As the subprime mortgage crisis spread to other areas, the impact on the economy was unimaginable.

The entire capital financing market came to a halt almost overnight, with banks generally choosing to raise interest rates and reduce the number of loans, leaving a crisis of illiquidity looming in the world's major financial markets.

To put it simply, it is difficult for businesses to borrow money.

This is a fatal blow to the operation of many enterprises.

You know, even many large companies will use some short-term financing tools to get cash when they need funds in the short term, such as large expenses on payroll dates, and now they can't raise money through these channels, and these companies have stagnated or even gone bankrupt.

But on the other hand, "crisis is opportunity".

Just like Warren Buffett likes to buy large sums of cheap assets after the crisis to make a big profit, companies with strong capital power are also good at seizing opportunities, carrying out mergers and acquisitions, and accelerating expansion during a specific period of economic depression.

Such a God-given opportunity, how could it be that Jiagu was missing?

It can be said that Jiagu has been planning for the subprime mortgage crisis for a long time, not only in the assassin hedge fund that made a fortune step by step in front of the crisis, but also in the tracking and research of acquisition targets.

The Assassin hedge fund is still scavenging and is expected to exceed $10 billion in assets, while the investment in the development of the desert in Jiagu is much lower than expected, and the group has more funds at its disposal.

What sharpens the knife this time is the Jiagu International Trade that has been hidden behind the Jiagu system.

"If you don't control the logistics of overseas land leasing or buying land, the cost is still not as good as that of multinational grain merchants. Only when we have established our own grain procurement and warehousing logistics system in the world, which can not only buy grain, but also transport it out, so that we can realize the cross-border flow of grain on a global scale, can we say that we have reached the standard of international grain merchants. ”

At the acquisition strategy discussion meeting of Jiagu's senior management, years of planning kicked off, and Zhong Huazhi was full of spirit.

"Of course, the rice should be eaten one bite at a time, and Jiagu International must first build a good warehousing and logistics system in China. And our first target is the logistics real estate giant GLP. ”

What is logistics real estate? This is a special field under the category of industrial real estate, and it is also one of the many products under the trend of market-oriented division of labor. By building logistics facilities and providing professional property management services, manufacturers, retailers, and logistics companies can concentrate on their main business without having to invest a lot of money in facility construction.

In this era, the concept of modern logistics has not yet been deeply rooted in the hearts of the people, and the concept of real estate is only limited to residential and commercial buildings.

And for China to bring the concept of "logistics real estate" is the United States GLP company.

Three years ago, GLP entered the eyes of Jiagu International, commissioned by it, and since then, Jiagu Strategy Department has been watching its rapid expansion in China, and publishes a dynamic report every month.

"In 2003, GLP chose to enter China, and landed in Shanghai, which has the most developed economy, the largest number of foreign-funded enterprises, the most prosperous international trade, and the world's largest port, and the strongest demand for modern logistics and warehousing facilities. ”

Zhong Huazhi said eloquently: "GLP from the first investment, has shown a soft figure that is different from many foreign-funded enterprises, through cooperation with local enterprises that already hold storage land in their hands, the curve to save the country into China's logistics real estate industry, can be called a long-sleeved dance." ”

"The early bird has worms to eat, there are long-sleeved dances and strategic decisions, and caught up with the opportunity period of rapid development of China's economy and trade, GLP has been smooth sailing on the land of China, and the siege of the city is not smooth, and in a few years, the speed of rockets has been invincible in the Yangtze River Delta, the Bohai Rim and the Pearl River Delta. ”

Zhong Huazhi showed a map showing the logistics center built by GLP spreading from the coast to the hinterland, indicating the rapid expansion of GLP.

"In the midst of GLP's expansion, a logistics empire has been quietly established. Since 03, in just 5 years, GLP has established more than 50 logistics centers in 19 cities in China, weaving a warehousing network that is difficult to match even many domestic logistics companies. ”

Last year, GLP reached the highest peak in the five years since it entered this fertile land of China, and countless places threw hydrangeas and invited it to become a guest, thus promising a vast and cheap land that it would never see in Europe and the United States. ”

In 2007, the world was thriving, and in both China and the United States, the stock market and the property market reached unprecedented heights, and people reveled in it, as if the banquet would never end and the wine would never be finished.

GLP, which has always been calm and rational, can't help but be drunk and arrogant, hungry and desperate to inflate itself.

Zhong Huazhi paused and said: "Up to now, GLP has a total of 249 projects with a total value of US$3.6 billion and 5.3 million square meters of logistics properties waiting to be built, and another 177 logistics projects and 3 retail properties with a total of 4.5 million square meters under construction, and it is expected that another US$3.9 billion will be invested to complete the above projects under construction, and the total investment is expected to reach US$13 billion, plus the US$5.7 billion already invested." ”

"The stock price of GLP once soared to more than $70 per share, with a market capitalization of $40 billion!"

Someone at the meeting gasped: "So, GLP is already a behemoth, can we swallow it?"

Zhong Huazhi and Qi Zheng looked at each other and smiled, and said: "Originally, we couldn't swallow it, but no, the subprime mortgage crisis is coming! The so-called fire at the city gate has affected the fish in the pond. ”

Logistics real estate is an asset-heavy industry, in order to develop rapidly, GLP turned its attention to the private equity market, and successively initiated the establishment of more than 10 logistics real estate funds to raise funds.

Through the fund model, GLP amplifies the total capital leverage ratio to 6~10 times.

"Borrow other people's money and realize your dreams" is a temporary cool, but this model is built on a pro-cyclical basis, and like a bicycle, it must be constantly accelerated, once the speed slows down into the trough of the industry, GLP will encounter a "double exhaustion" state of leasing and fundraising, and is likely to push itself into a desperate situation.

"The subprime mortgage crisis has triggered redemption fears among investors. Coupled with the fact that the crisis has affected the leasing of newly completed properties, billions of dollars of assets cannot be turned, and debt financing has also encountered a liquidity crisis, and many debts are difficult to renew, GLP has already experienced a large funding gap. ”

"What's more, our Assassin Fund also gave GLP a 'big gift', completely pushing it to a desperate situation!"

The insiders present all showed knowing smiles.

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