In the office of Global Shipping, Lin Zhichao was fascinated by a piece of information.
Hong Kong Airlines has a total of five aircraft, three DC-3s and two Viscounts. The DC-3 is a passenger aircraft developed by the United States in the 1930s, and the Viscount is a star passenger aircraft developed by the United Kingdom in 1954. Both aircraft are global best-sellers. airliner.
For example, the Viscount passenger plane. After the British Comet jet was stopped due to technical reasons, the British made a splash with the Viscount propeller passenger plane. This aircraft can carry 70 passengers and is already a very large aircraft.
Of course, in another year's time, Pan American Airways will adopt the Boeing 707 for navigation, bringing the world's civil aviation into the jet age.
Hong Kong Airlines' three DC-3 aircraft were manufactured in the 1940s and are currently valued at US$1.5 million each; the two Jazz jets are both new aircraft and each is worth nearly US$3 million.
Therefore, the value of Hong Kong Airlines’ aircraft is around US$10 million.
The price of a Boeing 707 is expected to be US$5 million.
Apart from the aircraft, the second most expensive asset of Hong Kong Airlines is of course the 'license', so the valuation is very reasonable at US$12-15 million.
Lin Zhichao felt a little embarrassed when he put down the information.
What HSBC means is that it will not directly participate in the acquisition, let alone directly compete with Swire Bank, so as not to give people the impression of "British against British".
Indeed, even in later generations, HSBC will not directly help Chinese acquire British companies. For example, when Bao Yugang acquired Wharf in his previous life, HSBC's biggest role was to lend 2 billion to Bao Yugang; when Li Jiacheng acquired Hutchison Whampoa, HSBC only sold him its shares and did not help him directly seize power. He also gradually rose to the top at Hutchison Whampoa.
HSBC does not participate, and Lin Zhichao is somewhat alone, and may become a joke.
After all, this kind of acquisition is different from the stock market. You can "fire" in a pretentious manner, and everything will be done according to the rules of the stock market. However, Hong Kong Airlines is not listed and has only two shareholders - British Overseas Airlines and Jardine Matheson.
These two shareholders have no friendship with Lin Zhichao, and they may even be discriminatory against Chinese people.
"Don't make a hasty acquisition! Otherwise, it will easily become a joke." Lin Zhichao said to himself.
After all, this was only the late 1950s, and Chinese acquisitions of British-owned companies were simply a fantasy and treacherous. Even though Lin Zhichao was now more wealthy than British-owned companies, the general environment was not favorable to him after all.
"You can't have the mentality that you must succeed!"
In his previous life, Li Jiacheng was Lin Zhichao's idol.
For example, he initially set his sights on Wharf and secretly acquired 20% of it, only to be discovered. When he saw that the situation was not right and he could not afford to offend Jardine Matheson and HSBC, he 'retreated in order to advance' and handed over the shares to Bao Yugang.
An ordinary person would probably hand over the shares to British capital in that situation. But Li Jiacheng was able to find the most beneficial way for him, and that was to hand it over to Bao Yugang, who had "both prosperity and loss" with HSBC (HSBC and Bao Yugang's cooperation in shipping at that time was very large).
When Bao Yugang took over his shares, he accepted Li Jiacheng's favor; this was also one of the reasons why HSBC later sold 22.5% of its shares in Hutchison Whampoa to Li Jiacheng.
Because Bao Yugang was the vice chairman of the board of directors of HSBC at that time, and secondly, HSBC also admired Li Jiacheng very much.
This acquisition was very unfavorable to Lin Zhichao, mainly because the times were unfavorable.
First, he and HSBC have just cooperated, and the relationship is not very deep, and it will still be a few years before Sandus becomes the chairman of HSBC.
Second, the influence of the Chinese is still insufficient, at least not until the 1970s, so the British capital still looks down on the Chinese capital.
Given the above two reasons, Lin Zhichao himself does not want the price to be too high.
After all, if the aviation industry wants to make money, it will not be possible until the 1980s, and it will take more than 20 years of hard work.
After thinking about this, Lin Zhichao seriously considered how to take action.
"Yes!" After a long time, Lin Zhichao's eyes widened and he said to himself energetically.
Three days later, the Deputy Chief Secretary of Hong Kong, Pak Ka-shih, came to the office of Swire Pacific's chief executive, Shi Yoke.
Shi Yoke is the most outstanding and longest-serving executive of Swire & Co., Ltd., and the fourth generation of the "Shi Huaiya Family". He is 64 years old this year. Shi Yoke made great contributions to Swire & Co. in the 1930s - when the Japanese army invaded Shanghai, Timely withdrew Swire's assets from the Shanghai stock market; after the war, Swire led Swire & Company to resume business and develop very smoothly, including successfully acquiring Cathay Pacific Airways.
"Deputy Director Bai Jiashi, are you here?" Shi York said politely.
Swire & Co. has been rooted in Hong Kong for 90 years and has already had a close relationship with the Hong Kong government.
Bai Jiashi said: "I heard a news that the Chinese Lin Zhichao is discussing with the Hong Kong Governor and the Chief Secretary to acquire Hong Kong Airlines! I wonder if this news is important to Chairman Shiyok?"
Shiyok's coffee cup froze in the air, and then he said in shock: "Chinese, want to acquire Hong Kong Airlines?"
Bai Jiashi nodded and said, "Yes! This Chinese is very powerful. Shi Yoke should know better than me, right?"
Shi York quickly put down his tea cup and said: "Yes! He owns a fleet far greater than that of Swire Pacific, and he also owns a huge industry. His financial strength should be very powerful. But doesn't he understand that it is impossible for the British Hong Kong government to hand over the aviation industry? To a Chinese. Does Governor Ge Lianghong support this matter?"
Bai Jiashi shook his head and said: "Governor Ge Lianghong may not directly support it, but he probably won't oppose it. Maybe Lin Zhichao has also become a British citizen."
Shi York said quickly: "That's still a Chinese, not an Englishman!"
The two chatted for a while, and Shi Yoke sent Bai Jiashi away enthusiastically. It can be imagined that the two had a close relationship.
Afterwards, Shiyok fell into deep thought in the office.
He is not optimistic that Lin Zhichao can acquire Hong Kong Airlines. Of course, he would rather acquire Hong Kong Airlines under Cathay Pacific Airways.
"It's impossible for Lin Zhichao to succeed! Huh, a Chinese trying to get involved in Hong Kong's aviation industry is really overestimating his capabilities." Shi York said to himself.
Of course he was confident that Shiyok was well-connected in the British business and political circles, and he studied law, and his classmates at that time included many British parliamentarians and government officials.
Therefore, as long as he mobilizes connections, Lin Zhichao will not be able to get through the British Overseas Airways level.
Next is Jardine Matheson & Co., both of which are foreign companies with roots in Hong Kong. The two companies will never do anything like 'beating one's own family'. Although they were once rivals in the aviation industry, the one-south and one-north routes did not allow the two companies to compete.
After thinking about this, Shi Yoke, who was a little nervous, relaxed.
Of course, because Lin Zhichao intervened in the acquisition of Hong Kong Airlines, it happened to give Shi York an idea, that is, to acquire Hong Kong Airlines.
He has been observing Hong Kong Airlines for a long time. Now that he thinks about it carefully, it is really an opportunity!
British Overseas Airlines and Jardine Matheson take turns operating Hong Kong Airlines, which has never been ideal, and they must have plans to let go.
Thinking of this, Shiyok decided to take action!
Lin Zhichao deliberately leaked the news through the channels of the Hong Kong government.
Because he was certain that many officials in the Hong Kong government had close relations with Swire & Company.
Subsequently, he passed the news to Jardine Matheson and British Overseas Airlines through HSBC that Oneworld was interested in acquiring Hong Kong Airlines.
Worldwide Shipping is a joint venture between Worldwide Shipping Lines and HSBC Bank, and all conditions support the acquisition of Hong Kong Airlines.
After doing this, Lin Zhichao stopped taking action and did not continue to have real contact with British Overseas Airlines and Jardine Matheson.
To put it bluntly, it is all thunder and no rain.
If there is an opportunity, he takes action;
If there is no chance, then everything is just a rumor. Lin Zhichao has not participated in the acquisition of Hong Kong Airlines at all.
It's not that Lin Zhichao didn't get "good conditions" this time. On the contrary, he got the "active non-intervention" commitment from the Hong Kong government - that is, if Lin Zhichao acquires Hong Kong Airlines, the Hong Kong government will not stop it.
In fact, a relatively fair condition has been created for Lin Zhichao.
October, the sun is shining brightly.
On the site of the Miramar Hotel on Kimberley Road in Tsim Sha Tsui, Kowloon, the place is bustling with activity and a grand groundbreaking ceremony is being held.
The 'shopping mall + hotel' business model is definitely a milestone in the world's commercial real estate.
When the Hong Kong Planning Department first received this plan, officials were very excited, believing that this project could bring a certain boost to Hong Kong's economy and tourism. Therefore, there is still great support in project approval.
"The Governor of Hong Kong is here!" Someone among the guests shouted, and everyone looked in the same direction.
I saw Ge Lianghong and Hong Kong government officials shaking hands with Lin Zhichao with a smile, and then Lin Zhichao introduced the project to everyone.
"Our Miramar Hotel is divided into two parts, one is a shopping mall and the other is a five-star hotel. The two buildings are combined into a building complex with a total investment of more than HK$50 million, of which the construction fee is about HK$40 million."
Hong Kong government officials gasped. They did not expect that Lin Zhichao was so powerful. With an investment of 50 million Hong Kong dollars, even Jardine Matheson in Hong Kong would not be able to come up with such a huge amount of funds to invest in a real estate project. (Refer to the previous Ocean Terminal in the 1960s, which received funding from the Hong Kong government and invested 60 million Hong Kong dollars)
Ge Lianghong couldn't help but ask: "Mr. Lin, what does this shopping mall look like?"
Lin Zhichao explained in very popular terms: "It should be a concept we pioneered. Simply put, it is an advanced version of a 'department building'. The characteristics of a department store are: all stores and products are owned by one owner. Shop staff serve customers one-on-one; shopping malls are different. We are just the owners. After planning the store structure of the shopping mall, we rent it. Each store is leased to a brand and store, and we only collect rent and manage it. . When customers enter these stores, it is self-service shopping. They can choose whatever they want. 'Open the cabinet and pick it up' is a feature of these stores, but after customers select the goods, they can go to the front desk of the store to check out."
After some explanation, everyone understood.
Ge Lianghong praised: "Mr. Lin is indeed a business wizard, with amazing performance in many fields."
"Your Excellency, the Governor of Hong Kong, has given you the award!"
Later, Lin Zhichao brought everyone to the guest seats and arranged for Ge Lianghong to deliver a speech.
Ge Lianghong was also very generous. In his speech, he also regarded today's scene as a scene of communication with the Hong Kong business community. In his speech, Ge Lianghong was also very emotional, after all, he was about to leave his job.
In his speech, he said with particular pride: "I am optimistic about the future development of Hong Kong. Many people once thought that Hong Kong's economy would collapse. However, with the wisdom and diligence of Hong Kong people, industry has surpassed entrepot trade and injected new energy into Hong Kong's economy. New vitality. I am proud of my ten-year career as Hong Kong governor, and I wish Hong Kong the best for its future! Thank you!"
For a time, more than a hundred Chinese business people below applauded one after another.
When it was Lin Zhichao's turn to give a speech, in addition to introducing the 'Miramar Hotel' project, he also took the opportunity to express his views on the current real estate situation as a 'real estate leader'.
"After several years of brutal growth, Hong Kong real estate has developed rapidly, and overall it has a very good side, such as improving the living environment of Hong Kong people. However, it has also caused many hidden dangers and problems. Fortunately, the Hong Kong government formulated new regulations in time to avoid them. A bigger crisis."
"Although Hong Kong's real estate is in a downturn at this time, it is actually just the impact of the 'supply and demand imbalance' and the consequences of brutal production in the past few years; in fact, the long-term development of Hong Kong real estate is definitely very good."
"In this sluggish environment, the real estate developers that survive will definitely regain their vitality! Thank you!"
This round of real estate decline has resulted in the collapse of many small and medium-sized companies, and even two large real estate companies have encountered crises. However, many have survived. After all, only two of the ten large real estate developers are on the verge of bankruptcy, which already illustrates the problem.
Lin Zhichao's speech was also very inspiring, and everyone gave him warm applause.
Shiyok returned to London and found Manchester United, the head of British Overseas Airlines, and formally proposed to acquire Hong Kong Airlines.
British Overseas Airways is a state-owned airline that only handles long-haul routes. It attached great importance to Hong Kong Airlines at the beginning, but after several years of operation, it has gradually lost patience and indeed has plans to sell it.
"Mr. Shiyok, you heard that someone wanted to acquire Hong Kong Airlines, so you decided to come to buy it?" Manchez said with a smile.
Although it plans to sell, British Overseas Airlines also hopes to sell it at a high price, so it is a good thing to have two companies competing at this time; the only pity is that the other one is Chinese, although it is British-owned.
Shi York nodded and said: "Indeed, we intend to buy the shares in your company. After all, Lin Zhichao is Chinese. Hong Kong Airlines falls into the hands of Chinese people. I believe this is not what the British government wants to see."
Manchester City's Shi Yoke insisted that Lin Zhichao was Chinese, but did not make a sincere offer. He frowned and said: "Others already have a letter of recommendation from Mr. Prime Minister, so this is no longer a problem."
Shi York was stunned. He didn't expect that Lin Zhichao had such a deep relationship in London, but he still didn't take it seriously.
"No, he is still Chinese! Hong Kong Airlines can only be in the hands of us British, the Chinese are unreliable!"
He said this because he did not want to get caught up in the bidding process, but was playing the political Z card.
Manchez said impatiently: "Mr. Schyok, this is our choice, you just need to tell us your sincerity!"
Seeing this, Shiyok still didn't take Menches' words to heart. He felt in his heart that neither the British government nor the senior officials of British Overseas Airlines would allow Hong Kong Airlines to be sold to the Chinese.
Manchez's performance at this time was just to get a little more money.
"In this case, we, Swire & Company, are willing to offer 2.2 million pounds (pound to Hong Kong dollar 1:16) to purchase 55% of the shares in British Overseas Airlines."
Manchez said dissatisfied: "This price is simply a free gift to you!"
Shi York smiled and said: "Otherwise! I know the situation of Hong Kong Airlines very well."
In this way, Shiyok made an insincere offer and insisted not to raise the price any more.
Because in his opinion, the aviation industry is not profitable at this time, and Hong Kong Airlines is an unprofitable company. If the price is too high, it will not be in the interests of Swire Pacific.
Swire & Co., Ltd. can be said to be the only option for Hong Kong Airlines, and it can only be sold to Swire & Co., Ltd.
In this way, Manchez sent Shiyok away politely, and the two did not reach an agreement in their first negotiation. Manchez is not very satisfied with the price, while Shiyok is more concerned about the price.
In order to be sure, Shiyok also visited some government legislators to put more controls on his acquisition.
His idea is to make it politically impossible for Lin Zhichao to acquire Hong Kong Airlines!
Economically, it is the smallest price to get the equity of Hong Kong Airlines.
As for Jardine, he also decided to play the emotional card instead of the economic card.
(End of chapter)
