Chapter 655: The Combination of Media and Capital
The acquisitions by Hutchison Whampoa and HK Electric did not cause any huge waves in the stock market like the previous acquisitions by Hong Kong Land and Dairy Farm. Both parties tacitly agreed not to take any action. After a wave of increases, the share price of HK Electric gradually and slowly fell back to normal levels.
A week later, Hutchison and HK Electric announced that the two parties would carry out all-round cooperation in multiple aspects, especially in real estate business. At the same time, HK Electric would increase its share price by 10% based on the HK Electric share price one month ago. The funds would be deposited into HK Electric's account.
As a result, HK Electric's share price fell again, while Hutchison's shares rose sharply;
Many media outlets began to praise Hutchison Whampoa in large quantities. After becoming a major shareholder of HK Electric, and being able to cooperate with HK Electric in real estate development, its scale has become the top British foreign company in Hong Kong. The market value of the listed companies it controls has exceeded that of Wheelock and is second only to Jardine Matheson. As for Swire, because it is not listed in Hong Kong and its scale is also very large, it is difficult to tell who is bigger and who is smaller at the moment.
But obviously, Hutchison Whampoa has become the top British-owned foreign company in Hong Kong, and is called one of the four major banks in Hong Kong by many media;
When Qi Dezun separated Hutchison Group from Wheelock in the early 60s, it was just a small company with a market value of tens of millions, which only engaged in some import trade. But in less than ten years, he turned Hutchison into one of the four major trading companies today, with total assets under his control approaching tens of billions and his own net worth exceeding ten billion.
The title of "Hong Kong's No. 1 British-funded person" was gradually publicized by the media. Many Chinese and British people in Hong Kong began to support this British-funded entrepreneurial tycoon and were more optimistic about the future of Hutchison Whampoa.
Influenced by favorable news from all sides, Hutchison Whampoa's share price rose by more than 60% in less than half a month, and the market value of Hutchison Whampoa alone exceeded HK$50 billion.
At Changxing Group, after seeing the core contents of various newspapers sorted out by his assistant, Yang Wendong said to Fang Xianming beside him: "Start selling Hutchison's shares immediately. I want to gradually clear these shares."
"Clear it out?" Fang Xianming was shocked and said, "Mr. Yang, we have more than ten points of shares in our hands. If we really sell them all, I'm afraid we won't be able to hide it from the market, and it may also cause the stock price to fall."
In the early days, Yang Wendong directly acquired 20% of Hutchison's shares. Later, Changxing Group also took advantage of various opportunities to increase its shares.
The core reason why Hutchison Whampoa was able to expand so quickly was that it continued to expand its shares for financing and acquisitions. This resulted in the total proportion of shares held by Changxing Group decreasing, although the number of shares held by Changxing Group continued to increase.
There is no way. Qi Dezun's mergers and acquisitions in the past few years are really crazy. He has made full use of the convenience of the stock market to raise funds desperately. It is impossible for Changxing Group to spend huge amounts of money to follow him. It doesn't matter if the share ratio is reduced a little. The total investment is about 100 million yuan, and now the stock value is 800 to 900 million yuan, which is also a huge profit.
"I know, but Qi Dezun's way of playing is too crazy." Yang Wendong nodded and said, "Plus, the Hang Seng Index has exceeded 1200, and the housing prices are too high, so I guess the market may be reaching its limit."
Historically, the Hang Seng Index reached 1700 points and then plummeted, but the final 1000-point increase was extremely fast, that is, it took only a few months to go from 1700 to 400 points, while it took more than a year to go from 800 to points.
The few months before the stock market crash was also the craziest time for the market. A large amount of funds blindly entered the market, and eventually these people became the most pathetic leeks.
With the value of his Hutchison Whampoa shares, it was unlikely that he could cash out within a week or two, and two or three months was actually a bit too urgent. However, he didn't know when the economic crisis would break out, so he didn't care.
It just so happened that in the last few months, too much capital entered without thinking, which also made it convenient for me to cash out.
Fang Xianming thought for a moment and said, "Okay, I'll arrange it right away. There's another point that might be good for us. Recently, too many media outlets have been hyping up Qi Dezun and Hutchison Whampoa. Although the acquisition of Hong Kong Electric and he himself do have the ability to do so, I've found too much;
Yesterday I asked Qin Zhiye and found out that some investors were deliberately buying off the media to hype the news. The core purpose of this was probably to continue buying up Hutchison Whampoa’s stocks.”
"The higher the stock price, the more money Hutchison will be able to borrow." Yang Wendong smiled and said, "That's good. Talk to Qin Zhiye and have our media group get involved and praise Qi Dezun appropriately.
In addition, let TVB directly interview him, or make a documentary to introduce Qi Dezun's entrepreneurial story. Since he wants to make himself a legend, I will help him and attract more capital to buy Hutchison shares, which will make it easier for us to cash out. "
Qi Dezun and I agree on this point. We both need to buy Hutchison Whampoa's stock price at a high price. However, he wants to continue to borrow money, while I want to cash out.
When hundreds of millions or even billions of funds are cashed out, if the economic crisis breaks out in the future and the Hutchison bubble bursts, this money may be able to directly acquire Hutchison. As for the capital that comes in at this time, it can only be said that they want to come in and cut other people's leeks, but they can only become the leeks cut by others. This is how the capital market is. When you step in, you are a player in it.
Whether you cut others or be cut by others depends on your own ability. Even according to the trend of the economic crisis, even if Yang Wendong did not get involved in Hutchison Whampoa, they would still suffer heavy losses if they bought other stocks. It's all because of greed.
Fang Xianming agreed, "Okay, with our media's publicity, Qi Dezun will definitely be known to everyone."
"Well, that's it for now." Yang Wendong nodded and said.
Changxing Media and TVB actually have very limited profitability. The combined annual profit of the two is not as much as the development of a piece of land during the peak of the real estate industry. However, the biggest role of the media is publicity.
If it is just a single company, such as Hu Xian's Sing Tao Media, its influence will be average, and may even be controlled by major advertising clients. However, if it is part of a large conglomerate, with proper publicity and some capital planning, the result of 1+1 can be far greater than 3.
Fang Xianming asked again, "Mr. Yang, now that Hong Kong Holdings has acquired Dairy Farm and Hutchison Whampoa has partially acquired HK Electric, should we take action against Wharf Holdings in the near future? For now, we have suspended acquisitions in this area to avoid being discovered by Wharf Holdings or Jardine Matheson."
"Wait a minute. I estimate that the stock market may not be able to do well. Let's talk about it then." Yang Wendong thought about it and decided to say.
In fact, he had originally planned to take action in early 72. The stock market was not that crazy at that time, but Swire Properties and Hutchison Whampoa launched their own acquisition plans one after another. These had some strategic significance for his future plans, so he delayed his plans for Wharf Holdings. Anyway, he was already a major shareholder of Wharf Holdings and basically could not escape.
At this time, the Hang Seng Index was about to reach its peak. If he launched an acquisition of Hutchison Whampoa at this time, the stock market would only become more frenzied, and he would inevitably pay a higher cost, which might also affect the duration of the economic crisis.
It would be better to wait and see. It would be better to wait until the stock market cools down before taking action.
Fang Xianming asked again: "Should we resume the acquisition of Wharf shares?"
Yang Wendong shook his head and said, "No need. Instead, we can sell off some more. The stock price is too high at this moment. We can cash out some of it and buy it back when the stock price drops. In addition, we will also gradually sell off some of the non-core enterprise stocks we hold.
As for Chinese companies, except for Cheung Kong, Sun Hung Kai and Wo Hup, all others are cashing out as much as possible.”
"Yes, Mr. Yang." Fang Xianming agreed;
He already understood that his boss's prediction was that the economy would soon be in trouble, just like his boss's prediction in 64. If it was accurate again this time, it would be truly amazing.
PS: Ask for monthly ticket
(End of this chapter)
The acquisitions by Hutchison Whampoa and HK Electric did not cause any huge waves in the stock market like the previous acquisitions by Hong Kong Land and Dairy Farm. Both parties tacitly agreed not to take any action. After a wave of increases, the share price of HK Electric gradually and slowly fell back to normal levels.
A week later, Hutchison and HK Electric announced that the two parties would carry out all-round cooperation in multiple aspects, especially in real estate business. At the same time, HK Electric would increase its share price by 10% based on the HK Electric share price one month ago. The funds would be deposited into HK Electric's account.
As a result, HK Electric's share price fell again, while Hutchison's shares rose sharply;
Many media outlets began to praise Hutchison Whampoa in large quantities. After becoming a major shareholder of HK Electric, and being able to cooperate with HK Electric in real estate development, its scale has become the top British foreign company in Hong Kong. The market value of the listed companies it controls has exceeded that of Wheelock and is second only to Jardine Matheson. As for Swire, because it is not listed in Hong Kong and its scale is also very large, it is difficult to tell who is bigger and who is smaller at the moment.
But obviously, Hutchison Whampoa has become the top British-owned foreign company in Hong Kong, and is called one of the four major banks in Hong Kong by many media;
When Qi Dezun separated Hutchison Group from Wheelock in the early 60s, it was just a small company with a market value of tens of millions, which only engaged in some import trade. But in less than ten years, he turned Hutchison into one of the four major trading companies today, with total assets under his control approaching tens of billions and his own net worth exceeding ten billion.
The title of "Hong Kong's No. 1 British-funded person" was gradually publicized by the media. Many Chinese and British people in Hong Kong began to support this British-funded entrepreneurial tycoon and were more optimistic about the future of Hutchison Whampoa.
Influenced by favorable news from all sides, Hutchison Whampoa's share price rose by more than 60% in less than half a month, and the market value of Hutchison Whampoa alone exceeded HK$50 billion.
At Changxing Group, after seeing the core contents of various newspapers sorted out by his assistant, Yang Wendong said to Fang Xianming beside him: "Start selling Hutchison's shares immediately. I want to gradually clear these shares."
"Clear it out?" Fang Xianming was shocked and said, "Mr. Yang, we have more than ten points of shares in our hands. If we really sell them all, I'm afraid we won't be able to hide it from the market, and it may also cause the stock price to fall."
In the early days, Yang Wendong directly acquired 20% of Hutchison's shares. Later, Changxing Group also took advantage of various opportunities to increase its shares.
The core reason why Hutchison Whampoa was able to expand so quickly was that it continued to expand its shares for financing and acquisitions. This resulted in the total proportion of shares held by Changxing Group decreasing, although the number of shares held by Changxing Group continued to increase.
There is no way. Qi Dezun's mergers and acquisitions in the past few years are really crazy. He has made full use of the convenience of the stock market to raise funds desperately. It is impossible for Changxing Group to spend huge amounts of money to follow him. It doesn't matter if the share ratio is reduced a little. The total investment is about 100 million yuan, and now the stock value is 800 to 900 million yuan, which is also a huge profit.
"I know, but Qi Dezun's way of playing is too crazy." Yang Wendong nodded and said, "Plus, the Hang Seng Index has exceeded 1200, and the housing prices are too high, so I guess the market may be reaching its limit."
Historically, the Hang Seng Index reached 1700 points and then plummeted, but the final 1000-point increase was extremely fast, that is, it took only a few months to go from 1700 to 400 points, while it took more than a year to go from 800 to points.
The few months before the stock market crash was also the craziest time for the market. A large amount of funds blindly entered the market, and eventually these people became the most pathetic leeks.
With the value of his Hutchison Whampoa shares, it was unlikely that he could cash out within a week or two, and two or three months was actually a bit too urgent. However, he didn't know when the economic crisis would break out, so he didn't care.
It just so happened that in the last few months, too much capital entered without thinking, which also made it convenient for me to cash out.
Fang Xianming thought for a moment and said, "Okay, I'll arrange it right away. There's another point that might be good for us. Recently, too many media outlets have been hyping up Qi Dezun and Hutchison Whampoa. Although the acquisition of Hong Kong Electric and he himself do have the ability to do so, I've found too much;
Yesterday I asked Qin Zhiye and found out that some investors were deliberately buying off the media to hype the news. The core purpose of this was probably to continue buying up Hutchison Whampoa’s stocks.”
"The higher the stock price, the more money Hutchison will be able to borrow." Yang Wendong smiled and said, "That's good. Talk to Qin Zhiye and have our media group get involved and praise Qi Dezun appropriately.
In addition, let TVB directly interview him, or make a documentary to introduce Qi Dezun's entrepreneurial story. Since he wants to make himself a legend, I will help him and attract more capital to buy Hutchison shares, which will make it easier for us to cash out. "
Qi Dezun and I agree on this point. We both need to buy Hutchison Whampoa's stock price at a high price. However, he wants to continue to borrow money, while I want to cash out.
When hundreds of millions or even billions of funds are cashed out, if the economic crisis breaks out in the future and the Hutchison bubble bursts, this money may be able to directly acquire Hutchison. As for the capital that comes in at this time, it can only be said that they want to come in and cut other people's leeks, but they can only become the leeks cut by others. This is how the capital market is. When you step in, you are a player in it.
Whether you cut others or be cut by others depends on your own ability. Even according to the trend of the economic crisis, even if Yang Wendong did not get involved in Hutchison Whampoa, they would still suffer heavy losses if they bought other stocks. It's all because of greed.
Fang Xianming agreed, "Okay, with our media's publicity, Qi Dezun will definitely be known to everyone."
"Well, that's it for now." Yang Wendong nodded and said.
Changxing Media and TVB actually have very limited profitability. The combined annual profit of the two is not as much as the development of a piece of land during the peak of the real estate industry. However, the biggest role of the media is publicity.
If it is just a single company, such as Hu Xian's Sing Tao Media, its influence will be average, and may even be controlled by major advertising clients. However, if it is part of a large conglomerate, with proper publicity and some capital planning, the result of 1+1 can be far greater than 3.
Fang Xianming asked again, "Mr. Yang, now that Hong Kong Holdings has acquired Dairy Farm and Hutchison Whampoa has partially acquired HK Electric, should we take action against Wharf Holdings in the near future? For now, we have suspended acquisitions in this area to avoid being discovered by Wharf Holdings or Jardine Matheson."
"Wait a minute. I estimate that the stock market may not be able to do well. Let's talk about it then." Yang Wendong thought about it and decided to say.
In fact, he had originally planned to take action in early 72. The stock market was not that crazy at that time, but Swire Properties and Hutchison Whampoa launched their own acquisition plans one after another. These had some strategic significance for his future plans, so he delayed his plans for Wharf Holdings. Anyway, he was already a major shareholder of Wharf Holdings and basically could not escape.
At this time, the Hang Seng Index was about to reach its peak. If he launched an acquisition of Hutchison Whampoa at this time, the stock market would only become more frenzied, and he would inevitably pay a higher cost, which might also affect the duration of the economic crisis.
It would be better to wait and see. It would be better to wait until the stock market cools down before taking action.
Fang Xianming asked again: "Should we resume the acquisition of Wharf shares?"
Yang Wendong shook his head and said, "No need. Instead, we can sell off some more. The stock price is too high at this moment. We can cash out some of it and buy it back when the stock price drops. In addition, we will also gradually sell off some of the non-core enterprise stocks we hold.
As for Chinese companies, except for Cheung Kong, Sun Hung Kai and Wo Hup, all others are cashing out as much as possible.”
"Yes, Mr. Yang." Fang Xianming agreed;
He already understood that his boss's prediction was that the economy would soon be in trouble, just like his boss's prediction in 64. If it was accurate again this time, it would be truly amazing.
PS: Ask for monthly ticket
(End of this chapter)
