Reborn as a tycoon in Hong Kong

"Mr. Allen, long time no see!"

"President Dana, President Lawrence, long time no see!"

In the office, Lin Baicheng shook hands with the two people who came in, and invited them to sit down on the sofa.

The secretary walked in, placed the three cups of coffee in front of the three of them, and then went out.

The three of them drank coffee and chatted.

"Mr. Allen, we are here this time because we have something to ask you for help."

After a small chat, Sean Dana and Derren Lawrence stopped going around in circles and got down to business.

"Please tell me, you two."

Lin Baicheng had some guesses as to the purpose of these two people's visit, but there were only a few possibilities.

Sean Dana said: "We at Goldman Sachs, Citigroup and some friends believe that the current stock price of Galaxy Games is already a bit too high and there are some bubbles. If the company's stock price continues to rise, the existing bubble will only get worse. If it gets bigger and bigger, when the bubble bursts one day, the stock price will inevitably plummet, and the company will inevitably be affected in the capital market, which will not be conducive to the company's future financing from the market."

Although Lin Baicheng didn't know the current stock price of Galaxy Games Company, he knew that the company's stock price had exceeded 60 US dollars about ten days ago, and there was not much decline thereafter, otherwise the Secretariat would have reported it to him.

The total share capital of Galaxy Games is 200 million shares, and the company's stock price has exceeded 60 US dollars, which means that the company's total market value is as high as 12 billion US dollars, making it a giant company.

As for the performance of Galaxy Games last year, it had a profit of US$430 million. Based on a market value of US$12 billion, the price-to-earnings ratio is almost 30 times.

A price-to-earnings ratio of 30 times is indeed a bit too high in terms of the current market conditions, not to mention that it only took a few years for Galaxy Game Company to go public from its establishment to the market. With no historical background, no one can guarantee whether it will suddenly rise. fall.

"The company's stock price is high, which shows that the market recognizes the company's stock price."

Looking at the two of them, Lin Baicheng said with a smile: "To be honest, I would like to thank Goldman Sachs, Citigroup and other Wall Street institutions for their opinions on Galaxy Games. The company's research reports have all given positive comments, and the company's stock price is estimated to be Some are priced over 70 US dollars. If we really put it into perspective, the company’s current stock price is lower than the average price estimated by Wall Street. Maybe the company’s stock price can continue to rise.”

The reason why the company's stock price is so high is not because it was speculated by institutions such as Goldman Sachs in order to cash out.

"Galaxy Games' performance is getting better and better under the leadership of Mr. Allen, and Wall Street is unanimously optimistic about it, which is normal."

Goldman Sachs and Citigroup previously held a lot of shares in Galaxy Games, and they were able to reduce their holdings and cash out in May this year. Goldman Sachs and Citi immediately contacted some institutions to stir up the share price of Galaxy Games. Now the stock price has exceeded 60 US dollars. They are the ones who handwriting.

Without a large amount of capital coming in, and without Wall Street's optimism about Galaxy Games, attracting many investors to buy stocks, Galaxy Games' valuation would never have been able to rise as high as it is now.

As stock prices rise, the stocks in their hands naturally become more valuable, and institutions such as Goldman Sachs and Citigroup make a fortune as a result.

Derren Lawrence said: "Mr. Allen, with the development of Galaxy Games, the company's stock price will inevitably get higher and higher in the future. However, the company's stock price is already a bit higher than expected. We believe that for the long-term development of Galaxy Games, To develop, it is necessary to suppress the company’s stock price and allow it to fall and make a correction.”

"We will give our full assistance to stabilize the company's stock price within a certain price range." Sean Dana added.

Looking at the two of them, Lin Baicheng suddenly said: "You two, are Goldman Sachs and Citigroup still shareholders of Galaxy Games?"

The reason why Lin Baicheng asked this was because he knew that many of the institutions that participated in the financing when the company went public began to cash out once the stocks could be cashed out, and Goldman Sachs and Citigroup were no exception.

"Of course, Mr. Allen has always been an important partner of Goldman Sachs. Goldman Sachs is also very optimistic about the prospects of Galaxy Games. Although the company has cashed out part of its shares, it still holds a part and is still a shareholder of the company today."

Sean Dana had a serious look on his face. He did not lie, he was just avoiding the important matter and taking the easy one. Goldman Sachs sold a large number of stocks it held and made more than three times the profit. Now it only holds a small amount. The remaining number of stocks can only be regarded as a large retail investor.

"The same goes for Citigroup, which is still a shareholder of Galaxy Games."

Derren Lawrence also said that Citigroup is doing similar things to Goldman Sachs. This is not because the two organizations are so closely connected, but because the large organization knows how to do what is best for itself.

"Really? Thank you both for your optimism about the company."

Lin Baicheng was a little surprised, but he quickly reacted and judged that the two institutions probably only had a few shares in their hands. Otherwise, the higher the stock price of Galaxy Games rises, the happier they should be instead of coming here to tell him that the stock price is too high.

"You two, it has not been easy for Galaxy Games to develop to this point. I don't want any negative news to appear on the market that will affect the company's development. What do you think?"

"Mr. Allen, please rest assured that this will not happen."

Derren Lawrence immediately agreed.

"We only hope that Mr. Allen and Starship Games can remain silent without affecting the company's operations," Sean Dehner said.

In fact, all three of them knew that Goldman Sachs and Citigroup were contacting other institutions to short-sell the stock price of Galaxy Games, suppress the company's stock price, and cut off a wave of leeks. Even those small institutions were their targets.

However, some things cannot be said openly to avoid accidentally leaving clues. The Securities and Exchange Commission (SEC) is not a vegetarian.

"That's okay, I agree."

Anyway, we are cutting leeks here in the United States. Although cutting too many leeks will have some impact on the company's reputation, the development of Galaxy Games needs the support of Wall Street. At least it cannot become a thorn in Wall Street's side. Therefore, after weighing the pros and cons, Lin Baicheng agreed. .

Sean Dana and Derren Lawrence were very happy after hearing this. With Lin Baicheng's cooperation, they would be more confident.

If the stock price of Galaxy Games rises, they will make a lot of money. If the stock price is pushed down by short selling, they will make a lot of money again.

When the valuation of Galaxy Game Company reaches a certain price, they will choose to buy back and buy a certain number of shares. They will then sell them when Galaxy Game Company's valuation rises to a certain price in the future, and then they can make a huge profit.

Judging from this year's first quarter report, Galaxy Games' revenue and profit have increased by more than ten points. It has higher expectations for the performance of the next three quarters compared with the same period last year. This year's profit is likely to be higher than last year. , so you won’t lose money if you hold shares of Galaxy Games.

Of course, if there is a problem with Galaxy Games' performance, Goldman Sachs, Citigroup and other institutions can also run away in advance. They must have learned about Galaxy Games' performance some time in advance of the market, so if there is a performance problem, they can just run away.

What's more, if they could know in advance that there were problems with Galaxy Games' performance, they could have planned a short sale, and they might even make more money.

For institutions such as Goldman Sachs and Citigroup, they are not afraid of the situation of listed companies. No matter good or bad, they have ways to make profits. On the contrary, they don't like companies that are stable and stable without much fluctuation.

Sean Dana said: "Mr. Allen, if you want to reduce your holdings and cash out some stocks, we can help to keep the stock price of Galaxy Games above $60 for a period of time so that you can complete the reduction."

In other words, in addition to using it as a reward for Lin Baicheng, if Lin Baicheng really reduces his holdings, if something goes wrong, the blame will be on Lin Baicheng, the major shareholder, for reducing his holdings, which has nothing to do with them.

"I am optimistic about the company's development and believe that the company's stock price will break through to higher levels in the future."

Lin Baicheng smiled and declined. If he really wanted to reduce his holdings, he would have started reducing his holdings and cashing out as early as a month ago. Why would he wait until now?

Of course, Lin Baicheng cannot always hold so many shares of Galaxy Games. It just so happens that Wall Street institutions want to go short and suppress the company's stock price. He can wait for the stock price to be suppressed to a certain price and then transfer part of the shares from his left hand to his right hand. Transfer to overseas offshore companies or funds to reduce the number of apparent shareholdings.

Although such a reversal will cost an extra fee and profit income tax, the most important thing is safety. You don't have to worry about others knowing if you secretly reduce your holdings next time.

Also, if the market value of a company is very high, and Lin Baicheng holds a large number of shares, then he has huge wealth on the surface. As a Chinese, he is easily targeted in the United States, and one bad move will affect the business, so it is better to take it easy. OK.

"Mr. Allen, if you change your mind at any time, you can come to us at any time."

After hearing what Lin Baicheng said, it was hard for Sean Dana and Derren Lawrence to persuade them.

"good!"

Lin Baicheng smiled and nodded in agreement.

The three of them chatted for a while, and then Sean Dana and Derren Lawrence said goodbye and left with their harvest.

Although he knew that Goldman Sachs, Citigroup and other institutions would short-sell Galaxy Gaming Company at some point in the future, Lin Baicheng was not prepared to let Golden Fleece Company participate. Doing so was clearly seeking death.

The chairman of both Galaxy Games and Golden Fleece is Lin Baicheng. Once the outside world learns that Golden Fleece is shorting Galaxy Games, Lin Baicheng will definitely be investigated by the SEC, and the investigation will be accurate.

However, Lin Baicheng would not miss this kind of good thing that could obviously make money. He had already thought about letting people in Xiangjiang handle this matter, making a fortune through offshore companies and drinking a sip of soup.

That's right, just taking a sip of soup, Lin Baicheng was not prepared to become the main force in short selling.

After Sean Dana and Derren Lawrence left, there were no more visitors in the afternoon, and Lin Baicheng stayed at the Golden Fleece Company to work.

The next morning.

Lin Baicheng is still here at Golden Fleece Company, but the main purpose of coming here today is to listen to the reports from the company president and managers.

Golden Fleece Company is engaged in investment, so several investment managers have high status in the company, and none of them is inferior to the personnel manager and financial manager.

Regarding the investment in Golden Fleece Company, Lin Baicheng only formulated the general direction and left the specific operations to the investment managers.

For example, after the international gold price peaked, Lin Baicheng was not optimistic about the gold price. He told several investment managers that the gold price would fluctuate and decline in the next few years. Therefore, several investment managers would not be able to be long in the gold price for a long time and would at most choose an opportunity to rebound.

For example, Lin Baicheng said that he is optimistic about the economic development of the United States in the next few years and the U.S. stock market, so he should use more funds to buy stocks, but the investment manager can decide on his own what stocks to buy.

Lin Baicheng will name some companies he is optimistic about, such as Coca-Cola, Wal-Mart, General Electric, etc., and let the investment managers conduct their own research. They can decide for themselves whether to buy the stocks or not.

However, although investment managers can decide on their own what stocks to buy and what to invest in, the funds they operate are fixed. At the end of the year, if their investment suffers a loss or the investment profit is the lowest, then the company's The ranking will definitely be the lowest.

What's more important is that if it stays like this for one year or two years, Lin Baicheng can't always give the other party a chance and will either resign or find someone to replace him.

What investment managers look at is performance. If the performance is good, you can say anything. If the performance is not good, then it will be useless no matter how nice you say it.

Lin Baicheng can't do everything, he has limited energy, and if he does everything, how can he train talents? How can a company develop without outstanding talents?

"Manager Kelly is doing a great job, keep it up."

After listening to the performance report, Lin Baicheng praised Vivien Kelly in public. So far, among several investment managers, the fund she is responsible for has the best performance.

Apart from praising Vivien Kelly, Lin Baicheng did not criticize anyone. Even if the one with the worst performance has only made less than 5% profit so far, he did not say anything.

It's not that Lin Baicheng is indifferent to performance, but it's only half a year of this year. It's entirely possible that the other party will break out in the second half of the year, with huge growth in performance, so there is no need to criticize now.

Even if you want to criticize, you should wait until the year-end performance summary to criticize those with poor performance.

"Thank you, Chairman!"

Vivien Kelly was smiling and happy. It is not easy for a woman to serve as a senior executive on Wall Street. Performance is her best guarantee.

"You are also in charge of the fund. You are doing well so far. I hope you can take care of both sides and come up with a rate of return that satisfies both me and the investors at the end of the year."

Lin Baicheng reminded Vivien Kelly not to worry about the beginning and the end. Although he did well in the first half of the year, don't have problems in the second half of the year.

"Don't worry, I will do both."

Vivien Kelly immediately responded that she had fought hard to establish the fund and she was not willing to give up.

Lin Baicheng won't say any more, just give Vivien Kelly a reminder before she makes a mistake.

On this day, Lin Baicheng stayed at the Golden Fleece Company, handling official business here.