Started from Hong Kong Island

Chapter 346 344 [Surprise]

When the citizens heard that Changxin Group admitted its mistake and postponed the development indefinitely, they discussed with each other, warned Changxin Group not to deceive them, otherwise they would come again, and then left.

Zhang Wentao heaved a sigh of relief when he saw these citizens leaving. It was not because he was afraid of the citizens surrounding them, but because he was afraid that something might happen to these people here, and then Changxin Group would have a hard time explaining itself.

The next afternoon, Changxin Group held a press conference in response to this incident and announced the indefinite postponement. Of course, reporters were inevitably asking all sorts of questions, including some provocative ones, such as whether they were afraid of citizen demonstrations.

Fortunately, the group’s public relations department had a response plan, and Zhang Wentao answered all the questions very well, leaving no excuses for the reporters.

This incident had a huge impact. Although the group responded quickly, the stock price still suffered a setback, or at least slowed down the upward trend of the stock price.

However, the decision of Changxin Group made the citizens quite satisfied, and they had a better impression of Changxin Group.

The time came to July 77.

Since the merger, Hutchison Whampoa has gradually gotten rid of its difficulties and has started to make profits, with a good momentum of profitability. This has further encouraged Wills' domineering style.

Since the major shareholder of Hutchison Whampoa was HSBC, according to Hong Kong's company law, banks were not allowed to directly manage corporate enterprises. As a result, HSBC did not even control the board of directors of Hutchison Whampoa, which gave the tycoon Willis an opportunity.

Willis was very envious of Newbigin, the boss of Jardine Matheson, who sent the Keswick family, the major shareholder of Jardine Matheson, away from Hong Kong and monopolized the management of Jardine Matheson. Compared with Newbigin, he seemed to have better conditions. He took over Hutchison Whampoa and became an invincible boss of a foreign company.

Therefore, at the Hutchison Whampoa board meeting, Wills refuted many suggestions from HSBC's representative directors, frantically testing HSBC's bottom line and attempting to establish his own strong prestige in the board of directors.

When HSBC boss Shen Bi heard the report, he was furious. He actually let a wolf into the house, and it was a wolf that killed its master. What was even more hateful was that Shen Bi was helpless with Wills for a while, so he came up with the idea of ​​finding a "master" for Hutchison Whampoa.

This 'master' cannot be too weak, otherwise he will not be able to defeat Willis; the talent pool must be strong, otherwise it will be difficult to take over the various departments of Hutchison Whampoa; and it must also be in line with the long-term interests of HSBC.

Anyone who meets one of the conditions is already an elite in Hong Kong, anyone who meets two of the conditions is already a leader in Hong Kong's business community, and there are only a handful of people who meet all three.

It was naturally impossible for Li Wendi to be on Shen Bi's list. After all, Li Wendi was not an obedient person and had had conflicts with Shen Bi before.

Li Wendi has no regrets. In his opinion, Wharf Holdings is not much worse than Hutchison Whampoa, and only what you can get belongs to you. Things that you rely on others to give you are easy to lose.

After receiving the news, Li Wendi looked at the busy Victoria Harbour and muttered to himself, "It's time to start planning."

Long ago, Li Wendi began to order Sun Hung Kai Securities and Hengxin Investment Company to buy large amounts of City Hotel shares. Now, they hold more than 14% of the shares, which is still 16% away from the 2% shareholding required to automatically enter the board of directors.

Today, the share price of City Hotel has risen to 30 yuan, an increase of more than 38%. The Swire Properties has already started to move into the stock market, but unfortunately there are only a few scattered shares left, so it can only check those shareholders who hold shares, hoping to get them from them.

But when Bao Fuda found out that Hengxin Investment Company held about 8% of the shares, his whole state of mind became bad. When he thought of Li Wendi's aggressive attitude, he was so angry that his body trembled.

"Why is it Li Wendi again? How did this guy know that we want to privatize the City Hotel? Hasn't the traitor in the company been eliminated yet?" Bao Fuda slammed the report on the table, his voice almost roaring.

The secretary didn't dare to speak and stood aside timidly.

After Bao Fuda calmed down, he picked up the report and looked through it again. He said to his secretary, "Go check whether the stocks held by Sun Hung Kai Securities belong to them or to some other client?"

Bao Fuda was feeling somewhat uneasy. When they had joined forces with HSBC to deal with Li Wendi, they had driven Li Wendi from HSBC to Sun Hung Kai Securities. Could it be that the 6% of City Hotel shares also belonged to Li Wendi?
He prayed to Jesus in his heart, hoping that it would not be in the possession of Li Wendi.

If the Hong Kong Land Development can increase its stake in City Hotel Company to more than 90%, the 8% stake of Hengxin Investment Company can be ignored and there is no need to negotiate with Li Wendi. However, if Li Wendi holds more than 10% of the shares, the Hong Kong Land Development will inevitably have to negotiate with Li Wendi.

With Li Wendi's permission, Sun Hung Kai Securities allowed the Hong Kong Land Development Company to easily learn that the holder of 6% of the shares was Li Wendi.

This made Bao Fuda so angry that his face turned red and he was out of breath, but he still had to do what he had to do. After all, the plan had already been approved by the board of directors, and it was no longer possible to revoke it. Moreover, the board of directors only looked at interests, not who had a grudge against them.

Changxin Group
Zhang Wentao reported the situation of Saixihu Residential Building. "Saixihu Building has 925 residential units with an area of ​​1260 to 1640 square feet, 41 shopping malls and shops, and a parking garage that can accommodate 1030 cars. The total building area reaches 132 million square feet, and the average land price cost per square foot is 64.7 yuan. According to the current land market situation, we plan to sell it at a price not less than 279 yuan and not more than 344 yuan per square foot. We plan to operate the parking garage units and shopping malls in the form of leasing."

Li Wendi thought for a moment and said, "Okay, but the rent for the parking garage unit should be appropriate. It's best if it's lower than the price of other parking lots, at most 7% of the price of other parking lots."

"According to the survey report, the management cost of the parking lot is about 10 yuan per parking space. We have a lot of room for profit, so I suggest that the parking fee be charged at 5% of the outside fee," said Zhang Wentao.

"Well! What is the response from the Canadian Commercial Bank?" Li Wendi asked.

Zhang Wentao closed the file. "The commercial bank replied that they want to cash out and leave, and do not want to participate in the property management and dividend distribution of the new company."

"In that case, we will give them a discount based on the market price," said Li Wendi.

"Yes! If this is the plan, our profit will drop to around 4000 million yuan." Zhang Wentao reported the calculated results to Li Wendi.

Li Wendi waved his hand. "It doesn't matter! It's just the difference between long-term interests and immediate interests."

"The second phase of residential buildings in Changxin Village will also be put on sale. Should we also retain those shops and parking properties?" asked Zhang Wentao.

Li Wendi shook his head and said, "The Taikoo Shing is near Changxin Village. The shops and parking lots are not very advantageous to us. On the contrary, they are very disadvantageous. Let's sell them all and leave none behind."

Zhang Wentao also reported on the progress of the property projects above the Central, Admiralty and Kowloon Bay subway stations, as well as the use of funds.

The funding gap is not big at this moment, but it will get bigger and bigger in the future. Li Wendi is considering how to gain profits for Changxin Group to fill this hole.

Soon, the secretary came to report that the CEO of the Hong Kong Land Company, Mr. Bao Fuda, invited him to dinner, but did not specify the purpose.

But Li Wendi knew very well that Bao Fuda's purpose was nothing more than to sell the shares of City Hotel.

Mandarin Oriental Hotel
Both Bao Fuda and Li Wendi played their roles hypocritically, as if there was no grudge between them.

"Mr. Li, I heard that your Hengxin Investment Company and the City Hotel shares held in Sun Hung Kai Securities have exceeded 14%. The Hong Kong Land Development is interested in acquiring it. Please name a price." Bao Fuda said seriously.

Li Wendi laughed and said, "Mr. Bao Fuda, aren't you afraid that I will ask for an exorbitant price?" "If Mr. Li asks for a high price, the Landmark Company will naturally bargain." Bao Fuda shot back.

"The current share price of City Hotel is 32 yuan, and it is usually acquired at a 2% premium. However, I hold a large number of shares, so the premium will be 3%. However, I want to do it in a different way." Li Wendi said with a mysterious smile.

"What method?" asked Bao Fuda.

Li Wendi explained, "You hold 25% of the shares of Kowloon Motor Bus Company. I want you to sell all of them to my Changxin Group. The shares of City Hotel Company will be traded at a 3% premium, while the shares of Kowloon Motor Bus Company can only be traded at a 1% premium."

"Mr. Li, this is so unfair. One side has a 3% premium and the other side has a 1% premium. How can this make sense?" Bao Fuda protested.

"Nothing is fair in this world. The Hong Kong Land Development wants to privatize the City Hotel, but I have never thought of privatizing the Kowloon Motor Bus Company. Moreover, the Kowloon Motor Bus Company is firmly in my hands. My goal has been achieved, even without your 25% shares." Li Wendi said slowly.

Before Bao Fuda came, he had already discussed with Newbyjian, and the anticipated plan included Li Wendi asking for a huge amount of money. In fact, this plan was already in their interests, but they wanted more and wanted to pay less.

"The share price of Kowloon Motor Bus Company is at a 2% premium?" Bao Fuda asked tentatively.

Li Wendi shook his head and said, "This is the best solution. If Mr. Bao Fuda wants to raise the price, then the City Hotel shares I hold should also be raised in price. In the end, you will still be the one who suffers the loss."

Bao Fuda was a little annoyed, but he knew it was useless. Li Wendi would not buy it. "Okay, then let's follow Mr. Li's plan."

"Haha!! Then we have a pleasant cooperation! Mr. Bao Fuda!" Li Wendi said with a smile, "If there are exquisite commercial buildings for sale in the future, don't forget Changxin Group."

Hearing this, Bao Fuda's eyes flashed, and he felt that this seemed to be an opportunity to turn the situation around.

Li Wendi made a fortune from this transaction. He could earn more than 1 million from City Hotel Company, and also raise the share price of Kowloon Motor Bus Company, thus reducing his shareholding smoothly.

After reaching an agreement with Li Wendi and signing the contract, the Swire Properties Group immediately announced its plan to acquire City Hotels Group, starting the acquisition at a price of RMB 40 per share until City Hotels Group was privatized (holding 100% or more than 90% of the shares).

With such a good price and the fact that Swire Properties already held a controlling stake in City Hotels, there were not too many twists and turns and the privatization was completed relatively smoothly.

Citibank Central

The person in charge, William, personally received Li Wendi, and the two held hands tightly.

William knew Li Wendi's power in Hong Kong. There were many banks in Hong Kong. Although CITIC Bank was a large international bank, it was a newcomer in Hong Kong. It was excluded by local large banks and faced a run on other banks, so its situation was not very good.

If we have Li Wendi's help, even if it's just by borrowing Li Wendi's fame, it will be good for Bank of China.

"Mr. Li, what big business do you want to bring to Wan Guo Bao Tong this time?" William asked with a smile.

Li Wendi smiled and said, "Currency investment! Can Wan Citibank provide me with 10 times leverage?"

William did not refuse immediately, but asked, "How much is Mr. Li's principal?"

"3 million Hong Kong dollars!" Li Wendi raised three fingers.

"How long does Mr. Li plan to invest?"

"About half a year." Li Wendi said after thinking for a while.

William glanced at Li Wendi and explained, "The interest rate is 10%. The leverage of 30 billion for half a year requires an interest of 1.5 million Hong Kong dollars. Can Mr. Li afford it? If something unexpected happens, Mr. Li will probably suffer heavy losses."

Li Wendi smiled and said, "If Wan Guobao Bank cannot provide it, I can understand. I think there should be a bank willing to provide me with leverage."

"Mr. Li, you misunderstood what I meant. It's not that the bank can't provide it, but it's my duty to explain the situation to Mr. Li." William explained hurriedly. Based on the assets in Li Wendi's hands, William was not worried that the bank would suffer losses.

"Mr. William, the interest rate of 10% is too high. How about reducing it to 8%?" Li Wendi took the opportunity to threaten him. Don't underestimate 2%, it is the interest of 3000 million yuan.

William frowned slightly, but still nodded, "Okay, 8% interest."

"Mr. William, what is the current exchange rate between the Japanese yen and the US dollar?" Li Wendi asked.

"310 yen to 1 dollar." William understood that Li Wendi wanted to invest in yen and buy the yen for appreciation.

"Okay, help me buy Japanese yen as soon as possible." Li Wendi ordered.

The transaction lasted for an entire afternoon. Li Wendi looked at a large number of agreement contracts and did not leave CITIC Bank until 6: in the evening.

Li Wendi looked at the sunset and sighed in the car, "I have become a pauper again. I need to continue to work hard to earn the interest I have to pay."

Having to pay 2000 million yuan in interest every month is really stressful.

What Li Wendi didn't expect was that the incident actually happened ahead of time.

The beginning of April

Citing the trade surplus between Japan and the former Federal Republic of Germany, the U.S. Treasury Secretary in the Carter Administration, Blumesa verbally intervened in the foreign exchange market, hoping to stimulate U.S. exports and reduce the trade deficit by devaluing the dollar.

The appreciation of the yen against the US dollar has seen the largest increase. After a week of events, investors frantically sold dollars, and the exchange rate of the yen against the US dollar was 180 yen to 1 US dollar.

Li Wendi immediately asked William to sell the Japanese yen. With this operation, Li Wendi earned 4 million US dollars in just one and a half months.

(End of this chapter)