September.

Looking at the stock market in the first eight months of 1977, it can be described as very quiet, with only 4.5 billion Hong Kong dollars in trading volume in eight months. According to this trend, the annual trading volume is only about 7 billion, which is only half of last year.

The Hang Seng Index performed poorly in the first eight months, peaking at 470 points at the beginning of the year, and then falling all the way, during which there was a slight rebound, but it was not a climate; By July and August in the second half of the year, it has been running at 430~460 points, and the fluctuation is extremely narrow.

To sum up, the market has no confidence, and the damage after the stock market crash still remains in the hearts of shareholders. It can also be said that it is consolidating the foundation of 400~500 points.

The market is so quiet, but there is one stock that has performed strongly, from a low of HK$17 per share at the beginning of the year, and has recently climbed to HK$25 per share, and that stock is the Wharf Group.

Because of all kinds of unfavorable things, the stock should have fallen; But instead of falling, Wharf stocks are rising.

The trading volume of nine-position stocks is rising day by day, which has attracted the attention of securities analysts. Professional speculators with a keen sense of smell intervened, and the nine-position stock was speculated. For a time, large and small households came out one after another.

Universal Group.

Lin Zhichao, Li Yeguang, Feng Yongfa, Lin Ruhai, the four of them are discussing.

Li Yeguang joined halfway, and he is known as 'Lin Zhichao's think tank', so it is naturally very reasonable to join in.

"The news has been leaked, and the stock of Wharf Group will definitely rise like a thermometer being burned by fire. Ruihai, how much do we already hold? How much does it cost? ”

Lin Ruihai said solemnly: "The shareholding is only 17%, I strictly follow your instructions, by taking the way of scattered account secret purchases, and there is no excessive secret purchase every month, maintaining the rhythm plus this year's bad market, Wharf Group's negative news stimulus, so our current shareholding cost is 20.5 Hong Kong dollars per share." ”

The Wharf Group's share capital is less than 100 million shares, and the Global Group now holds less than 17 million shares, costing HK$340 million.

But then, the cost of unannounced purchases will increase significantly.

Li Yeguang said: "Wharf, which has always been known as the two wings of Jardine Matheson, is not on an equal footing with its sister company, Land, in terms of its holding structure. Jardine Land Holdings, Hongkong Land Holdings, Hongkong Land owns less than 20% of Wharf. We only need to have a 20% stake, and the largest shareholder of Wharf will not be the Keswick family of Jardine Matheson, but the Universal Group. This paved the way for the subsequent purchase of Wharf and a public competition with Jardine Matheson in the stock market. Therefore, the top priority is to quickly increase the purchase from the market to 20%, and I believe that Jardine Land will soon know who the opponent is! ”

This is not clear, in today's Hong Kong, the charter boat king and Li Chaoren are too inferior, and only Lin Zhichao dominates the business of Hong Kong.

And Lin Zhichao also knows that the Wharf shares controlled by Hongkong Land are not even 15%.

Lin Zhichao nodded and said, "It's true that you have to increase your holdings to 20% immediately, don't hide it." And I am afraid that the follow-up land will also increase its holdings, whether it is a quick decision or a protracted war, I still want to observe the situation. ”

With his cash flow, of course, he doesn't need to work as hard as Bao Yugang in his previous life, but Lin Zhichao has to consider political factors, as well as some off-market factors and cost factors.

The acquisition of Wharf Group is a win with only a 49% stake. There is no need for a general takeover, and there is currently no strict securities law in Hong Kong, and a general takeover is only a recommendation, not legal.

The problem now is that once Hongkong Land enters the market to buy shares, the Wharf Group's shares don't know how much they will rise. In his previous life, the reason why Bao Yugang stopped for more than a year was that he was worried that the quick resolution would make the stock price frighteningly high.

Lin Ruihai said: "Well, then I will go to a securities company to cooperate and acquire 20% of the equity as soon as possible." ”

Lin Zhichao said: "Trouble Lawyer Li to increase our shareholding to 20% first, and then publicly announce it." ”

Li Yeguang said: "No problem, it is also my honor to participate in such a significant acquisition! ”

He was right, in the early 70s, Jardine Matheson Land, easily acquired the dairy company of which Zhou Xinian was the chairman, and Jardine Matheson, which had been in the limelight for more than 100 years, could still turn its hands into clouds and rain in the Hong Kong business stock market at that time, and the "cattle war" was praised by experts as a classic of the Hong Kong stock market acquisition war.

The Wharf Group is a listed company of Jardine Matheson, and together with Hongkong Land, it is known as the "two wings" of Jardine Matheson. The properties of The Kowloon Warehouse Company Limited include most of the wharves and warehouses in Tsim Sha Tsui, the New Territories and Hong Kong Island in Kowloon, as well as hotels, buildings, trams and the Star Ferry. With a long history and abundant assets, it can be said that whoever owns Wharf controls most of Hong Kong's cargo handling, storage and transportation, and cross-harbour ferries.

Wharf's parent company, Jardine Matheson, is known as one of the four major foreign firms in Hong Kong, along with Hutchison Whampoa, Swire Group and Wheelock. Jardine Matheson is a big player in the four major foreign companies, and Jardine Taipan is also the chairman of Wharf and Hongkong Land, which shows that Wharf plays an important role in Jardine Matheson.

Tsim Sha Tsui, across the sea from Hong Kong Island Central, is increasingly becoming a tourist business district in Hong Kong. After the relocation of the main train terminal to the east, Wharf relocated its freight business to Kwai Chung and Peninsula West, freeing up land for the development of commercial buildings (Harbour City, Ocean Terminal).

The founder of Wharf, Paul Chater, obtained this feng shui treasure at a very low price, and even the lease period was 999 years, and now the tide is rising, and he is worth a hundred times.

The Wharf Group has successively built famous buildings such as Ocean Terminal, Harbour City and Ocean Centre Building, but in terms of business mode, it is not commendable, and they insist on using their own assets to build buildings, only renting but not selling, resulting in a sluggish return of funds and plunging the group into a financial crisis. In order to solve the crisis, a large number of bonds were sold to obtain cash, which caused the group to accumulate high debts, reduce its credibility, and depreciate its stocks.

In fact, Lin Zhichao has long had the strength to challenge Jardine Matheson, but he has always been affected by the environment and has not taken action for a long time.

Now.

Ready to go!

The Wharf Group's stock is abnormal, which has also attracted analysis from sensitive financial commentators, with one person pointing out that if the Wharf Group can make full use of its land resources, it can see a good momentum of 20% annual revenue growth in the next decade.

Stimulated by various aspects, Kowloon Group's stock began to rise all the way, and various versions of rumors appeared in the market.

"Who's buying Wharf shares?"

"Could it be that Hongkong Land has increased its holdings again?"

"What do you think! Will Hongkong Land increase such a rise? ”

"Yes, too"

"Do you think it could be a Chinese-funded tycoon who is secretly absorbing shares of the Wharf Group?"

"Mr. Lin Zhichao"

"Yes, who else in Hong Kong has this strength?"

"No, I can't find a second person!"

In the face of the aggressive situation of the market, the senior management of the Jardine Matheson Department quickly discovered the abnormality.

How could Jardine Taipan Nyubi not panic?

Today's Harmony is not like the Harmony of the past – the wind blows, and the rain gets the rain. For decades, Jardine Matheson has been too wary of the government and has pursued a policy of 'making money in Hong Kong and developing overseas'. Due to the long overseas investment front and low return on investment, Jardine Matheson was burdened with heavy financial burdens and forced Jardine into a desperate situation.

In the conference room of the Landmark.

Newbijian held a high-level meeting, and many senior executives of the Jardine Mason Department participated.

Although Wharf and Hongkong Land are the wings of Jardine Matheson; But in fact, the structure of the holding is: Jardine Matheson Holdings Land, Hongkong Land Holdings Wharf Group.

Under this holding method, the Keswick family holds shares of Jardine Matheson and should also hold a small amount of Hongkong shares, but certainly does not own shares in the Wharf Group.

"I can say for sure that it was Lin Zhichao's Global Group that was secretly buying shares in the Wharf Group, because as far as I know, the Global Group is selling ships and recovering a lot of money," he said. ”

What he meant was that Universal Group sold the vessel with the aim of acquiring the Wharf Group. Obviously, these people underestimated Lin Zhichao's strength too much.

That's the benefit of not going public!

Bao Fuda said: "Now we can only respond to the battle, buy back shares from the market, and increase our holdings to the safety line, so as to ensure that the country is not lost." Hongkong Land's cash flow needs to start the Central redevelopment project and invest in real estate, and only part of the funds can be used to buy back. Only Jardine Matheson made a move, and both sides increased their holdings at the same time. ”

Hongkong Land's strength has weakened a bit, after all, they have lost the Starlight Building, Victoria Harbour Centre (Connaught Building), and they are now rebuilding Central, so the investment is huge. So, not much money can be taken out.

Niu Bijian showed a wry smile: "Jardine Matheson's cash reserves are not much. At the current rate of increase in the share price of Wharf Group, it is not possible to increase the number of shares. ”

The people in the conference room were silent, why didn't Jardine have any money?

This is because the Keswick family transferred a large amount of Jardine Matheson's funds overseas for development, with the intention of becoming a global multinational company.

Later, Niu Bijian said: "The only way to do this is to ask HSBC for help!" ”

A senior executive said: "HSBC and the global group are both prosperous and loss-making, how can it help us?" ”

Niu Bijian said: "Everyone is British-owned, so how can there be any reason to unite with Chinese capital to deal with us." I personally went to ask Shen Bi for help, hoping that he could prevent Lin Zhichao from acquiring. ”

When everyone sees this, it can only be like this.

As everyone knows, Shen Bi was visiting Lin Zhichao at this time.

The purpose of his visit was not about the Wharf Group, but about shipping.

In Universal's office, Lin Zhichao and Shen Bi drank tea.

Shen Bi took the lead and couldn't help asking: "I heard that Global Shipping has sold a lot of oil tankers in the market, I don't know if it's because of the aging of the ship, or other reasons!" ”

Lin Zhichao put down the teacup and said, "I'm reducing the boat"

Shen Bi saw that Lin Zhichao's words were very simple, but he became even more suspicious.

"Is it to acquire the Wharf Group? But as far as I know, with your strength, you don't need to sell ships to buy Wharf Group. ”

How much of their annual dividends from HSBC is still far worse than that of the Global Group. HSBC has shared the bonus for several years, and the global group has also shared the bonus for several years. The cash flow in his hands is probably three or four billion Hong Kong dollars (HSBC does not know the specific situation of global shipping, including debt, profits, etc.).

Lin Zhichao saw Shen Bi's suspicions, so he said directly: "Shipping may be risky, so I just reduce the 10~150,000 tons of oil tankers with old ships and high operating costs, as well as some bulk carriers." ”

Shen Bi said: "What about VLCC and ULCC? ”

Lin Zhichao said: "I will also consider it!" In short, we are partners, and I will definitely make Universal Shipping safe and will not let it suffer too much loss. ”

Shen Bi was very concerned about this problem, but he still said uneasily: "How do you judge that shipping is risky?" ”

Seeing this, Lin Zhichao felt that there was no need to hide it, and he would make a request for it later.

"It's easy! The British North Sea oil fields produce a large amount of oil, and can also be supplied to other European countries in the future; The restart of multiple oil fields in the United States could also reduce its dependence on the Middle East; Japan started nuclear energy, plus in recent years they have a lot of oil reserves. For various reasons, in fact, some Japanese shipping companies are already showing signs of bad management, so I suspect that next year or the year after, there may be a turning point in shipping. ”

Shen Bi nodded frequently when he heard this, and after Lin Zhichao's analysis, even he now saw the shipping situation clearly.

"So, the Universal Group not only acquired the Manhattan office building in the United States the year before last, but now it is preparing to acquire the Wharf Group?"

Lin Zhichao said: "Not bad. Shen Daban, I have a reluctant request here. ”

Shen Bi immediately asked, "Mr. Lin doesn't want us HSBC to get involved in this acquisition war?" ”

Lin Zhichao said: "What if I still want to borrow from HSBC? ”

The implication is not only not to help Jardine Matheson, but also to help the Global Group.

"No problem! If it's a loan, we follow the normal process. ”

In Shen Bi's view, Jardine Matheson is destined to lose, and he has no reason to offend Lin Zhichao because of this matter. What's more, what he cares about now is whether Universal Shipping can be safe.

Huanyu Shipping is currently a more than 6 million ton oil tanker, with a value of about 400 million US dollars, and HSBC accounts for 40% of the equity, almost one billion Hong Kong dollars!

Through this meeting, Lin Zhichao also understood that there is a difference between having a gun in his hand and not having a gun.

Bao Yugang in his previous life also had a gun, and his fleet HSBC had a large stake, and a safe landing was also what HSBC was willing to see. HSBC needs him to do his best to bring the global group to a safe place, so it has given him great support.

After Shen Bi returned to the company, Niu Bijian soon came to the door.

"Shen Bi Taipan, for the sake of being a British-owned company, please persuade Lin Zhichao and ask him not to maliciously acquire the Wharf Group."

Shen Bi said: "New Bijian Taipan, Lin Zhichao's status in Hong Kong, HSBC has no way to stop his idea. You should actually understand this. ”

The implication is that today's Hong Kong is no longer a British-funded world.

Niu Bijian soon woke up to the fact that he really realized today that Lin Zhichao's strength and influence are huge, and now even HSBC can't suppress him.

He hurriedly said: "In this case, I also ask HSBC to support our Jardine Matheson and give us a loan to repurchase shares." ”

Shen Bi said without hesitation: "There is no problem with the loan, but there must be enough collateral, and the interest is also normal interest, which is just a normal loan business." We at HSBC don't want to get involved in this takeover war! ”

Niu Bijian suddenly panicked, if it is a normal loan, then Jardine Matheson and Hongkong Land are more risky, and the process is also very slow.

In the end, he could only raise funds to reverse the takeover.

A week later.

"Father, we already hold more than 20% of Wharf shares, and it seems that Jardine Matheson and Hongkong Land have not yet mobilized funds to go to the market, so it may be too late. Buyers large and small in the market have been actively entering the market, and now Wharf Group's shares have risen to HK$35 per share. Lin Ruihai reported.

Lin Zhichao is very calm, and the Jardine Department has not ended, it is nothing more than that he has not reacted yet.

He decided to play a good trick on Newwall!

"In this way, you have to do three things: the first thing is to continue to buy the shares of the Wharf Group, and strive to increase our holdings to more than 30% in one month; The second thing is to arrange for Asia Shipping to eat 20% of the equity of Wharf in our hands at a price of 40 Hong Kong dollars per share, and the funds can be paid within a year. The third thing is to ask Wharf to give us two seats on the board and tell them that we already have a 20% stake and 16% under the securities laws we can have two seats on the board. ”

Lin Ruihai asked curiously: "Transfer 20% of our shares to Asia Shipping?" ”

Lin Zhichao nodded and said more: "This can not only avoid legal risks, but also allow Jardine to relax its vigilance." ”

As soon as the point stopped, Lin Ruihai immediately understood what his father meant.

"Okay, I'll arrange it right away!"

Watching Lin Ruihai walk out of the office, Lin Zhichao smiled.

He didn't regard Jardine as an opponent at all, but more to use this opportunity to train his son.

He divided the acquisition into three phases:

In the first stage, the stock increased by 20%, that is, at this stage, it had a showdown with the Jardine Matheson, joined the Wharf Group, and pierced it with a thorn;

In the second stage, the stock was increased to 30%, and in the next one month, the use of stratagem to let Jardine relax its vigilance, the father and son entered the board of directors of Wharf, first familiarized with the company.

The third stage is the public acquisition, which is the Armageddon. Hiring a finance company to increase the stock holdings to 49% at a price that Jardine Matheson couldn't afford to do is a win for the acquisition. At this time, the full takeover line is 51%, and the law in this area is not yet complete, so there is no need to consider privatizing the Wharf Group.

Jardine Matheson's Niu Bijian reluctantly announced that the Wharf Group had added two directors - Lin Zhichao and Lin Ruihai, and at the same time, he was stirred by a piece of news.

That is, Global Shipping announced the transfer of 20% of the shares of Wharf Group to Asia Shipping for nearly 800 million Hong Kong dollars; The chairman of the board of directors of Asia Shipping, Lin Zhichao, and the general manager Lin Ruihai, joined the board of directors of Wharf Group.

Asia Shipping is only a listed company with less than 3 million tons of shipowners, with a market value of only 800 million Hong Kong dollars and an asset value of only about 1.2 billion Hong Kong dollars; Now it has spent a high price of 800 million Hong Kong dollars to acquire the shares of Wharf Group.

Where does the money come from?

It goes without saying that HSBC lends money.

Thinking of this, Niu Bijian secretly scolded HSBC.

But he then changed his thinking, and said to Bao Fuda, deputy general manager of Hongkong Land, and other senior executives: "Lin Zhichao did this, I am afraid that the financial strength is insufficient, so he transferred 20% of the shares of Wharf Group to the listed company controlled by him." ”

Another deputy general manager, Bellerfort, said: "If this is the case, then Lin Zhichao's strength may not be able to buy the Wharf Group, after all, the stock price has risen to more than 35 Hong Kong dollars per share, and they are still more than 30% behind, that is, at least more than 1.2 billion Hong Kong dollars, and even a public acquisition, at least 2 billion Hong Kong dollars." We all know that the debt ratio of shipping must be very high, and it is understandable that it cannot be taken out for a while. ”

Recently, the Jardine Matheson Department has been trying to make money in a hurry, and they have not been able to come up with much money to join the acquisition in a short period of time. And they only hold 12% of the shares, which is far from the safe position of anti-takeover.

Hearing Bellerfort's words, the senior management of the Jardine Department breathed a sigh of relief, they just couldn't prepare funds in a short time. Now the enemy is the same, then it is equivalent to giving them a chance.

"Well, since they can't make a public takeover for a while, then we can also have time to arrange a reverse takeover," he said. Next, Lin Zhichao and his son Lin Ruihai entered the board of directors of Wharf Group, and I had to keep an eye on them, and I would be present in person every time I went to the board in the future. ”

In this way, it is equivalent to a fierce 'conflict' between the two groups in the Wharf Group.

In fact, Lin Zhichao will not give Niu Bijian too much time.

(End of chapter)