Hong Kong's new giants

Chapter 334 [Strong Alliance]

The container terminal industry has stable and rich income. Which consortium does not covet it?
The Hong Kong government launched a public tender for the construction and operation rights of Kwai Chung No. [-] Container Terminal, and it became exciting from the very beginning, feasting the public's eyes.

First, New Era Group wanted to get a piece of the pie by acquiring 50% of the shares of Hailu Containers (Kwai Chung Container Terminal No. [-]), and further intends to participate in the bidding of Kwai Chung No. [-] Container Terminal.

Then, Li Chaoren decisively carried out a "strong alliance", announcing a joint bid with Modern Containers, intending to kill Lin Chaoren's hope.

In the end, Lin Chaoren fought back again, spending a huge sum of money to buy a 25% stake in Modern Containers, causing Modern Containers to turn against him, and formed a new consortium with Sea-Land Containers, New World Development, Henderson, and COSCO.

In 1988, Hutchison won the bid for the development right of No. 44 Pier (7 berths, previously changed) at a price of HK$3 billion.

Today's No. 8 Kwai Chung Terminal has 4 berths. If International Container Terminals wins it, the international container terminal company will have a market share of as high as 8%, and will dominate the Hong Kong container industry with a high degree of monopoly.

Originally, Li Chaoren also intended to join other overseas consortiums, but this year's situation made European and American consortiums retreat one after another. In the end, He Huang could only pull in Sun Hung Kai.However, Sun Hung Kai did not dare to invest too much, and only participated in it symbolically.

The development right of the container terminal shall be determined through public bidding.Bidding is not like a public auction - "the highest bidder wins" is the only condition.The bidding price is an important condition, but it is not the only condition. It also depends on the comprehensive conditions of the bidders.There is a "consensus" that is not explicitly stipulated, but everyone knows it well - how the relationship with the government is sometimes crucial.

Li Chaoren is known as "a businessman who is good at dealing with the government", and the new consortium also prompted the retired Zheng Yutong to come out.

Zheng Yutong has always been regarded as a businessman who is good at dealing with the government. The New World Center has such a magnificent scale only with the support of the government.New World originally purchased the old site of Blue Chimney from Taikoo, which was only 20 square feet. The government thought it was too small, and allocated another 20 square feet of land at a preferential price lower than the market price.The International Convention and Exhibition Center in Wanchai was jointly built by New World and the government's Trade Development Council. For the entire 7.7-acre land reclamation, the government did not charge New World Corporation a penny.Shinsegae only pays the construction fee and obtains most of the property rights of the exhibition center.The foundation stone laying of the Convention and Exhibition Center was personally attended by the Queen, and the opening of the Convention and Exhibition Center was also attended by the Prince and Princess Diana.

Of course, Lin Zuhui also has a lot of connections with the Hong Kong government, especially recently he has been very close to Wei Yixin.

Strong duel!

The container terminal industry is different from the real estate industry, which can develop almost freely and unlimitedly.The container terminal is subject to tender for development rights on restricted land.In other words, it is equivalent to obtaining a land use patent issued by the government, which can ensure stable and lucrative profits.

Lin Zuhui knows that as long as he can obtain the development right of No. 8 Kwai Chung Terminal, his tentacles will officially enter the container terminal industry.Drawing on his development experience, Lin Zuhui went overseas to purchase the development rights of container terminals, such as the largest container terminal in the United Kingdom-Felixstowe Port, such as the development rights of several large ports in the mainland, such as the development rights of the Panama port, not to mention all Next, it is also very gratifying to be able to grab half of it.

The media is very interested in the confrontation between the two consortiums this time, and real-time news is published every day. It doesn't matter whether it is true or not, what matters is that the citizens feast their eyes.

Friday, April 12.

As of the last day of submitting the tender documents, all the people in the new consortium are sitting down and talking about the price. The reason is very simple: if the price conditions provided are out of line with others, people will laugh; but if the price is determined in advance, I am also afraid that if there is a sparse population, it will leak out.Therefore, the price of this kind of hidden bidding is generally determined in the last day or two.

When auctioning land, if you want to win, you are nervous about bidding, but only for a while.It is different when casting a hidden bid. If you are determined to win, there is always a feeling of worrying about gains and losses.

Lin Zuhui is no exception. It is his obsession to defeat Li Chaoren. He doesn't really care about how much money some projects make.It's like climbing a high mountain. There is no real benefit, but it always makes people feel happy.

in the conference room.

The heads of several consortiums sat together, and their combined net worth was terrifying, including Wharf Group, Swire Group, COSCO, New Era, New World, Henderson, and Sea-Land Containers (Hong Kong).

Zheng Yutong said: "The Hong Kong government intends to weaken Cheung Kong's monopoly position in the container terminal industry, so we don't need to set a high price. What's more, I understand that Sun Hung Kai only holds a small part of the equity, which means that Hutchison Investment accounts for the majority. And Hutchison Whampoa's investment direction is to shift overseas, so it may not be willing to bid too high!"

He doesn't like 'you pay my price, I give you your price', this is the style of Zheng's father and son.

Lin Zuhui said with a smile: "With so many consortiums of ours, we naturally have the feeling that we are bound to win. If the price is stable, there is not much to share among each family. What's more, if we fail today, the No. 9 container behind will be destroyed." It is equivalent to making us fight for everything, but we will lose more at that time. If we hold container No. [-] firmly, then we will be able to handle container No. [-] with ease."

If Container Terminal 8 fails, then Container Terminal 9 will fight even harder. This is Lin Zuhui's opinion.

Wu Guangzheng nodded, and said: "Since we have made up our minds, and we know the weakness of international containers, we should really make a more steady bid. It doesn't matter if it is a few hundred million more, the important thing is peace of mind!"

Lee Shau Kee doesn't talk. He usually listens a lot at such gatherings and is not good at talking.

Finally, after some discussions, everyone handed over the right to bid to Lin Zuhui.

Lin Zuhui thought for a while, wrote down the price of 66.8 billion on paper, and then circulated it to everyone.

He explained: "The Kwai Chung Container Terminal in Xiangjiang has unlimited potential, and I believe the opposite side will become more and more open, so the price will definitely not be a loss!"

The winning bid for the three berths at Container Terminal No. 7 is 44 billion, which equals to less than 15 billion per berth; and the number of four berths at Kwai Chung Container Terminal No. 60 is theoretically about [-] billion.After all, due to environmental factors, overseas consortia will not participate in the bidding, so the price should not rise.

When bidding for Container Terminal No. 9 in the previous life, overseas consortiums expressed their interest in participating, which pushed up the price.

Soon, everyone nodded to Lin Zuhui's bid, and Zheng Yutong hesitated for a moment, but also nodded.

The price is fixed like this!The technical standard has been researched and completed a long time ago, and the only thing left is the price.

Lin Zuhui made the bidding document himself and sent it to the Hong Kong government.

As for the opening of bids, we have to wait until Tuesday of the following week, because Monday is New Year's Day.

In the afternoon, Lin Zuhui came to the office of Hengjin Investment.

After a while, Li Hao walked in with a smile on his face.

"Boss, complete your task. As of today, a total of 152 billion Hong Kong dollars have been withdrawn from the Japanese securities industry; there are still 12 billion worth of Japanese stocks, and the withdrawal can be completed in the first half of January next year!"

Lin Zuhui nodded his head, feeling very comfortable, feeling so relieved!

"5 million short the Nikkei index, is it all in ambush?"

"The ambush is ready, the average is around 38500 points!"

"Very well, you have been short until the index drops to 20000 points, but you can consider closing positions below 24000 points!"

He remembered that next year (1990) should be at least 20000 points, but it is impossible to close the position accurately, so setting 24000 points is also enough.

"Okay, I'll arrange it!"

After Li Hao left, Lin Zuhui looked at the Hang Seng Index on the computer at 2850 points, and the investment in the Hang Seng Index futures also made a good profit, with a net profit of 2 to 3, but the investment was small, and the profit was more than 3 million.

The entire investment of 30 billion Hong Kong securities has a current market value of only 39 billion, with a net profit of more than 9 million.

The market in Xiangjiang is still too small, so that it can hardly accommodate Lin Zuhui, a big crocodile.

In addition to investing in Nikkei Futures Index and Hong Kong Securities, Lin Zuhui also bought 200 billion Hong Kong dollars in USD/JPY (20 billion principal, [-] times leverage), which is currently only slightly profitable.

Next year, Lin Zuhui's business will truly go overseas and enter the mainland, so he will need a lot of money.

A big item of overseas investment is to buy US stocks of 30 billion to 50 billion Hong Kong dollars and make long-term investments.

Therefore, in addition to making profits from the above three financial investments, he will also invest in crude oil futures to strive for a sum of funds for long-term investment.

(End of this chapter)