There will be meetings in Taishan, and there will also be meetings in the Chinese Revival Association.
The annual membership gathering is in June.
The host is Niu Gensheng. People are in high spirits when happy events happen. Mengniu has overcome the most difficult moment, so they specially set the location at Baihe Bay in Huairou, on the outskirts of Beijing, to fish, play cards, and have a picnic and roast sheep.
When brothers Lu Fei and Lu Yun arrived, they saw an iron frame set up in the open space, and the slaughtered sheep were hung on the side.
"You two brothers are here!"
Niu Gensheng was surprised and happy, and walked up.
"Brother Niu, aren't we the last to arrive?"
Lu Fei winked teasingly.
"No, no, a few just came."
Niu Gensheng held his hand without letting go, "Brother Lu, Mengniu is grateful to you this time, thank you, thank you very much."
Lu Fei waved his hand: "I heard what my elder brother told me on the way. We talked about it with COFCO, right?"
"I'm really sorry for you, I didn't expect this to happen..."
Niu Gensheng nodded awkwardly.
COFCO did not form an acquisition consortium with Qilixiang and Luhua as Lu Fei had envisioned. Instead, it directly acquired 20% of the shares, including Qilixiang, at a unit price of HK$17.6 per share, becoming the largest shareholder of Mengniu, spending a total of 6.1 billion Hong Kong dollars.
"Don't say that, Brother Niu, even though COFCO did not follow our acquisition plan, we still made a profit."
Lu Fei and Lu Yun looked at each other and smiled.
After all, this favor is not in vain.
The cost per share of the 5.1% held by Qilixiang is only HK$8.7, which makes a net profit of almost HK$7.8 billion.
(Exchange rate, 1 Hong Kong dollar = 0.123 US dollars)
"Haha, as long as you don't mind, go in and sit down, go in and sit down, and I'll make you an authentic Inner Mongolian roasted whole lamb."
Niu Gensheng was wearing a chef's apron and grinning.
After chatting for a few more words, the two walked to the hot spring resort. Sitting in the lobby were Liu Edong, Wu Haijun, Wang Chuanfu, and Li Shufu, just four of them, gathering together and playing poker.
In group gatherings, specific business is generally not discussed.
If you want to cooperate, just discuss and communicate privately.
At this time, I heard two car company bosses Wang Chuanfu and Li Shufu talk about the "cars going to the countryside" launched this year.
Following the introduction of computers into cities, home appliances to rural areas, and popularization of broadband, the 4 trillion bailout plan has also begun to benefit the domestic automobile industry.
BYD and Geely are both on the list, and their sales have soared.
One just wants to expand production capacity, and the other wants to reach the sky in one step, buying Volvo from Ford, and becoming the first Huaxia Automobile Company to acquire a foreign luxury car brand, and become famous.
"The ownership of the brand, the production facilities in Sweden and Belgium, and all intellectual property rights will all belong to Geely."
Li Shufu's tone was full of expectation.
"To acquire Volvo, money alone won't do it, right?"
Lu Fei looked left and right.
"Of course you can't rely on money alone, but you can't do it without money. If you want to win Volvo, the key is to buy it with the highest price." Li Shufu stared at him eagerly.
"Mr. Lu, Mr. Li has been waiting for you."
Wang Chuanfu reminded.
Li Shufu did not deny it. He handed the poker to Lu Yun and asked him to play cards on his behalf. Then he and Lu Fei went to a teahouse not far away.
"How much are you prepared to pay to acquire Volvo?"
Lu Fei could figure out how to find him for financing and borrowing money at a glance.
"We have reached an agreement with Ford for US$1.8 billion, cash of US$1.6 billion, and high-interest bonds of US$200 million. Of course, the liquidity required for subsequent development will be at least US$8.9 billion."
Li Shufu observed his expression.
"so much."
Lu Fei raised his eyebrows, "It seems Geely is bound to win Volvo. How much has it raised?"
"To tell you the truth, with Geely's financial strength, it is completely empty-handed and can only bring in strategic investors."
Li Shufu said directly that he was planning to recruit one or two strategic investors, and Goldman Sachs would be his first choice.
"Goldman Sachs?"
Lu Fei narrowed his eyes into a thin line.
"Yes, we issued convertible bonds worth HK$1.897 billion and 300 million warrants to Goldman Sachs, equivalent to 15% of Geely's equity, making it the second largest shareholder."
Li Shufu said: "Goldman Sachs has given us 2.586 billion Hong Kong dollars in financing, and is responsible for Geely's overseas high-interest bond issuance business. In the future, it will also help us go public and raise funds..."
"Well, Li always wants me to buy corporate bonds issued by Geely, or invest in Geely?" Lu Fei touched his chin.
“Bonds are okay, investments are better!”
Li Shufu looked at him and said: "Mr. Lu, you invested heavily in BYD, and the subprime mortgage crisis also helped Lao Wang get Buffett's endorsement. No matter what, you can't favor one thing over another this time."
"This is no problem. I will definitely invest in Geely."
Lu Fei smiled and said: "But just one thing, you gave Goldman Sachs too much. How about this, 15% of the shares, give it 10%, give me 5%, and I will buy some bonds?"
Li Shufu was overjoyed and couldn't get what he wanted.
I also think that the shares given to Goldman Sachs are too many, but when people are under the roof, they have to bow their heads, but it is different with Mr. Lu.
As soon as Lu Gushen arrives, the knives will arrive!
"Then it's settled, happy cooperation."
In a few words, Lu Fei completed the deal.
It happened to earn 1.555 billion Hong Kong dollars from Mengniu, all of which were invested in Geely. The current stock price remains at 0.6 Hong Kong dollars.
In my memory, a few years after acquiring Volvo, the price would skyrocket to HK$30, a full 50-fold increase.
Moreover, with one more car company, there will be one more logical car chip and car system to cooperate with. In the future, it will be like Bosch——
The chips and systems installed in the car must all be named Lu!
“A pleasure to work with.”
Li Shufu was satisfied and left the tea room with Lu Fei. He saw Wang Chuanfu calling him to play cards for him, and he also had something to discuss with Lu Fei.
"What's wrong?"
Lu Fei poured him a cup of tea.
"Mr. Lu, do you agree to lend money to Geely?"
Wang Chuanfu adjusted his glasses.
Lu Fei concealed the amount and only talked about the investment plan, "Are you afraid that BYD will suffer losses if I invest in Geely? You don't have to worry about this at all. As long as we deploy new energy vehicles well and proceed steadily, it is only a matter of time before we surpass fuel vehicles."
"I'm not afraid that Geely's acquisition of Volvo will widen the gap with BYD, but I think it's not cost-effective. If the money is spent on independent research and development, it may not be worse than acquiring brands."
Wang Chuanfu sighed, "I think there is something wrong with Mr. Li's strategy, but I don't know how to persuade him."
"Respect the fate of others and let go of the need to help others."
Lu Fei raised his tea cup, "Let Geely do whatever he wants, but BYD, I would like to advise you to lower your sales target."
Wang Chuanfu was very curious, why?
When it was Li Shufu's turn, Mr. Lu supported Geely's radical approach of acquiring Volvo, but why was he conservative when it was his turn?
"Didn't we use BYD cars to pick up and drop off the ribbon-cutting ceremony this time? Your quality control is too poor. The tires, seats, and paint are all defective and have quality issues."
Lu Fei reminded seriously: "Don't just focus on sales and production capacity, let's conduct a 'quality rectification campaign' internally."
"No way? Is it that serious?"
Wang Chuanfu didn't take it seriously.
"You are vertically integrated, which is very similar to Logic's previous model. Departments such as terminals, OEMs, and panels produce and sell their own products internally all year round, eating from the same big pot. Without market competition, you will slack off and degenerate, only to Drink the blood of your brother’s department.”
Lu Fei said: "Thanks to our timely reforms, some uncompetitive businesses were shut down and reorganized, turning the big pot of rice into a small pot of rice."
Wang Chuanfu fell into thinking and remained silent.
"For example, rubber, molds, and spray paints that are no longer in line with the market should be rectified and closed, as well as the appearance and brand design that I told you last time. They all need to be changed."
"We have spent a lot of money to recruit people from Audi, Ferrari, and Mercedes-Benz to form a dedicated design team for BYD. As for the brand, I think 'byd' is very good, but changing it will not be beautiful."
“What makes you, often breaks you.”
Lu Fei didn't know if Wang Chuanfu would listen to much.
After all, BYD has had a smooth life these years.
Seeing that Wang Chuanfu's thinking did not open up and turned in the direction of the "Dynasty Series", Lu Fei did not try to encourage him.
After a while, Ding Sanshi, Lai Haisong, Lu Huateng, Liu Qijin and others arrived. Only Ren Zhengfei was absent due to something else.
The gathering was still the same 16 people from last year.
One does not increase, one does not decrease.
After the "Mengniu Incident" occurred, the cohesion and combat effectiveness of the entire Chinese Renaissance Association were different from before.
Coupled with the investment in subprime mortgages and gold, everyone who saw it had a share, and the participating members all earned a lot of money. Without any effort, their net worth increased rapidly, faster than in history.
There is no doubt that this has established Mr. Lu’s absolute core position in the small circle. Although he is young, he is already——
The undisputed leader!
"Cheers, everyone!"
Lu Fei stood up and raised his wine glass high.
"cheers!!"
Liu Edong, Wang Chuanfu and others clinked glasses one after another.
On the table, there were two plates of roasted whole lamb, surrounded by various Mongolian and Beijing dishes. The dishes were delicious and the wine was delicious. Amidst the laughter and laughter, Wu Haijun suddenly said in a joking tone:
"Mr. Lu, are there any other investment projects like subprime mortgages and gold that everyone can benefit from?"
As soon as these words came out, other people present immediately turned their attention to Lu Fei, who was chatting with Li Dongsheng about the details of Powerchip's investment.
"I know this. Mr. Lu told me before and asked me if I was interested in shorting the stocks of Lianxiang and Nokia?"
Before he could speak, Liu Edong sang the double act tacitly.
Short Lianxiang and Nokia? !
Wang Chuanfu and others couldn't help but be astonished and asked for confirmation one after another.
"This is indeed the case, but shorting Lianxiang is purely a personal grudge. You should not get involved. Nokia is a good project. Everyone is welcome to invest money together."
The corners of Lu Fei's mouth rose slightly.
Silence followed the admission of shorting Nokia.
Nokia's logic, Lu Fei shorted Nokia?
After all, like Lian Xiang, it is also a personal grudge.
"The reason why I am not optimistic about Nokia is simple. When Logic's first-generation smartphone was officially launched, Nokia's closing price was $38.11 per share."
"So what is it now?"
"It's almost falling below $20."
"It has been cut in half in the past few years. Why?"
Lu Fei winked at Wu Haijun calmly.
“Because high-end smartphones have basically been taken over by mobile phones from the Apple, Logic, and Android camps, and the low-end market is threatened by copycat phones, Nokia’s market share and global sales have been declining in recent years. North America, Latin America, and Southeast Asia will have their turn this year. When it comes to the Chinese market, it will shrink significantly soon."
Wu Haijun gnawed on the mutton chops carelessly.
"No way?"
Li Shufu frowned and said, "I think Nokia has done a great job with Ali Baba, and the pre-sales of the new mobile phone are quite good."
“N5320 is only 370,000 so far.”
Wu Haijun scoffed, "It doesn't even surpass the limited edition Mi 1, let alone Shenzhou."
He said with confidence, "Everyone, I'm not bragging because I drank too much. There is no comparison between Nokia's N5320, Shenzhou's Hasee 4, and Xiaomi's Mi 1. As long as production capacity is ensured, Nokia's mid-to-low-end products will definitely be able to compete this year." Make a big dive at the end."
“It’s not just the product, it’s the platform.”
Lu Fei put his hands on the table and leaned forward: "Do you think Ali Baba is comparable to Feigou.com?"
When everyone heard this, they listened carefully.
Gradually, I also felt that shorting Nokia was indeed a good idea.
"Nokia has been in decline for more than two years, and there is no sign of stopping the decline. The reason is simple: sales volume!"
"Smartphones are growing from a fledgling to a leading player in the market. Nokia, which has not yet succeeded in its transformation, will naturally fall from the altar, and this fall will be shattered to pieces!"
Lu Fei looked around and raised his voice.
"We expect that if Nokia's performance is lower than market expectations this time around, it is likely to suffer a slight plunge."
"Being short Nokia means you will either suffer a loss or be fooled." He tapped his fingers on the table.
Everyone looked at each other with subtle expressions.
Anyone with a discerning eye can see that 619 is a decisive battle at the top of the Forbidden City, not only in shopping malls, but also in finance.
Nokia, Ali Daba and Lianxiang,
Fight against Xiaomi, Shenzhou and Feigou.com.
No matter how you look at it, it is true that the latter has a greater chance of winning.
Li Shufu still has concerns. After all, he and Nokia have no grievances in the past and have no grievances recently. Is it too cruel to be short?
Liu Edong just said, he even shorted subprime mortgages and brought down Lehman, so why should he be afraid of shorting Nokia?
All of a sudden, everyone's psychological burden was reduced.
Only foreign investors are allowed to short our Chinese concept stocks.
Are we not allowed to come back as a team to take revenge?
The bandits can go, so can I!
I was immediately eager to take part in this gluttonous feast, and I couldn’t help but mourn for Nokia in my heart——
Nokia, Nokia.
Why do you think you're going to mess with this monster Lu Fei?
So during the party, funds were quickly raised.
At least 1 million U.S. dollars, ranging from 1 million to 5 million U.S. dollars. Other members of the Chinese Renaissance Association all want to follow Lu Fei to make a fortune again. Without affecting the normal operation of the company, they have raised funds to join the business. Snowball It's getting bigger and bigger.
It came to $52 million.
In addition, the $7,500 spent by the Trisolaris Fund on short-selling Nokia and Lianxiang was enough to give them a heavy drink!
The only flaw is that there is no short selling of Ali Baba.
In order to increase the chance of winning, other people already on the same warship not only contributed money, but also contributed efforts. For example, BYD and Geely prepared to cooperate with an event on June 19th——
Buy a car and get a Shenzhou and Logic phone as a gift.
Mengniu, Luhua, NetEase, etc. are also trying their best.
The "June 19th" Shopping Festival is no longer the online shopping competition with Ali Baba. Logic, Xiaomi and Shenzhou are fighting against Nokia and Lianxiang. It has become the Taishan Society versus the China Renaissance Society.
A war between the two largest chambers of commerce in China!
