dkrc Chapter 40 From Foreign Dog to Drowning Dog
Chapter 40 From Foreign Dog to Drowning Dog
Monday, June 13th.
"FFFFF...K! FFFFF...K! You two despicable, shameless, and filthy sluts, I'll fuck you..."
Henry Keswick's cursing never stopped throughout the morning, accompanied by occasional sounds of smashing and looting, all because of two pieces of news that appeared almost simultaneously and in perfect unison.
The Hyena Daily published an article announcing, as promised, that it would lead the share swap, but before announcing the share swap, it first dumped its shares, selling off all 36.96 shares of Hongkong Land.
That mad dog wasn't just gnawing on bones; it was clearly after the meat, and eating the fattiest parts at that.
Henry Keswick had no time to deal with this mad dog; the precise strike from HSBC was the most lethal!
…………
Total amount of loans to Hong Kong in 1972:
HSBC's investment is HK$180-200 billion, representing 45-50% of the company.
Standard Chartered's investment is HK$30-40 billion, representing 7-10% of the company's shares.
Hang Seng's investment is HK$20-30 billion, representing 5-7% of the company's shares.
Based on the current share price, after deducting the principal of HK$2.7 million and the share conversion fee of HK$1014 million, there is still a floating profit of HK$1.5 million.
With such a large volume of shares, a sudden sell-off would inevitably cause the share price to fall rapidly. How could it be possible to sell them all at HK$232 and HK$105.5 per share?
Jardine Fleming's assessment is that a large-scale sell-off in the short term would drive Hongkong Land's share price down by 30%, with an average profit of around HK$11 per share, resulting in a profit of only HK$8900 million.
wrong!
The Jardine Matheson consortium didn't have HK$2.7 million in cash flow; that was a leveraged loan from Standard Chartered Bank at a three-month short-term preferential interest rate of 12%, which is HK$3240 million.
In other words, with the tacit approval from all parties involved, the profit was only HK$5660 million?
This doesn't even include Jardine Fleming's operating costs. Henry Keswick's blood ran cold, followed by extreme rage.
Hongkong Land Group, with a total share capital of 6000 million!
Two shares for one share – a merger…
A dairy company with a total share capital of 1000 million!
The cost would be a full 2000 million shares, diluting a third of the equity. Even if Hongkong Land's share price fell back to HK$30 per share, the profits would only be enough to acquire 188.6 million more shares.
Only 3.1% of the total share capital.
However, Jardine Matheson Group holds a 26.6% stake in Hongkong Land, but its equity was diluted by as much as 7.98%, resulting in a loss of 4.88% of its control and say.
Although Hongkong Land's total assets increased after acquiring Dairy Farm, the reduction in its controlling stake is still a reduction.
Henry Keswick was terrified that selling off a large number of shares would inevitably cause the stock price to plummet, thus provoking dissatisfaction among shareholders.
In particular, the shareholders acquired through the share swap were not aligned with Hongkong Land's shareholders to begin with; the share swap was purely driven by their greed for the huge profits that Hongkong Land's real estate development would bring.
However, the stock price plummeted.
Not only did it not bring any benefits, but it also caused huge losses. Henry Keswick seemed to already see the milk shareholders he had brought in throwing a tantrum at the board meeting.
If the planned increase in shareholding goes smoothly, Henry Keswick will certainly not care about the dissatisfaction of the new shareholders.
However, even after the shareholding increase is completed, the 26.6% equity stake will still decrease to 21.72%.
Their voices have been reduced from one-quarter to one-fifth, while the voices of the opponents have been reduced to one-third.
Newbikin, the patriarch of Hongkong Land, is not on good terms with the Keswick family, and it would be quite dangerous for Newbikin to take advantage of the situation to win over new shareholders and seize power.
Damn brat!
Damn Sanders!
Damn Newbikini!
We can't avoid selling, but selling also won't work.
It won't work no matter which way you look at it, it just won't work.
Henry Keswick felt like he was going crazy. His biggest fear was what would happen if his father found out and got angry? What if his uncle was disappointed in him?
Instead of worrying, let's pray that the booming stock market won't be extinguished by Sanders's cold water. As long as stock prices can recover, there's still hope.
For three consecutive days, they bought up all the bulletin boards and devoted all their efforts to reporting on how much development the Hongkong Land Group would achieve after the acquisition of Dairy Farm, and did everything they could to raise the share prices of both companies.
Fortunately, the retail investors really stepped up, raising the share price of Milk Company to HK$242 per share and the share price of Hongkong Land to HK$115 per share in just one week.
We're just waiting for the deadline to arrive so we can wipe out all the milk company shareholders, along with the investors who tried to leech off our profits. The only downside is that this mad dog got away; it's truly unsatisfying!