Started from Hong Kong Island

Chapter 254 [New Round of Acquisition Case]

As Willis said, he has no grudge against Chen Detai, and he is more concerned about the interests of the Hutchison Group. In his opinion, Dachang Real Estate Company has already excessively exploited the interests of the Hutchison Group, and the Hutchison Group now needs these profits to return to its original state, so he needs to maximize the interests of the Hutchison Group.

Of course, Chen Detai was not wrong. Both of them were just working for the interests of their respective companies. It was very normal for things to evolve into conflicts.

Li Wendi is just a lobbyist. He will tell Chen Detai word for word what Willis asked. As for how things will develop, it is no longer within Li Wendi's scope of interference.

The biggest gain from this meeting was the acquisition of land owned by two companies, especially the land in Sai Wan, because the factory land in Kwai Chung was still in use and if they wanted to develop it, they had to first find a place for the garment factory to relocate and build a factory.

The Kwai Chung area has not yet been fully developed. Even if it is built into a residential area, it may not bring much profit, so we still need to wait.

As for Jianfeng Garment Investment Company, Li Wendi did not intend to give it to Huang Lixin. His subsidiary Hefeng Enterprise was Huang Lixin's "toy".

Just as Li Wendi expected, the boss of Nanfeng Textile United Company came to him and said a lot of things, all wanting Li Wendi to transfer Jianfeng Garment Investment Company to him. Unfortunately, their offer was too low, and they also painted a big pie for Li Wendi: Nanfeng Textile United Company has a lot of cheap factories that can be developed in cooperation with your company, with the profit split 30% to 70%.

Li Wendi sneered, "I'm losing money here, and I have to work hard for several years to make money there. Why do I have to go through all this trouble? Why do I have to give you this face?"
Since Li Wendi started his business, he has rarely encountered such businessmen who are unwilling to give up a penny for their own interests, treat their partners as fools, and make a fortune themselves.

The beginning of April

The cooperation between Dachang Real Estate Company and Swire Group was gradually going well, and the dispute with Hutchison Group was slowly calming down (actually it was under negotiation). Good news was occasionally released, and the stock price began to rise again, and it gradually became the eldest brother of the "Five Tigers of Chinese Capital".

In fact, Dachang Real Estate Company is more prestigious than other Chinese real estate companies and has more support from shareholders, even though it had a major incident with Hutchison Group.

On the same day, Swire Properties purchased 1% of Cathay Investments from Swire Shipping Company for HK$1377 million, and also purchased 31.25% of Cathay Investments from Swire Industries, making Swire Properties the holding company of Cathay Investments.

This type of transaction allowed Jardine Matheson to incur no losses while allowing it to easily control a large company.

Cathay Investments holds majority stakes in Cathay Pacific Airways and Hong Kong Aircraft Engineering Company. This acquisition will effectively turn these two companies into subsidiaries of Swire Pacific.

It may not seem to have much benefit, but in fact it strengthens the control of Taikoo Matheson over its high-quality companies and improves Taikoo Matheson's
The profit return rate increases the current stock price and raises the market value in the stock market.

As soon as the news was released, the share price of Jardine Matheson began an unusual rise, far surpassing the growth of the other three major foreign banks.

"Mr. Li, the share price of Taikoo has increased by more than 10%." Wu Xiong reported to Li Wendi seriously, "It's really amazing. This acquisition doesn't cost a penny, but it can increase the market value."

Li Wendi smiled. Hong Kong stock investors all rushed in to buy stocks without analyzing the reasons.

"This is just an ordinary method. Jardine Matheson's method is more sophisticated and worth learning from."

"Mr. Li is right!" Wu Xiong said awkwardly, "Are you here to buy or sell?"

Li Wendi blinked his eyes. He came here naturally to buy, but not to buy shares of Swire Group, nor to buy shares of Dachang Real Estate Company, but to buy shares of a company called "Weisheng Development".

Weisheng Development Company was listed in the bull market in 73. The chairman of the board of directors was the famous lawyer Li Yeguang, but he was not the actual controller, but someone else.

This is a strategy adopted by some entrepreneurs to attract well-known figures as chairmen to enhance the company's prestige. At the same time, it can maximize the company's market value and is also conducive to raising funds for share offerings.

This company, Wesing Development, raised more than 2000 million yuan when it went public and has a net asset of over million yuan, making it a good and high-quality enterprise.

According to Li Wendi's memory of his previous life, the chairman of the board, Li Yeguang, would soon contact Guo Desheng of Sun Hung Kai Properties and ask Guo Desheng to fully acquire Wasion Development Company.

The actual controllers of these companies have been frightened by the stock market crash and the oil crisis, or the companies have encountered major financial problems. They cannot see clearly what the future prospects will be, and selling now is the only way to preserve their assets as much as possible.

Although the stock market seems to be calmer now, the ups and downs of 74 have left many people with lingering fears. If there is another sharp drop, how can they withstand it? This is of course a goodwill acquisition. The major shareholder is willing to sell, and Sun Hung Kai Properties is also willing to buy at a premium.

Li Wendi also wanted to acquire Wesing Development, but unfortunately, Wesing Development's total share capital was more than 8000 million shares, with a market value of more than 7000 million, and he did not have so much money to acquire the company at a premium, so he had to give up this idea.

"What is the stock price of Weisheng Development Company?" Li Wendi asked seriously.

Wu Xiong looked dazed. He really had no impression of this company. "I need to find out more about it."

"Okay, go ahead!" Li Wendi waved his hand. Wu Xiong's reaction was normal. Even a trader might not be able to remember the prices of all stocks.

A few minutes later, Wu Xiong pushed the door open and came in. "Mr. Li, the share price of Weisheng Development Company is 0.9 yuan, and the rise is very slow. I heard that the company has some financial problems, but it's not a big problem and it won't affect normal operations too much."

"Yes!" Li Wendi said, "How many scattered shares are there in Weisheng Development Company? How many can we get?"

"There are about 1300 million scattered shares on the market. If you buy them now, you can buy 700 million shares within this week. If you buy more, it may stimulate the market," said Wu Xiong.

"Okay, I'll raise 1000 million for you, and ask you to help me buy as many shares of Wesing Development Company as possible. You can take as many as you want. If the funds are insufficient, please call me again." Li Wendi certainly wanted to make a little money from this friendly acquisition.

"I see!" Wu Xiong couldn't help but ask, "Is someone going to take action against Weisheng Development Company?"

"Mr. Wu, this is top secret information. Please don't spread it." Li Wendi warned with a smile.

Wu Xiong quickly said, "Don't worry, Mr. Li, we are very professional and will not spread the client's information."

"If Mr. Wu wants to make some money, he can buy some, but don't be greedy." Li Wendi said with a smile.

"Thank you, Mr. Li!" Wu Xiong certainly understood what Li Wendi meant.

After signing some documents, Li Wendi left HSBC and went to the shipping investment company.

After Li Wendi's drastic dismissal, the shipping investment company has been back on track. It has pledged second-hand ships to the bank, bought three small new ships, and is now accepting orders from other companies.

In order to turn the shipping investment company from loss to profit, Li Wendi arbitrarily canceled some loss-making orders and paid the penalty for breach of contract.

He had already figured out the key points involved. Even if those orders were completed, there would still be considerable losses. It would be better to breach the contract proactively, leaving the ships idle and accepting other high-priced transportation business, so that he could make back some of the losses.

In this way, the original losses will be reduced, but the reputation in shipping will also face some loss. However, Li Wendi has already thought of a set of rhetoric, and the compensation for breach of contract is enough to make these customers sign the current contract price with the new company.

According to this management model, by the first half of next year, the shipping investment company will be able to turn losses into profits and enter a normal operating track.

At the same time, good news came from the Saixi Lake land: the land has been leveled, the first phase of the project can be carried out immediately, and the first phase of residential buildings is expected to be sold in the first half of next year.

Li Wendi knew that the Hong Kong market had just recovered in 76, so as long as the sale date was postponed to the second half of the year, the company could make more money.

In fact, large residential areas are surrounded by a large number of speculators, and very few houses can be directly allocated to buyers with real needs. In his previous life, Liu Luanxiong was a residential building speculator. He bought pre-sale houses directly from Cheung Kong Holdings and New World Development Company, and then sold them when the housing prices went up. He could often make tens of millions of profits in this way.

So Li Wendi didn't feel guilty. If he didn't make the money, others would.

(End of this chapter)