What's wrong with me being a rich man?

Chapter 184: Chicken feathers all over the place

The status of Bai Xiaosheng's BOSS is not right.

This is the result of Lu Haiying and Zhong Zhiling's joint observation in recent days.

Lu Haiying believes that the senior brother is likely trapped in love.

Zhong Zhiling, who returned from an inspection in the south, believes that his senior has always been a very dedicated person, his downturn must be related to work, and this sudden decision to reduce the heat proves that he may have been under pressure from investors.

Alas, I wonder what’s going on behind my back, senior brother.

Zhong Zhiling also thought of his senior brother who interrupted his inspection in the south and hurried back to Shanghai, and he felt more and more that there was other movement in the dark.

But no matter what, both of them believed that the senior brother would be able to adjust his mood soon.

Yu Xing in the office had no idea that his second and third in command were speculating about him like this. He wanted to lower the heat because he subconsciously didn't want people to associate Bai Xiaosheng with Guo Shanfeng.

Of course, after Zhong Zhiling expressed his confusion, this seemed unnecessary. With the increase in funds, the number of overseas companies surrounding the Guo Shan Feng operation was also increasing. Who would have known that behind Guo Shan Feng was an ordinary entrepreneur from mainland China?

Who would have known that there were only two atypical short sellers?

Yu Xing calmed down for a while, then stood up and wrote a symbolic word, "appointment", on the whiteboard in the office.

Paulson’s full name is John Alfred Paulson, which is the first letter of the “John” in front. If anyone who enters the office and sees this word and associates it with Paulson, he would accept it even if he dies!
As previously thought, since Paulson, the short seller who became famous during the financial crisis, has not made any follow-up moves, his subsequent operations obviously have a certain reverse direction and are a line worth tracking specifically.

This kind of tracking can be done by people outside the organization. The work does not involve detailed analysis, but only focuses on and summarizes the movements of Paulson and his funds.

Yu Xing thought of his dear college students again.

Well, if we can find the right person, we can even recruit him into the company. He can have one job under our nose during the day and another part-time job behind the mailbox at night. It's definitely not too tiring, and Paulson's movements won't be too frequent.

Well, it should be the other way around, directly selecting external temporary workers from the people that Bai Xiaosheng wants to recruit.

During this short-selling campaign, Tsai Ing-wen mentioned the idea of ​​strengthening organizational strength many times. This voice from the front line must be taken seriously.

In addition, future short selling should be more cautious and should fully respect the opponent. This counterattack from Paulson really made both of them feel pressured. In theory, the opponent could take the initiative in turn.

This unexpected situation is undoubtedly dangerous for short selling that has been prepared for a long time, but it is also worth learning.

Compared with the feeling of fog before the short selling, looking at Paulson's actions now, everything is much clearer, and his final choice does not seem to deviate from the nature of the funds he represents.

If we do it again, we might be more confident in facing the risks, and this confidence will determine whether the profits increase or decrease.

Or, if you still need to take a chance, your judgment can be more accurate.

Yu Xing didn’t know whether what he was thinking was right or wrong. He pondered for a long time in front of the whiteboard with only one word on it before writing down the second word, “Pu”.

In their struggle yesterday, Sino-Forest and Chen Deyuan mentioned their relationship with PricewaterhouseCoopers several times, hoping to regain the market's trust with the help of a third-party auditing agency, but it was ultimately in vain.

But why PwC again?

Yu Xing was puzzled when he saw it last night. He knew that it was one of the world's four largest accounting firms, but his deepest impression of it was that it had long served as Evergrande's auditing agency.

Evergrande is listed in Hong Kong, and Chen Deyuan is also a Hong Kong native. How come it is such a coincidence that he has to borrow PricewaterhouseCoopers?

It could be a coincidence, or it could be... conservatively speaking, there is a small group of people in this family pursuing personal gain, so is it possible to track the information along this line?

Yu Xing put a question mark after the word "Pu", and his expression became a little uncertain when he thought of his old club Evergrande.

After a while, he shook his head, raised his hand and wrote the third word on the whiteboard, "Money".

Although he joked in the early hours of the morning that the money Xiaoying earned this time was too little compared to the annihilated market value of Sino-Forest, but when converted from US dollars into Chinese yuan, it was a sum that could be calculated in billions.

Bai Xiaosheng claims to be valued at 5000 million US dollars, but there are only a few million US dollars available in the account. The profits from short selling are all cash and can be circulated and used at any time, so the meaning is naturally different.

What's more, Yu Xing could almost hear Ali's impatient voice in his ear.

After this year, with the joint funding from Sino-Forest and Alibaba, Bai Xiaosheng’s reserve funds will become quite secure, and it may even allow Hongshun to replicate the operation of funds coming in and rolling them out.

Maybe... we can really try to fight Penguin head-on in the mobile field?

Yu Xing's heart beat fast when he thought of this, but he dismissed the idea in an instant. No matter how much the funds expanded, it was still a disadvantage compared to the giants. Penguin's cash flow would definitely not live up to its reputation. It would be better to take advantage of the wave of mobileization to make a profit.

With this calculation, the current and estimated funds are still quite considerable.

Yu Xing put an arrow behind the word "money" and a question mark behind it, asking in what direction the money would be used.

After thinking for a long time, he still wanted to get closer to the "shovel", for example, the automobile industry chain that will surely flourish as mentioned by Wang Chuanfu in the last conversation in Pengcheng, and the blue ocean that will also emerge in the mobile Internet.

Yu Xing didn't get an answer for the time being. After hearing a knock on the door, he casually drew a big circle on these three ideas and asked the assistant outside to come in.

"Boss Yu, I see you haven't eaten yet, so I brought you a portion." Assistant Sun Manhe came with a few boxes to remind the boss to pay attention to his eating habits. She smiled sweetly, "Boss Yu, you should smoke less. You must know that it's bad for your lungs, so I'm just giving you a bold advice."

"Okay, put it on the table." Yu Xing pointed at the desk and asked casually, "Have you decided which department to go to?"

Sun Manhe's smile froze slightly, and after hesitating for a few seconds, she said, "Boss Yu, I feel like I'm making rapid progress with you, and I'd like to gain some experience in the CEO's office."

"You are a management trainee. Our company is booming. If you want to make rapid progress, it would be inappropriate to work with me. Since you don't know anything, go to Mr. Liu's business team and learn more." Yu Xing opened the takeaway box and looked up at his assistant. "The recruitment team will definitely be the core part of the company. You should cherish this opportunity."

Sun Manhe took two deep breaths, quickly changed her mindset, and saluted in a playful manner: "Yes, President Yu! I will definitely learn from President Liu and the others! I will strive to shine in the recruitment team and not embarrass the President's Office!"

Yu Xing smiled slightly: "The CEO's office has nothing to lose face for. Even I have to learn a lot from CEO Liu. Go report next door tomorrow. I have to talk to CEO Liu this afternoon."

Sun Manhe finally thanked her boss, and when she walked out of the office, she was already thinking about how to smoothly carry out her new job.

While eating takeout, Yu Xing browsed the latest news of Sino-Forest on his computer.

The scam was exposed and the market value fell into the abyss, but the mess of Sino-Forest was just the beginning. In less than half a day, many of its executives announced their resignation, obviously not wanting to sink with this rotten ship. However, the Canadian Securities Administration (CSA) believes that Sino-Forest is suspected of conducting abnormal transactions through its subsidiaries, which is suspected of violating Ontario securities laws and damaging the public interest.

Also, some of the company's executives are suspected of exaggerating the company's revenue and timber holdings and will be subject to necessary investigations.

At the same time, CSA also reiterated that the 15-day temporary suspension period may be further extended.

It is obvious that the bubble of Sino-Forest will not be blown away in one go, and someone in the company must bear legal responsibility. In addition to the actions from Canada, news also came out from the United States, accusing Paulson, the third largest shareholder of Sino-Forest, of suspected market manipulation and insider trading.

According to Davis, the second largest shareholder of Sino-Forest who wishes to remain anonymous, Paulson's side was suspected to have communicated with the short sellers in advance, which is why they were so determined to defect!

Paulson himself did not respond to the smear, but two senior executives of his fund were interviewed by authoritative media and firmly denied the attack.

"Paulson Advantage Plus Fund is one of the biggest victims of this short selling. If we had known about the situation in advance, how could we have allowed it to happen? This is totally illogical." Vice President Smith felt bitter in his heart and indignant on his face. "We only recognized the content of KCR's research out of professional ethics, and we also personally verified the data and official statements in it. In the end..."

When he faced the media, half of his pain was real. He shook his head and sighed, "Finally, we made a difficult decision. We don't want to be silent accomplices of fraudsters. We must make our opinions public to the vast market investors."

Smith also mentioned another major shareholder: "We are defenders of the truth, unlike some people who clearly want to sell their shares but have to stand up and express their trust in Sino-Forest at this juncture."

Chandler, the major shareholder who was far away in New Zealand, was accurately cueed, but it was not unfair.

Compared to the loss of at least $3 million by Davis, the second largest shareholder, he only lost $1.5 million...

Well, that's still a huge loss!
However, under such a devastating market situation, such a loss did not seem unacceptable. In particular, Davis's mood was extremely bad during several phone calls, which actually became a good medicine to cure Chandler.

On the one hand, Chandler denied knowing the news in advance, and on the other hand, he claimed that he, as a major shareholder, was the biggest victim.

At the same time, he called Paulson, who had the greatest influence, to confirm that the top priority was to allow Sino-Forest to resume trading. Only in this way could the losses be recovered in the end.

"Don't dream. Sino-Forest is dead. It won't have any chance of survival." Paulson directly crushed Chandler's fluke mentality. "My only hope now is that Chen Deyuan can find out who is behind KCR."

Chandler was cheered up when he heard this development: "Is there any hope?"

"There's not much hope, but Chen Deyuan is from Hong Kong, and KCR is also registered in Hong Kong. Perhaps we can find some clues." Paulson deeply remembered this small short seller who had no tacit understanding with his peers.

Although his family was wealthy and powerful, this time he lost not only a huge amount of money, but also damage to his reputation.

One is the fund’s profits, and the other is the reputation of suspected insider trading.

Paulson will definitely not be charged openly, but once such suspicion arises, many people will not need any evidence. After all, the previous statement was too abnormal.

This really annoyed him.

It’s not that there was no better answer in front of him, but for various reasons and even a bit of luck and arrogance, he chose a compromise.

It was at this point that Paulson reviewed the situation and even tore down the only remaining watercolor painting in his office, crumpled it up, and threw it out of the window in anger.

Coincidentally, Chen Deyuan, the founder of Sino-Forest, is the most confused victim of this short-selling.

The day before, he was the founder of the largest private forestry company in the Northern Hemisphere with a market value of US$50 billion. He had a wide social network and was highly respected.

On this day, a report suddenly brought him down from the clouds to the quagmire. He suddenly became a fraudster and was destined to be judged by Canadian law.

In such a short time, Chen Deyuan was in a trance and suspected that he was dreaming. However, the ruthless reality kept reminding him that the company was not hot, the company was not hot! !
Therefore, even though he knew it would not work, Chen Deyuan still instructed Sino-Forest to file a lawsuit against Guo Shanfeng and demanded compensation of up to US$40 billion!

In a short period of time, a complicated situation emerged, with lawsuits being filed by this person, grievances being leveled by that person, institutional losses, and retail investors being seriously injured... However, as an active workplace platform, Bai Xiaosheng users jointly selected the most innocent victim in this round of short selling.

Fenzhong Media!

On August 8, Guo Shanfeng returned to the market and attacked Sino-Forest, and the share price of Fenzhong Media, which had recently recovered, also fell by 14%, revealing a big negative line.

On August 8, after reaching the peak, the shares returned to the dark. The temporarily suspended Sino-Forestry Group could not fall any further, while Fenzhong Media Group dropped another 15%, continuing to contribute an astonishing large negative line.

For two consecutive days, other people’s stalls were smashed, and Fenzhong Media also lost $2 million in market value...

This...where can I find justice?
The stock price, which had finally recovered after the last short-selling, has been brought back to its original level. What is even more frustrating is that Fenzhong Media has been actually making up for the number of first-tier screens in the past six months.

What an egg!

Because of this funny performance, Fenzhong Media won the "Best Unlucky Guy" honor award recognized by Baixiaosheng users.

Even Chang Haijie, who jumped from Fenzhong to Baixiaosheng, was at a loss for words about what happened to his old employer. Then he heard from an old colleague that the top management of Fenzhong Media was considering privatization.

Because of the shocking scam of Sino-Forest and the high recognition of Guo Shanfeng, not only Bai Xiaosheng but also many domestic media are analyzing and discussing this matter. Both Fenzhong and Sino-Forest are Chinese stocks listed in the US, and it seems that Guo Shanfeng is aiming for Chinese stocks listed in the US.

This is somewhat alarming.

Yu Xing noticed this kind of talk. Although he didn't have to come out to explain, he didn't know how to explain it. Should he expose the scam?

After two days of rest over the weekend, Yu Xing, who had recovered his energy, recalled what he said when he last met IDG CEO Xiong: Should he defend his position or defend the truth?
I just burst the bubble and uncover the truth. As for the rest, I will leave it to you all.

Atypical short sellers are also short sellers, so just do your job.

However, on Monday night, when Yu Xing arrived at the dinner party organized by Today Capital, he unexpectedly heard that a number of startup project bosses were also discussing the Mountain Blitz attack on Sino-Forest, and he couldn't help but become unhappy.

"Hey, Mr. Yu." Liu Jiankai, vice president of Capital Today, was sitting next to Yu Xing, paying close attention to his expression. When he saw him put down his chopsticks, he immediately reminded him, "Don't curse, just eat your meal."

Yu Xing glanced at Liu Jiankai: "Who said I wanted to curse? What are you doing sitting next to me? Supervising me? Don't you trust me?"

Liu Jiankai smiled and said, "Boss Yu, I trust you too much, so I'm afraid you won't like it."

Yu Xing looked at his expression, shook his head slightly, and picked up the chopsticks again: "Don't worry, I won't get mad. They are not slandering my company."

Liu Jiankai heaved a sigh of relief. Indeed, they were just talking about the short seller. There was no need for him to be so paranoid.

(End of this chapter)