Reborn as a tycoon in Hong Kong

"The IRS is here, Hutchison Whampoa is deeply involved in tax evasion scandal!"

"The IRS is investigating Hutchison Whampoa, and Hutchison Whampoa may face huge fines for tax evasion!"

"Yesterday at 11 o'clock in the morning London time, the IRS came to investigate Hutchison Whampoa and launched an investigation into whether Hutchison Whampoa paid full tax on the huge profits it made from its previous investment in gold futures!"

"This newspaper will continue to track whether Hutchison Whampoa has evaded taxes, so stay tuned!"

"..."

The next morning, just as Lin Baicheng and Wei Li had guessed, reports appeared in many newspapers in Xiangjiang that the IRS in London had approached Hutchison Whampoa Branch to launch an investigation, and even included photos of the IRS coming to the door. .

There is a time difference between the two places. When the IRS came to visit, it was already evening in Xiangjiang, but many newspapers in Xiangjiang reported the relevant news early in the morning. It is impossible to say that no one was behind the scenes.

Just when Weili was arranging for clarification, a deputy manager from Standard Chartered Bank brought people to Hutchison Whampoa and asked Hutchison Whampoa to return the loan on the grounds that the previous loan for Hutchison Whampoa's property acquisition was illegal at Standard Chartered Bank. .

In order to show that it is not its own problem, Standard Chartered Bank said that after repaying the loan, it can recalculate the valuation of the property and then grant Hutchison Whampoa a loan at a certain discount based on the market situation. This procedure is legal and reasonable.

Because he knew something would happen today, Lin Baicheng came to Hutchison Whampoa to work in the morning, and he soon learned about it.

Lin Baicheng immediately called Standard Chartered's senior manager Huo Yaohua, but Huo Yaohua's secretary told him that Huo Yaohua had been summoned to London by the Standard Chartered head office yesterday morning, and that Huo Yaohua was already in London.

"It seems that Standard Chartered has made a choice."

After hanging up the phone, Lin Baicheng called Qin Lan in and asked Qin Lan to call Wei Li and people from Standard Chartered Bank to his office.

When Qin Lan went to call someone, Lin Baicheng was thinking that since Standard Chartered was unreliable, HSBC would probably be unreliable as well.

"I hope HSBC won't do anything wrong, otherwise don't blame me!"

Lin Baicheng snorted coldly. He had not forgotten the 90 million shares of Hutchison Whampoa that he pledged to HSBC. If HSBC dared to ask Hutchison Whampoa to repay the loan, then he would immediately repay the loan and get the shares back. Then he would have to take a look How many stocks can the short side sell short?

The reason why Lin Baicheng did not take the initiative to do so was not only because he did not want to break up with HSBC, but also because a loan of 1 billion Hong Kong dollars would cost more than 200 million U.S. dollars. If this debt was repaid, Lin Baicheng's acquisition in the United States would have to be completed. It's about to stop.

Although Lin Baicheng still had almost 100 million US dollars left after paying back a little more than 200 million US dollars, he needed some funds as a deposit and could not spend all of it. At that time, the acquisitions in the United States could not be stopped even if he wanted to.

Later, Lin Baicheng called Maori Haruko in Los Angeles and asked Maori Haruko and the others to contact Goldman Sachs and other institutions through offshore companies to modify the purchase price of the stock. Now that we know that the stock price will plummet due to the negative news, there is certainly no need to hold on to the price of HK$25.

Lin Baicheng asked Maori Haruko and the others to contact Goldman Sachs and other institutions and directly pay the price of 21 Hong Kong dollars to buy. After the stock price fell to this price, the transaction would be automatically completed. He wanted to try to see if he could support the stock price above 20 Hong Kong dollars.

If it really doesn't work, there is nothing we can do. Lin Baicheng has tried his best.

After a while, Weili came over with Albert, the deputy manager of Standard Chartered.

Lin Baicheng talked with Albert and found that Albert's attitude was very tough, saying that Hutchison Whampoa must repay the loan first, and for this reason he would rather default and return all the interest that Hutchison Whampoa has paid.

The last time Hutchison Whampoa spent a total of HK$2.62 billion on property acquisitions, HSBC contributed more and provided more loans, while Standard Chartered's loan was only a little over HK$800 million.

Hutchison Whampoa's loan of HK$2.62 billion was secured by the acquired properties. The two banks provided the full loan. Now Standard Chartered wants Hutchison Whampoa to repay more than HK$800 million. Hutchison Whampoa can actually take the corresponding properties to other banks. As for loans, it is no problem for banks to provide loans for about 70% of the property price. Therefore, Hutchison Whampoa only needs less than 300 million Hong Kong dollars more, and the company can still get the money.

However, if this is done, it will definitely be a major negative news for Hutchison Whampoa, and the stock price will inevitably be hit, which will be beneficial to the short side.

Although Albert of Standard Chartered could not be persuaded to maintain the original contract, Hutchison Whampoa would not readily agree to repay all the loans. Hutchison Whampoa would rather choose to file a lawsuit with Standard Chartered Bank to delay the deal for the time being.

Although this news will be negative news when it gets out, it is better than asking Hutchison Whampoa to use an extra amount of funds to repay the loan. It is the lesser of the two evils.

Soon, as Albert left Hutchison Whampoa, relevant news spread, and newspapers even published additional reports on the relevant news.

At the same time, at the Hong Kong Stock Exchange.

Hutchison Whampoa's stock price, which had already dropped around HK$23, suddenly received a large number of sell orders. The stock price was smashed, and a large number of follow-up orders poured out.

However, when Hutchison Whampoa's share price fell to the price of HK$21, it suddenly stopped. Although there were a large number of selling orders, the stock price stopped falling at the price of HK$21, and a large number of selling orders were completed.

Goldman Sachs, Morgan and other institutions ambush Lin Baicheng's funds to buy at this price. The combined funds of multiple institutions totaled nearly 1.1 billion Hong Kong dollars. Based on the stock price of HK$21, it is possible to buy more than 50 million shares, which is more than 12.5% ​​of the shares.

The short sellers continued to sell the stock, and a large number of follow-up orders also sold the stock, but the stock price still stopped at the price of HK$21.

Seeing that the stock price still did not change after selling more than 10 million shares, Henry Kaiser immediately asked someone to ask the exchange what was going on and whether it was a statistical error. He was told that there was no statistical error, but that someone had sold the stock at HK$21 in advance. That's just a lot of buying orders placed at that price.

The British family was still very powerful, so after Henry Kasik and the others went to the top of the exchange, they learned that Goldman Sachs and other institutions had bought more than 50 million shares of Hutchison Whampoa shares at the price of HK$21 in the morning. .

In other words, the 40 million shares borrowed by Henry Caesar and the others this time cannot break the price of HK$21. Although there are follow-up orders to sell, the extra 10 million shares are worth more than 200 million Hong Kong dollars. If the follow-up orders cannot break through the price of 21 Hong Kong dollars for a long time, they will definitely go long, and the rest of the funds watching will also If you choose to buy at the bottom, it will be even more difficult to make a profit.

In view of this, Henry Caesar and the others made a decision. Let HSBC issue an announcement on reducing its holdings, and they secretly take over the stocks that HSBC has reduced its holdings at a premium, and then sell these stocks to the market.

(Thanks to ‘Ai De Hua’ for the big 2000 point reward support!)