Rebirth of the Financial Crisis Sweeping the World

  Chapter 229 229 Crazy smash! Dry the Philippine consortium!

  9 pm, there is still half an hour before the opening of the US stock market.

  Black Shirt Investment Bank, proprietary trading department.

  Wang Guanxi, Wu Zhanhai, Wu Hongsheng, Li Guangyu, Guan Wenwei and others are all here.

  Tonight, the Black Shirt Investment Bank will be short of Lehman Brothers, the fifth largest investment bank on Wall Street. I am excited just thinking about it.

  The small scale of the black shirt investment bank, customer assets of 20 billion Hong Kong dollars, and self-operated assets are almost zero. Compared with Lehman Brothers, that is the comparison between the small carp and the big shark.

  Also, the self-operated funds of the Black Shirt Investment Bank were borrowed, and Wing Hang Bank borrowed 1.5 billion Hong Kong dollars.

  This time they will short Lehman Brothers at the lowest share price in the history of Lehman Brothers!

  It is incredible to put it in normal times, but everyone is betting that Lehman Brothers will go bankrupt, giving people the feeling that they are a group of crazy gamblers.

  If you bet on the right, you will develop. If you are wrong, the stock price of Lehman Brothers will skyrocket, or Lehman Brothers will be acquired at a premium, and the Black Shirt Investment Bank will suffer a huge loss.

  Before the stock market opened, the news came.

  【Lehman Brothers Announces Strategic Restructuring Plan】

  Lehman Brothers took several measures to significantly reduce residential mortgage loans and commercial real estate, which significantly reduced the company’s real estate project portfolio in the third quarter.

  Lehman Brothers reduced its exposure to residential mortgage loans by 31% to $17.2 billion.

  In addition, Lehman Brothers has sold approximately US$4 billion in the UK residential mortgage portfolio and entered a formal phase of cooperation with BlackRock, which is expected to be completed in the next few weeks.

  Relying on the trial income from this transaction, it is estimated that the risk exposure of residential mortgage loans can be reduced by 47% to USD 13.2 billion.

  Lehman Brothers also reduced its commercial real estate mortgage risk exposure from US$39.8 billion to US$32.6 billion, a reduction of 18%.

  Plans to allocate a portfolio of US$25 billion to US$30 billion of commercial real estate assets to shareholders, and establish an independent publicly traded company in the first quarter of 2009.

  Lehman Brothers will sell most of its investment management divisions including asset management, private equity and wealth management divisions, estimated to reach 55%.

  These are the self-rescue measures of Lehman Brothers.

  Lehman Brothers Chairman and CEO Richard Fuld also claimed: The industry is facing a special period, and our company is also in the most difficult stage in history.

  The strategic move we announced today reflects our determination to reshape Lehman Brothers by substantially reducing balance sheet risk and focusing more on our customer-facing business to restore the company’s profitability.

   Wu Zhanhai said with some worry: "BOSS, this Lehman Brothers self-rescue plan is good for the stock price. Should we wait for the stock price to rise above $5 per share before shorting it?"

  This Lehman Brothers company is now frantically saving itself, and it may really be a life-saving success.

  By then, Lehman Brothers may be able to get out of the predicament, and they are now shorting Lehman Brothers at the lowest position in the history of Lehman Brothers stock price. This risk has become very large.

  Once Lehman Brothers succeeds in self-rescue, or is acquired at a very high premium, the Black Shirt Investment Bank will be finished.

  Wu Hongsheng also said: "This Lehman Brothers company may be a self-help operation to negotiate with buyers, and then sell it for a good price."

  Now the shares of Lehman Brothers are in a historical position. The chairman of Lehman Brothers Richard Fuld has implemented a strategic restructuring plan. The stock price is to allow buyers to acquire Lehman at a premium.

  Before, Bear Stearns Investment Bank was acquired by Morgan Bank at a low price. At that time, the asking price was US$2 per share, but the shareholders of Bear Stearns Investment Bank disagreed. In the end, Morgan Bank acquired Bear Stearns Bank at a premium of 400%.

  Remember that a few months ago, JPMorgan Bank finally acquired Bear Stearns Bank at a price of $10 per share, and Bear Stearns shareholders also benefited.

  Now the chairman of Lehman Brothers, Chad Fuld, must also want to be bought by buyers at a premium and sell Lehman Brothers at a good price.

  If it is really done, such as a 200% premium purchase price, then the Black Shirt Investment Bank will lose money when it shorts Lehman Brothers this time.

  Li Guangyu looked a little nervous and said: "This Lehman Brothers chairman Chad Fuld is really shrewd. If he really wants him to sell Lehman Brothers at a premium several times, we will be finished."

For example, the stock price of Lehman Brothers is currently at US$4.75 per share, and the Blackshirt Investment Bank has shorted 40 million shares here, and then Lehman Brothers is acquired at a price of US$10 per share, and the Blackshirt Investment Bank has one share. You have to lose $5.25.

  40 million shares will have a loss of 210 million US dollars, this black shirt and his black shirt investment bank directly liquidated their positions.

  Guan Wenwei also said: "I hope that Lehman Brothers' negotiations with the buyer will continue to break down."

   Before Lehman Brothers negotiated with the Industrial Bank of South Korea, the negotiations eventually broke down, and now they are negotiating with new buyers. He hopes to continue to break down.

  Thinking of this, he opened his mouth and said: "I hope this Lehman Brothers company will go bankrupt."

   But he felt a little impossible in his heart.

  After all, this Lehman Brothers company is an investment bank for more than a century, and it is also the fifth largest investment bank on Wall Street. It has a reputation and is known as the Wall Street phoenix.

  At this time, Wang Guanxi said indifferently: “Don’t worry, Lehman Brothers’ negotiations will eventually break down. It’s not far from bankruptcy.”

  This Lehman Brothers company is now frequently negotiating with potential buyers, and also seeking assistance from the US government and the Federal Reserve, but in the end all failed and Lehman Brothers has become an abandoned son.

  Of course, there are still many people who are optimistic that Lehman Brothers will not go bankrupt or go bankrupt.

  There are many people who bought Lehman Brothers stock when Lehman Brothers stock price was historically low.

  There are many directors in Hong Kong, and celebrities are copycats. For example, Zeng Zhiwei, Zhang Xueyou and others have copied Lehman Brothers, but they all lost their money in the end.

  Thinking of this, Wang Guanxi continued: “Give me a short short at the opening, 1 million shares at a time, this Lehman Brothers company will definitely go bankrupt, the stock price will return to zero, and we can make at least 95% of the profit after winning!”

  "Yes, BOSS" Wu Zhanhai, Wu Hongsheng, Li Guangyu, Guan Wenwei and others are very excited. They have made money and they can have large bonuses.

  ··

  At this time, the Bank of the Philippine Islands under the Ayala Consortium of the Philippines just finished a simple meeting.

  The vice president of the Bank of the Philippine Islands and the president of the Philippine Islands Securities Company, Elder said: “This time the bank’s securities companies intend to continue to increase their holdings of Lehman Brothers shares. Do you have any questions?

  If you have any comments, you can put it forward"

   Seeing that everyone had no opinion, Elder said: "Then the meeting will be adjourned."

  The decision to increase the shareholding of Lehman Brothers was suggested by Mr. Augusto, one of the heirs of the Ayala Consortium, to let them meet to discuss whether to increase their holdings of Lehman Brothers.

  This time because of the Huang’s consortium in Hong Kong, the Zheng consortium proposed a cooperation plan to block the black shirt insurance company on the shares of Lehman Brothers.

After the black shirt investment bank and the black shirt insurance company are blown up, the Philippine Islands Securities Company can use the cabbage price to buy shares in the black shirt investment bank and enter the securities brokerage market in Hong Kong.

  Mr. Augusto felt that this proposal was feasible, so he asked Elder and others to meet to discuss whether to increase their holdings in Lehman Brothers.

  After all, Lehman Brothers has been at the center of the storm recently, and its stock price has been falling, reaching its lowest level in history.

  Mr. Augusto of the Ayala Consortium is a very cautious person, and he did not agree to the proposal of the Huang’s Consortium and the Zheng’s Consortium in the first place.

  After discussing with the senior officials of the Philippine Islands Bank and the Philippine Islands Securities Company, they finally decided to increase their holdings of Lehman Brothers stock, and at the same time, it can also blow up an investment bank in Hong Kong, the Black Shirt Investment Bank!

  At that time, the Philippine Islands Securities Company will also enter the Hong Kong stock brokerage market, using this as a springboard to enter the Chinese mainland market and cut Chinese leeks.

  Thinking of this, Elder went to the trading room in the Bank of the Islands building.

  The headquarters of the Bank of the Philippine Islands and the Philippine Islands Securities Company are in this building.

  "Mr. President!" Traders cast their respectful eyes.

  Elderna is a legendary trader in a securities company in the Philippine Islands. He has gradually become the president of the securities company from the bottom and also serves as the vice president of the Bank of the Philippine Islands.

  In the eyes of everyone, Elder is an idol.

  Elder began to speak: "The increase in Lehman Brothers shares tonight will blow up an investment bank in Hong Kong."

  "It's called Heishan Investment Bank. I guess they will be short as soon as the market opens. We buy at $4.50!"

  "Yes, Mr. Elder" everyone is looking forward to it.

   Soon the U.S. stock market opened,

  Black Shirt Investment Bank began to sell off.

  1 million shares!

  1 million shares!

  1 million shares!

  The share price of Lehman Brothers has dropped from US$4.75 per share to US$4.50 per share.

  Wang Guanxi shouted: "Stop for a while!"

  At this time, the Philippine Islands Securities Company began to buy.

  Elder shouted: "Taking advantage of the good news from Lehman Brothers, the stock price rose above $5.00 per share, so that short-selling Huaxia people can taste the taste of floating losses!’

  "Yes, President" traders kept buying.

  2 million shares!

  2 million shares!

  ···

  The stock price quickly rushed to $4.75 per share.

  Wang Guanxi thought for a while, then said: "Keep watching."

  While the Philippine Islands Securities Company was still buying, the stock price quickly rushed to US$5.00 per share.

   Wu Zhanhai asked: "Boss, shall we be free now?"

  "Don't worry, keep waiting" Wang Guanxi said.

   Soon the stock price rushed to US$5.25 per share, and Elder of the Lube Islands Securities Company shouted: "Stop buying!"

  At this time, Wang Guanxi shouted: "Smash 3 million shares directly."

  "Yes, BOSS" everyone immediately began to hit the plate.

   Immediately the stock price was dropped to $5.00 per share.

   "Continue to smash 6 million shares!"

  "It's a BOSS"

   Then everyone continues to hit the plate!

   Soon the stock price fell to 4.50!

  The Philippine Islands Securities Company Elder shouted: "The opportunity is here, buy it, and raise the stock price to $5.50 per share!"

   "These Chinese people were led out of the cave by us, knocking down these short-selling Chinese people!"

  "Yes, President", everyone was very excited when they heard that Huaxiaren was overturned.

  Crazy buy it!

  3 million shares!

  3 million shares!

  3 million shares!

  ···

   Soon the stock price was forcibly pulled from the 4.50 position to the 5.50 position!

  Elder immediately shouted: "Stop, the stock price is too high, let Huaxiaren go short!"

  While Heishan Investment Bank, Wang Guanxi shouted: "Keep going short and hit it down, we have an opponent tonight!"

  Unexpectedly, financial institutions will be buying Lehman Brothers stock tonight. That happens to make Wang Guanxi’s black shirt investment bank short short!

   "Increase the selling, **** them!"

   "6 million shares!"

  "Yes, BOSS" everyone was also very excited and started to sell a lot!

  Lehman Brothers' stock suddenly turned and fell, falling from the 5.50 position to the 5.00 position, and then continued to fall until it fell to the 4.50 position, when the Black Shirt Investment Bank stopped selling.

Elder of the Philippine Islands Securities Company laughed and said: "These Chinese people are really embarrassed. I thought they would have smashed a share of US$3.00 per share. Keep buying, and pull it to US$5.50 per share. See how much money they have to go short, we will eat all of them!"

   "Yes, President" everyone was full of excitement.

   Continue to buy, the stock price quickly rushed to the 5.50 position, and the Black Shirt Investment Bank also went short crazy!

  So Lehman Brothers' stock price vibrated at a high speed from 4.50 to 5.50.

  The Philippine Islands Securities Company and the Black Shirt Investment Bank are fighting here.

  Time slowly passed, Wang Guanxi watched the Lehman Brothers share price rush to $5.20 per share, and suddenly shouted: "Sell it out."

  "Yes, BOSS" and Wu Zhanhai and others sold all the remaining 4 million shares.

  Lehman Brothers suddenly fell by 0.4 US dollars, falling to 4.80 US dollars per share.

  The average position of the Black Shirt Investment Bank is around US$5.00 per share, with a total of 40 million shares. The current floating profit per share is US$0.4, which is a total floating profit of US$16 million.

  At this time, Elder of the Philippine Islands Securities Company shouted: "Give me the stock price, these Chinese people must be dead, impotence!"

   "Fuck them!"

  "Yes, President" everyone continues to buy!

  The share price of Lehman Brothers rose all the way, and quickly rushed to 5.50 US dollars per share, and then continued to rush to 6.00 US dollars per share.

  With the momentum of the return of the king.

  Eldhaha laughed: "These Chinese people have been beaten to their knees, and they can only watch the stock price rise!"

  At the same time, a press release prepared by the Bank of the Philippine Islands was issued.

  【Lehman Brothers shares have soared, it seems that the king is coming back! 】

  [President of Philippine Islands Securities Company Elder is very optimistic about the acquisition of Lehman Brothers at a price of $10 per share]

  ··

  Get a good securities company: [Hong Kong Black Shirt Investment Bank short Lehman Brothers will be a huge loss]

  Taifuku Securities Company: [Philippine Islands Securities Company is considering entering the Hong Kong stock market, and the Black Shirt Investment Bank may be acquired]

  ··

  (End of this chapter)