Hong Kong 1980: The Savage Era

Chapter 317 Chapter 318 [Making money is very violent]

Early to mid-August
Century City Corporation launched an acquisition of Paliburg Investments and announced that it would fully acquire Paliburg Investments in cash and stock.

The conditions for the acquisition are that each share of Palibao can be exchanged for 50 new shares of Century City or cash of RMB 5.38; each share of Palibao certified stock certificate can be exchanged for 18 new shares of Century City or cash of RMB 1.88.

In other words, the acquisition price of Palibao is 5.5 yuan per share, which is a 25% premium over the market value.

According to the agreement reached between Luo Xurui, Wei Li and Luo Qihong in 83, Luo Xurui had the priority right to repurchase the shares of Regal Hotels and Paliburg. The 10.6% common stock and 28% certified stock warrants held by Asia Securities were sold to Century City Company, cashing in 2.22 million yuan, while the 15.2% common stock and 40.15% certified stock warrants held by Luo Qihong were sold to Century City Company for 3.18 million yuan.

Luo Xurui's privately owned Ruiyuan Company also accepted the acquisition proposal, exchanging its 29.5% of Palibao shares and 27.5% of certified stock certificates for shares of Century City Company, strengthening Luo Xurui's control over Century City.

Luo Qihong made a profit of more than 2 million Hong Kong dollars, with a profit margin of several times, and made a fortune.

In addition, De'an Company also holds a small amount of shares in Century City Company, which will allow it to strengthen its control over Century City Company in the future.

Soon, Century City's acquisition conditions were responded to by the market. Many small shareholders and stockholders were optimistic about Century City, so they were willing to exchange them for new shares of Century City. After all, 1 share for 50 shares was still a good deal for them.

Today's stock market is in a surging bull market. How could they forget that stocks are more valuable than cash?

In just two weeks, Century City acquired 98% of the shares of Paliburg Investments.

At very little cost, Luo Xurui controlled Palibao through Century City Company, and then controlled Regal Hotels through Palibao.

By the end of April, Century City reduced its shareholding to 4% through the placement of Paliburg shares, while still retaining its listing status.

Century City then sold its shares in Regal Hotels to Paliburg in exchange for the cash Paliburg received from the allotment of shares.

Siu On Real Estate Company
Luo Qihong looked at the report on the newspaper and couldn't help but sigh, "It's really close. They used the shareholders' money to complete a series of holding measures."

Cheng Jianshen said, "Many people in the market are analyzing Luo Xurui's acquisition plan and expansion plan. Luo Xurui's reputation has more than doubled. Many shareholders are full of confidence in Century City Company and believe that Century City Company will become a large real estate company."

"Not to mention the shareholders, I also believe that Luo Xurui can develop Century City Company into another Eagle Properties Company." Luo Qihong laughed. Luo Xurui's methods are really sharp. It is simply a classic case.

The methods he had used on any company before were not as good as those of Luo Xurui, but he had one advantage, which was that the stock market could provide him with a large amount of cash, and he did not need to use tricks to defraud shareholders' money.

Of course you can cheat people out of money legally. It is a skill and not something to be ashamed of.

"On Sunday, May 5, the Hong Kong government will hold an auction of official land. Among them is a large piece of land on Canton Road in Tsim Sha Tsui, near Harbour City. Should we participate?" Cheng Jianshen asked, changing the subject.

"How big is that piece of land? How much is it estimated to be worth?" Luo Qihong put down the newsprint and asked Cheng Jianshen.

The land in Tsim Sha Tsui is a good thing, and it is also close to Harbour City, so it can bring its own traffic.

"It covers an area of ​​4 square feet and the estimated auction price will exceed 4 million yuan because the Wharf Group will bid fiercely." Cheng Jianshen raised the price.

With the big brother of Wharf Group around, Zhaoan Real Estate Company is still under a lot of pressure. Moreover, Zhaoan Real Estate Company has been attacking from all sides in recent times, and its strength has been dispersed a lot.

This piece of land reminded Luo Qihong of China Hong Kong City, which is also a neighbor of Harbour City. If he could acquire both pieces of land, he would become the second largest landlord in Tsim Sha Tsui.

This piece of land is very good, only slightly worse than the Central area.

"Do you want the company to take it over on its own?" Luo Qihong asked.

Cheng Jianshen shook his head and said, "Zhao'an Real Estate doesn't have that much money, nor does Huaguang Real Estate Company. Legu Real Estate Company does have some, but the maximum it can offer is 1 million."

"Then you are planning to take over my private joint venture company." Luo Qihong smiled. This plan was not a big deal. The company was his and all the money would go into his pocket.

Cheng Jianshen nodded and said, "Legu Real Estate Company only needs to hold 20% of the shares."

"Okay, you can contact Su Qishan from Dehe Real Estate Company, or you can bring Kang Wenyi with you. They have worked together before and have some friendship." Luo Qihong still wanted his men to get to know each other to avoid any accidents.

The investment in the Hang Seng Index can immediately bring back tens of billions of yuan in funds. Luo Qihong's personal cash flow is very sufficient, which is more than enough to acquire a piece of land worth several hundred million yuan.

There will be a larger investment in the future, which will help Luo Qihong earn tens of billions of yuan in profits. At that time, the cash flow will probably exceed hundreds of billions of yuan.

Kwong Sang Hong International Company Board Meeting
Feng Wanju thought for a long time and decided to adopt Li Jiacheng's advice, build a good relationship with Luo Qihong, and actively recommend Luo Qihong to the board of directors as a non-executive director. What Feng Wanju did not expect was that the members of the board of directors welcomed Luo Qihong.

However, Feng Wanju soon figured out that this group of people wanted to leave a good impression on Luo Qihong so that they could build relationships with him and accomplish some personal matters in the future.

Feng Wanju said a few words of welcome to Luo Qihong, then he pressed his hand and got to the point of the meeting. "Last November, the company spent 11 million yuan to acquire a 1 square foot plot of land on Pilkem Street in Yau Ma Tei. Now we are preparing to develop it and build a commercial building with a floor area of ​​4 square feet. The building is 2 stories high, with a 3-story basement parking lot, a 1-story shopping mall, and a 24-story office building."

"I plan to jointly develop this project with Cheung Kong Holdings. Do you have any opinions?"

The 24 square feet commercial building is located in Tsim Sha Tsui and is also a very valuable property. Luo Qihong couldn't help but feel tempted, but he didn't speak up to grab the project.

So, he neither agreed nor objected, but waited until there was no chance to take action.

"I think that although we have always cooperated with Mr. Li's Cheung Kong Holdings, we cannot just cooperate with Mr. Li. I think Luo's Zhaoan Real Estate Company is good and can be a good choice." A director clearly supported Luo Qihong.

Luo Qihong was a little confused. This person was not arranged by him, but this was a good entry point.

"Director, you are too kind. Zhaoan Real Estate Company is still not as good as Cheung Kong Holdings. Guangsheng Bank has always cooperated with Cheung Kong Holdings. The project should be given to Mr. Li. However, I also want to do something for Guangsheng Bank." Luo Qihong made another move of retreating to advance.

Feng Wanju and Li Jiacheng were suddenly in a dilemma, thinking about how to respond in a decent way.

"Don't worry about it, both of you. Let's give this project to Mr. Li first. Mr. Feng, please think about me in the future." Seeing that the two of them were in a dilemma, Luo Qihong gave them a way out.

Feng Wanju thought for a moment and said with a smile, "It just so happens that Guangsheng Bank has a 3.6 square foot piece of land on Wing Lok Street in Sheung Wan that needs to be developed. According to the old rules, Luo Sheng pays for the construction costs and holds a 50% interest. How about that?"

"Haha!! Thank you, Mr. Feng." Luo Qihong said with a smile. This piece of land is certainly not as good as the dead land in Yau Tsim Mong District, but it is not much inferior either.

Luo Qihong made a rough calculation and concluded that he could earn 50 to 2 million yuan from 3% of the equity, which was still acceptable.

The first confrontation between the three ended with Luo Qihong's victory, but the other two would also be on high alert against Luo Qihong causing trouble in the board of directors, and Luo Qihong would not succeed so easily in the future.

May has come quietly and the weather has become unusual. Sometimes it is as hot as summer, and sometimes it is a bit damp and cold. If you don’t dress properly, you will catch a cold.

Luo Qihong came to the trading hall of HSBC, and Zhang Taotao informed him that the leveraged investment of 40 billion yuan had been sold off, and the average Hang Seng Index point was 1503 points.

".After deducting all expenses, the funds recovered were 48.977 billion yuan, of which the profit was 46.977 billion yuan, and the profit margin exceeded 117.4%." After saying this, Zhang Taotao's heart kept pounding. This was the largest business he had ever done since he started his career.

Luo Qihong suppressed his excitement and said with a smile, "Thank you, Mr. Zhang. Please transfer 40 billion of it to my personal account."

"Okay." Zhang Taotao couldn't help but sigh that Luo Qihong was indeed a tycoon. He was not too shocked by such a huge sum of money.

"Mr. Luo, do you have any other stock investment business that needs to be handled?" Zhang Taotao felt that there was still nearly 9 million yuan of funds in the stock account, which was a sign that Luo Qihong was going to take some action.

Luo Qihong shook his head. "Not for the time being. I think the stock market is not very stable. If Mr. Zhang has stock investments, he should be careful."

Luo Qihong believes that Zhang Taotao has been working with him for many years and he still needs to remind him of some things, otherwise it would be a bit unethical.

Zhang Taotao frowned and fell into deep thought. He didn't see anything wrong with the stock market, but it was strange that Luo Qihong was selling off his investments in the Hang Seng Index. Moreover, Luo Qihong had never lost a game, so he had to be worried.

"Can Luo Sheng reveal some information?"

"How could this information have a source? It was calculated by the company, and I don't have a good feeling about it, so I told Mr. Zhang about it. Or maybe I'm just worrying too much." Luo Qihong did notice something wrong, but it was not very accurate and it was difficult to justify himself.

Sunday, November 5

On this day, there was drizzle in the sky from the morning, which turned into heavy rain in the afternoon. The sky was so gloomy that it was a little scary.

However, the official land auction was held as scheduled.

Why are government land auctions held so frequently?
This clearly shows that the Hong Kong government has some financial problems and urgently needs to sell land for money to survive.

(End of this chapter)