In Hong Kong, we build a global business empire

Chapter 524 Citibank’s Solution

Lin Haoran was also deeply surprised to hear the other party say that.

Can you get more than 10% of Toyota Motor shares?

Or under the condition that the stock market cannot be allowed to fluctuate.

How can this be?

"Just what? Please go ahead and tell me, Mr. Kawai." Lin Haoran asked directly with curiosity.

"However, Mr. Lin, why would you want to buy a Toyota car at this time? Don't you know that the stock prices of various Japanese car brands have been falling recently?
Although I very much hope to reach this cooperation with you, Mr. Lin, on behalf of Citibank, as your important partner, I must remind you on behalf of Citibank that nowadays, the global economy is affected by the oil crisis, the economies of various countries are in a downturn, and the automobile market is shrinking.

Since the 70s, Japanese cars have quickly captured the U.S. market with their high cost-effectiveness and fuel economy. In 1980, the market share reached 22%. It can be said that the market share of Japanese cars in the United States has been increasing almost every year, causing a huge impact on the domestic U.S. automobile industry.

American auto giants such as General Motors, Ford, and Chrysler have all suffered heavy losses, leading to massive unemployment, which led to the US-Japan auto trade negotiations.

The United States requires Japan to voluntarily limit its automobile exports to the United States, otherwise it will implement import quotas or legislative enforcement. Therefore, Japanese automobile companies are now in a panic. Investors, shareholders and even top investment institutions are full of concerns about Japan's automobile industry.

No one thinks that Japan can gain an advantage in negotiations with the United States. After all, everyone knows that the US government is overbearing and domineering.

Moreover, the recent pressure from the United States has led to an increase in expectations of export restrictions in Japan, including the stock prices of Toyota, Honda, Nissan and other automobile companies have continued to fall. Therefore, Mr. Lin, I think it is very irrational for you to buy Toyota shares now. " Kawai Yasuya analyzed the current market situation and potential risks to Lin Haoran in detail.

When Yasuya Kawai received a call from Chairman Walter Reston, Walter Reston clearly told him that when doing business with Lin Haoran, he must be sincere and demonstrate the professionalism and respect of Citibank no matter what the outcome.

After all, Lin Haoran is now a very important client of Citibank. He does not want any discord between the two parties due to the cooperation in Japan, which would cause Citibank to lose this high-quality big client.

Therefore, although Yasuya Kawai was very eager to make this deal, he still provided market analysis as detailed and objectively as possible, hoping that Lin Haoran could make a decision that best suited his own interests, rather than saying nothing to the other party.

What if Lin Haoran eventually blames Citibank for the heavy losses, and the two sides become enemies, eventually causing Citibank to lose this important client? This is something Kawai Yasushi doesn't want to see.

In the negotiations between the United States and Japan, Japan has no advantage at all. This is the consensus of everyone, including most of Japan's top investment institutions.

Therefore, everyone believed that the outcome of the negotiations would definitely not be very good.

No one thinks that Japan can defeat the United States in this negotiation.

If someone has this kind of thought, everyone will think that this person is too naive.

It is conceivable how big a blow it would be to Japanese cars if they lost the American market.

This is why even many investors are worried.

"Thank you Mr. Kawai for your detailed analysis. Your insights are very pertinent and profound, and have given me a clearer understanding of the current market environment." Lin Haoran nodded slightly, his face remaining expressionless, and he was not shaken at all by Kawai Yasuya's kind dissuasion.

“However, Mr. Kawai, the reason why I decided to buy Toyota shares at this point in time is not without considering the risk factors you mentioned. Although Toyota’s development may encounter obstacles in the short term, I am more optimistic about Toyota’s future.

It so happens that Toyota's stock price has fallen due to the US-Japan auto negotiations. I think this is a very good opportunity. As long as I control 10% or even more of Toyota's shares, I will become an important shareholder of Toyota.

In the future, as Toyota develops, I will definitely profit from it. I understand that investment is risky, but I also have my own investment philosophy and judgment. Therefore, Mr. Kawai, please don't worry about me. I will act cautiously and look forward to the smooth cooperation with Citibank.

But I want to know, is there any way that Citibank can help me buy 10% or even more of Toyota Motor shares without causing any shock to the stock market? "

Yasuya Kawai had only fulfilled his responsibility to inform the other party in advance. Since the other party already knew about it, he naturally would not continue to persuade him.

After all, more than 10% of Toyota Motor's shares, just by negotiating this deal, as the middleman, Citibank can also make a lot of money, he naturally hopes that this deal can be successfully concluded.

"Mr. Lin, as I said before, including its investment institutions, are now very pessimistic about the future of the Japanese auto market, which naturally includes Toyota.

Therefore, now including Japanese and even foreign investment institutions, are considering liquidating Japanese auto shares. As far as I know, several top fund companies are planning or have already started to reduce their holdings of Japanese auto companies. We at Citibank have very good cooperative relations with many fund companies or investment companies. Mr. Lin wants to buy Toyota shares, we don't need to go through the stock market, but directly buy from these fund companies or investment companies that are willing to sell Toyota shares.

This can not only avoid the stock price fluctuations caused by large-scale purchases directly in the stock market, but also ensure that Mr. Lin can successfully obtain the required shares. We can also negotiate a purchase price for Mr. Lin that may be more favorable than the market price.

Mr. Lin mentioned that the growth rate should reach more than 10% before May. There are still about days left, which is plenty of time for us. "Yasuya Kawai said confidently.

As one of the four largest financial conglomerates in the United States, Citibank does have something to be proud of.

Moreover, given their status, their network of contacts is naturally spread all over the world, which is also one of their biggest advantages in doing business.

"Oh? This sounds like a good idea." Lin Haoran's eyes lit up. He didn't expect that Citibank had such resources and channels.

In this way, it seems that his dream of owning more than 10% of Toyota Motor’s shares is very likely to come true!
Toyota Motor Company is definitely one of the most high-quality companies in Japan today.

For Lin Haoran, the more the better.

Of course, he also understands very well that it is absolutely impossible to control Toyota. The Japanese consortium and government will never allow such a thing to happen, especially now that Toyota's financial performance is so outstanding.

"So, Mr. Lin, what other requirements do you have for the acquisition of Toyota Motor's shares? We can discuss it in detail and write it into the contract. You are our top client at Citibank, and we will also give you a very favorable commission price. We can talk about this slowly, and we will definitely give you a price that both parties are satisfied with." Yasuya Kawai continued with a smile.

More than 10% of the shares involve a capital of more than billion yen. Even he, as the head of Citibank's Japan branch, rarely comes into contact with transactions of such huge amounts. Once the transaction is reached, the commission alone will be a huge income.

Of course, they also make money based on their own abilities.

"My goal is to acquire as many shares as possible, without setting an upper limit. In other words, if the Toyota shares we can acquire exceed 10%, that would be even better. Of course, the price must not be higher than the market price, which I think you should be able to do. Moreover, if the final price is lower than the current market price, I can also pay an additional commission.

In addition, my funds cannot be mobilized for some reasons, and it will take three or four months to mobilize them. Therefore, to buy Toyota shares, Citibank needs to help me pay first. I will not reduce the required interest. After my funds arrive, I will settle all the fees, including your commission, interest, etc. How about it? "Lin Haoran said with a smile.

It's not that he is unable to mobilize funds temporarily, but that he is simply unwilling to pay a penny.

Of course, he naturally couldn't say this to the other party.

However, considering his current net worth, he does have the ability to make a living by borrowing other people's money.

After all, with so many industries in Hong Kong and the many good collaborations with Citibank, he has a very high credit line with Citibank.

Upon hearing this, Kawai Yasuya was slightly stunned, then returned to normal and thought to himself.

He didn't expect that in addition to the commission, he could also earn interest. This was indeed beyond his expectations.

As a financial institution, the more business we do, the better, as long as it is absolutely safe.

Now, Lin Haoran’s business is actually equivalent to two businesses.

One is the purchase of stocks on behalf of others; the other is a short-term loan.

However, this matter was beyond his authority.

Therefore, Kawai Yasuya quickly continued, "Mr. Lin, due to the huge amount of money involved, my authority is not enough to directly approve this cooperation, so I need to apply to the chairman, Mr. Walter Reston, and obtain his approval. This is a necessary process, please understand."

Lin Haoran nodded, indicating that he fully understood: "Of course, this is as it should be. For the smooth cooperation between the two parties, I can decide to temporarily store the acquired stocks with Citibank, but the ownership of the stocks must be clearly in my account. I hope Mr. Kawai can understand and confirm this."

Kawai Yasuya responded with a smile: "Mr. Lin, don't worry, this is a matter of course. We will ensure that all operations comply with legal and financial regulations to protect your rights. Once the chairman approves our cooperation, we will immediately proceed to the next step of negotiations, finalize everything as soon as possible, and finally reach this deal with Mr. Lin!"

After saying that, he started making a phone call in his office, and his target was obviously Mr. Walter Reston. (End of this chapter)

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