Factory.
Of course, they purchased more than one technology; another patent was for a drug to treat cardiovascular and cerebrovascular diseases, which has also received positive reviews in North America.
The last item is a weight-loss drug that controls weight by reducing the body's absorption of sugar.
This information is confidential, classified as a top-level trade secret, and the ownership of these patents belongs to Zhang San.
As mentioned earlier, since Zhang San took over the responsibility for MS, he naturally followed the path of becoming the richest man. His charitable foundation invested in many medical research laboratories, and the patent ownership of the products developed in these laboratories ultimately belonged to one of Zhang San's foundations.
These three technology patents are merely a matter of transferring money from one hand to the other.
After being introduced, it will not be put into production immediately; it needs to undergo clinical trials. Back then, a certain beer company developed a dry vaccine, and its stock price skyrocketed. With these three technology patents, wouldn't it take off immediately?
On the first day, overseas securities firms drove up the price of Dahua 36 to HK$2.20, and closed at HK$2.18, with the aim of acquiring scattered shares on the market.
They already held 750 million shares of Dahua 360, and now they have acquired another 350 million shares. The trading volume that day exceeded HK$900 million, attracting the attention of many investment institutions.
"What's going on with this 36? Why is the trading volume so high?"
This is a fund manager in a conference room, reviewing the day's stock trading data and analyzing the performance of Dahua 36 stock.
A daily turnover of HK$900 million is an enormous amount. Especially considering this is Hong Kong, a single stock with a turnover of HK$900 million is considered astronomical.
"Is it because land prices are rising in mainland China? They own hundreds of hectares of land."
"The land there isn't worth much, there must be something wrong here." The fund manager had someone bring him the information about Dahua 36, and saw the sentence about expanding production capacity and acquiring patents in North America.
"The Americans aren't stupid; they definitely won't sell the patents to us in North America. At most, they'll let us do the manufacturing, but that won't generate much revenue."
Expanding production capacity won't increase business much.
He then saw that stocks could be lent out. Haha... These people really know how to play the game. Such a low price, such a low volume, only a market capitalization of over 3 billion, and they're still lending out stocks? Are they trying to trap idiots?
He thought he needed to observe further, and once he had this idea, continuing to observe was the best course of action.
Over the next few working days, Dahua 36's stock price increased every day, albeit by small increments, but at an increasingly rapid pace.
"Hey, how come this stock is only three yuan?"
This exclamation immediately attracted the attention of many people, who also noticed that Dahua 36's stock had reached HK$3. This price was quite outrageous, representing a 50% increase, which was quite remarkable.
Recently, Dahua Technology's stock price has steadily risen by 50%, attracting widespread attention and discussion among investors. Against this backdrop, people have turned their attention to topics related to rising land prices.
"Dahua 36 owns hundreds of hectares of land. Now that the mainland real estate market is booming, land prices are bound to rise."
"Yes, yes, Hong Kong's property prices have risen after the Asian financial crisis."
"With global monetary easing, how could real estate prices not rise? Look at Lihua Group; they're preparing to sell the properties they bought, and they've already doubled their money."
"Yes, no wonder Dahua 36 has gone up in price. I see. We can buy some too."
"But Dahua 36 is a pharmaceutical company, it doesn't develop real estate, and those lands won't be converted into cash."
Stockholders are discussing the matter extensively. Some are optimistic about the prospects of the real estate market, believing that the land value of Dahua 36 will rise significantly; others are worried that the main business of pharmaceutical companies will not benefit from rising land prices.
What they didn't expect was that there was a type of transaction called insider trading, and that the overseas financial group, Shanghai Dahua Pharmaceutical, Zhang San, and the pharmaceutical fund were actually working together.
This technology cannot be given away for free. If it were given away for free, others would feel that there is something wrong with it, just like in "Journey to the West," where it is said that the law should not be passed on lightly. This kind of high-priced authorization is just right.
The board members of Dahua 36 were also unaware of this matter. They only knew that they would use the funds raised—not all, but most of them—to purchase some technology. Although they knew about this, no one knew the specifics of how it was carried out.
If they knew it was one of these three special drugs, they would definitely have gone to Hong Kong to buy their own company's stock.
These drugs were developed by Zhang San with an investment of one billion US dollars and several years of research and development, and he applied for dozens of patents, including manufacturing process patents and intermediate patents...
If you give it away for free, even the IRS in North America will suspect something is wrong. This HK$3 billion is just an authorization, which also includes a sales commission agreement. It's not something that can be signed overnight; you still have to put on a show.
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