Hong Kong 1980: The Savage Era

Chapter 278 279 [Dividend Distribution]

When these words were spoken, the people in the audience were shocked. A full acquisition at this time would undoubtedly be a harvest of them.

Although Palibao Investment Company has some debts, its operations are still good and its current stock price is not high. Compared with its peak period, it is simply terrible.

Even if Luo Qihong is willing to pay a premium, it would be a loss for small shareholders like them, so of course they are unwilling to do that.

However, Regal Hotel Company needed a large amount of funds to restructure its debts and assets, and the equity was in the hands of Wei Li, Luo Qihong and Luo Xurui, so it was not difficult to pass the resolution to sell.

In comparison, it is good for Paliburg Investments to assume part of Regal Hotels' debts, at least better than a full acquisition.

"If we make a full acquisition, what would your plan be, Luo Sheng?" a small shareholder asked in public.

"A 1% premium, I think this price is already good." Luo Qihong smiled faintly.

Then the representative of the small shareholders came up to give a speech, which roughly meant that Luo Qihong and others were trying to erode their interests. They were encouraged to resist and fight against Luo Qihong and others and to get back their own interests.

The words of the representatives of small shareholders sounded a bit like slogans, without much plan. They talked generally about gaining the power of public opinion to deal with Luo Qihong and others.

When the representative of the small shareholder went down, he actually turned around and glared fiercely at everyone on the stage.

"Okay, everyone! Let's start voting." Wei Li was not worried at all that he would lose, because losing would only cause some trouble, and the ultimate goal would still be achieved.

In the end, as Wei Li expected, most shareholders chose the plan of turning the tables and preserving most of their interests. This result made those opponents leave in anger.

Luo Xurui benefited the most from this restructuring. He only had to pay 3338 million yuan to control 22.3% of the shares of Palibao Investment, and through Palibao Investment he controlled 32.5% of the shares of Regal Hotels, greatly reducing the funds needed to maintain control.

It has to be said that Wei Li and Luo Xurui's financial skills are superior, especially Luo Xurui, whose methods are dazzling. Except for his ugly eating habits, everything else is amazing.

Luo Qihong also lamented that it was fortunate that he did not engage in a takeover war with the two men. Otherwise, even if he could win, he would have to pay a huge price and would have buried two landmines on his future development path.

The current results are also good. Luo Qihong has a large profit margin and is expected to make more than 1 million yuan in profits.

These profits are naturally dwarfed by those of Regal Hotels and Paliburg Investments, but people must be satisfied so that they can avoid unnecessary troubles.

Until now, Luo Qihong still couldn't figure out whether Luo Xurui had intentionally or designed to leave the family, or was he really forced to leave?
Because according to Luo Xurui's ability, he should be able to deal with Luo Yingshi. As long as he lays out his plan, with Luo Yingshi's vision and foresight, he is unlikely to object.

Luo Qihong naturally preferred Luo Xurui's idea of ​​designing all this.

Friday, October 1

At the insistence of its major shareholder, Cheung Kong Holdings, Hutchison Whampoa distributed a huge dividend a week later. In addition to the final dividend of HK$0.42 for the year, each Hutchison share also distributed a special cash dividend of HK$4. The total dividend distributed that year reached HK$20 billion.

Based on the shareholding of Cheung Kong Holdings, Cheung Kong Holdings will be the biggest beneficiary of this dividend and will receive a one-time dividend of HK$7 million.

Li Jiacheng also had another purpose, which was to weaken the financial power of Hutchison Whampoa's management, further control the company, and help Cheung Kong Holdings increase its stake in Hutchison Whampoa, thus achieving three goals at one stroke.

而德安证券投资公司已经事先收购了和记黄埔公司13%的股权，可以获得1亿8千3百万元的股息，成为这次派息分红中第4个最大获利个体。

The news spread quickly through special channels in the four major exchanges, and stockholders began to scramble to buy Hutchison Whampoa's shares. Naturally, the stock price experienced a small surge, forming a beautiful landscape during the stock market downturn, and also made Li Jiacheng's reputation soaring, even more famous than Simon Keswick, the boss of Jardine Matheson.

Luo Qihong was in a very good mood after receiving the news. First, the debt asset restructuring of Regal Hotels Group went exceptionally smoothly, and now Hutchison Whampoa Group announced that it would distribute a huge dividend.

"Based on our estimate of Hutchison Whampoa's share price, we expect to make a profit of 2 million yuan from the stock appreciation. Combined with Hutchison Whampoa's dividends, we can make a total profit of 3 million yuan." Bai Jinyan suppressed his excitement and responded calmly.

"Okay, then we can save a lot of money in acquiring Wheelock." Luo Qihong said with a smile.

"This time, Hutchison Whampoa's huge dividend payment should be to help Cheung Kong Holdings raise funds to acquire the electric light company. The dividend of 7 million yuan can save Li Jiacheng a lot of worries. Coupled with the 15 billion yuan loan from HSBC, Cheung Kong Holdings' capital turnover will be very smooth." There was a slight sigh in Bai Jin's tone.

Li Zhaoji's situation was relatively troublesome. Li Jiacheng's 7 million yuan in cash put him under great pressure. For the time being, most of his assets were in real estate. Even though he had made preparations in advance, he had already done his best. Only the Star Ferry Company could provide a small amount of cash support.

"It seems that Li Zhaoji is in some trouble. Have you figured out how many shares of the electric light company Li Zhaoji holds?" Luo Qihong asked, tapping the table with his fingers.

"About 21%, no more than 22% at most. We have also successfully increased our holdings to 10%." Bai Jinyan replied after thought.

Bai Jinyan thought for a moment, then asked, "If Li Jiacheng suddenly lets go of the electric light company, will Li Zhaoji take over? If so, Li Zhaoji's shareholding will exceed 35%, and he will face the difficulty of a full acquisition."

"Li Zhaoji is not worried, but you are worried about him." Luo Qihong joked. He didn't think Li Jiacheng would let go easily, but what Bai Jinyan said was a possibility.

"It is very likely that Li Zhaoji will not take over, because Hong Kong Land will not split up its shares and sell them. If they are split up, they will not be that valuable. Therefore, Hong Kong Land can only sell its shares to Li Jiacheng."

"This is very beneficial to us. Both tycoons are in a tough fight, and we have the power to tip the scales. It is very likely that Li Jiacheng will come to us in person."

Bai Jinyan said cunningly, "We can take this opportunity to blackmail him. No, we can ask Li Zhaoji to give us more benefits."

Luo Qihong smiled and said, "Li Zhaoji can't give much anymore, but we have to be righteous and not go back on our promises, otherwise we would be unfaithful."

Bai Jinyan knew Luo Qihong's character, it was impossible for him not to seek benefits for himself, "Why do you want to help Li Zhaoji?"

Luo Qihong shrugged and said, "I told you to keep your word."

Then he smiled and said, "In fact, Li Jiacheng already has Hutchison Whampoa as his flagship, and its businesses include trade, department stores, real estate, and container terminals. Letting him expand his strength into energy and electricity makes me a little nervous, so it is more in our interest for Li Zhaoji to take over the electric light company."

Bai Jinyan already knew the overall plan, but he still couldn't help but get excited. Luo Qihong was actually balancing the power of the tycoons. This was really terrifying.

On January 1, Dean Securities Investment Company received a dividend of 20 million yuan from Hutchison Whampoa, which shocked Hutchison Whampoa's vice president, Murray MacLean, who immediately informed Li Jiacheng of the news.

Office of the Chairman, Cheung Kong Holdings

After listening to MacLean's report, Li Jiacheng was silent for nearly 3 minutes before he asked faintly, "Why did you find out about this only now?"

"Mr. Li, I admit that this was caused by my negligence. I originally thought that Cheung Kong Holdings already held nearly 50% of the shares and no one would challenge it, so I reduced my attention in this regard," explained Murray.

"Forget it!" Li Jiacheng waved his hand. "Things have already come to this. I think Luo Qihong's purpose should be for the dividend distribution and the increase in stock price. He will cash in the profit after a while."

(End of this chapter)