Metropolis: My Rising Life

In the meeting room on the top floor of the Citi Building, only Chen Yi, Han Yifan and two other people were present to report and summarize their work.

Because the issues involved are relatively large, the fewer participants the better.

The fewer the number of people, the lower the probability of the news being delivered. At least some things cannot be exposed prematurely before making the final preparations.

The three people present besides Chen Yi are the most experienced and capable people in the industry that he has previously worked in major investment banks.

As soon as Chen Yi came up, they couldn't be more loyal, but with a high salary, they could also exchange temporary loyalty.

"Yifan, let's start."

Chen Yi sat in the upper head, glanced at the others, nodded, leaned on the back of the chair, and said solemnly.

"Okay, President Chen!"

Han Yifan replied respectfully, turned on the laptop and projector, took a laser pointer, and began to talk endlessly.

"More than a month ago, Mr. Chen asked us to conduct the deepest investigation of this Feiying agricultural and animal husbandry enterprise. Our entire team was divided into multiple teams and went directly to southern Henan, where we fought for more than a month and came up with this report. "

After Han Yifan finished speaking, he glanced at his colleague.

The two colleagues both nodded, showing a relieved expression.

For more than a month, they spent almost all their time at work, trying to squeeze their own sleep. In the investment bank that year, even more serious than in the investment bank, they investigated various information in more than a month. .

After Han Yifan pursed his mouth, when he came up, he straightforwardly stated the ultimate goal of this report——

"I discussed with President Chen last night, and finally we came to the conclusion that we short this company, and what I want to say next will also be information about why we are sure to short this company!"

When the other two heard Han Yifan's words, their expressions were shocking, and they leaned forward subconsciously.

When each of them conducts research, they are responsible for a region and sector, so they can't take the overall picture. Although they faintly think that this company has problems, they still can't come to the conclusion that they can be shorted.

They didn't even know why the boss asked them to investigate this company in the first place.

This is because investigating a company may be short, long, or acquisition, to see if the company’s real operating conditions match the market value.

When Han Yifan saw the two men earnestly, he started to introduce them.

He actually didn't know why Chen Yi asked him to investigate such a company that ordinary people didn't know, although the market value is 30 billion, but the name is unknown.(Read more @ mtlarchive.com)

It's just that as the deeper the investigation, the more surprised he found the huge financial fraud problem of this company.

He could only conclude that this was some gossip that Chen Yi had channels that he didn't know about, and that's why they allowed their entire team to operate.

After the investigation, he admired Chen Yi's foresight more and more.

"First of all, I want to make it clear why we can short it. This company has a market value of 27 billion yuan. The two of you here are professionals. You should know what characteristics you need to short a company."

The two people who were listening blurted out: "...a company that wants to be short, it is best to meet the market value of tens of billions of dollars!"

This can also be regarded as the core feature of this short-selling industry, that is, short-selling companies should try their best to meet the tens of billions of market value.

Because this market value is the easiest to be defeated by a single trick, causing a chain reaction.

Those super-large companies with a market value of hundreds of billions, as long as they don’t make mistakes that are so serious that they are irreparable, then even if there is some bad news, the stock price will not be too volatile.

And if the stock price cannot be volatile, the risk of short selling will be too high and the return will be too small.

"The market value of tens of billions, huge financial doubts, and abnormal connected transactions are almost the basic principles that the world's major short-sellers will follow."

"...Look here first. This is the prospectus of Feiying Agriculture and Animal Husbandry and the public financial statements of previous years."

"And this is the information that a team of ours checked on official websites, media reports, government portal websites, and reports from third-party investment institutions. After summarizing these information, we found some doubts."

"...Then this is a field research report and some photos taken by another team entering the company's internal factory under a different name."

"From the factory's working environment, the number of machines and equipment started, and the internal employees we secretly asked about the company's operations, the company's actual operations and external financial reports are seriously inconsistent."

"... After a brief calculation, the operating status of their company's machinery is far from the value of the external financial report."

"Of course, because we don't understand the animal husbandry industry, in order to prevent ourselves from relying on guesswork, we also consulted a number of experts in the animal husbandry industry. From these experts, we are even more convinced that this company has financial problems. "

Han Yifan glanced at his complexion, but after nodding his head from time to time, Chen Yi licked his lips and continued excitedly:

"...The third-party auditing part of this company is not a well-known audit institution, but a small company that is not well known..."

"Moreover, the company's financial executives are changed too frequently. There is absolutely a problem. You should know that the financial department in a company is the most stable. Unless you have to, the company will not easily change financial personnel."

"...But such a large company with a market value of nearly 30 billion changes its financial staff so frequently. It is only strange to say that there is no problem."

"Because southern Henan is not a major economic province, and this company provides a large number of local jobs, it will of course be sheltered by some locals."

"...It's not that the local area knew that this company had problems, but that this company used this kind of cover to fool things over, and thus obtained a large amount of bank loans and used financial fraud to preserve market value."

"As long as the market value is still there and there are so many employees in employment, so as long as there is no major problem, the local area will certainly not investigate it too deeply."

"... And after we conducted in-depth investigations from multiple parties, we found that this company also had differences in amounts in transactions with affiliated companies."

Han Yifan once again integrated the reports of different surveys and research teams, but even so, these contents and various messy figures are a bit messy.

If these materials are printed out on paper, it is estimated that they can be stacked up to the thickness of several dictionaries. It can be seen that Chen Yi's tens of millions of dollars a year are not white.

In order to make Chen Yi understand, Han Yifan also specially used different colors on many questionable numbers to make correlations. After many comparisons, he used question marks and other symbols to mark the doubts he thought.

"The reason why we investigate problems in such a relatively easy way is because 0.0 is very specific, but also because this company has a bond that is about to expire in April this year."

"...In order to find a way to repay this bond, the company's recent moves have been a bit big. On the contrary, this has exposed more problems in our eyes, who have been watching them."

"To sum up, even if we are a short-selling agency, this is a short-selling report sufficient for short-selling options, and the success rate is relatively high."

"... You know that the bonds that mature in April are simply the best opportunity during this period of time. Of course, it is another secret report that really made Mr. Chen and I determined."

Having said that, Han Yifan took another look at Chen Yi, and that report needs his consent to be displayed.

"Speak out, Yifan... This report comes from whistle.blower, I think everyone here can understand its meaning."

Chen Yi raised his hand and signaled Han Yifan to continue talking. .

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