Hong Kong 1980: The Savage Era

Chapter 276 Chapter 277 [Small Auction]

"I don't agree with this plan. It's clearly an attempt to embezzle the assets of our small shareholders." A director stood up indignantly and glared at Wei Li, saying, "Bai Li Bao Investment Company has turned against its son and become its mother. We are going to lose Bai Li Bao Investment Company and have our equity in Regal Hotel Company diluted by you. Your greed is too ugly."

Luo Qihong glanced at the director and couldn't help but admire him in his heart. This man was not worried about revenge from Wei Li and Luo Xurui. Wei Li dared to do so, he must have something to rely on, and he was confident that he could convince these directors.

"The Regal Hotel is in debt of 12 billion yuan and is on the precipice of bankruptcy. If you have a better plan, please speak up." Wei Li responded to all the directors in broken Cantonese.

Hearing this, many directors looked at each other in bewilderment. They were not willing to spend money to settle these debts. After all, they had some messy matters of their own, so how could they help others?

"Whether it is the equity of Bailibao Investment Company or the equity of Regal Hotel Company, we can give it to you as long as you are willing to pay." Luo Xurui added fuel to the fire.

"Some experts have predicted that the local market will pick up next year, and the crisis of the Regal Hotel will be resolved automatically by then. There is no need to let you take such a big advantage." The director still insisted.

Luo Xurui sneered, "I can also predict that the local market will not pick up next year. Do you believe it, Mr. Huang? These analyses are groundless. If there is no pick-up next year, Mr. Huang is willing to bear all the interest incurred by the debt of the Regal Hotel. We are willing to take a gamble with Mr. Huang. How do you think?"

Mr. Huang's throat rolled and his eyes flickered. For a moment he didn't know how to answer Luo Xurui.

The interest on a loan of 12 billion yuan is very high, with 1 million yuan in interest to be paid every month. If you lose, you may have to pay 1 million yuan in interest, which is really scary.

Luo Qihong glanced at Luo Xurui. This man was indeed so domineering. He would not tolerate any different voices. Once they appeared, he would basically eliminate these opposing voices.

"Who's willing?" Luo Xurui stood up and looked around, causing the directors to avoid his scorching gaze.

Wei Li saw that the situation was almost heated, so he said, "If you have any other opinions, please feel free to raise them. If not, then let's vote and calculate according to the votes in our hands."

"." The directors were speechless. Everyone knew that Luo Xurui, Wei Li and Luo Qihong held more than 3% of the shares. Wasn't this a disguised notification?
After 2 hours, the meeting ended.

However, most of the directors looked indignant and had strong opinions about the three people, but they could do nothing about it.

On the morning of the next day, the contents of the Regal Hotels Corporation board meeting spread like wildfire and appeared on the front pages of major newspapers.

Luo Xurui and Wei Li were both given a bad name, and although Luo Qihong did not say much, he was also named by these newspapers and called the three bone-splitting experts.

At the same time, small shareholders of Palibao Investment Company also made a fuss, saying that they would use Palibao's funds to save the financial crisis of Regal Hotel. After the reorganization, the debt of Regal Hotel dropped from 12 billion yuan to 7.9 million yuan.

Wei Li, Luo Xurui and Luo Qihong are all cashing out to reduce risks, while the interests of small shareholders are harmed.

Many shareholders of Paliburg have come together to strongly oppose this plan and have questioned the board of directors through the law firm Lee & Lee.

This incident was no less than a high-profile takeover case, causing quite a stir, and even the acquisition of the electric light company was suppressed.

Inside a luxurious hotel room

Luo Qihong, Luo Xurui and Wei Li were toasting each other, not at all upset by the headlines on the front page, as if all this was within their expectations.

But think about it, if the interests of small shareholders are damaged like this, how can they not resist? Even a rabbit will bite when it gets angry, let alone a human.

"Mr. Luo and Mr. Wei Li's plan is really brilliant, killing three birds with one stone!" Luo Qihong clinked glasses with the two of them and laughed with some emotion.

The three goals were to restructure the debts of the two companies, make profits for the private company, gain control of the two companies and weaken the power of small shareholders, and build the reputation of Regal Hotels and Paliburg Investments.

The debt asset restructuring of Regal Hotels and Palibao Investments was mainly done by Luo Xurui and Wei Li, while Luo Qihong seemed to be a bit of a freeloader and was taking advantage. In fact, due to the threat posed by Luo Qihong, those small shareholders who were like scattered sand were not as powerful as Luo Qihong.

Of course, Luo Qihong also has some role to play. His reputation can call on some shareholders to support Regal Hotels and Paliburg Investment Company, which can invisibly reduce the debt ratio and also bear some financial expenses and risks for the two.

"It's just a small matter. Those small shareholders are not powerful figures." Wei Li was not very humble. To him, there was no difference between small shareholders and stockholders. They were all targets for harvesting.

"I'm a little worried. Will this group of small shareholders turn this into a financial case? They want to restrict our restructuring plan in this way, and even want us to go to Stanley Prison." Luo Qihong reminded with a smile, and it seemed that he was also warning Wei Li and Luo Xurui not to play tricks, otherwise things would get out of hand.

Luo Xurui responded in a deep voice, "What Luo Sheng said makes some sense, but the possibility is very small. We have consulted lawyers and have cleared up all the messes. It will be difficult for small shareholders to find any evidence against us."

"That would be the best." Luo Qihong nodded.

Luo Xurui went on to say, "This time we asked Luo Sheng to come out to discuss the follow-up issues of Bailibao Investment Company. The two companies will temporarily implement a mutual shareholding model, but Bailibao Investment is our main controlling company."

"And I will acquire a listed company next. After my new company is reorganized, I will acquire Bailibao Investment Company. Luo Sheng can continue to hold shares or cash out. If he cashes out, I will buy it at a high price, allowing Luo Sheng to make a lot of money. Wei Li will cash out."

In his previous life, Luo Xurui operated in the same way. Wei Li made a lot of money and then left.

Palibao Investment Company and Regal Hotels Company became companies privately controlled by Luo Xurui. In fact, Wei Li knew very well that a strong man like Luo Xurui would not allow others to threaten him, even if they were his previous good partners.

Therefore, leaving in time is also a way to protect yourself.

"Since Mr. Wei Li has cashed out, I should do the same. This investment can make a lot of money anyway." Luo Qihong said with a smile.

In Luo Qihong's opinion, Luo Xurui is much more dangerous than Liu Luanxiong, and his methods are much more sophisticated than Liu Luanxiong, while Liu Luanxiong is just cruel enough.

"Thank you very much, Luo Shengquan!" Luo Xurui toasted to Luo Qihong. He didn't want to offend Luo Qihong.

"Mr. Luo, you're welcome!" Luo Qihong replied.

Time quickly came to the year 84, and the New Year's Day holiday had already passed.

Luo Qihong was also ready to negotiate with Zhang Yuliang, but Cheng Yutong didn't quite know what cards Luo Qihong had in his hand. He just felt that Luo Qihong was very confident that he could convince Zhang Yuliang.

A high-end club in Mid-Levels, Hong Kong
Cheng Yutong, Zhang Yuliang and Luo Qihong sat down at a large round table, all with smiles on their faces. Those who didn't know them would think that the three of them were old friends with a deep friendship.

Zhang Yuliang is a very low-key person, a true invisible rich man. If it weren't for the family property dispute, many wealthy people in Hong Kong would not know him.

Half an hour later, Luo Qihong began to get to the point. "I asked Mr. Zhang out today because I wanted to talk about the acquisition of Wheelock & Company."

Zhang Yuliang poured himself a cup of tea and said with a smile, "Mr. Zheng, Mr. Luo, in the past few years, Hutchison Whampoa and Jardine Land both wanted to acquire Wheelock, but all ended in failure. I admire your courage."

"The Middle East oil crisis that broke out in 73 led to a general recession in the world economy, severely hitting the development of the international shipping industry, and dealing a heavy blow to Wheelock's shipping business. However, at the time, Wheelock's real estate assets accounted for a large proportion, so it could naturally resist foreign takeovers. However, the proportion of real estate assets has now fallen sharply."

"Even if Mr. Zhang wants to split up and divest the real estate company, this is still a huge investment. I don't think it fits the strategy Mr. Zhang has formulated now. It would be better for Mr. Zheng and I to run Wheelock and retain Mr. Zhang's hard work over the years."

Luo Qihong spoke with a smile, but there was a lot of swordplay in his words.

"Mr. Luo's reason still cannot convince me. Mr. Luo does not need to worry about the separation of Wheelock's real estate business. I have my own way to handle it." Zhang Yuliang still did not want to give up Wheelock. In his previous life, it was John Madden who secretly sold his shares to Qiu Deba, which angered Zhang Yuliang and made him determined to give up Wheelock.

"Mr. Zhang, take a look at this document first and then make a decision." Luo Qihong took out something from his briefcase and handed it to Zhang Yuliang.

Zhang Yuliang took the document with a half-believing and half-doubting look, his brows gradually furrowed, and he asked angrily, "Is the content of the document true?"

"Mr. Zhang, this is of course true. If it is fake and you find out, then I would be asking for trouble." Luo Qihong said with a smile.

Zhang Yuliang read the document again, thought for a long time, and said, "Mr. Zheng, Mr. Luo, this matter is of great importance. I have to go back and check it out before I can give you a reply."

"Okay, Mr. Zhang, please do as you please!" Zheng Yutong glanced at Luo Qihong, turned to Zhang Yuliang and said.

After Zhang Yuliang left, Cheng Yutong did not take the document to look at it. Instead, he picked up something to eat and asked Luo Qihong, "What is the content of the document? Zhang Yuliang reacted so strongly."

Luo Qihong smiled and said, "Uncle Tong, please forgive me! I just got the document too, and I only had time to take a look at it."

Cheng Yutong waved his hand and said, "It doesn't matter. I'm not a stingy person."

"The content of the document is that John Madden secretly contacted Malaysian tycoon Kwong Tak Puat and was preparing to sell his 14% stake in Wheelock Company to Kwong Tak Puat to help Kwong Tak Puat acquire Wheelock Company," said Luo Qihong.

"." Cheng Yutong was surprised. This was really a big deal. He calmed down and said, "Aren't you worried that Qiu Depu really succeeded?"

Luo Qihong smiled and said, "How can a dragon crossing the river overwhelm a local snake? Uncle Tong and I are much stronger than Qiu Deba. If we are beaten by an outsider, do you think we will still have face?"

Cheng Yutong laughed and said, "That's true, but the reality is very cruel. You should be more cautious in doing things."

"Well, I will be more cautious next time." Luo Qihong nodded to show that he had learned his lesson. "Now I am worried that Zhang Yuliang will find someone else."

Cheng Yutong said, "There is no way to control this. Zhang Yuliang dared to do this. We dare to join forces with Qiu Debao to deal with the rash entrant. What we need to do now is to monitor Zhang Yuliang and see who he contacts."

Cheng Yutong is a kind person, but not a good person, otherwise he would not have achieved what he has today.

"Okay, let me handle this. If I find anything wrong, I will contact Qiu Deba immediately." Luo Qihong thought for a while, "Uncle Tong, do you agree to the plan to split up the Huidefeng Company with Qiu Deba?"

"Okay, I want to take over Federal Realty or Real Estate Investment Trust." Cheng Yu-tung said with a smile.

"Then I will just take over Lane Crawford and develop it, and the rest can be left to Kwong Tak Puat." Luo Qihong was still very sober. If he asked for too much, Kwong Tak Puat would not agree, otherwise the price to pay would be very high.

"We still have to work towards greater benefits." Cheng Yutong blurted out another sentence.

"I understand! Don't worry, I will protect our interests." Luo Qihong said ambiguously.

He hoped that Zhang Yuliang would be more sensible, but considering that Li Jiacheng was stuck in the quagmire of the electric light company and Zhang Yuliang had no friendship with the ship charter king, the possibility of him secretly looking for someone else was relatively low.

As Luo Qihong expected, the news of the Ho Tung family selling properties caused many of their peers to follow suit, causing the real estate market, which had just started to improve, to suffer an inexplicable blow. Prices could no longer be maintained and fell slightly.

Of course, it was not as severe as He Shili's. It only fell by 5%, far less than 2%.

Some newspapers followed suit in speaking ill of Hong Kong's local markets and bribed so-called experts to comment on the Sino-British negotiations, which seems to have the momentum to bring down the local markets.

Unfortunately, the local market has already hit bottom, and even if it falls further, it won’t fall much further, so those ambitious people will be disappointed.

However, the actions of the Ho Tung family had a significant impact on the determination of foreign companies to invest in Hong Kong, causing more foreign companies to choose to wait and see, waiting for the final result of the negotiations.

As a result, some loans of Zhaoan Real Estate Company were affected, making the procedures more complicated.

The equity restructuring of Regal Hotels and Paliburg escalated, and those small shareholders even launched an advertising war with Wei Li, Luo Xurui and Luo Qihong, calling on all small shareholders to unite and resist the joint consortium's behavior of encroaching on their interests.

Some newspapers dug up Luo Qihong's past deeds to illustrate that there was no room for maneuver in this acquisition case, and that any retreat would result in the loss of interests.

Of course, there are also the "outstanding" cases of Luo Xurui and Wei Li, and some newspapers even nicknamed the three of them "company disaster stars."

Naturally, the three of them would not be cowards, and they also spent money on a large advertising war. "Tiantian Daily" was a big bargaining chip in Luo Qihong's hand, which could make money and vent his anger.

Some people say that this war of words has a bit of the flavor of the "Bull Market War in 72", so the stocks of Regal Hotels and Paliburg Investments have been welcomed by many investors, and their market value has been rising continuously.

Luo Qihong also received news that many small shareholders sent anonymous letters to various institutions regarding this matter, accusing Wei Li of misconduct and putting personal interests above the interests of the company. They asked the institutions to investigate Wei Li's crimes in an attempt to prevent the passage of this proposal.

In response to this, Luo Qihong simply smiled. In his previous life, Wei Li might have taken it seriously, but in this life, the three people and the Regal Hotel already held more than 3% of the shares of the Palibao Investment Company.

With 50% of the voting rights, how could those small shareholders possibly resist the general trend? The only result that awaits them is being wiped out.

After being reminded by his secretary, Luo Qihong came to the small bankruptcy auction with his bodyguards.

Some people who knew Luo Qihong were very surprised and felt that as a tycoon, Luo Qihong should not appear at such a small auction.

"Am I seeing things? That man is Luo Qihong, the chairman of China Gas Company and Zhaoan Real Estate Company?"

"It's Luo Qihong. His photo was published in yesterday's newspaper."

"He is indeed a tycoon. It costs millions every year to keep these bodyguards."

"He doesn't need this little money. The dividends from China Gas alone are more than 5 million a year."

Luo Qihong asked his bodyguard to find Luo Qixing, and Chen Yusan also stayed with Luo Qixing.

"Has sister-in-law been to the auction?" Luo Qihong asked.

Chen Yusan nodded and said, "I've been here twice, both to small auctions. I've never been to a big auction."

"That's great, I can give you some advice, big brother." Luo Qihong said with a smile.

This is Luo Qixing's first time attending an auction, so he seems a little nervous. Chen Yusan, his pillowmate, can help ease his emotions.

"I can't give any advice. I have never auctioned a property. I have only auctioned small items before," said Chen Yusan.

(End of this chapter)