Shadow of Chinese Entertainment

Chapter 276 Buying a House
Hu Xiaobei received his October royalties in the past few days, amounting to a little over 1000 million RMB, and still has about 200 million RMB in his personal account.

In addition, the film revenue from "Become Yourself" will arrive around November or December, with an estimated net profit of around 4720 million RMB.

"Youth" is still showing in theaters. Judging from the box office trend, the revenue sharing will begin around January next year, and the profits should be slightly higher than "Become Yourself".

The two films alone generated a net box office revenue of around 1 million RMB in China, from which Hu Xiaobei could receive approximately 4000 million RMB.

As for An Xiaoqian and her daughter, the remaining revenue from their previous movies, ringtones, and albums was considerable, and together they have earned over 1000 million RMB.

It seems that Hu Xiaobei and his two companions have sufficient funds. They have over 2000 million RMB in cash available in the early stages and up to 1 million RMB in funds available later. Buying two adjacent villas is just a piece of cake for them.

Hu Xiaobei didn't want to buy property so early, but he had already bought too much stock in Hudong Heavy Machinery and it was no longer a good time to buy more.

Otherwise, there will really be problems.

Considering future trends, the collection of the three magical artifacts, and An Xiaoqian and her daughter's desire for stability, he still decided to buy houses, one inside and one outside the capital.

He took a deep breath and replied cautiously, "Auntie, I agree with your idea. Since we have such a big price advantage, why don't we just buy two adjacent villas or large apartments near the Third Ring Road?"

Alternatively, we could acquire a larger plot of land in Shunyi District, about 50,000 square meters, which would allow us to build two adjacent large villas.

Shunyi is close to the airport, making the house suitable for long-term living. A house within the Third Ring Road offers convenient daily commutes within Beijing.

"Wow, it's so big! You can build lots of fun things there..." An Xiaoqian was slightly surprised when she heard this. She took Hu Xiaobei's arm with her left hand and raised her right hand, asking to speak: "How about... I plan and design the house?"

Hu Xiaobei glanced at her with a hint of suspicion, and was about to refuse, but was then captivated by her pure eyes.

He could only sigh and say, "Planning and design matters should be left to professionals. You can offer your opinions, but I will decide on the final plan."

"make a deal!"

An Xiaoqian moved her right hand forward slightly and gave Hu Xiaobei a high five, reaching an agreement.

Without hesitation, she offered her first suggestion: "Could we combine the two houses? Or build a passageway to connect them?"

Faced with such a fierce yet adorable suggestion, Hu Xiaobei dared not agree directly. He quickly explained, "That won't do. People will gossip. We'd rather walk a few more steps than miss this one."

"Okay, I'll think about it some more..." An Xiaoqian's enthusiasm immediately waned after her first suggestion was rejected.

Liu Xiaoli pondered and estimated for a while before saying, "In this way, the financial pressure will be much greater."

However, the combined domestic revenue of the two films is around 100 million yuan, with a revenue-sharing period of about two to four months. Combined with our cash reserves, this should be enough to cover the costs.

Hu Xiaobei nodded: "We've already invested quite a bit in stocks. Qianqian made an equity disclosure once before, and I've made two."

Someone has already warned me through Professor An that I should no longer buy shares of Hudong Heavy Machinery. Otherwise, it won't be making money through investment, but rather inviting trouble.

In my opinion, with the rapid growth of the domestic economy, investing in real estate will almost certainly be a profitable strategy for at least the next ten years, making it a sound investment choice.

(PS: On a side note, if you really time travel to BTB, don't buy too much. Buying a little might make you a small fortune, but buying too much will lead to your demise. Remember this!)

Upon hearing this, Liu Xiaoli couldn't help but think of her stock investment in Hudong Heavy Machinery.

Under current regulations, investors are required to disclose their equity holdings when they hold 5% or more of a listed company's shares.

Subsequently, any increase or decrease in shareholding of 5% must also be disclosed.

Hudong Heavy Machinery currently has a total share capital of 2.6256 million shares, and she holds 1150 million shares, accounting for approximately 4.38%, which does not need to be disclosed for the time being.

Ke An Xiaoqian holds 2300 million shares, accounting for approximately 8.76%, which has already been disclosed once.

Hu Xiaobei holds 3400 million shares, accounting for approximately 12.95%, which has been disclosed twice. The three individuals collectively hold 6850 million shares, representing approximately 26% of the total, which already has a significant impact.

If it weren't for certain unresolved matters, the fact that the three individuals have clean records, and their recent achievements in bringing glory to the country, they probably would have been invited for questioning long ago.

An Xiaoqian is alright, after all, she has an American household registration and pays taxes in China. As long as it's a normal investment, there's nothing to worry about.

But Hu Xiaobei is different; being in the thick of things, he still has to be careful about his behavior.

In fact, when Hudong Heavy Machinery is renamed Huaxia Shipbuilding next year, it will issue new shares, and the total share capital of Huaxia Shipbuilding will increase to 6.6256 million shares.

At that time, the shareholding ratio of the three will be diluted significantly. Hu Xiaobei's shareholding ratio will drop to 5.1%, and the total shareholding ratio of the three will drop to 10%, which will not be so conspicuous.

When selling stocks, the 5% disclosure rule must also be taken into account.

Therefore, before Hudong Heavy Machinery changes its name next year, Hu Xiaobei will sell some shares in the near future, and Liu Xiaoli and her daughter will be responsible for buying them back, provided that the two do not need to disclose their information.

Reduce the publicly disclosed shareholding to below 10% before making a disclosure.

In this way, the shareholding of the three individuals can be controlled to below 5% and 10% respectively.

Due to the issuance of new shares, Hu Xiaobei's shareholding will be less than 5% after Hudong Heavy Machinery is renamed.

At that time, the rules can be reasonably avoided, and the shares of Huaxia Shipbuilding can be sold in batches within a suitable price range.

In other words, Hu Xiaobei needs to make a gesture of reducing his holdings and gradually sell 350 million shares of Hudong Heavy Machinery.

The three individuals will nominally hold 1300 million, 2600 million, and 2600 million shares respectively, totaling 6500 million shares.

Liu Xiaoli and her daughter's private shareholdings remained unchanged at 1150 million and 2300 million shares, respectively, while Hu Xiaobei's shareholding decreased to 3050 million shares.

The stock price of Hudong Heavy Machinery is rising almost every day, averaging 5 yuan per share per month recently, and the stock price is rising more and more rapidly over time.

Although Hu Xiaobei really didn't want to sell his stocks so soon, reality told him that he had no choice but to sell them now.

However, considering that a large-scale sale would cause the stock price to fall, he could also gradually sell his shares in Hudong Heavy Machinery.

As long as we sell a total of 350 million shares by January next year, there shouldn't be any problems.

As for the profits from selling the shares, they will naturally be reinvested.

Although he doesn't know much about investing, he believes that any brand whose name he can remember is likely to be a good one, especially some of the giant companies that will become giants in the future.

For example, Jingdong Company already needs investment. When they start expanding their logistics system next year, they will sell about 40% of their shares for $1000 million.

Even though these shares will inevitably be diluted as the company develops, Jingdong's value at that time will be far greater than it is now.

In light of this, Hu Xiaobei explained his thoughts to Liu Xiaoli in detail and instructed her: "Auntie, I have high hopes for Jingdong Company, but there's no rush to invest a large amount. Let's talk to them first."

We can simply want shares without interfering in the company's day-to-day affairs, and the same voting rights.

Compared to Jing Donglai, Liu Xiaoli was more optimistic about Alibaba, but she subconsciously chose to trust Hu Xiaobei's judgment when it came to investment.

Hu Xiaobei was well aware that Alibaba would develop better and faster, but there were too many problems there, making it far less stable than investing in Jingdong.

Of course, no matter which company you invest in, you can't avoid the inevitable outcome that it will become stronger or worse as time goes on.

His goal was not to hold onto any particular company indefinitely, but rather to generate profits through early investments, thereby solidifying his foundation.

(End of this chapter)