Those Years When I Was Forced to Top the Forbes List

Chapter 210 You, come here.

Plans can't keep up with changes.

On the morning of February 8th, BOE Technology Group Co., Ltd. opened with a positive gain of 3.4%, indicating its stance.

The opening price was 2.99 yuan.

However, judging from some opinions on the forum, shareholders are not very convinced and frequently leave comments such as "Why isn't the annual financial report being released?"

BOE remained silent, focusing solely on driving up its stock price.

By 11 o'clock, the buy orders had exceeded 100 million, but the stock price still couldn't break through 3.02.

In his office on the third floor of the HF City Hall, Chen Xuebing laughed and shook his head.

Laughter is because BOE doesn't understand; shaking one's head is also because BOE doesn't understand.

"The trapped positions from the previous two days were all concentrated between 3.03 and 3.08, and BOE actually plans to push it up—that's incredible."

Chen Xuebing's casual remark had already determined the fate of an entire finance team.

On the other end of the phone on the table, Xu Jin also showed a hint of boredom:
"They don't even know how to defuse the selling pressure from above. This level of expertise is probably not from an externally hired market-making team. They might be relatives of some management."

The two had discussed it before the market opened that morning. If the other party was smart, they should first let the stock price drop sharply, take advantage of the sentiment at the end of yesterday's trading session, trap all the hesitant sellers, and then try to push it up.

In this way, the cost of pumping the price will be much lower, the pressure will be less, and the shareholders who sold will be immersed in a feeling of regret, continuing to pay attention to BOE. When BOE experiences another sharp drop, shareholders will feel that the opportunity has come and buy in large quantities.

The two believed that BOE would definitely do this, and even made a backup plan: to use another 2000 million yuan of other stock holdings as reserve funds, so that if BOE's stock price fell, they could buy more shares.

As a result, their plan backfired, and the stock opened at a high price, forcing Changzheng Capital to sell more than 1000 million yuan worth of shares during the bidding period.

—The market has been doing well these past two days, and most of Changzheng Capital's holdings are making money. In order to recover the more than 10 million yuan worth of holdings, they lost more than 100,000 yuan.

This perplexing move prompted CITIC Securities, the fund's third-party regulator, to call and inquire about the situation. Fortunately, Changzheng Capital's profitability is outstanding, so the investors probably won't have any objections, and they only asked a few questions before letting it go.

Testing the upper resistance level and pulling back and forth is a basic skill of institutions; the opponent's operation is completely at the level of an elementary school student.

Their current approach has already freed up some of the trapped investors. With so many other profit opportunities in the stock market now, those investors who have been able to break even may not return to BOE's shares.

disappointing.

After hesitating, Chen Xuebing made a decision:

"Let's sell now while BOE is willing to take over, and then have Mr. Liu publish an article about it."

"That's what I'm thinking too. So, when they fall, should we still catch them?"

Xu Jin's tone made it seem as if BOE's stock price plummeting was inevitable.

If they don't know how to use negative news to shake out weak hands, then they will inevitably be swallowed up by negative news.

"Go ahead and buy, but don't rush. Observe the lows and buy when the time is right. This time our role has changed. We need to be patient capital and hold for the long term. The entry point must be low."

In the unpredictable secondary market, identities can shift in an instant.

If the opponent is too weak, you can't just keep attacking them.

We need to pull back and attack simultaneously.

At 11:30, BOE's closing price was 2.95, up 2.4%.

BOE withstood a sell-off of 50 million yuan, and has invested over 200 million yuan to maintain its stock price.

The first batch of maintenance funds allocated has run out, and they want to sell some stocks to recoup losses, but they dare not sell, they simply dare not sell.

Selling now would be an avalanche.

Fortunately, based on the sheer size of the attack, the group was able to roughly guess the identity of their opponents.

"Chairman, it should be this Changzheng Capital. They just invested 5000 million, and the sell-off just now was about that size. We should be able to confirm it by checking the shareholder changes after the market closes today."

Everyone in the conference room at Chaoyang headquarters breathed a sigh of relief.

"If it's them, then the sellers shouldn't have any chips left."

Wang Dongsheng waved his hand and said, "Call all the shareholders whose shares are now released from lock-up. We have stabilized the situation now. Ask them not to become accomplices to the short sellers. It would be best if they did not sell their shares recently. After we finish negotiating the cooperation in Shenzhen, we will give them the best opportunity to sell!"

The words had barely left his mouth.

A young man hurriedly knocked on the door and came in.

"Chairman! NetEase News just published a negative report about us, and the steel news website Xinmin.cn reprinted it within 5 minutes. Someone is targeting us!"

Wang Dongsheng's expression tightened.

"What article?"

"The title is 'Buffett's Snowball Effect, BOE's Snowball Effect Too!'"

Wang Dongsheng glanced at the reactions of the executives present. Several of them opposed building the line in Shenzhen with debt, but their expressions seemed somewhat surprised. He then gave a cold laugh:
"Let's read aloud. It's something that appeals to both refined and popular tastes. Everyone should listen carefully and see who has provided ammunition for those who are attacking us."

The young man coughed lightly before reciting:
"Since investing in LCDs in 2003, BOE has been trapped in a vicious cycle of input and output, which is actually a tragedy for China's high-tech industry."

"It's not for anything else, it's just to raise money," said an insider from a Shanghai-based institution. In 2005, BOE's financial report for the first three quarters showed a loss of nearly one billion yuan, yet their shareholders' meeting approved a plan to raise several billion yuan. The insider also revealed, "They originally planned to raise 100 billion yuan, but the market was bad, so they couldn't."

"From a simple financial perspective, BOE has been caught in a vicious cycle of input and output since it officially invested in and launched its fifth-generation TFT-LCD module production line in June 2003, with its average return on assets declining steadily from 7% in 2003."

An industry analyst revealed, "The biggest problem is that the LCD production lines that BOE is about to invest in are not based on internationally leading technologies. Samsung already has higher-quality OLED panels, which will soon be mass-produced for mobile phone applications. OLED TVs are also under development, and samples will be available in two or three years at most. Once BOE's large-scale investment is completed, new technologies will emerge." Regarding the extent to which OLED will shake up the panel industry, the analyst believes, "While it won't completely replace it, it will at least share the market..."

Upon hearing this, the expressions of those present were somewhat strange.

Many people criticized their financial situation.

This is the first time I've heard the argument that they chose the wrong path.

"Perhaps everyone is betting on a cycle, seeking a reversal opportunity," the analyst said.

"The reporter is still investigating the specifics. Please stay tuned for further reports."

The voices stopped, and the surroundings fell silent.

"That's all?" Wang Dongsheng asked.

Why is the wording so mild at the end?

"That's all. They just disclosed our financial situation. The reporter said they wanted to know more, but no reporter contacted us."

"Which reporter? Which media outlet?"

"Her name is... Liu Shuwei, from the Central University of Finance and Economics. She seems to be quite famous."

"Check it out."

……

"Hahaha, he's more than just famous! One article of his brought down a listed company!"

Thirty minutes after the report was released, Shenzhen Qidian, Hefei conference room, and Chongqing Changzheng Capital held a short New Year's meeting via video link.

Li Xueling was seen spitting as she spoke in the Shenzhen footage.

"You know about Lantian, right? Financial fraud!"

Three classic lies!

"First, there's the 'free shrimp,' claiming that no one wants to eat the crayfish from Honghu Lake, so they buy them from Lantian for free and export them at a high price of 20 yuan per jin (0.5 catties), basically pure profit! Second, there's the 'TV duck,' claiming that it lays more than 300 eggs a year, and with its high price and delicious taste, one duck can earn enough to buy two TVs a year! Third, there's the 'three-dimensional farming' of ducks on the water, fish in the water, and lotus roots underwater, generating an annual output value of 30,000 yuan per mu (0.067 hectares) of water!"

"People actually believed that a few years ago!"

"In 01, Teacher Liu published a report in the Economic Observer saying that Lantian was an empty shell! Lantian threatened her, issued her a summons, and hired people to smear her. The verbal battle lasted for a year! Later, a TV program invited her to expose these things. The program was called 'The Person Who Confronts Myths,' which won the first prize in the national TV commentary category!"

"Later, the China Securities Regulatory Commission designated 2002 as the 'Year of Corporate Governance' because of this incident!"

"Later, Ms. Liu specialized in studying the financial situations of listed companies and even earned the nickname 'The Most Dangerous Woman in the A-Shares Market'!"

"Back then, I admired Teacher Liu so much that I made a special trip to visit her. We got along well, and it was only because I went to her that she agreed to conduct a remote interview with President Chen and President Lu!"

Xu Jin found it strange that Li Xueling had said this.

"Chairman, it's only right that President Kan helps you. We're partners. Why is President Lu helping you so much?"

Chen Xuebing's lips curled up slightly: "000046".

“46…” Xu Jin pondered for a moment, then his eyes lit up: “Panhai? President Lu has also joined us?”

"Correct."

"Entered before January 20th?"

Oceanwide Holdings suspended trading on January 20th for restructuring, with assets being injected and share buybacks – a string of positive news that has those who bought in early now ecstatic.

Chen Xuebing smiled and said, "Yes, quite a lot came in, over ten million."

"He'll be rich! In a few days, when the market opens, he'll hit the daily limit for three consecutive days. I think he can reach 4.5 yuan."

Xu Jin never thought about himself when he envied others.

Changzheng Capital invested over 20 million yuan when Oceanwide Holdings was trading at 2.9 yuan, and now it's at 3.65 yuan.

Chen Xuebing shook his head mysteriously. "Just hold onto this stock."

What's the big deal about 4.5 yuan?
This is just the beginning.

This wave could last until 2007, reaching at least sixty-something yuan.

"Chairman, do you really think OLED screens will work? I heard Samsung has been working on them for years, and they still have burn-in issues!"

Everyone present had their own focus on this news. Singularity Technology had just learned about the chairman's joint investment with Hefei in BOE, and they were all quite excited.

Especially Lu Weibing.

His popcorn project doesn't need Samsung or LG screens; an LCD screen would be good enough.

But he sensed something else in the chairman's remarks during the interview.

In the interview, the "institutional insider" was Lu Xiaochun. As a fund manager under Bosera, the investment institution of BOE, he certainly had the right to speak. The last "industry analyst" was the chairman.

The "OLED screen" he mentioned is mainly being developed by Samsung and Sony. One is focusing on small-screen mobile phones, and the other is focusing on large-screen TVs. Both of them publish a lot of papers and materials on related technologies every year.

The purpose of the article is, of course, to improve the ecological environment and encourage everyone to produce OLEDs and monetize their technology.

However, OLEDs are self-emissive diodes, and the light-emitting materials are organic compounds that will naturally age, leading to a decrease in luminous efficiency, commonly known as screen burn-in.

LCD backlight layer lifespan can reach over 50,000 hours, while OLED lifespan is less than 10,000 hours. This is a major drawback, and few manufacturers dare to follow suit.

"It's lightweight and thin, that's why we had to develop it." Chen Xuebing explained only this sentence before waving his hand: "Research and development is BOE's business. How are the negotiations with your supply chain going?"

"We've already finalized the deal with LG for the screen! If Samsung explicitly refuses, we'll use LG's screen. We have a lot of options for the camera; Japanese and American options are all good. We're still choosing one. Everything else is going smoothly. Now we're just waiting for Mr. Lin to provide the chip. As soon as we get a sample chip, we can assemble a finished product to test it."

Lu Weibing put it simply, but in reality, the manufacturing and system assembly and debugging of a finished chip takes at least six months, and there are also issues with mass production.

"Well, I suggest you don't make a decision so quickly. Pay more attention to product iteration information. Make sure that when the product is officially sold, our configuration is not outdated. The launch event is scheduled for the National Day holiday, and the official sales can be delayed until May or June next year. As long as we have a prototype to demonstrate the concept at the launch event, we can change the supply chain later."

Chen Xuebing was not entirely satisfied with the various parameters that had been transmitted so far, but there wasn't much he could do but wait for the world to upgrade itself.

"Okay! I'll have them continue to optimize it."

While Gu'an Group was leisurely holding a meeting, BOE's online public opinion had already exploded.

Following Xinmin.cn's reposting, Economic Observer also quickly reposted the report.

Then came the *New Express* and *Southern Weekly*.

There aren't many online media outlets these days, and an even more intense offensive is actually brewing offline.

However, some "smart people" have already started spreading information in stock market forums.

"Liu Shuwei! BOE is doomed this time!"

Do you know when Liu Shuwei last said "Please stay tuned for follow-up reports"?

"Breaking news! Teacher Liu has infiltrated BOE with a camera, preparing to film their massive unsold inventory!"

"Net profit plummets, debt soars to the sky, BOE is putting on a show of 'How to Go Bankrupt Gracefully' for you."

"Their approach is called 'borrowing money is fun for a while, and borrowing money all the time is even more fun.'"

"Haha, it's like borrowing money is fun for a moment, but paying it back is a nightmare!"

Faced with public opinion, stock market investors are voting with their feet.

When Shenzhen called to inquire, BOE became even more determined to fight back, daring not to show any sign of weakness.

...

By 2 PM, BOE had already repurchased 260 million shares, but dared not raise the price, fearing that if the price was too high, its own shareholders whose shares were released from lock-up would be tempted to sell.

Internal and external troubles.

Meanwhile, Chen Xuebing had finished his meeting and was frowning as he reviewed BOE's transaction details.

The current stock price is 3.02, with 5 lots of buy orders pending. Below, at 3.01 and 3.00, there are tens of thousands of lots and tens of millions of lots of buy orders placed, as if saying, "If you dare to dump, I dare to buy." However, the price shows no signs of fluctuating upwards.

The intraday transaction details show hundreds of orders, with almost 80% being active sell orders and very few being active buy orders, indicating that the support side no longer has many allies.

With such a strong stance, what exactly are they insisting on? Are they really preparing to take over completely?
Chen Xuebing thought for a long time, then suddenly shook his head, smiled, and picked up the phone.

……

"Hold on! Hold on until the market closes at 3 PM! Once our announcement is released, market sentiment will definitely recover!"

Wang Dongsheng is preparing to unleash a major tactic to boost the listed company's stock price—issuing an announcement.

If there are no positive developments, issue a buyback announcement.

The board secretary has drafted an announcement regarding the recent repurchase of 300 million shares, which will be released after the market closes this afternoon.

Issuing a repurchase announcement is a responsibility. They had considered issuing one before, but were unsure how much they would repurchase.

They've already spent 260 million to buy back the shares, so they'll issue 300 million, or at worst, make up the remaining 40 million.

As for whether the 300 million shares were repurchased after the announcement or before, they can simply be transferred from one hand to the other.

What he needs is to reverse the downward trend in the news.

Wang Dongsheng was still indulging in his pipe dream when the phone on his desk rang.

It's an unfamiliar number.

He's not a deadbeat, so of course he'll answer the unfamiliar number.

"Hello. Who is this?"

The words from the other end were so direct that they left him speechless.

"I am Chen Xuebing from Changzheng Capital. Chairman Wang, forget about your stock price and don't issue any share repurchase announcements. Come to Hefei and let's talk."

"Is it really you guys? How did you know we were going to issue an announcement?! What are you planning to do?!"

As Wang Dongsheng spoke, his eyes scanned the bustling "stock market command center" conference room.

The others also looked over when they heard the chairman's roar.

The meeting room fell silent.

"Don't guess wildly. I know it's because this is the only trick you have left. But I advise you not to use it. Deceiving the China Securities Regulatory Commission is a small matter, but deceiving the stock market investors is something even a god can't save you from."

Wang Dongsheng's breathing became rapid, his anger turning from being overwhelmed by his opponent's flawless calculations.

He suddenly remembered something.

"Hefei. You are the Hefei government."

"Furthermore," the other person interrupted him, continuing on their own, "you haven't used the company account to repurchase shares yet, have you? You were initially thinking of finding an opportunity to sell them? But things are different once the announcement is made. Shares repurchased by listed companies to maintain the stock price must be transferred or cancelled within three years. If the announcement is made and the stock price is still not maintained, the money you've spent these past two days will be wasted. I advise you to calm down. If you listen to me, you can still get this money back from the stock market."

"If you won't listen to me, then go ahead and send it. Tomorrow, our battle will officially begin."

……

Wang Dongsheng did not reply.

The call was immediately hung up.

This is both a way of expressing anger and a way of leaving room for maneuver.

But Chen Xuebing gave him no room for maneuver, leaving him with a mandatory question as his homework for the day.

To issue an announcement or not?

The Hefei government, which was proactive and enthusiastic, left him with the impression of being both attentive and weak, and the conditions they offered lacked confidence. He never expected that after failing to reach an agreement once, they would turn around and unleash such aggressiveness.

He ordered people to investigate the Long March's history.

It turns out to be a company from Chongqing.

Foreign aid? Or... Chongqing + Hefei?

Chongqing had been paying attention to them before, and a former leader had given them some hints.

correct!

He suddenly remembered that his former leader had said that Chongqing was cooperating with a fund company!
He immediately picked up the phone and dialed the old leader's number.

"Hey! Old Director!"

...

About ten minutes later, Wang Dongsheng smiled.

It really is.

If Chongqing were to provide support from the side... that would be quite good.

As Wang Dongsheng pondered, he suddenly felt more confident.

Since two companies are vying for him, and both are quite powerful, why worry about his own stock price?
Let them fund the entire factory construction!
(End of this chapter)