"Chairman Du and President Liang can think about it again. After 12 o'clock tonight, we will publicly announce the cancellation of the agreement to inject capital into Peregrine early tomorrow morning." Gust did not expect that William Du would be so tough. Once Peregrine is forced During the liquidation, the First National Bank of Chicago suffered the greatest losses, and in order to ease the atmosphere, a buffer time was provided.
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"Mr. Sun, Mr. Liang and I agree that Peregrine Investment Group will publicly issue 10,000 shares to specific investors at a price of HK$5 per share, allowing Mr. Sun to hold 51% of the shares." Du William and Liang Zhongtao knew that Sun Jian was working for Atic in the United States. The securities company was busy with IPO matters. They were so busy now that they had no time or energy to take care of it. They looked at each other's IPO plan online. The name of the world's first Internet securities company was so attractive, and Sun Jian turned stone into gold. With its reputation, I predict that the issue price of US$7.8 will be snapped up by institutions.
Once atic Securities Company is successfully listed, the company's total assets, net assets and stock market value will leave Peregrine Investment Group behind. Sun Jian really looks down on Peregrine, which is heavily in debt!
Although Peregrine is controlled by Sun Jian, as the second largest shareholder and core figures of Peregrine, Sun Jian will also hand over Peregrine to them for management. After more than a month of digestion, William Du and Liang Zhongtao's psychological resistance has been greatly reduced, and the company's top management is also willing to be controlled by the world's richest man. The situation of mutual support within the company will no longer exist. With Sun Jian guiding the direction, Peregrine's development prospects will be broader.
"Chairman Du, I have been busy these two days. I will return to Xiangjiang on the 10th. I promise to provide support for Peregrine. You go to Chief Dong for help first and think of other ways." Sun Jian received a call from William Du at one o'clock. Not surprising, although I am not in Hong Kong, I can receive an investment report on the Hang Seng Index futures, a Nikkei stock index futures, a Dow Jones stock index futures and a Nasdaq stock index futures every trading day. Follow it online Big news happening in the global financial world, with special attention to Peregrine's every move.
In a previous life, Peregrine was forcibly liquidated in early January 1998, but the specific date was forgotten.
The bankruptcy of Peregrine was listed as a landmark event of the 1998 Asian financial crisis!
"Okay, Mr. Sun!" Du William was determined, and the shrewd Sun Jian asked Mr. Dong for rescue policies.
------On January 7, Zurich Group of Switzerland publicly announced the cancellation of the capital injection agreement of US$200 million to Peregrine Investment Group; the First National Bank of Chicago also announced the cancellation of the capital injection agreement of US$25 million to Peregrine Investment Group. Capital Injection Agreement, and at the same time withdrawn the US$60 million loan line granted to Peregrine.
Investors suddenly fell into panic, and the thing they were most worried about happened! Affected by the bad news such as the Swiss Zurich Group and the First National Bank of Chicago suddenly announced the cancellation of capital injection into Peregrine, the Hang Seng Index opened at .2, opening 51.3 points lower. The opening point was the highest point. The market continued to decline, although there were Protective funds entered the market to protect the market, but could not withstand the surging selling. In the afternoon, news came out that the Japan Public Bond Research Institute lowered Peregrine's long-term debt rating from bbb+ to bb-.
Peregrine’s share price instantly fell below HK$4.5, and the decline continued. Finally, it closed at HK$4.3, a 14% plunge!
The Hang Seng Index dropped to 9515.8 and closed at 9538.6, down 596.9 points or 5.89%. It plummeted on heavy volume!
The market is full of blood and the wind is shaking. ------On January 8, in the foreign exchange market, the exchange rate of the Indonesian rupiah against the US dollar suddenly plummeted 26%!
Since then, the focus of Southeast Asia's financial crisis has shifted to Indonesia, forming the fourth wave of financial crises.
--------Affected by the sudden 26% plunge of the Indonesian rupiah, the Hang Seng Index closed at 9028.5 points on the morning of the 8th, a drop of 510.1 points, a plunge of 5.35%!
Rivers of blood! Major investment banks such as Goldman Sachs and Bank of America Securities have been bearish on the Hang Seng Index during this period, predicting that once it falls below the low of the October decline, according to the K-line theory, it falls below the neckline and a bullish position is formed, and the Hang Seng Index will fall to 6,000 points. There is still about 3,000 points of room to fall!
The predictions of major investment banks came true, and Hong Kong stockholders were suddenly enveloped in panic, calling on the SAR government to bail out the market.
"Mr. Dong, we request the SAR government to inject capital into Peregrine, build investors' trust in Peregrine, and save Peregrine from the fire. Otherwise, Peregrine will have to be forced to liquidate." Because Peregrine A major incident occurred in Qin, and the company's application for a temporary trading suspension from January 8 was approved by the Hong Kong Stock Exchange.
Liang Zhongtao and Du William made an appointment with Chief Dong and arrived at the official residence at two o'clock in the afternoon. Liang Zhongtao got straight to the point.
"Mr. Liang, Chairman Du, are you asking for help from Sun Jian, the richest man in China?" Mr. Dong also stares at the changes in the Hang Seng Index, Hang Seng Index futures and the Hong Kong dollar exchange rate every day. Due to problems with Peregrine, Hong Kong stocks plummeted!
Today, the Indonesian rupiah suddenly plummeted 26%, adding insult to injury and exacerbating market panic. The Hang Seng Index plummeted 5.35% in the morning, and the citizens of Hong Kong lost tens of billions of Hong Kong dollars.
"Mr. Dong, I went to Jiangcheng on behalf of the company in early December to ask for help from Mr. Sun. Mr. Sun agreed to ask for help, but the prerequisite for the capital injection was to obtain 51% of the total share capital of Peregrine after the public issuance of shares. I sternly refused. Now, Mr. Sun is probably busy in the United States with the listing of Atic Securities Company on Nasdaq, and we are no longer embarrassed to ask Mr. Sun for help!"
"Chairman Du, do you agree to be controlled by Mr. Sun for 51% of the shares now?" Director Dong was overjoyed when he heard that there was something going on. No one is willing to take over Peregrine, a messy business.
"Mr. Dong, we don't want Peregrine to be controlled by others. We ask the SAR government to inject capital and rescue it so that the SAR government can take control."
"Chairman Du, Mr. Liang, the SAR government has strict regulations and stipulates that public funds can only be used if it harms the overall interests of Hong Kong." How could Mr. Dong not know Du William and Liang Zhongtao's plan to get the best of both worlds?
If something goes wrong, let the SAR government take the blame, and then buy it back from the SAR government after the crisis is over.
"Mr. Dong, with all due respect, once Peregrine is forced to liquidate, it is very likely to be exploited by international hot money. It is a high probability event that the Hang Seng Index will fall below 9,000 points. The Hang Seng Index futures and the Hong Kong dollar exchange rate will also plummet. This is what everyone knows. Something I don’t want to see!”
"Chairman Du, public funds to rescue Peregrine violates the regulations of Xiangjiang. I can't make the decision. The Legislative Council needs to amend the regulations, but it's too late! I'll call Mr. Sun tonight!" Public funds in Xiangjiang are impossible. To pay for Peregrine, Mr. Dong also knew that although there was a threat in Du William’s words, it was not unreasonable. Li Jiacheng and the others were unwilling to rescue, which showed that Peregrine’s assets were already in very bad shape and could not be broken. In the fall, William Du and Liang Zhongtao lost Peregrine, but this did not prevent them from living a life of billionaires. In the end, what was most harmed was the reputation of Hong Kong investors and the Hong Kong International Financial Center, which is the lifeblood of Hong Kong's economy.
