Hong Kong 1980: The Savage Era

Chapter 330 Chapter 331 [Draw the bow and arrow]

The next morning
Luo Qihong came to Daoheng Group for a meeting as agreed, which was actually a negotiation between Luo Qihong and the Guo Lingcan brothers.

"Mr. Luo, the matter of ICBC still needs further discussion, and the result may not come until the end of the year." Guo Lingcan said, his face full of dejection. He didn't expect the Hong Kong government to be so difficult to deal with.

"Take it slow. I have anticipated this. Mr. Guo might consider taking over the entire Overseas Trust Bank." Luo Qihong suggested.

Guo Lingcan thought deeply and said, "I have considered this suggestion, but if we don't take over ICBC, Dah Sing Bank will take it away. The overseas trust issue is not mature yet."

It is the habit of capitalists to eat what is in front of them first, while keeping their eyes on the next thing.

"Well, let's take over ICBC first." Luo Qihong chuckled, "Mr. Guo didn't ask me to come here just for this, right?"

Guo Lingcan grinned and said, "Of course not! I heard that Luo Sheng accurately predicted the stock market crash six months ago, so I would like to ask Luo Sheng to help determine whether this business can be developed on a large scale."

"The stock market has rebounded now, and many people think that the stock market will not fluctuate again. They want to buy with leverage. Our bank also has a certain number of customers who need leverage, and the number is not small. Luo Sheng, you know that many banks went bankrupt and were taken over because of bad loans."

Luo Qihong certainly would not simply believe Guo Lingcan. The previous words might only be part of the reason. He believed that Guo Lingcan's family would also make some moves in the stock market, and a lot of funds would be involved.

These family-owned banks often have the problem of providing convenience to their family members or family businesses.

"In my opinion, the possibility of recurrence is not high, and the lending business can be carried out normally." Luo Qihong answered vaguely. If he used an affirmative tone, there would be some problems.

"The blue chip stocks are very strong this time, but it also proves that investing in blue chip stocks will not bring too high returns. The bank's securities investment department also plans to invest in small and medium-sized stocks in the Hong Kong stock market. What do you think, Mr. Luo?" Guo Lingcan asked.

"I think there is no problem, and I believe there will be no problem with the stock market this year." Luo Qihong still hopes that banks can make more money.

Even if you can't make money now, it will become some of the family's assets in the future.

Many families hold shares in multiple powerful companies. One reason is to expand their network of personal connections. The second is to make a profit and increase the family's penetration into other industries. The third is to balance the family's assets and reduce the risks of family-run companies.

"With what Luo Sheng said, Daoheng Group will definitely invest heavily in the stock market." Guo Lingcan showed a sincere smile.

Luo Qihong smiled and said, "There are so many financial talents in the group. Their judgment is much more reliable than mine. Mr. Guo still needs to take comprehensive opinions."

"Mr. Luo is too modest. Some people call him the stock god, and I think he deserves the title," Guo Lingcan flattered.

Luo Qihong waved his hand and said that this was just the flattery of shareholders and he was just a slightly savvy investor.

"Mr. Luo owns a securities investment company. I wonder what he thinks about the appreciation of the Japanese yen and the German yuan?" Guo Lingcan finally said the most important thing.

Luo Qihong pondered for a moment and felt that he would make a big move, which would be difficult to hide from the Guo brothers. It would be better for him to tell the truth and do them a favor.

"In my opinion, the possibility of appreciation is very high, because the US dollar is the hegemon, and the Japanese yen is just a subsidiary. How can we stop the trend and stop the Americans?"

Guo Lingcan frowned slightly, pondered for a while, and said, "Many international financial institutions believe that the Japanese and Germans will not agree. This is related to the final economic status of their countries."

Luo Qihong smiled and said, "Do they also represent Mr. Guo's opinion? Or is Mr. Guo hesitating?"

A mouth can never convince another head. Only when the head has the same idea can it be convinced.

"Haha!! When Luo Sheng asked this, I can only say that I was hesitant." Guo Lingcan laughed.

Luo Qihong leaned back in his chair. "Let's not talk about Germany first. Japan's economic form was fabricated by the Americans. Without the support of the Americans, what do you think Japan's economy will be like?"

"Japan's economy is not entirely fabricated by the Americans, right? South Korea's economy is." Seeing Luo Qihong smiling but not saying anything, Guo Lingcan continued to answer the previous question, "If they lose the support of the Americans, Japan's economy will certainly suffer greatly."

"Since everyone has suffered heavy losses, why not use this as a bargaining chip and ask for other benefits?" Luo Qihong asked in return.

Suddenly, several wrinkles appeared on Guo Lingcan's forehead. He didn't understand politics, but these were two choices with such obvious advantages and disadvantages that even a fool would know which one to choose.

But he still didn't believe it would be so simple. Politics has always been complicated. When could it be so simple?

In the end, Guo Lingcan didn't quite trust Luo Qihong, but Luo Qihong didn't force him.

Luo Qihong only holds about 20% of the shares of Daoheng Group. Even if it makes 1 billion yuan, he will only get 20 billion yuan, while Guo Lingcan's family can get at least 40 billion yuan, which is twice as much as him.

So why be the bad guy and make them believe your own speculation?

Moreover, Luo Qihong had already planned to make a large leveraged investment by himself, so whatever decision Guo Lingcan made would not have much impact on his interests.

The Civil Aviation Department wrote to Dragonair, stating that the Mainland was using Dragonair's Chinese capital to gain British interests, and required Dragonair to provide proof that it was majority owned and controlled by British nationals in order to qualify as the designated airline representing the UK under the agreement.

Therefore, Cao Guangbiao had to convene a board meeting to discuss how to deal with this matter.

In fact, Cao Guangbiao already has a solution, but it just needs the approval of the board of directors.

"As for what exactly happened, all the directors have already seen the information. We must make changes within the deadline set by the Civil Aviation Department, otherwise it will have a huge impact on the company." Cao Guangbiao said with a gloomy face.

Luo Qihong simply flipped through it twice, his eyes more focused on other directors. People's small movements often represent their attitudes and opinions.

"Mr. Cao wants to reorganize the equity structure of Dragonair?" asked Pao Yue-Kong.

"Yes, the Civil Aviation Department stipulates that the major shareholder of Dragonair must be a British citizen. Many of you here are British citizens, so I think Hong Kong Macau International's 100% stake in Dragonair should be reduced to no more than 30%. The remaining 70% will be directly held by us individuals or companies." Cao Guangbiao stated his intention.

"This is the only way, Mr. Cao, please tell us all your plans." Li Jiacheng supported Cao Guangbiao.

At Cao Guangbiao's suggestion, his son Cao Qiyong distributed the prepared plan documents to all directors.

Luo Qihong turned to the most important page about equity distribution. All other content was unimportant. What mattered was how much shares one owned.

The document states, "Pao Yue-kong privately acquired 30.2% of Dragonair's shares, becoming the largest shareholder and serving as the company's chairman; Cao Guangbiao's son Cao Qiyong holds 24.7% (Cao Qiyong is a British citizen), Hong Kong and Macau International Company holds 24.99% and Luo Qihong holds 1.5% of the shares."

The shares held by Cheng Yu-tung and Li Kar-shing are equivalent to those of Luo Qihong, and the Chinese company does not directly hold shares in Dragonair. This was of course a plan discussed in advance by Cao Guangbiao and the heads of the Chinese company.

Otherwise, Cao Guangbiao would not dare to distribute equity in this way and exclude Chinese companies.

Then all the directors agreed to this distribution plan, but Dragonair's capital increased from 1 million yuan to 2 million yuan, and they needed to pay according to their shareholdings.

They are all well-known figures and certainly do not lack for several million yuan in cash.

In Luo Qihong's view, although the requirements of the Civil Aviation Department have been resolved, the company is still at a disadvantage in competition with Cathay Pacific Airways, and this disadvantage is difficult to make up for.

If it cannot be made up, it will cause losses to Dragonair. Although the losses are not large, it cannot withstand the accumulated losses, so the failure of Dragonair seems to be doomed.

But if it can hold out and make some adjustments, it may be able to take a piece of the pie from Cathay Pacific.

It was impossible for Luo Qihong to speak out these thoughts. Firstly, it would disrupt the morale of the army and cause people to dislike and resent him. Secondly, Cao Guangbiao's wealth was not high enough to sustain these losses.

Everyone leaving the meeting room had a grim look on their faces. They all knew that the Hong Kong government and Cathay Pacific Airways would not end their targeted measures against Dragonair. This was just the beginning and would last for several years.

It was too late for them to withdraw, and they had no choice but to fight to the end with Cao Guangbiao.

In mid-to-late August, Liu Luanxiong returned all the money to Luo Qihong, a total of 8 million yuan, of which 7 million yuan was the original principal.

爱美高公司宣布新的供股计划，每2股供1股，准备集资1亿2千3百万元。

The explanation for the use of the funds was to launch an acquisition, but it did not specify which company it was, leading to much speculation from the outside world.

The families whose controlling stakes in their companies were unstable began to feel uneasy. Of course, they were afraid that the evil Liu Luanxiong would take action against their companies, but they were reluctant to raise funds immediately to increase their stakes. They were hoping for a lucky break, thinking that Liu Luanxiong might not be targeting their companies.

Capital's headline: "America has already prepared its arrows, but where are they going?"

The headline of the economic section of Tiantian Daily is "Who is unlucky again?"

Many investors want to sell out their invested stocks, save up enough funds and wait for Liu Luanxiong to take action so that they can make a lot of money.

It can be seen that in the eyes of ordinary investors, Liu Luanxiong is not a bad person, but a good person who can help them make money.

Luo Qihong laughed and said, "It is true that he is a good person now, but I may not think that Liu Sheng is a good person in the future. How can a capitalist always be a good person?"

After all, capitalists only make money from ordinary people, not from their peers.

Even Luo Qihong did not dare to hope that Liu Luanxiong would always be favorable to him. He would only be on guard against him and take advantage of him.

(End of this chapter)