Reborn as a tycoon in Hong Kong

"Dividends?"

This was something Lin Baicheng had never thought about, because he did not lack funds for the time being, or he did not lack funds of hundreds of millions of Hong Kong dollars, so he never thought about paying dividends at the beginning. His idea is to put all the funds in Hutchison Whampoa's account and use them to develop the company, develop more land, and expand overseas after Watsons delists.

You know, Lin Baicheng has a principal of 200 million US dollars in the United States and is long gold futures. The cost price is less than 165 US dollars per ounce. At that time, he used ten times leverage to operate. If he sells it now, plus the principal, it will be It can be about 800 million US dollars. Even after deducting taxes, there will still be about US$700 million left.

This is cash, all controlled by Lin Baicheng. With about 3 billion Hong Kong dollars in funds, Lin Baicheng certainly has not thought about taking dividends from Hutchison Whampoa.

Seeing Lin Baicheng pondering, Cheng Yufeng couldn't help but said: "Mr. Lin, if you feel that the dividend funds are not enough, you can increase the dividend funds."

"It's not about funding."

Lin Baicheng waved his hand after hearing this: "I have never thought about paying dividends from the company. I am not short of money for the time being."

Wei Li was very happy after hearing this, but he still said: "Mr. Lin, although you are not short of money, dividends are still necessary. This time the company made a profit of 1.8 billion Hong Kong dollars. If there is no dividends at all, what will happen to other shareholders?" But it’s hard to explain, so I have to use some amount of cash to distribute dividends.”

Cheng Yufeng also said: "Mr. Lin, for many shareholders, if a company pays generous dividends every year, then the company's stocks are worth holding for a long time, which will help the company's stock price rise."

"In that case, dividends are still necessary."

Lin Baicheng nodded thoughtfully. Of course he wouldn't mind being given cash. He said immediately: "The premise of dividend distribution is that it will not affect the development of the company. Everything is based on the development of the company. So, are you sure this? If HK$800 million in cash is used as dividends, will it not affect the company's vigorous development? What I want is the company's rapid development and the rapid expansion of the real estate and retail industries."

"Mr. Lin, you can rest assured that this will definitely not affect the company's development."

Wei Li solemnly said: "As I just said, with the company's current market value and scale, without a large amount of debt, you can get a large amount of funds for the company's development by going to any bank for a loan or bond issuance. On normal development.”

After a pause, Weili continued: "Furthermore, there must be a limit to the expansion speed of the company's real estate and retail industries. This cannot be solved by just having money. Talents must also keep up, otherwise management and operations will be chaotic. , will only cause unnecessary losses."

"That's true."

Lin Baicheng quite agreed with this. The company's expansion does require talents to keep up, but he still reminded: "Weili, in terms of the development of the real estate industry, you can be more courageous. It will be okay to develop more land. Even if For this reason, it is acceptable for the company to bear a large amount of debt. Furthermore, although the company owns a lot of land, if the Hong Kong government has land for auction, remember to participate in the auction. You will not lose money by hoarding land. "

"Okay Mr. Lin, I've written it down."

Wei Li responded with some hesitation. Although this kind of development method can allow the company's real estate industry to expand faster, once the land price rises sharply, the company will definitely make a lot of money. However, if the land price suffers a setback, the company will naturally suffer huge losses.

However, land prices in Xiangjiang are rising now, and Lin Baicheng has not made any major mistakes so far, so it is difficult for Wei Li to refute. After all, he is just a professional manager. Regarding the company's major development direction, he must listen to Lin Baicheng. Unless he feels that there are major problems with a certain decision, then he will refute it.

Lin Baicheng said aloud: "In terms of capital dividends, don't use all 800 million Hong Kong dollars as dividends. Let's distribute 600 million Hong Kong dollars as dividends, which is exactly one-third of the profits."

Wei Li and the others had no objection to this, after all, the difference was not much different.

Lin Baicheng said: "As for the company's investment profits and cash dividends, we will wait until the stock market closes in the afternoon before announcing it to the public."

"yes!"

Wei Li and the others responded.

Looking at the four of them, Lin Baicheng suddenly said: "When I acquired the company at the beginning of the year, I made a promise to your management to give you a 5% equity incentive. Now the company's special account has 10 million shares of the company's stock. I'm going to take it first." We will issue 1 million shares to incentivize the management, and I believe this will be approved by the board of directors."

The board of directors will definitely pass it. Wei Li, Cheng Yufeng, Xia Boyin and Wei Peter will have four votes, and Lin Baicheng will have five votes to pass. The equity incentive is to give stocks to the management, and they will refuse it only if they are stupid.

"Thank you Mr. Lin!"

Weili and the other two were overjoyed when they heard this. Although it was only 1 million shares, which was only 5% of the total 20 million shares in incentives, at the current stock price of nearly 60 Hong Kong dollars per share, 1 million shares was equivalent to close to 60 million Hong Kong dollars.

Although the incentive equity has a three-year sales restriction period, the stock price after three years may not be as high as it is now, but even if the stock price is cut in half by then, it will still be worth 30 million Hong Kong dollars, which is already a lot. What's more, if the stock price in three years' time is higher than now, then the HK$60 million may become HK$100 million.

"You deserve this."

Lin Baicheng waved his hand, looked at the four people and said: "You must make a good plan for the distribution of equity incentives, and it must be implemented for outstanding talents. I don't want a scandal to happen. If such a thing happens, don't blame me for being rude. , you four have the greatest responsibility."

Wei Li immediately said: "Don't worry, Mr. Lin, the incentive plan will definitely be announced to all employees by then. It will be clear whether there is any fraud."

"Wei Li, we agreed at the beginning that if you cancel your incentive contract, you can choose to receive 5 million Hong Kong dollars in compensation from the company, or 100,000 shares as compensation. What is your choice?"

After acquiring Hutchison Whampoa, Lin Baicheng learned that Wei Li had an incentive contract with an "annual profit of 2.5%". He found Wei Li at that time and negotiated with him. Canceling this incentive contract, as compensation for Weili, he can receive 5 million Hong Kong dollars or 100,000 shares of the company at the end of the year, at his own choice.

Of course Lin Baicheng wanted to cancel the incentive contract, because he had already decided to use Hutchison Whampoa's funds to invest in gold futures. The company's profits in the past few years must have been very high, and he could not let Weili just make a lot of money.

At that time, Wei Li believed that the company's annual profit would be 100 million Hong Kong dollars, which meant that the possibility of him receiving more than 2.5 million Hong Kong dollars in rewards was very small, so he happily agreed at the time.

Fortunately, Wei Li agreed, otherwise Lin Baicheng would have definitely chosen to break the contract and kick Wei Li out of the company, and at most he would have paid him a liquidated damages.