China Electronics and Grand Hotel are currently in chaos, but because they will increase their shares at the price before the acquisition, three days later, the two companies officially announced that they would conduct a targeted increase in shares of Galaxy Investment Group, a subsidiary of Galaxy Holdings. The former It will become the majority shareholder of the two companies, holding 16% of the equity, and have commissioners join the boards of directors of the two companies, with 20% voting rights.
At this point, the whole of Hong Kong also knows that the person behind the fluctuations in the stock market in the past two months is Chen Zhiwen. Instead of taking action directly, he arranged for the other two to attack the Kadoorie family and force their family out of Hong Kong. , giving up two of Hong Kong’s top listed companies.
Many people have criticized this. They believe that when Chen Zhiwen controls Hong Kong Electric, he should no longer be the major shareholder of CLP. This will form a certain monopoly. However, the Hong Kong government has never stipulated that public facilities enterprises cannot have Interrelated shareholders, after all, have a history of hundreds of years. It would be great if these companies with conflicting interests could not confront each other. Who would have thought that what would happen today would happen.
Chen Zhiwen actually doesn't care about the comments from the outside. When his net worth and influence reach today's scale, any action will attract a lot of attention and will naturally cause dissatisfaction among some people, especially some people who always hope to take advantage of it. Do something famous to increase your exposure.
Although they did not get the maximum benefit from CLP and Grand Hotel, they were almost half of Pao Yugang and Kuok Henian. After all, restricted by Hong Kong's current laws, they can only hold 34.9% of the shares. But after all, these two people also spent a huge amount of money. Robert Kuok and the Kadoorie family burned hundreds of millions in the stock market, while Pao Yugang purchased stocks at high prices using a "quick knife" method. Same, spending more than 1 billion Hong Kong dollars.
Compared with the investment of these two, my own investment is much less.
Time has quickly arrived in October. The Hong Kong stock market has begun to calm down from the previous takeover war. However, the overall trend is still rising. The benefit of high housing prices is a large-scale increase in all consumption. People have absolute confidence in the future. confidence.
The countdown to the listing of Hengyi Group has also begun.
As early as a few months ago, Chen Tianfu released the news that Hengyi Real Estate Group was preparing to go public. If it goes public, it will definitely need to transfer part of its shares before the listing, and the share will be quite large. After all, according to Hong Kong's current According to listing regulations, the maximum shareholding of a single listed company is 34.9%, and the shareholding can reach 40% after two years. Newly listed companies also need to comply with this regulation, but a buffer period is given, that is, it must be reached within six months after listing. Just as required by regulations.
But even if there is a buffer period of half a year, it is impossible to wait until after the listing to cash out on a large scale.
Industry insiders are naturally aware of Hengyi's achievements in the Hong Kong real estate market in recent years. However, when Hengyi announced its results for the first half of 1980, many people became jealous.
Relying on its relationship with Hutchison Whampoa and Wharf, Hengyi can cooperate to develop shared land at a preferential price without high land costs. Even if the first two companies take the majority of the profits, it will still be a huge profit, and because Hengyi is very Having cooperated with the subway company for a long time, the benefits from this area are greater. In addition, Hengyi has Chen Zhiwen's backing, and the cost of financing and borrowing in the financial market is also much lower.
The cost of bank borrowing is one is interest, and the other is the process of obtaining a loan. It is also a loan of 100 million Hong Kong dollars. People like Chen Zhiwen can borrow it in just one sentence, and they may not even need collateral. Because of the three "Chen Zhiwen" The price alone is far more than that, but for a medium-sized company, the investment of energy, favors, and resources will be very large, and the turnover efficiency will be much lower.
Hengyi's advantage in this area can be said to be the first in Hong Kong, even stronger than that of Jardine Matheson. After all, Chen Zhiwen's business in Hong Kong basically does not lend money, and major overseas investments do not require Hong Kong banks. Hong Kong banks can cooperate with Hengyi Volunteer cooperation is actually an indirect model. Who would worry that Chen Zhiwen's father would not be able to repay the loan? Therefore, as long as Hengyi is willing to borrow, the bank is willing to lend. Although Hengyi itself will control the loan limit and will not expand indefinitely, the cost will be much smaller.
Under various advantages, Hengyi's net profit in the first half of the year was as high as HK$172 million, and the cash funds on hand were as high as HK$870 million.
"Dad, did you transfer 1 billion Hong Kong dollars?" Chen Zhiwen asked after seeing Hengyi's financial information.
Naturally, Hengyi's normal business would not have such high profits. The reason why there were originally more than one billion Hong Kong dollars was because when the gold futures investment was made, Hengyi's funds were also used, and three times the amount was returned to Hengyi afterwards. .
"Yes, Hengyi is not short of money now. According to your plan, we will start cashing out next year. The cash flow in hand will be even greater by then, so I deliberately transferred 1 billion Hong Kong dollars in advance, which is what you earned from overseas before. Profit. I will use it as my personal investment in the future." Chen Tianfu said.
"That's okay. There is no need to list all assets together. Hedging will reduce the risk." Chen Zhiwen nodded and said, although he thought there would be no accidents, there is no harm in doing so, and there is such a person behind it. With a large sum of money, there will be many good opportunities to invest in the future. After all, after being listed, some assets will no longer belong to individuals in name. It will be much more convenient to have a large sum of cash in your own hands. Li Jiacheng in later generations often did this For fun, use your own listed company project to cooperate with your own wholly-owned company, and then give most of the profits to your own company, eating a lot of fat.
Of course, there is no need for Hengyi to look so ugly, but it will always be more convenient to have a sum of his own funds.
"I plan to bring in some Chinese real estate companies in Hong Kong, such as Cheung Kong Holdings, Wo Hup Holdings, Sun Hung Kai, New World, Hang Lung Properties, and Great Eagle Properties. Each company will hold about 1% to 2% of the shares. It depends on their willingness. You Think of a way to open a leather company here, and you can hold shares from overseas, and I can give you about 10%." Chen Tianfu continued.
Listed companies in Hong Kong have no restrictions on shareholders, and anyone can be a shareholder. However, the regulations for triggering a takeover offer are relatively strict. People from the same family must be considered one subject. Therefore, if Chen Zhiwen wants to get a piece of the pie, he can Some special means are needed, but this means is also limited. For a listed company, most shareholders still need to be announced. Therefore, as a hidden identity, they will not hold too many shares.
"Let's add two more people, the richest man in Malaysia, Robert Kuok, and the shipping king Pao Yukang. If they are willing, they can also give some shares." Chen Zhiwen said that splitting shares before listing is necessary. In this case, it is better to Give it to your allies, and you'll have to spend money to sell it anyway.
"Okay." Chen Tianfu naturally knows the relationship between his son and these people, and he also knows about the Taishan Society. However, he and Chen Zhiwen are from the same family, so there is no need to join. When there is suitable investment, if he If there is money, his son will bring him with him. Besides, the really best investment must be the one the Chen family participates in. Only those that are of a lower level or require the investment of other people's resources will join ventures with others.
"What's the price?" Chen Zhiwen asked curiously.
"Referring to Bill Winter's opinion, what he means is that the entire Hengyi is divided into 800 million shares, each share is HK$5, and the total pre-IPO value is HK$4 billion. Do you think it is too high?" Chen Tianfu said. Listing in Hong Kong does not require a large-scale road show like in Europe and the United States. After all, it is only a small city and the funds it attracts are also small-scale. However, it is still necessary to find a professional bank. The relationship between the entire Chen family and HSBC is not very good. Standard Chartered Naturally, it was the best choice. During this period, Standard Chartered's senior management team had been busy preparing for Hengyi's listing. He had opened up many procedures and connections, which saved Hengyi a lot of time and energy.
"It's not high. Hengyi has 870 million Hong Kong dollars in cash and a net profit of 170 million for the first half of the year. Calculated this way, the price-to-earnings ratio is only about 10 times, which is far inferior to many real estate companies now. But the only weakness is that it does not collect a large amount of rent. Real estate, this aspect is much worse than other real estate companies, because its own capital accumulation is relatively poor." Chen Zhiwen thought for a while and said.
Even someone like Chen Songqing, who plays financial number games, can speculate his own stocks to billions of Hong Kong dollars, not to mention that he has a large amount of cash reserves, high-quality projects, and his long-lasting capital as the capital behind, 4 billion, but It's just the starting point.
"After all, the development of Hengyi has only lasted for a few years. It is really not feasible to hold self-owned properties. Otherwise, our valuation can be higher." Chen Tianfu nodded and said. Although Hengyi has existed for more than 20 years, it has developed rapidly. , that is to say, in recent years, most of them have relied on their sons to hold their own properties. Not to mention the traditional British real estate giant Swire Land, even Chinese real estate companies are far behind. For example, Cheung Kong Holdings holds There are a lot of land properties, although they are all in the countryside.
"With this listing, the whole Hengyi is indeed relatively weak. However, through this listing, we can also obtain a large amount of funds. In addition, many projects will expire next year. By then, Dad, the funds in your hands are estimated to be no less than 2 billion Hong Kong dollars. There will be Having these funds is the biggest capital. As long as the real estate crisis breaks out and bargain hunting occurs at that time, Hengyi will soon become the largest property company in Hong Kong." Chen Zhiwen said with a smile.
"That's my plan too. As long as this step is taken in the right direction, when it is done, the only companies in Hong Kong that can surpass Hengyi, apart from the few companies under your umbrella, are Land and Swire Properties." Chen Tianfu is confident. Said Manman.
In the case of predicting problems in the real estate crisis in advance, be fully prepared, first go public and raise a large amount of funds, and then gradually terminate the project. As long as the prediction is accurate, you can easily double your assets several times when you buy at the bottom. Hengyi itself The scale is not low, but it lacks a large number of self-owned properties. This opportunity is enough to make up for the shortcomings, but it may still be far behind the British giant Land that has been developed for hundreds of years.
"Land, Dad, maybe you can try to acquire it by then." Chen Zhiwen said with a smile.
"Really? Are you going to take action against Zhidi?" Chen Tianfu was not surprised. His son has such achievements, and it is natural for him to take action against Zhidi.
"Yes, but I have to wait. At present, there are not many assets worth buying in Hong Kong. I can't really buy all the assets I like, otherwise I will go too far and may cause negative effects." Chen Zhiwen continued. said.
Starting from Hutchison, Chen Zhiwen has acquired three large companies in Hong Kong, all of which can be said to be giant-level. There are actually some other good companies, but he doesn't care very much. There is no need to acquire everything. If Robert Kuok hadn't participated Come in, the Kadoorie family will not lose its two core assets.
However, he will not let go of very high-quality ones, and Land is the highest-quality company.
"That's of course. Recently, after being tied up with Jardine Matheson Stock Exchange, Land seems to be preparing to do something big. At a subway property auction a few days ago, Land made repeated bids, beating everyone and selling the property in Causeway Bay. A piece of subway property land was sold for HK$20,000 per square foot, which is simply crazy." Chen Tianfu shook his head and said.
"Let it continue to be crazy or not crazy, we really have no chance." Chen Zhiwen said with a smile.
This type of large real estate company has extremely high asset value and high rental income. If there is no huge problem with the funds, then no outsider will have the opportunity to take action. Even if Chen Zhiwen has much more funds than Land, it will not be possible. It is unlikely to succeed. It is only possible when the other party has serious problems and is in huge debt.
(End of chapter)
