Hong Kong 1980: The Savage Era

Chapter 236 [Hong Leong Group]

Luo Qihong didn't want to be the second largest shareholder. Of course, the purpose of the acquisition was to control the company. As for people like Han Ji who wanted to take advantage of the situation to make money, he always hated them.

To play this kind of trick, one must either have the capital or extraordinary abilities and vision, like Liu Luanxiong who can seize the opportunity or start a war. But Han Ji has nothing but an restless heart.

However, Luo Qihong did not want to care too much. After all, he still had a lot of things to do and did not have the energy to deal with Han Ji's "two against six".

Cheng Jianshen heard that his boss had already made arrangements, so he stopped worrying about this issue and took the opportunity to talk about other issues of Baohua Construction Company. "Zhaoan Real Estate has obtained two plots of land from Jia Nian Real Estate Company. One is at the junction of Ferry Street and West Kowloon Corridor, with an area of ​​2 square feet, which can be used to build a commercial building with a floor area of ​​1 square feet. The other is near Dyeing House Street, with an area of ​​only 2.7 square feet, and a plot ratio of 32 to 1, which can be used to build a commercial building of 1.8 square feet."

"These two plots of land are not bad, but according to the rules, we need to borrow 2% of the cost from the bank. However, the market conditions are not good now, and Baohua Construction does not have any engineering projects. Do we need to arrange for Baohua Construction Company to enter the market?"

Luo Qihong touched his chin and asked, "If we take out a loan, how much will the debt ratio of Zhaoan Real Estate Company rise to?"

He understood what Cheng Jianshen meant. He wanted to use these two projects to enhance his prestige in Baohua Construction Company. Shareholders certainly like people who bring interests to the company rather than people who do nothing in times of crisis.

"Close to half of the market value." Cheng Jianshen replied with a unhappy expression.

When the market was booming, this level of debt ratio was nothing, but now is a period of economic hardship and this level of debt is already very high. Any slight mistake will have serious consequences.

Moreover, even if these two commercial buildings are built, it will take a long time to recover the investment, which will be a heavy burden for Zhaoan Real Estate Company.

It is extremely inappropriate to damage the interests of Zhaoan Real Estate Company in order to please the shareholders of Baohua Construction Company.

"Let's store these two pieces of land first. Now is not the right time for development." Luo Qihong refused directly.

The acquisition of Baohua Construction Company is just a plan for the future. Now we just need to take control of it and we can worry about the rest later.

A hotel in Central

Zeng Jie, the former major shareholder of Baohua Construction Company, was dressed in a slim-fitting suit and his hair was shiny with gel, but he could not hide the vicissitudes of life. He was over 45 years old and had been working in the construction industry for more than 20 years. He was considered a veteran in the industry.

However, Zeng Jie's character is not as strong as it used to be. He also thought about the possibility of Baohua Construction Company being snatched away by someone, but he did not expect it to happen so soon.

After hearing Han Ji's tip-off, Zeng Jie impulsively asked the securities company to help him grab the shares. However, after calming down, he regretted it a little because he had learned about Luo Qihong's performance since his debut. He knew it would be difficult for him to deal with Luo Qihong who was well prepared. He even worried that his capital would be completely lost.

"Luo Sheng, let's not waste any more time. What conditions do you want in order to release Baohua Construction Company?"

Luo Qihong smiled and said, "I'm worried that Mr. Zeng can't afford the conditions I offer. In fact, Mr. Zeng, you should understand that only when Baohua Construction is handed over to me can it flourish and compete with the number one Golden Gate Construction Company. After all, Mr. Zeng also relies on the dividends of the construction company to make a living."

"As long as Mr. Zeng can cooperate with me, I can guarantee that the dividends will double after the crash. If it's not enough, I can make up for it. If Mr. Zeng wants to sell the stocks to make money, I can also help raise the stock price."

"Really? I believe Luo Sheng can do it, but if I don't agree, does that mean Luo Sheng can't do it? I'm afraid this is my vested interest." Zeng Jie said aggressively.

"Then Zeng Sheng, please make some conditions." Luo Qihong crossed his hands on the table and said with great seriousness.

Zeng Jie saw that Luo Qihong's attitude was restrained, and his expression eased slightly. "In fact, my interests and yours do not conflict. I think Luo Sheng acquired Baohua Construction to strengthen the strength of the real estate company. You probably won't manage Baohua Construction yourself, so why don't you be the chairman of the board of directors, Luo Sheng will make the decisions, and I will be in charge of the daily management."

"Of course Baohua Construction is still a company under Luo Sheng, and I have become a senior executive under Luo Sheng." Luo Qihong was a little bit unconvinced. Baohua Construction was quite powerful, and it was built by Zeng Jie. How could he give up more than ten years of hard work so easily?

"Mr. Zeng is a well-known figure in the industry. It's really unfair for him to be a senior executive of the company." Luo Qihong smiled slightly, "Why not let him go? I will help you build another Baohua Construction."

Zeng Jie knew that it would be difficult to make Luo Qihong trust him completely, and he also thought that he might be able to win him back in the future.

"I am almost 50 years old and I no longer have the energy to build another company like Baohua Construction. I just don't want to leave Baohua Construction."

"If I leave Baohua Building, I would rather destroy it than let others take it away completely. I don't think Luo Sheng would want me to do that either. It would be of no benefit to anyone."

Luo Qihong sneered, "Then how does Zeng Sheng plan to destroy Baohua Building?"

"I won't tell you, Luo Sheng, all this." Zeng Jie said expressionlessly.

Luo Qihong was very skeptical about the destruction, but pushing Zeng Jie too hard would not be beneficial to the current plan, so he could only find another way to reach a consensus with Zeng Jie.

"I can't give all the daily management rights of Baohua Construction to you, Zengsheng. Zengsheng is a construction engineer. Why don't I hand over all the engineering work of the company to you? Also, Zengsheng's shareholding cannot exceed 20%."

Zeng Jie glanced at Luo Qihong deeply, which was obviously a sign of extreme distrust, but he quickly realized that this plan might be Luo Qihong's last bottom line.

"Okay, then let's do as Luo Sheng said." Zeng Jie said, "The current stock price is a bit low. We can sign an agreement to sell the stock. I will sell it after the stock price goes up."

"OK!" Luo Qihong was reluctant to say some things because of his face, but now he thinks it's better to take precautions. "Mr. Zeng, I don't understand construction technology, and Baohua Construction is engaged in this, so I hope Mr. Zeng can take all responsibilities in construction technology."

Zeng Jie understood what Luo Qihong meant. If there were any problems with the construction project, then all the responsibility would be his, and Luo Qihong would not bear any responsibility.

After the two men had discussed the matter, Luo Qihong immediately announced to the public that Zhaoan Real Estate Company had acquired Baohua Construction Company and became the largest shareholder of Baohua Construction Company, holding 46% of the shares.

This news caused a sensation in the Hong Kong real estate and stock markets. In such an environment, Luo Qihong actually acquired a construction company without fear of incurring losses.

However, Luo Qihong's reputation as the "company doctor" is not false. He has a group of fans in the stock market. They believed that Baohua Construction Company's stocks were profitable, so they began to buy them, which also led to a more obvious increase in Baohua Construction Company's stock price.

On the other side, the small shareholder Han Ji was furious that the old man Zeng Jie did not have the courage to take back control from Luo Qihong, causing him to lose a considerable profit.

Dean Securities Investment Company Office

"Congratulations on successfully acquiring Baohua Construction Company! You have completed the first step of the plan." Bai Jinyan said with a bright smile.

Luo Qihong smiled and said, "It's just an easy thing to do. There's nothing to congratulate. How is the acquisition of Maswood's shares going?"

The predecessor of Maswood Company was the Singapore and Malaysia Garment Company, whose original business was garment manufacturing. It was discovered when I helped Guan Jiahui acquire a garment company. It is currently owned by the American company Kellwood. However, years ago, the American company had frequent contacts with the Hong Leong Group under the family of Malaysian tycoon Kuok Leng Chan, and seemed to have the intention to sell Maswood Company.

Hong Leong Group had already begun to enter Hong Kong's banking industry in February last year, acquiring 2% of Dao Heng Bank's shares, thus gaining a firm foothold in Hong Kong.

(End of this chapter)