Hong Kong 1980: The Savage Era

Chapter 85【Two Commercial Buildings in Sheung Wan】(Please collect and read)
It took Luo Qihong less than a year to rise to prominence. Despite his net worth of tens of millions, he could not conceal his current weakness: he had no foundation. Even if Luo Qihong could acquire a large company, he did not have enough talent to support it.

At this time, Zhaoan Real Estate Company can still allow Luo Qihong to be more willful. If the company were bigger, Luo Qihong would have no choice but to compromise, otherwise the company would encounter various problems.

Therefore, Luo Qihong was very clear that he not only had to make money, but also had to cultivate talent for himself and lay a solid foundation for an important part of the plan.

He didn't know how many of these people in front of him could be trained as confidants, perhaps none at all.

The group of people didn't stay long. They just showed their faces and left the office.

The next morning, famous newspapers published the news of "Paramount Restaurant Company's acquisition of Zhaoan Real Estate Company" in small pages, and the stock price began to rise. Although not as high as those famous big companies, the stock price of Paramount Restaurant Company rose smoothly to 0.87 yuan, and the market value became 7569 million yuan.

At the same time, Luo Qihong bribed several critics and asked them to promote the Paramount Company.

On the third day, Luo Qihong sold 50% of the equity of Wan Chai Kaohsiung Building acquired by Paramount Company to Zhaoan Real Estate Company for 3840 million yuan, allowing Paramount Company to earn 640 million yuan in just a few days. In addition, the 2250 million yuan loan of Paramount Company was successfully transferred to Zhaoan Real Estate Company.

The emergence of this good news caused quite a stir in the market. Although this was a "paying money from the left hand to the right hand" transaction, it could not conceal the fact that Paramount Company made a profit of 640 million yuan.

As a result, the share price of Paramount Company rose to 1.1 yuan, with a market value of more than 9500 million yuan, getting one step closer to a market value of million yuan.

As a result, the cash flow on the Paramount Company's account exceeded 3500 million yuan (the loan contract was transferred and the loan funds were still in the Paramount Company's account). However, Luo Qihong was not in a hurry to release the loan for the 32.4% equity of Siu On Real Estate Company. Instead, he used the money to purchase the first floor property of Nanyang Centre shopping mall in East Tsim Sha Tsui from Sun Hung Kai Properties.

This good news did not bring a big increase in Paramount's stock price, but it also rose to 1.3 yuan per share, and its market value successfully crossed the million yuan threshold, making it a relatively high-quality small real estate company.

Luo Qihong leaned back in his chair comfortably. The pressure was greatly reduced and the debt ratio of Paramount Company dropped to 12%.

This debt ratio is lower than that of a stable real estate company like New World Development. However, Paramount does not have many high-quality properties to support this market value. Luo Qihong is thinking about how to use the loan to acquire the Time Peak Building in Sheung Wan.

"Let's wait a little longer. Once the stock investment funds from Henderson Land Development are recovered, Paramount will be better off." Luo Qihong muttered to himself with his eyes closed.

Cluck! !
There was a rapid knock on the door, followed by footsteps.

Before Luo Qihong could see the person clearly, a voice came over: "Boss, Shifeng Building requires you to negotiate in person, otherwise they will sell it in layers."

The person who came was Su Qishan, the manager of the information integration department. His face was covered in sweat and he looked a little impatient.

"Their asking price is still 7 million. There is no price increase?" Luo Qihong asked after a pause.

Su Qishan shook his head. "The price has gone up. They asked for 7200 million yuan and asked for full payment within two months. They don't charge any interest."

Newly built commercial buildings are always better than some old commercial buildings in Wan Chai, and they are also much larger in size.

Luo Qihong thought about it. Although Paramount Company did not have so much funds at the moment, it could first take out a loan to acquire the property, and then use the rent to repay the interest. "Okay, I agree. But we need to talk to the owner. We will pay a 1% down payment first, and the remaining 9% can be paid in full within one month."

Su Qishan was slightly stunned and had some guesses about Luo Qihong's plan, but he was not sure which one it was.

"Okay! Then I'll contact the owner first. You'll need to discuss the details in person." Luo Qihong waved his hand awkwardly and asked Su Qishan to go out to work.

If the entire Shifeng Building could be successfully acquired, the market value of Paramount Group would surely rise to 2 million yuan, achieving a qualitative leap.

Zamasu Cafe Central
This is a cafe that is very popular among white-collar workers in Central. It is during working hours and there are only a few customers here and there.

Sitting opposite Luo Qihong is a handsome old man with elegant clothes, Zhao Shizeng, the son of Zhao Congyan, one of the five major shipping magnates in Hong Kong. He is 45 years old and is the helmsman of Zhao Congyan's family business, Huaguang Real Estate Company.

Shifeng Building was developed by Huaguang Real Estate Company. As the amount of money involved was not small, Zhao Shizeng had to do it himself.

This Mr. Zhao is a typical rich second-generation who likes to linger among beautiful women. In his previous life, he claimed to have slept with more than ten thousand women.

"Haha!! I didn't expect Luo Sheng to be so young. Hong Kong is indeed a blessed land with many talented people." Zhao Shizeng is a playboy, but his ability is unquestionable. He has lived in a wealthy family since he was a child, so his social skills must be good.

"Mr. Zhao, you're too kind! Heroes are made by the times. I just followed the development of the times and made a little money." Luo Qihong said modestly.

Zhao Shizeng had naturally read Luo Qihong's information before coming here. He started from scratch in just one year and owned two listed companies. This was not a person who was promoted by the times.

"Mr. Luo is so modest." Zhao Shizeng began to get to the point. "Let's get started. My subordinates told me that Paramount Company has no objection to the price of 7200 million yuan for Shifeng Building, but we at Huaguang Real Estate have objections to the 1% down payment proposed by Paramount Company. We hope to increase it to 2%."

Luo Qihong readily agreed, "No problem! 2% is 2%."

"Mr. Luo is a capable man. I am not worried about the subsequent payment of the balance. In fact, Huaguang Real Estate has a commercial building in Sheung Wan that is about to be sold. I wonder if Mr. Luo is interested?" Zhao Shizeng smiled faintly.

Luo Qihong glanced at Zhao Shizeng and began to think. He remembered that at this time, Huaguang Shipping Company (the flagship shipping company of the Zhao Congyan family) was affected by the negotiation situation between the two places. The head Zhao Congyan believed that the ships could be transferred at any time and there was no need to worry about the bad situation affecting the Zhao family's assets.

Moreover, Zhao Congyan judged that shipping would not really enter a recession, and would begin to recover to the state of the late 85s after 70. At this time, Huaguang Shipping was vigorously expanding its shipping business, so it was eager to sell the properties of its Huaguang Real Estate Company to cash in for the shipping industry.

Luo Qihong also knew that it was impossible to use this to suppress the prices of commercial buildings, because Huaguang Real Estate was a large company and was not in great need of this little money for the time being.

"Interested! Which shopping mall is Mr. Zhao talking about? Do you have any information?" Luo Qihong really didn't know which building it was.

Zhao Shizeng was prepared. He took out a document from his briefcase and handed it to Luo Qihong, saying, "It's the Warwick Building at 84 Suhang Street, Sheung Wan. The floor area is 20.6 square feet, which is three floors lower than Shifeng Building. Because the location is not very good, the company wants 3 million."

Luo Qihong read the documents carefully and thought about it. He felt that the price was negotiable. The location of Suhang Street was not very good at this time. "How about 4100 million?"

Zhao Shizeng said with a smile, "Luo Sheng's bargaining is a bit fierce. I don't want to bargain for anything. Just add 1 million. The total price is 4200 million. This price is already very affordable."

"Okay! Let's do the transaction in the same way." Seeing Zhao Shizeng nod, Luo Qihong said, "We will do the transaction after the Warwick Building is officially completed. I also want some time to prepare the funds."

"Well! If Luo Sheng suggested a direct transaction, I would be a little scared, because the market value of Paramount Company is there." Zhao Shizeng said with a smile.

(End of this chapter)