Chapter 030: Preparations for Shorting

Kolar Mining, is a good stock.

In just a few days, it has risen from 5 pounds to 9 pounds, and looking at this stance, there is still room for growth.

There is a grapevine circulating in the exchange that Kolar Mining is about to get a sky-high order, and the deposit alone is a full 10,000 pounds!

Once the ten-year large order is negotiated, the profit of Kolar Mining can immediately increase several times, or even ten times!

If the sky-high order is confirmed, the stock price will also skyrocket!

At this sensitive time, many people preemptively bought Kolar Mining and have already made a lot of money from it, while others choose to wait and see and see.

The whole exchange, waiting for the boots to land,

The headquarters of Kolar Mining Wudu is holding a high-level reception party in a low-key manner.

A bald manager, raising the wine glass in his hand, said courteously,

"Mr. Todd, I wish us a happy cooperation."

Todd Barker, a noble son of the Divine State.

The status of the Buck family in the state of God is well known to all.

Although Todd had some gaps with the family in the early years and fled to the fog capital, in the final analysis, he was still a descendant of the Buck family.

As we all know, the people of Shenbang pay great attention to blood and family inheritance.

As long as Todd is willing, nodding, and compromising with the family, he can still return to the Divine State to accept the family inheritance.

Todd was not used to serving in sumptuous clothes, and although he was well versed in all etiquette, he preferred a relaxed and comfortable environment rather than wasting his life here talking hypocritical things to a group of elves.

"This cooperation is not pleasant, Mr. General Manager."

Todd did not raise his glass, but said coldly,

"As I said, our cooperation must be kept confidential before the contract is signed. Look at the present? The fog is all over the city if others get the news in advance. Hehe, you should know the result. ”

"I'm sorry, I'm sorry, those news mongers are like flies, everywhere."

While the general manager smiled, he repeatedly assured Tao that such a thing would never happen again!

"I hope so!"

Todd put down his glass and said slowly,

"This experience in the dungeon made me understand that a person can only live decently in this world if he returns to his family. When we leave our family, we are like rootless water, and the withered leaves on the trees are all floating clouds."

As he spoke, Todd looked out the window, his eyes deep, not knowing what he was thinking.

After reading Mr. Ludon's commands, Todd declined to be retained, and left alone, disappearing into the night.

This reception was for Todd.

After the VIP left, the general manager waved his hand and motioned for everyone to continue, while he went headlong into the office.

The chief accountant of Kolar Mining, or the chief financial officer, followed in, grimacing.

The chief accountant took a sip of wine and said worriedly,

"Boss, I think this thing is too weird."

The general manager sat in his armchair and asked, "What's weird?" ”

The chief accountant spread his hands and counted carefully,

"Suddenly a guy popped up and said that he wanted to order millions of pounds worth of goods, our mines and coal are indeed cheaper than those of Shenbang, but they are not cheaper, the freight price still fluctuates, and there is still loss during transportation. Boss, I don't know, how does the Buck family make money in this business! ”

"Idiot, you only have money in your eyes, do you?

It will only count the accounts on the transaction books, and only the money, and there is no big picture at all.

No wonder you're just an accountant and can only make a small amount of money for the company. ”

The general manager lit a cigar and pointed condescendingly,

"Have you considered the other implications of this deal?"

Other effects?

Even if the accountant was scolded, he still smiled and said as he went,

"In addition to selling mines, what other impact can we have?"

"What does the Buck family do, you know?"

The general manager knocked on the table and said confidently,

"Their family is engaged in mining, smelting, and forging in the Divine State. Our coal and ore are transported over, and they can digest it directly, and they don't need to sell it to others!

And do you think this Todd is a fool? People are shrewd!

If we want to eat this order, we must expand the scale of production, and the machinery and equipment we need must be bought from the Buck family!

He doesn't just give us money, he earns us! ”

Scaling up production?

When the chief accountant heard about it for the first time, he immediately became anxious and hurriedly said,

"We don't have that much cash in our hands."

They are mining companies, heavy on assets, and they don't have a lot of cash flow.

In the opinion of the chief accountant, it is necessary to be cautious and cautious in expanding the scale of production.

"Afraid of what? Money is still not easy to do? ”

The general manager snorted coldly,

"Don't you see, what price has our stock gone up to? When the time comes, pledge a part of the stock, won't there be money to buy equipment? ”

If you calculate it this way, the whole business can indeed make a lot of money

Using the rise in stock prices to purchase equipment at low cost, expand the scale of production, earn profits from long-term transactions, and then redeem the shares, the profits and financing costs are offset, but the scale of production is much larger out of thin air.

Ten years later, the cooperation with the Buck family will end, and Kolar Mining can eliminate a number of backward production capacity and restore the previous production scale, but save the cost of upgrading!

Equivalent to an empty glove white wolf!

Sounds great.

But the accounting manager still has concerns in his heart,

"Boss, what if the Buck family breaks the contract?"

As an accountant, he is always prone to think in the worst direction.

In fact, things will always turn out worse than people expect.

"The deposit is 10,000 pounds!"

The general manager's mouth was crooked when he smiled,

"10,000 pounds! If he breaks the contract, we don't need to do anything and pick up 10,000 pounds for nothing!

What could be better, Holy Father, and we are in good luck! Our stock will go up to 15 pounds, no, 20 pounds! ”

The accountant was blasted out of the office, and as he closed the door, he heard a muffled noise.

"Bang!"

In the office, the sound of champagne was heard again.

St. Peter's Sanatorium.

Todd spread butter on the bread and enjoyed his dinner.

It's better to eat at home.

Hannibal asked, "How much money do we have?" ”

Ludon didn't raise his head, and said casually,

"When I started it, it was 1,622 pounds."

From the cadres of the Santa Fe neighborhood, Luden looted hundreds of pounds, barely enough for a thousand.

With Miss Millet's commission, Luton mortgaged the orphanage house for a total of 1,622 pounds.

Ludon deposited the money in the bank, opened a certificate of deposit, and then went to the exchange non-stop, using 1,500 pounds of certificates of deposit as collateral to borrow shares of Kolar Mining with 2x leverage.

At that time, Kolar Mining was 4.9 pounds per lot.

After deducting various fees, Luden borrowed a total of 600 lots of shares and needed to repay 660 lots of Kolar Mining shares within 21 days.

Wudu Exchange, as a healthy, free, and legal exchange, is allowed to go short.

Why not?

After all, if he is not allowed to fall, then he will probably not rise.

After Luden borrowed the shares, he did not sell them immediately, but kept them.

Now, Corral Mining has risen to 9 pounds per hand, and if Lutton throws away all the stocks in his hand, he can get 5,400 pounds!

Hannibal scanned the documents in front of him and calculated the result,

"4,600 pounds left."

The deposit for this transaction requires 10,000 pounds, which is not a small amount!

"I mortgaged Inspector Lei's house, and the bank deposit receipt, I used the deposit certificate to borrow some money in the bank, which should add up to 1,600 pounds."

Ludon said casually,

"3,000 pounds left."

He also didn't expect that after the bank deposit certificate was pledged on the exchange, he could still take out a credit loan in the bank.

It has to be said that the fog is full of financial loopholes, more than Ludon imagined.

Here, there is no palace of greed to supervise his words and deeds.

Luton misses that flattering fat man, Justice Goodred.

Although Justice Gurred has always had many restrictions on Lutdon's behavior in the name of supervision, lest Rodon play with fire and set himself on fire.

However, Justice Grued is a justice, not as presumptuous as the fog.

Ludon likes everyone who follows the rules.

When the rules are clear, Luton always has a way to turn himself into a beneficiary of the rules.

Hannibal nodded slightly,

"If each lot goes up another 5 pounds, you'll be able to make up 10,000 pounds."

Todd was a little puzzled and raised his doubts,

"Aren't we going to short, now that the stock is going up, we're losing."

If Ludon can't get enough shares when the short contract expires, the end will be extremely miserable!

Only if the stock falls, Ludon can profit from it.

"Blow up the bubble first, then there is room to short. The higher you fly, the worse you fall. ”

Lu Deng did this, but he was also helpless.

His principal is only one or two thousand pounds, and it is okay to play some small stocks and sit in the bank, but it is absolutely impossible to short a mining company.

Therefore, Ludon can only desperately leverage and use every means he can think of to maximize the funds at his disposal.

Hannibal noticed a problem and asked,

"By the way, I remember when I was shorting, the stock went up, and I needed to add collateral, right?"

If the stock rises too much, the short seller may lose all his money, and the exchange will generally ask for an additional part of the funds in order to protect their own rights and interests.

It is clear that Ludon does not have any excess funds to divert.

Ludon nodded and said his solution,

"That's right, I mortgaged your wanted warrant."

Hannibal:

After a few moments, he spoke again,

"That is to say, if this short sale fails, I will be out of St. Peter's Sanatorium to stand trial, Todd must return to his hometown in the Divine State, and as for Mr. Luden, you believe me, the debt collector will hang you."

Todd snorted coldly, "I'd rather die than return to the Divine State!" ”

Hannibal nodded steadily,

"I see, if we fail, all three of us will die."

"That's a good summary."

Luton finished his paperwork, stretched, looked at Hannibal and asked,

"Anything else you'd like to say?"

Hannibal said seriously,

"I really don't want to hang."

Luden:.

"Relax, my friend, this kind of operation is not limited at all, it is just a small fight."

In order to calm the emotions of the two, Ludon said, for example,

"Mr. Luden, the ancestor of your Micro Goodard family, once mortgaged one of the Little Triumvirate, Lane Jager, to an old pedophile pervert during the Beast War."

Todd's mouth opened slightly, he didn't expect that Shenbang still had such a history.

Hannibal, who is a doctor, is more rigorous, asking,

"Is this true?"

"No, there's a little bit of art in it."

Todd and Hannibal, at the same time breathed a sigh of relief.

Thankfully, Mr. Ludon isn't crazy to that extent!

Ludon points out the flaws in this story,

"That pervert is not very old, thirty years old, young and strong."

Todd, Hannibal:.

"I miss the days when Jay the Ripper was there, and you couldn't get out of the sanatorium back then."

"Me too"

When you are at the limit, the days always go by quickly.

On Saturday, Todd Buck officially signed the purchase contract on behalf of the Buck family and Kolar Mining, promising to pay a deposit of 10,000 pounds within three working days.

At the same time, as part of the contract, Kolar Mining must also complete the contract to expand the production scale in the memorandum within 14 days, otherwise it will be regarded as a breach of contract, and the principal will be refunded and the fine will be doubled!

The news of the signing of the contract reached the exchange on Saturday, and on the same day, the stock price of Kolar Mining rose from 9.6 pounds to 11 pounds!

Sunday, day off.

On Monday, after a day of fermentation, enough details of the contract were leaked, and everyone believed that Kolar Mining was going crazy!

At its highest, it went up to 16 pounds!

Lutten sold all his stock and scraped together 10,000 pounds of cash.

On Tuesday, Todd came to Kolar Mining with a check and paid the deposit.

Lutten sat in the wagon, and Todd stepped out of the Kolar Mining headquarters and delivered a contract to the wagon, a full version of the contract that would prove that the 10,000-pound deposit had been paid.

The driver is from the Strange Bird Bookstore, and it's not the first time he's driven for Luden.

As the time spent together, his admiration for Luden increased day by day, and the other party did nothing, so he easily convinced him.

Now, Luden's orders, the coachman will do his best to complete them.

Ludon handed the contract to the coachman and instructed,

"Take this 10,000 deposit contract and go to the bank to borrow money. Borrow as much as you can. ”

Lu Deng has already paid 10,000 pounds in cash for this order, and he can lend a lot of money in the bank!

After all, in the eyes of the bank manager, he can even take out 10,000 pounds, and it is impossible for him to repay the debt!

How is it possible to cheat thousands of pounds with 10,000 pounds?

No fool would do such a thing.

Ludon could easily lend a few thousand pounds and give himself another leverage.

The coachman nodded, "Understood." ”

"After borrowing the money, take the money, go to the Fortune Exchange, and use the money as a pledge to borrow the shares of Kolar Mining, or the same sentence, borrow as much as you can."

"Understood! What happens after you borrow it? ”

The groom had heard of the stock, and now it is going crazy.

It's just that buying this kind of stock during this time period, can you really make money?

The corners of Ludden's mouth were slightly hooked, and he smiled lightly,

"Sell them all."