Hong Kong's new giants

Chapter 107 [Preparation for Backdoor Listing]

Royal Villa.

Lin Zuhui would come to the Wang family for a meal almost every week, not because he needed to flatter Wang Qilin, but because he had a very close relationship with the Wang family.

With Lin Zuhui's current financial status, there is no need to curry favor with Wang Qilin anymore. Apart from the lack of interpersonal relationships, Lin Zuhui's career has already grown.

Before dinner, Wang Qilin took Lin Zuhui to his study.

"This New Era Real Estate rights issue fundraising, your warrants are only a little bit left, I'm afraid you have to pay more than 6000 million!"

"Well, it's almost 6500 million!"

Wang Qilin frowned, he himself had to contribute more than 2600 million, and Lin Zuhui had offered too much, he couldn't possibly do everything!
"What do you think?" Wang Qilin said, he thought Lin Zuhui couldn't confess.

"I pledged part of the stock some time ago, and made a lot of money by shorting USD/JPY. This rights issue is affordable!"

This time, he closed part of the USD/JPY foreign exchange position and withdrawn funds of 1.18 million (net profit of 6500 million); because the bank loan period is one quarter, the funds he can use are 1.18 million.

Wang Qilin was surprised, but he soon felt relieved. Since his nephew dared to short USD/JPY with the company's 3000 million, he must also dare to pledge his own stocks to short USD/JPY.

"You! Do you know what many people in the Xiangjiang business community think of you?"

"I know, Chen Songqing is the second! But I don't dare to compare with him. Five years ago, he dared to say that he made 6000 million yuan a year from a property. I only made [-] yuan in securities and foreign exchange. It's just a few thousand!"

In fact, in the eyes of bankers, Lin Zuhui and Chen Songqing are two completely different people!
The assets of New Era Real Estate are well-documented, the loan projects are clear, and the debt ratio is not high; Lin Zuhui has never said how great his backstage is. .Of course, the 'scandal' between Lin Zuhui and Jin Daxia has also spread recently, and some media said that the two are 'forgotten friends'.

Moreover, Lin Zuhui does not have a lot of "big projects and big investments", nor does he develop across multiple industries; every investment in New Era Real Estate is a high-quality property, safety can be guaranteed, and it is only limited to the development of the real estate industry.

Wang Qilin nodded and said: "They just think that the real estate development in the new era is too fast, and they are envious!"

After the two chatted for a while, Wang Lingyin came up and called them to eat.

When the three of them walked down the stairs, Wang Lingyin gave Lin Zuhui a hand, indicating that he had something to say in a private voice.

After leading Wang Qilin a few meters away, Wang Lingyin said in a low voice, "Brother Hui, let's go hiking together this weekend!"

There is no way not to agree to this, Lin Zuhui is planning to cultivate Wang Lingyin as his wife, so he has to take time to cultivate his relationship.There is no rush to formally fall in love, at least after she goes to college.

"it is good!"

Wang Lingyin walked downstairs happily when she heard that, but in fact she didn't have too many thoughts in her heart. Both older brothers were studying abroad, and the younger brother was naughty and didn't play with her; Goodwill, natural feelings are sprouting little by little.Although she knew that Lin Zuhui had a girlfriend, she didn't seem to care much.

The two went downstairs at the same time, Wang Qilin and Sun Biying naturally saw it too, but they didn't say anything!
But the couple didn't stop interfering. During the meeting, Lin Zuhui's girlfriend Guan Jiahui was always mentioned, meaning to warn Wang Lingyin: You are still young, and your elder brother Hui has a girlfriend.

The implication is: tell Lin Zuhui that if you want to fall in love with my daughter, it’s okay, at least you have to wait until she goes to college; and, should you break up with your current girlfriend before talking about it!
Lin Zuhui naturally took the initiative to fulfill the idea of ​​Wang Qilin and his wife, and generously admitted that Guan Jiahui was his girlfriend, and they were still living together!

As his future groom, Wang Lingyin must make her understand that she has a rich relationship history, what she has to bear!
Taking advantage of the lack of relationship between the two, he subtly cultivated Wang Lingyin. Of course, the premise is that Lin Zuhui can gain Wang Lingyin's favor, and then slowly develop love.

This move is a big move, Lin Zuhui may need several years to cultivate slowly.

In the lawyer's office, Lin Zuhui signed an agreement to take back Fang Jin's 500% stake in Wanhui Publishing House at a price of 10 million.

Back at Wanhui Publishing House, Lin Zuhui wrote him another check for 1100 million.

Fang Jin quickly pushed the check to Lin Zuhui, and said with a serious face: "Boss, why is there an extra million? How can I ask for your interest!"

Lin Zuhui pushed the check to him again, and said, "It's not interest! The 100 million is the errand fee for the big wisdom investment to help me buy the shell!"

Fang Jin pushed back the check again, and said excitedly, "Great Wisdom Investment was originally the company you founded, so it's not right for you to run errands for you!"

Lin Zuhui ordered directly: "Pick up the check!"

Seeing Lin Zuhui's serious expression, Fang Jin honestly picked up the check.

"For the shell purchase this time, the cost of Dazhizhi's investment also needs this figure, and the brothers will settle the accounts clearly."

Lin Zuhui has already taken a fancy to a shell, and has initially reached an agreement with the major shareholder; therefore, entrusting Dazhi Investment Company to audit financial and operational issues will naturally incur legal fees, audit fees, financial fees, etc.; according to the principle, a shell It takes millions of information consultation fees, and Lin Zuhui gave 100 million, which is already 'taking advantage'.

This time the 'shell' is Weiyi Real Estate, a small real estate company with a market value of more than 5000 million. It is a rent-collecting company (simple business); it mainly invests in some properties and then uses them for rent collection.

In the past few years, I have been losing money, mainly because I bought some properties during the peak period of real estate, and the interest on bank loans was higher than that of rent collection (rents fell, and the vacancy rate of leased properties was also high).

After the real estate boom, the current situation has improved, and the company has begun to make profits, with net assets of about 6000 million (total assets minus liabilities), which can be regarded as a well-run company.

The major shareholder is willing to sell, nothing more than the intention to withdraw, cash out and leave!

What Lin Zuhui negotiated with the major shareholder of Weiyi Real Estate was that he would buy 2300% of its shares at a price of 35 million, with a premium of 10%.

He plans to sell some properties to New Era Real Estate after taking over Weiyi Real Estate, and pay off the loan of Weiyi Real Estate. After that, the company will only have about 6000 million properties left. This is also the shell raising stage.

Around December, Lin Zuhui will determine the value of Wanhui Publishing House based on the market value of Weiyi Real Estate;
For example, the market value of Weiyi Real Estate is more than 5000 million, so Lin Zuhui injected Wanhui Publishing into Weiyi at a price of 1 million yuan; in this way, Lin Zuhui's common shares amounted to almost 49%, and he obtained a large number of warrants.

It seems that Lin Zuhui turned Wanhui Publishing House from a personal asset into a public asset;

actually not:

First of all, after the backdoor listing, the stock price of 'Wanhui Media' will skyrocket, and the shares in Lin Zuhui's hands will also appreciate in value, including the warrants;
Secondly, Lin Zuhui holds a large number of warrants. In the future, he does not need to pay for the rights issue, and he can also get a lot of rewards. The warrants can also allow him to firmly control the shares at 49%.

In short, as long as the stock price of this listed company rises and the rights issue fundraising goes smoothly, Lin Zuhui will not suffer a loss, and he can also make a lot of money!

Lin Zuhui originally thought that his life would be easier and that he had sufficient funds, but in fact that was not the case.

There is actually a "disparity" between him and Da Liu and Huang Yulang, that is, Da Liu and Huang Yulang are actually rich in personal assets, and they can easily raise funds through rights issues.

Moreover, after Huang Yulang's Yulang Group was listed in the previous life, Huang Yulang's shares were estimated to be 70.00% (as long as 25% of the public shares are guaranteed to be listed), Huang Yulang can choose not to raise funds through the rights issue, anyway, his own shares can be diluted; As for Da Liu's rights issue, in fact, there are many rights shares in the subsidiary, but the major shareholder of the subsidiary is Amygo, not himself, so the rights issue is Amygao's supply of funds. In short, it is a layer-by-layer rights issue. Individuals do not need too many rights issues.

Just because Da Liu’s shares are diluted, and the company is still a serial holding (meaning that Da Liu personally owns few shares in the subsidiary), this leads to the fact that when the Amy High Department develops to a certain extent, Da Liu wants to go through privatization (privatization) For one or two listed companies), strengthen the proportion of equity owned by oneself.In his previous life, Da Liu’s privatization has been a trouble for more than five years. Whenever the stock market plummets, Da Liu will propose privatization, and the price is very low, and he always likes to use number games (share exchange) to deceive stockholders. There was a lot of movement-petitions by small investors, name-calling and criticism by the Hong Kong government and the Securities Regulatory Commission, etc., but Liu did not break the law, so apart from his bad reputation, there is nothing wrong with it.

Compared with Luo Xurui's privatization, it was much more friendly. Although it was also proposed after the stock market plummeted, the premium was generally more than [-]%.

Lin Zuhui was in the office calculating how much money he had left, and a cruel answer emerged:

New Era Real Estate raised approximately 6800 million through rights issues, acquired 2300 million listed companies, and returned 1600 million (including repurchased shares). Here, 1.07 million was spent.

He withdrew 1.18 million in foreign exchange funds, and there were more than 1000 million left in an instant, returning to the prototype.

He recently purchased a luxury car and a luxury house, and instantly became a 'millionaire'.

Moreover, he embezzled bank loans, and the current debt has reached 9000 million, including bank loans (1000 million + 5000 million), and Wang Qilin owes 3000 million.

This is not counting the 5000 million pledged loan in the foreign exchange market, which will have to be repaid after the investment is closed.

According to the project of investing 5000 million yuan in foreign exchange (short from 240 points), the profit is 1 million yuan, and the profit just repays Lin Zuhui's current debt of 9000 million yuan.

That is to say, the total profit obtained by pledging a total of 1 million in stock loans this time and investing USD/JPY is about 1.6 million (estimated), which has been spent by Lin Zuhui.

This calculation was really shocking. I thought I became a rich man, but I didn't expect to be happy for nothing.

The only gratifying thing is that at the end of the year, he no longer owes money personally!
Of course, after Wanhui Media went public, he didn’t have to worry about raising funds through his own rights issue; and New Times Real Estate has also developed into a medium-sized real estate company, Weishui Xiangjiang; finally, he actually has a 1100-fold foreign exchange of 50 million Investment, it is expected to get 3 million profits in the middle of next year.

It seems that I have to think about how to make some money for myself again!
Lin Zuhui remembers that in May of next year (1986), Heung Kong will launch the Hang Seng Index futures contract, and it will be time for him to make a lot of money; because he seems to remember that the Hang Seng Index in July was around 1800 points, and it soared to more than 2500 points by the end of the year. Before the '3800 stock market disaster' it could rise to [-] points.

The "contract multiplier" of the Hang Seng Index futures contract is 50 points, that is, the current Hang Seng Index is 1800 points, and a contract is worth 9 yuan; once the Hang Seng Index futures contract is launched, the daily transaction will reach 1800 points, and the day trading The volume was 1.7 million, and then the transaction volume skyrocketed. The day before the August 50000th crash, the transaction volume was 95 million copies, and the transaction volume was 1 billion ([-] day).

Of course, when investors buy and sell futures contracts, they only need to pay a margin of about 20% of the total contract value to trade.

With this memory, it is not a problem for Lin Zuhui to earn several billion more in that year (futures contracts, five times leveraged blue chip stocks); Shore Company is short-selling, and it cannot be greedy, so as not to be found out.

Shorting has a bad reputation, and Lin Zuhui needs to think carefully.

(End of this chapter)