Rebirth: The Era of Hong Kong Tycoon

Chapter 244 [Bidding]

At the end of March, Evergrande Real Estate submitted a sealed bid to the subway company, waiting for the result of 3 million yuan to be announced in April.

Lin Rongheng is very confident. The winner of the bid this time must be Evergrande Real Estate. Li Chaoren cannot be a dark horse.

As for the outside media, they are betting on Hongkong Land and Evergrande Real Estate, forming a [-]-[-] split.

In the office of Evergrande Real Estate, Lin Rongheng looked at the gratifying real estate information.

Evergrande Real Estate's residential real estate and industrial multi-storey buildings have been launched into the market one after another, with a monthly profit of tens of millions of Hong Kong dollars, just like a money printing machine, and a steady stream of funds are remitted to Evergrande Real Estate's account.

The most 'surprising' surprise is the layered industrial buildings. Hong Kong's economy has come out of the impact of the oil crisis, and the demand for industrial buildings in the market is strong, which has led to a rise in the price of industrial buildings. Now it has climbed to 150 Hong Kong dollars per square foot.

And Evergrande Real Estate expects to provide 300 million square feet of stratified industrial buildings to the market this year, with a total sales of more than 5 million Hong Kong dollars and a net profit of at least 2 million Hong Kong dollars.

Coupled with the net profit of residential buildings and rental properties, the performance of Evergrande Real Estate will double this year to more than HK$6 million.

It is terrifying, the profit of Sun Hung Kai in the previous life was only 1980 million Hong Kong dollars in 5.5, and Evergrande Real Estate achieved even greater achievements in 1977.

Of course, although Evergrande Real Estate has a lot of money in its account, it spends it very quickly. The most important thing is to buy land and old buildings for land reserves.This strategy will not change before 1979.

In terms of commercial buildings, Evergrande Real Estate plans to rebuild 11 commercial buildings. At present, five buildings have been completed and put into use, another four buildings are under construction, and the remaining two buildings have not started construction.At present, due to the skyrocketing rent, the annual rent of Evergrande Real Estate can reach more than 1 million Hong Kong dollars. Only relying on its own rent collection funds, it can complete the subsequent commercial building reconstruction plan.

At this time, Evergrande Construction, a subsidiary of Evergrande Real Estate, is not only undertaking the construction of its own commercial buildings and residential buildings, Lin Rongheng's personal company, Evergrande Real Estate, is also building a total of six buildings including the Chinese Bank and the former site of British American Tobacco (two buildings). The reconstruction of the first-class Grade A building, as well as the construction of Tsim Sha Tsui East, were handed over to Evergrande Construction.

Therefore, Evergrande Construction is also a first-class construction company in Xiangjiang.

Before I knew it, the Lin family and Evergrande Real Estate already owned more than 20 Grade A commercial buildings.

Calling the Three Musketeers of Evergrande, Lin Rongheng ordered: "After the subway company announces that we have won the bid, our stock price will continue to rise! We must strike while the iron is hot, revaluate the assets, and announce it to increase the market value of our company!"

The market value of Evergrande Real Estate has reached as high as 38 billion Hong Kong dollars, while the market value of the entire Hong Kong government market is only 600 billion Hong Kong dollars. The market value of Evergrande Real Estate accounts for 6.3% of Hong Kong stocks.

If it is operated, the market value of Evergrande Real Estate can reach 45 billion Hong Kong dollars in the first half of the year!
He Rui asked cautiously: "Boss, Evergrande Real Estate is making an acquisition?"

They are all his loyal retainers, and Lin Rongheng didn't hide it, and said: "Well, I will take over HK Electric! Galaxy Securities has 20% of HK Electric's shares, and it was recently transferred to Evergrande Real Estate. This acquisition may be subject to Hong Kong Land It is the first time we have faced Hong Kong British capital directly!"

The adults were surprised. The Hongkong Electric Company was not comparable to Qingzhou Yingni and China Gas. The market value of Hongkong Electric was more than 6 million Hong Kong dollars, with stable profits every year, and it also owned valuable properties.

Moreover, although the Hong Kong Electric Company is an independent public company, at the beginning of its establishment, the promoter was Paul Chater, the founder of Jardine Matheson.I believe that Hongkong Land should have about 10% of the shares.

Although Landmark would resist, Lin Rongheng was not afraid at all!
4 month 3 day.

Tang Xin, chairman of the board of directors of the subway company, announced that Evergrande Real Estate has acquired the property above the Central Station of the subway, and the two parties will sign a formal contract on April 4

At the press conference that night, Tang Xin told reporters:
"This building will be sold to the public floor by floor, and the benefits will be shared between the subway company and Evergrande Real Estate, with the subway company taking the lion's share!"

"More than 30 consortiums and companies are deeply interested in our company's cooperation, so the competition is fierce. All proposals have been studied in detail, and the result is awarded to Evergrande Real Estate, because the proposal is the most attractive to the company."

"Evergrande Real Estate proposes to pay a sum of cash to the subway company from the signing date of the agreement, and then pay a total of about 6 million Hong Kong dollars (total land costs) in cash to the subway company within half a year, and guarantee that the subway company will make at least 2 million Hong Kong dollars in profits .”

The next day, all the media in Hong Kong were reporting that 'Evergrande Real Estate defeated Landmark'.

"The two 'land kings' with an average land price of 10000 Hong Kong dollars per square foot have long been coveted by large consortiums, and now they are acquired by Evergrande Real Estate!"

What surprised the media the most was that Evergrande Real Estate promised to pay 6 million Hong Kong dollars in cash to the subway company within half a year. The land at Central Station and Admiralty Station was indeed [-] million Hong Kong dollars, which was granted to the subway company by the Hong Kong government, and the subway company needs to pay this Land purchase fee.

However, the vast majority of real estate companies will not pay the subway company cash in advance. Recently, they have used cash as construction costs; Evergrande Real Estate’s move is equivalent to giving about 6000 million Hong Kong dollars (interest) to the subway company free of charge. After all, according to the normal cooperation model, one party pays the land and the other pays the construction fee, and the settlement can only be settled when the house is sold.

Evergrande Real Estate provided such a huge amount of cash to pay the subway company, and it also needed to spend about 4 million Hong Kong dollars in construction costs, and an investment of nearly 10 billion Hong Kong dollars. I am afraid that no real estate company can afford it!
Cheung Kong Industries.

Li Chaoren was stunned by the news, not because Evergrande Real Estate won the bid, but because Evergrande Real Estate's conditions were exactly the same as his own, but the concession was stronger.

"This Lin Rongheng is indeed a man of insight. Such a strong opponent can be called my strong opponent!"

After Evergrande Real Estate won the bid, the stock price naturally began to rise.

Immediately afterwards, Evergrande Real Estate announced a revaluation report: Evergrande Real Estate's net assets are 40 billion Hong Kong dollars, and the asset value per share is 30 Hong Kong dollars (total share capital of 1.32 million shares).

Affected by this good news, the stock of Evergrande Real Estate skyrocketed again, and soon reached a market value of 45 billion Hong Kong dollars.

Evergrande Real Estate announced the issuance of about 1200 million new shares, raising about 4 million Hong Kong dollars.

Evergrande Real Estate has a large amount of cash flow, which can be used to pay the subway company and construction costs, and at the same time to pay Lin Rongheng to buy shares in Hongkong Electric, and can also cope with the next acquisition battle.

After Evergrande Real Estate acquired Lin Rongheng's 20% shares in Hongkong Electric, it did not immediately announce the acquisition, because Lin Rongheng was going to the United States on business.

(End of this chapter)