Reborn as a tycoon in Hong Kong

If Xiangjiang Airlines is established, Guo Henian and Hu Yinxiang will each hold 20% of the shares. Therefore, they will also contribute to the establishment of Xiangjiang Airlines. So after learning that they are going to cause some trouble for the Swire Group, they will certainly not reject.

This matter requires everyone to work together, and the benefits gained from the establishment of the company will belong to everyone.

Because this is not the place to talk about things, Lin Baicheng and the others just confirmed the matter, and then discussed and agreed on a time, and then we would discuss it in detail.

Soon after, Wang Yiping and Li Fuquan found Lin Baicheng to chat. They asked Lin Baicheng about one thing, that is, if the mainland officials officially invited Lin Baicheng to visit the mainland, would Lin Baicheng go?

It was true that Lin Baicheng had been to Peiping, but that was not considered a formal official invitation, but a private invitation from the top officials to patriots like them to come and have a look.

In response to the inquiries from Wang Yiping and others, Lin Baicheng naturally said that he would go there immediately and was honored to receive the official official invitation. Although he is not sure whether this will have an impact on his business, for the sake of the long-term future, it does not matter if it does.

Wang Yiping later said that an official official invitation was only a possibility and that he could not confirm it yet. He just wanted to consult Lin Baicheng about his attitude first, lest when the official invitation was issued, Lin Baicheng was unwilling to go out of concern, which would not be good for anyone.

Lin Baicheng expressed his understanding and said that if the mainland officials invited him to visit someday, please let him know in advance so that he could be mentally prepared.

…

Time soon came to Monday, December 31st, the last day of the year.

At the board meeting held this morning, all the directors came to attend today's board meeting, except Henry Kaesik who sent someone to represent him because he did not have time to attend.

At the board meeting, Lin Baicheng once again proposed to increase capital and expand shares by issuing an additional 190 million shares.

This time, the British capital still objected, but this time the control of the board of directors was in the hands of Lin Baicheng, so the British capital's opposition was useless. The board of directors approved Lin Baicheng's motion and decided to issue an additional 190 million shares.

As for the price of the additional issuance of shares, it has also been decided, which is HK$5 per share, which is a little lower than the company's stock price as of last Friday. Such an additional issuance price will inevitably hit the company's stock price, but Lin Baicheng doesn't mind this. He doesn't mind the company's stock price falling.

After the additional stock issuance, HK Electric Group will have a total share capital of 1.5 billion shares, and Lin Baicheng currently holds 650 million shares. If he wants to maintain absolute control of HK Electric Group, he must hold nearly 750 million shares.

Lin Baicheng decided to increase his holdings by about 97 million shares, increasing the total number of shares to 747 million shares. As a result, he holds 49.8% of the company's shares, and no one can threaten him in terms of shareholding ratio.

97 million shares, 5 Hong Kong dollars each, so Lin Baicheng needed to spend 485 million Hong Kong dollars, and in order to make the British capital pay the price, he paid this money.

Because of the raid and trouble caused by British capital, Lin Baicheng had to spend a large amount of money to increase his holdings of Hong Kong Electric Group's shares. The temporary buyback and this additional issuance cost him a total of HK$1.025 billion.

Lin Baicheng secretly calculated that when he first took control of HK Electric Group, he spent HK$1.75 billion, then spent HK$300 million to increase his shareholding, and recently spent HK$1.025 billion. In total, he spent HK$1.75 billion on HK Electric Group. 3.075 billion Hong Kong dollars.

The market value of Hong Kong Electric Group is 1.5 billion shares. The current stock price is higher than HK$5, and the total market value is only about HK$8 billion. In other words, Lin Baicheng holds almost half of the shares and does not make much profit in terms of book value.

This is still the current market value of HK Electric Group. It can be foreseen that the market value of HK Electric Group will continue to decline in the next period of time. By then, the company's total market value will fall below HK$6 billion. It will not be a problem for Lin Baicheng's investment to suffer book losses. impossible.

In addition to Lin Baicheng's determination to subscribe for 97 million shares of Hong Kong Electric Group's value this time, British Capital stated that Yingyao Company will also subscribe for 50 million additional shares and will not accept the continuous dilution of the shares.

Yingyao Company originally held more than 30% of the shares of Hong Kong Electric Group. The British capital has reduced its holdings in the past few days, but there are still 400 million shares left. Now that it subscribes for 50 million shares, the British capital will hold 450 million shares, which is exactly It is 30% of the total share capital of 1.5 billion shares.

In recent days, British capital has not gained nothing. With the persuasion of Shi Yadi Shihuaiya and others, HSBC decided to attract British capital. However, HSBC did not take action personally. Instead, it asked Hang Seng Bank to take a stake in Yingyao Company.

It is true that the founder of Hang Seng Bank is Chinese, and the vast majority of bank executives are also Chinese, but this bank is controlled by HSBC. The banking crisis in 1965 caused Hang Seng Bank to sell 51% of its shares to HSBC for a total market value of HK$100 million.

Later, HSBC continued to increase its stake in Hang Seng Bank, raising its shareholding ratio to more than 60%. In 1972, Hang Seng Bank was listed. At that time, its market value had reached HK$1.65 billion. Although HSBC's shareholding was diluted, it still held a firm hold. control of Hang Seng Bank.

Although HSBC usually rarely interferes in the management of Hang Seng Bank, if HSBC needs it, Hang Seng Bank must listen to HSBC. Therefore, HSBC allows Hang Seng Bank to buy shares in Yingyao Company. Without harming the interests of Hang Seng Bank, the management of Hang Seng Bank Just accept it.

As a result, Hang Seng Bank acquired 10% of the shares of Yingyao Company for HK$250 million. This 250 million Hong Kong dollars is funds in the company's account and is not divided among the four British shareholders. This is very important.

After the British capital had 250 million Hong Kong dollars in funds, they used the money to subscribe for additional shares issued by Hong Kong Electric Group, which was enough to subscribe for 50 million shares. The British capital and others have discussed it before. They will subscribe for 50 million shares this time. If the money is not enough, each shareholder will pay according to the shareholding ratio. If there is any surplus, the remaining funds will be placed in the company account.

Lin Baicheng was a little surprised when Yingzi asked Yingyao Company to subscribe for 50 million additional shares. Then he realized that Yingzi was at odds with him and was not prepared to give in easily.

In view of this, Lin Baicheng decided to ask Hong Kong Electric Group to increase its investment in the mainland, and invest all the funds obtained after the additional issuance plus the cash in the company's account into the mainland. It just so happened that the investment in the mainland would not be able to recover its capital in a short time. The hope is that the stock price will continue to fall.

After the billions of Hong Kong dollars are almost spent, we will increase capital and expand shares to see if British capital can follow suit. Needless to say, if you follow, you just have to pay; if you don't, just wait for your shares to be continuously diluted.

Of course, this is not without cost. The cost is that Lin Baicheng himself has to spend a lot of money, and the money will not see a return in the short term, so he is trapped.

At noon, HK Electric Group released a detailed announcement on the capital increase and share expansion. The company's stock price fell sharply at the opening of the market that afternoon, directly falling below the HK$5 price for the capital increase and share expansion. The market was obviously not optimistic.

Lin Baicheng was mentally prepared for this, and he no longer paid attention. For him, the affairs of Hong Kong Electric Group have come to an end for the time being. The company will not do much for a long time in the future, and his attention will not be as high as before.

However, this does not mean that Lin Baicheng is indifferent to HK Electric Group. After all, he has invested more than 3 billion Hong Kong dollars in this company, and there are British capital here. He certainly cannot let the company's stock price rise and let the British capital run away. Road, once the stock price rebounds, it must be suppressed.

Furthermore, the development of Hong Kong Electric Group in Hong Kong cannot be left behind, and CLP Power cannot take advantage of it and take away all the Hong Kong Electric Group's market.

Lin Baicheng wants to cheat British capital, not to ruin HK Electric Group. From a long-term perspective, he still wants to develop HK Electric Group. Only in this way can his investment not lose money and make money. .

In the afternoon, Lin Baicheng and Shen Zhou had afternoon tea at the Hutchison Hotel. Since Hutchison Hotel opened for business, Lin Baicheng has arranged all his meetings with others here and will not entertain others at the Peninsula Hotel in the future.

"Taban Shen, I would like to borrow 500 million Hong Kong dollars from HSBC, using stocks of corresponding value in Hong Kong Electric Group as collateral."

Lin Baicheng's loan of 500 million was to pay for the increase in shares held by HK Electric Group. He is indeed rich, but the stock price of HK Electric Group will be low for a long time, so Lin Baicheng does not need to use his own money to fill the gap. Tricked.

If he borrows a loan from a bank, Lin Baicheng doesn't have to pay a penny. The money he has to pay is just the interest paid to the bank.

"There is no problem with the loan."

Shen Cong first agreed, and then said: "As for collateral, Hong Kong Electric Group's stocks are fine, but the market value of the mortgaged stocks must be slightly larger. I'm worried that Hong Kong Electric Group's stock price will fall in the future."

"Since Taipan said so, of course I will not make things difficult for Taipan. I will use stocks worth HKD600 million to borrow HKD500 million."

Lin Baicheng immediately said that he was not going to use HK Electric Group's shares for multiple loans anyway, so whether he used shares worth HK$500 million or HK$600 million to make loans would have no impact on him.

"Thank you Lin Sheng for your consideration. I can get a loan whenever Lin Sheng needs it."

Shen Porridge said with a smile that he knew that Lin Baicheng's current assets were definitely not short of HK$500 million. Therefore, even if HSBC did not give Lin Baicheng a loan, it would have no impact on Lin Baicheng, so there was no need for HSBC to let go of this loan business.

Lin Baicheng said: "After the capital increase and share expansion of Hong Kong Electric Group are completed, I will seek a loan from HSBC."

Shen Zhou asked aloud: "Lin Sheng, how about handing over the capital increase and share expansion of Hong Kong Electric Group to HSBC?"

"Forget it, since Taipan is so happy, then I am happy too. The capital increase and share expansion of Hong Kong Electric Group will be left to HSBC. But..."

Lin Baicheng agreed happily at first, but then changed the subject.

"Any questions?"

Shen Zhou couldn't help but ask when he saw this.

"It's not a big deal."

Lin Baicheng said: "It's just that of the 190 million additional shares issued by Hong Kong Electric Group this time, I will increase my holdings by 97 million shares, and Yingyao Company will increase its holdings by 50 million shares. This will leave only 43 million shares that can be handed over to HSBC." ”

Of course, the shares that Lin Baicheng decided to increase by himself did not need to be handed over to HSBC for repurchase. He could just subscribe with money directly. It was impossible to hand them over to HSBC for transfer and let HSBC earn a handling fee.

"It's okay, it's better than nothing."

Shen Zou would not be dissatisfied with it, he said: "But Lin Sheng, the handling fee this time cannot be too low. What do you think of the 4% handling fee?"

"No problem, just calculate it at 4%."

Lin Baicheng did not bargain. The total value of the 43 million additional shares issued was HK$215 million, and the 4% handling fee was only HK$8.6 million. There was no need for him to bargain with Shen Zhou for the handling fee of 0.2/1000.

It would be different if Hutchison Whampoa issued additional shares with a total value of HK$3 billion. One thousandth is equivalent to HK$3 million, so bargaining is necessary.

"Then it's settled."

No matter what, HSBC can earn HK$8.6 million in handling fees from the additional shares issued by Hong Kong Electric Group, and HSBC can earn HK$40 million in interest every year from Lin Baicheng's loan of HK$500 million. For every additional year of Lin Baicheng's loan, HSBC earned an additional HK$40 million.

After talking about this matter, the two chatted a few more words.

Shen Porridge looked for an opportunity and asked tentatively: "Lin Sheng, I recently heard that Hutchison Whampoa Investment is doing long gold futures, and now that investment has made a lot of money. Is this the case?"

"Who did Mr. Shen hear this from?"

Lin Baicheng couldn't help frowning after hearing this, but he knew very well in his heart that this was what he asked Wei Li to do.

"It's not who said it specifically, but there are rumors in the market. Hutchison Whampoa's stock price has risen a lot today."

Shen Porridge looked at Lin Baicheng's face as he spoke. If this matter was true, then HSBC would have to step in and make a lot of money.

With Hutchison Whampoa's current market size of more than HK$40 billion, it can accommodate enough funds. There are a lot of funds investing in this stock. HSBC can invest HK$2 to 3 billion in it without fear of being unable to run away in a short period of time.

If the news is true, if HSBC invested HKD 2 billion and made a profit of 10%, it would have made a profit of HKD 200 million. What's more, the stimulation brought by this news will definitely not only cause Hutchison Whampoa to rise by 10%.

Lin Baicheng shook his head: "What should I say about this matter? There are some things that I can't reveal to the outside world."

"Lin Sheng, given our cooperative relationship, how about you reveal a little bit to me?"

Shen Porridge said unwillingly that Lin Baicheng's attitude could not make him sure whether the rumors outside were true.

"You are really putting me in a difficult position, Taipan. Anyway, given our cooperative relationship, it would really be unreasonable for me not to reveal anything to Taipan."

Lin Baicheng found it difficult to act, and then told Shen Chou that Hutchison Whampoa's investment was indeed long gold futures and had made profits, but it was up to Shen Chou to judge the specific profit.

After hearing this, Shen Porridge didn't ask any more questions, because getting such an answer was enough for him.

The reason why Lin Baicheng told Shen Chou the truth was simple. He was planning to reduce his holdings in Hutchison Whampoa. Having HSBC ride on the sedan to raise Hutchison Whampoa's stock price would bring only benefits to him and no harm to him.

As for whether HSBC can make money from this news, it depends on HSBC's ability and greed. If he is too greedy, after he finishes reducing his holdings, he will secretly let the outside world know the truth that he has run away, which will definitely cause Hutchison Whampoa's stock price to plummet.