Reborn as a tycoon in Hong Kong

Chapter 323 Hutchison’s long-short battle (5)

"Guo Sheng, you said that you want to promote in-depth cooperation between the companies under your name and the companies under Hutchison Whampoa's name. I would like to ask which company under Hutchison Whampoa's name you want to cooperate with, and what do you want to do? A cooperative law?"

Lin Baicheng asked aloud, wanting to hear what Guo Henian had to say.

"Watsons, I want the companies under my name to have in-depth cooperation with Watsons."

Guo Henian pointed out the companies he wanted to cooperate with, and then said: "Actually, before that, there is a question I want to find the answer from Lin Sheng. Regarding Watsons, is Hutchison Whampoa going to expand vigorously? Is Watsons' retail business going to be big? What is Hutchison Whampoa’s next key business development?”

“Real estate and retail are both key development directions for Hutchison Whampoa in the next few decades.”

Lin Baicheng thought about it and felt that there was nothing he couldn't say. Putting aside the fact that an interested person can see this from Hutchison Whampoa's business, even if someone knows about it in advance, it's hard to say whether the other party has as much determination as he does and whether he has such a large amount of capital to invest, so I'm not afraid that it will be a big deal if I tell him. More competitors.

"That's fine."

Guo Henian couldn't help but smile after hearing this: "More than a month ago, I saw Watsons that had just opened in Kuala Lumpur and Singapore. After that, I launched an investigation into Watsons and found that Watsons not only has many stores in Hong Kong, but also in key cities in Southeast Asia. There is also a layout, and there are even stores under renovation in the UK.”

"In addition to the sugar business, I also do feed, edible oil, flour and other businesses. The retail channel can take my business to the next level, so I want to become a director of Hutchison Whampoa and let these products be closely related to Watsons." engage in in-depth cooperation.”

"I think so. I hope my products can be sold in Watsons. Watsons will no longer sell other similar products and give better recommendations to my products, etc."

"Watson's will not only sell one brand of the same type of product."

Lin Baicheng immediately shook his head after hearing this and said truthfully: "On the one hand, we need to give customers more choices and let them choose the products they want to buy; on the other hand, we cannot be manipulated by the supplier, in case there is a problem with the supplier. Or if you choose to cooperate with other supermarkets, what should you do if the stock suddenly runs out?"

"So, if you insist on this, Guo Sheng, then I can only say that it is a pity that we cannot cooperate."

Lin Baicheng has great expectations for the Watsons, and it is impossible to do anything detrimental to the Watsons just because of a small difficulty.

With the support of Lin Baicheng, Watsons will sooner or later spread throughout Southeast Asia and even expand to Europe and North America. After the mainland is truly opened up, it will enter the mainland and open in major cities.

Think about the time when supermarkets will be opened through self-built channels in major cities in the Mainland. Even if the retail supermarkets do not make money, the increase in housing prices alone will make Watsons hugely profitable.

Furthermore, it is impossible not to make money in retail, especially when there is not much competition in the beginning, it is very, very profitable. Even if there is a lot of competition, as long as a net profit of 5% can be maintained, the profits of the retail industry will be a huge sum.

After listening to Lin Baicheng's words, Guo Henian was not too disappointed. He had been asking for prices all over the sky, so he immediately said: "Lin Sheng, how about placing my products in a prominent position in Watsons and focusing on recommending my products?"

Lin Baicheng thought for a while and said: "Guo Sheng, I can only say this. As long as there is no problem with the quality of your product and the price is not far higher than that of similar products, Watsons can give you the best position for this type of product. , and will give corresponding recommendations. If Watsons has an event, you can consider bringing Guo Sheng Ni's products according to the type of event, and try to let more customers know about Guo Sheng Ni's products."

Lin Baicheng will not give Guo Henian product privileges, but under the same conditions, there is no problem in giving preferential treatment.

"that's it!"

Guo Henian is already satisfied with this. Watsons is a wholly-owned subsidiary of Hutchison Whampoa, and holding shares in Hutchison Whampoa is an investment in Watsons. In fact, Guo Henian is not very concerned about whether Hutchison Whampoa or Watsons can make money. What he values ​​​​is Watsons' gradually expanding channels, which can allow his products to be sold in more places. The additional retail channels are a new profit point.

In Guo Henian's view, as long as he does not suffer huge losses when buying Hutchison Whampoa's stocks, the profits earned through Watsons channels in a few years will definitely allow him to recoup his investment.

Of course, investment is not without the possibility of failure. If the profits brought by Watsons' channels are not as good as he expected, it means that he has a wrong vision and misjudgment. He cannot blame others.

To do business, you must dare to invest. For example, he purchased a large amount of raw sugar in 1970 and invested heavily in sugar futures trading. At that time, he judged that sugar prices would rise, so he invested heavily. Later he succeeded, so he became the Asian Sugar King and his net worth soared.

This time, Guo Henian once again invested heavily in Hutchison Whampoa. He believed that Watsons would give him huge returns in due course.

"Lin Sheng, in the afternoon I will ask people to buy a large amount of Hutchison Whampoa's shares and increase the shareholding to more than 5%. I hope to become a director of Hutchison Whampoa by then."

"As long as your shareholding reaches 5%, Guo Sheng, and you apply to join the board of directors, I will agree."

Lin Baicheng nodded in agreement upon hearing this, and then said: "Sheng Guo, Hutchison Whampoa is now looking for a bank loan, and it is possible to borrow a sum of funds for repurchase, so if you want to buy a sufficient number of shares, you'd better hurry up. "

"Is Lin Sheng going to fight back?"

This question was asked by Huo Yingdong.

"Let's not talk about counterattack. Hutchison Whampoa is in trouble now and doesn't have much funds at all."

Lin Baicheng shook his head and said: "I asked my friends in the United States to help buy a large number of stocks below 25 Hong Kong dollars, but unfortunately it still failed to support Hutchison Whampoa's stock price. For this repurchase, the funds that Hutchison Whampoa can provide will probably not exceed 500 million Hong Kong dollars, it’s not certain whether we can even borrow that much. The specific situation will only be known in the afternoon.”

"I dare not say anything about the counterattack. With Guo Sheng's purchase and Hutchison Whampoa's repurchase, I can raise the stock price to above HK$20, then I will be satisfied."

A 5% share is only 20 million shares, and Guo Henian already holds 1.5% of the shares. If he only buys 5%, he only needs to buy 14 million more shares. Even if Hutchison Whampoa's loan is HK$500 million, it can only buy more than 20 million shares for less than HK$20, which adds up to only 10% of the shares.

Although 10% is a lot, it is not enough. As long as the determination of the short side is strong enough, the stock price will still be suppressed in the future.

"At this price, I am still very optimistic about Hutchison Whampoa, so I will try to buy as many shares as possible."

Guo Henian said with a smile that he dared to buy it at around 40 Hong Kong dollars, let alone the current price of less than 20 Hong Kong dollars. There are no problems with Hutchison Whampoa's operations. He doesn't think the stock price will fall much below HK$20.

"Then it will be up to Guo Sheng."

When Lin Baicheng said this, he suddenly thought of Li Jiacheng. He wondered if Li Jiacheng, who wanted to buy the bottom, would buy in the stock market. If so, it can be considered a long position.

Although Li Jiacheng will definitely make a lot of money if he buys the bottom now, Lin Baicheng can't stop Li Jiacheng from buying the bottom, and it is better to let Li Jiacheng make money than to let the short-selling British family make money.

Lin Baicheng was very, very unhappy at the thought of letting those wolf-like British capital families make a fortune by shorting Hutchison Whampoa.

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