Hollywood Tycoon [US Entertainment + Business War]

Chapter 106 Acquisition of Banks in Hong Kong

Generally speaking, investment banks are divided into four types: the first type is an investment bank affiliated to a large financial group, such as Barclays Capital, which is the investment bank of Barclays Bank; the second type is an independent investment bank, such as Goldman Sachs, Bank of Merrill Lynch and Lehman Brothers, etc.; the third type is private equity funds, such as the well-known Blackstone Group and Carlyle Group; the fourth type is national sovereign investment funds, such as China's China Investment Corporation and Singapore's Temasek holding.

What Jed wants to set up is the first type of investment bank. Although his grandfather handed East West Bank into his hands, it clearly states that it cannot be used for investment.That's why Shannity and John suggested that East West Bank, the Sherman Family Development Fund and several investment companies under Jed's name should form the East West International Banking Group.However, in terms of investment, no suitable flagship company has been found yet, so the reorganization has been stalled there.

But John’s proposal is tantamount to opening another window for Jade. Since East West Bank focuses on Chinese banking business, Greater China and Southeast Asia are markets that cannot be abandoned, and Hong Kong is undoubtedly the core city.John's idea of ​​acquiring a medium-sized bank in Hong Kong has been asked by Jade to evaluate the feasibility, and the analysts within the group quickly gave a series of lists, among which a company named First Pacific Bank fell In Jed's eyes.This is actually a small bank, but its advantage is that it not only has branches in Hong Kong, but also in Taipei, Tainan and Taitung.Interestingly, its alliance bank, the Bank of East Asia, focuses on the Southeast Asian market, so the combination of the two is quite powerful.

"My suggestion is, if we take a fancy to First Pacific Bank, then eat both banks together." John said.

"I agree with John's opinion." Shannity nodded, "First Pacific Commercial Group, the parent company of First Pacific Bank, has actually been indifferent to operating banking business. If Bank of East Asia did not have enough funds for the time being, the two banks would It has been completely merged. Lin Shaoliang has lived in Indonesia all year round, and his main industry is agriculture. It is estimated that he is also looking for a suitable opportunity to sell First Pacific Bank. However, Li Guobao lacks sufficient funds, and it is estimated that the acquisition of First Pacific Bank is still a little bit Difficulty."

For Jed, the names of these people are too familiar, after all, he was one of the investment bank analysts in Hong Kong before his rebirth.Li Guobao's Bank of East Asia used to be the largest bank for Chinese people, but the family-run bank gradually became a second-tier bank in the end.Moreover, Li Guobao's personal virtues are not worthy of compliments. His first wife was a bad wife who accompanied him to fight the world, but in 2002 he was photographed walking around Paris with his mistress.Moreover, as a director of Dow Jones Corporation, Li Guobao didn't know how to love himself. In the end, he was investigated by the US Securities Regulatory Commission for alleged insider trading.

Compared to Li Guobao, Lin Shaoliang is a complete tragedy.Because Lin Shaoliang monopolized the production of many agricultural products in Indonesia, taking advantage of the Chinese anti-Chinese incident in 1998, a large amount of Lin Shaoliang's assets were confiscated by the Indonesian government. In the end, he could only die in depression in Singapore.However, Lin Shaoliang’s son is an individual talent. When a large amount of assets were either confiscated by the Indonesian government or divided up by Indonesian mobs, he actually reorganized his father’s Salim Group. By 2004, Lin Shaoliang’s son Lin Fengsheng’s new Salim Group had reached profitability. The scale of 200 billion RMB.

Therefore, Jed may not be so bright with the Bank of East Asia, but for First Pacific Bank, Jed still feels that he can make good friends with the Lin family in Southeast Asia as much as possible.

"But even so, there is still no way for us to attack SoftBank's business in China." John analyzed, "We lack the ability to operate and go public, so we have to cooperate with an investment bank. Investment banks under the name of financial groups disdain to cooperate with us , the risk of private equity groups is too great, so we can only cooperate with independent investment banks. Goldman Sachs, Merrill Lynch, Lehman Brothers and Morgan Stanley are all partners worthy of our cooperation. I personally recommend Goldman Sachs. They have They have a good cooperative relationship, and their own influence in the United States is worthy of our help. If we want to attack Softbank, Goldman Sachs is the best ally.”

"In addition to Goldman Sachs, other investment banks can be considered." Jed interrupted suddenly.The reason why Jed does not want to cooperate with Goldman Sachs is certainly not the so-called "Goldman Sachs conspiracy theory". People who hold this view believe that Goldman Sachs is a super economic spy lurking in the country of the US imperialists.The reason why Jed opposes working with Goldman Sachs is that Goldman Sachs has a strong government background, so it is inevitable that they will be at a disadvantage when cooperating.If the two parties cannot be in an equal position for a long time, they will either be annexed or break up in an ugly way, which is why Jed rejects cooperation with Goldman Sachs. "Merrill Lynch's ability is not weaker than Goldman Sachs, and because of the acquisition of BlackRock Asset Management, they also have advantages in asset management. The important thing is that our cooperation with Merrill Lynch will be relatively equal."

"This is also a problem." John quickly understood what Jed was worried about, "Cooperating with Merrill Lynch is also beneficial."

"I have another suggestion." Jed knew that during the subprime mortgage crisis, except for Goldman Sachs and Morgan Stanley, which escaped bankruptcy because of the capital injection from the US government, the rest of the independent investment banks either went bankrupt or went bankrupt. Annexed by large financial conglomerates. "I hope that if Merrill Lynch goes bankrupt, it will not implicate our cooperative companies with them. It is best to add that if Merrill Lynch goes bankrupt, we have the right to reclaim the shares of Merrill Lynch at market prices."

"It's good to have an insurance clause." Shannity and others don't think that Merrill Lynch will go bankrupt, but it's always good to be safe.

After negotiating internally, Jed and his party flew directly to Manhattan, New York, where banks are concentrated in the United States.Manhattan is the largest financial center in the United States, and the only thing that can pose a threat in the country is Chicago. After all, Chicago's futures trading center is also well-known in the world.Jed did not appear in front of the big copper bull on Wall Street. Although Shannity and John scoffed at this trip, Jed took several photos with the big copper bull with great interest, which made Shannity Both John and John wanted to pretend they didn't know the boss.

Then Jed naturally saw the World Trade Center building, and he knew very well that in the first year of the new century, this building left a morning that all Americans will never forget.Before his rebirth, Jed cheered for the attack on the United States, thinking it was a victory over American hegemony.But as he got older, he realized that this was a terrorist attack against civilians.Attacks against civilians should not be encouraged under any circumstances.Although Jed would not hypocritically say "I am an American tonight" in his previous life, he really does not want to see the tragedy happen again.

"Why, you also want to invest in the property of the World Trade Center?" John asked after seeing Jed staring at the World Trade Center for a long time.

"John, have you ever thought that one day, the mainland of the United States will be attacked. For example, the World Trade Center?" Jed said.

John was taken aback, then replied in a typical American way: "God bless America, this kind of thing will never happen."

But Jed didn't think so, but planned to imagine a scene where a plane crashes into a skyscraper in John Woo's movie next year.But Jed would not choose the World Trade Center. If he didn't stop the success and [-]/[-] happened again, wouldn't he be the most suspicious person?After Jed and the others stayed near Wall Street for a while, they set off for New Jersey.

Many people think that all investment banks in the United States should be located on Wall Street. In fact, they are right, but because the land here is very expensive, it is generally only a permanent office here. If you really want to talk about anything, you have to go to the nearby New Jersey office.It is precisely because of the rise of Manhattan's financial industry that New Jersey has also gained the reputation of the big butler of the Bank of America.Otherwise, with the landform of New Jersey, there is really nothing to develop.But now a group of bankers have set up company headquarters here one after another, and the real estate industry and property management have become an important pillar of the local economy.

It is very convenient to travel from Manhattan to New Jersey, with a complete range of expressways, rail transit, undersea tunnels and ferries, and even a unique ultra-short-distance regional aircraft in the world.Flying from Manhattan to New Jersey is just a few minutes away, and for some, that's a nice way to break time.

Merrill Lynch naturally also learned of the intentions of Jade and others, and they still valued forming a joint venture company with Jade to go to Asia to make money.Although East West Bank does not rank among the top ten in North America, they have an inherent advantage in Hong Kong because they specialize in doing business with the Chinese. Merrill Lynch naturally thinks it is a good partner.After all, seeing that the Asian market is about to mature, Goldman Sachs is almost the only one, which naturally makes Merrill Lynch and other companies very interesting.Now that allies are invited to go to Hong Kong, Merrill Lynch naturally showed sincerity to meet with Jade and others.

The result of several days of negotiations is that the precondition for Merrill Lynch and East West Bank to form an investment bank is that East Asia International Bank Group can complete the acquisition of Bank of East Asia and First Pacific Bank.Because such a result poses the least risk to Merrill Lynch, but at the same time, Merrill Lynch's right to speak in future investment banks will also be reduced accordingly.In fact, this may have something to do with the positioning of Merrill Lynch itself. Their main business focus is in North America, followed by Europe. Relatively speaking, the Asian market is somewhat indifferent.So the Asian market has become a paradise for Goldman Sachs and some other small and medium-sized investment banks.

After getting the memorandum of cooperation with Merrill Lynch, Jed ordered: "Shannity, you still continue to speed up the internal reorganization of the group. ——John, the two of us flew to Hong Kong. Not only for the acquisition of the bank, but also for next year's Get things ready."

Of course John understood what was going to happen next year, so after departing from New York International Airport, a group of people returned to Los Angeles, while the other group went to Hong Kong.

On Jade's itinerary, there are three things in Hong Kong's itinerary.The first thing is to acquire Bank of East Asia and First Pacific Bank; the second thing is to set up an investment fund to prepare for the Asian financial turmoil next year; the third thing is to participate in Asia Satellite TV under the Asia Television Group The opening ceremony of the cable company.

According to Lin Jianyue's report, the Chinese channel, news channel, financial channel and movie channel of Asia Satellite TV have all been prepared.The Chinese Channel and Movie Channel are aimed at mainland China, while the News Channel and Finance Channel are aimed at audiences in Taiwan and Singapore.Fortunately, the relationship with the mainland has been negotiated, and the problem now is to negotiate with Taiwan and Singapore.

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