Chapter 195 [Striding forward] (8000 word chapters!)(1/3)
On Friday, Lin Zuhui came to Cathay City early and summoned Liang Zhenxun, who is also a director of Cathay Pacific, and executive director and general manager Lu Donglai.
Lin Zuhui was sitting in his office, writing some data on paper with a pen.
After a long time, he made up his mind and said: "We need to hand over 300 million to the Fu family at the beginning of December, which means there is still 150 million in cash (loan 450 million) temporarily left on the account. So, you go and use this funds to buy 12
For the monthly index futures contract, there is no problem if it is below 2,300 points.”
Liang Zhenxun and Lu Donglai have long been accustomed to Lin Zuhui's method of using his financial skills to bring profits to the company, and they are no longer as formidable as they were at the beginning.
Lu Donglai pondered for a while and said: "Even after the December futures contract is settled, it is expected that it will not arrive until early January, and our third balance payment also needs to be paid in full in early January, which may not be in time. However,
Our loan this time is 450 million. Even if 150 million is misappropriated, it is equivalent to a balance of 500 million remaining; Cathay City must have all the funds from the Hongji Building and securities sales in December, so that it can be stable!"
The implication is that the schedule is so tight, what if something unexpected happens!
As the director of the entire New Era Real Estate Department, Liang Zhenxun has a thorough understanding of the finances of the entire consortium.
Therefore, he said with a smile: "It doesn't matter. New Era Real Estate and Chinese Real Estate have cash reserves. They can be seconded for turnover when the time comes. There will definitely be no problem!"
As the boss's core confidant, he probably knows the boss's forecast for the Hang Seng Index at the end of the year, which is estimated to be 2,500 points. As a result, it is very profitable to trade the December futures contract now.
At this time, the futures contract trading in Xiangjiang was active, with a daily trading volume of 12,000 contracts, and the margin alone required about 270 million. The market was large and could not be absorbed.
The Hang Seng Index fell sharply this week, from a high of 2330 points to today's 2180 points, a full 150-point drop. Because of this, Lin Zuhui planned to buy the bottom again.
In fact, Liang Zhenxun was also a little nervous at this time:
The average buying point of the December index futures contract held by New Era is 2280 points (100 million margin);
The average buying point of the December futures contract purchased by Cathay Pacific is 2230 points (70 million margin);
Both investments have currently incurred losses!
The December index futures contract purchased by Chinese Real Estate was purchased early, and the buying point was only a little less than 2,000 points. The current profit is still good (150 million margin).
However, Liang Zhenxun is still worried that the Hang Seng Index will continue to fall. After all, he is not a magic fortune teller, and it is normal to have such worries.
However, Lin Zuhui has become a myth in everyone's mind. The company's influence is huge, and this kind of investment does not need to be discussed with others; no one dares to question the chairman, whether it is the board of directors or the shareholders' meeting.
"Don't worry! New Era Real Estate is a consortium and has sufficient ability to withstand risks. Moreover, if Cathay City does not make more money elsewhere, it will not be able to develop at all. The annual interest alone is enough for us to drink a pot."
Lu Donglai nodded and said, "Okay, I understand!"
This time the snake swallowed the whale, but it still brought serious consequences to Cathay City. As the market plummeted this week, Cathay City's market value also evaporated by 20%, leaving less than 450 million.
If the previous press conference had not been held in time, I am afraid it would have plummeted to less than 400 million!
.......
Time flies and it’s December in a blink of an eye.
In the past 20 days, Lin Zuhui has lived a very fulfilling life. It is not the woman who makes him fulfilled, but the down-to-earth working method of "strengthening the foundation and cultivating the talents" that makes him fulfilled.
Because several companies in the New Era Real Estate Department had to stop their development due to financial constraints, this gave Lin Zuhui time to properly handle the basic affairs of these companies.
Development properties, rental properties, investment properties, securities, futures contracts, every investment is imprinted in Lin Zuhui's mind.
When he was reorganizing the company's internal affairs, the Hang Seng Index also experienced roller coaster changes. First, it maintained between 2,200 and 2,300 points in the middle two weeks of November, and then rose sharply in the last week of November, with the Hang Seng Index breaking through 2,400 points in one fell swoop.
This finally made Lin Zuhui feel relieved!
He estimated that on the settlement day of the December futures contract, 2,500 points would be impossible to reach.
He and his company invested a large amount of December index futures contracts, naturally hoping to successfully close their positions at a profit.
After all, many of his plans require this money!
A single move can affect the whole body. If he cannot make a substantial profit, many of his plans will not be implemented.
Monday, morning.
Lin Zuhui convened a meeting with senior executives in the conference room of New Era Real Estate.
"Manager Li, how is the market situation of industrial plants?"
Lin Zuhui named Li Rongsheng, who is responsible for rent collection/investment properties of New Era Real Estate. He is a newly promoted senior executive. However, since New Era Real Estate acquired Chinese Properties, it has slowly begun to focus on land reserves, and the rental properties have been significantly reduced; therefore,
, Li Rongsheng does not concurrently serve as a director of the company.
Li Rongsheng naturally answered the boss's question easily, and immediately said: "In Hung Hom District, the selling price per square foot in Kowloon Bay is about 550 yuan, in Tsuen Wan and Kwai Chung, the selling price per square foot is around 450 yuan, and in Shatin it is around 400 yuan; we
The average growth rate of the industrial plants in hand is 55%, with a market value of 550 million yuan! It is expected to start selling now, with a net profit of 190 million yuan and a return of 260 million yuan!"
"Then start selling, but don't make too much noise!"
"Okay, I'll pay attention! Industrial plants on the market are very scarce now, and coupled with the high prices, many people are willing to invest. I believe we can sell them out soon."
Lin Zuhui nodded. The hotter the market, the more people take orders. The investment theory of most people is - buy up and not buy down. Because in their view, a drop may be a panic. How long and how deep will it fall? Their instinct
They feel panic. Instead, they buy when the price rises. As long as they buy, they will make a profit quickly.
Industrial factories can still make 20% profit at most, so Lin Zuhui naturally doesn't like it.
Moreover, the return and principal of this investment have already been budgeted for new investments.
Next, Lin Zuhui said to Liang Zhenxun: "What is the total market value of our blue chip investment?"
I started buying the blue-chip stocks of New Era Real Estate in June, when the Hang Seng Index was only about 1,750 points, with a principal of 100 million and five times leverage.
Today, the Hang Seng Index has increased by nearly 40%, and the blue chip stocks selected by Lin Zuhui are all star stocks among blue chip stocks, and their performance has always been very good.
Liang Zhenxun also picked it up immediately. After all, the boss likes well-prepared subordinates and attaches great importance to the efficiency of meetings;
Therefore, many senior executives must learn to guess what the boss will ask in the meeting that day, and they must be fully prepared.
"As of last Friday, the market value of our blue chip investment was 750 million. If we start cashing out now, according to the current stock market situation, we should be able to make a profit of 230 million (after commissions and taxes are deducted) and withdraw 330 million!"
"Sell it! The Hang Seng Index should remain above 2,400 points in December, and even 2,500 points is possible! But we have a use for this fund, and we have to cash it out no matter what!"
Currently, the total market value of the Hong Kong stock market has exceeded 400 billion, which is very gratifying!
Hong Kong has a total population of only 5.5 million, which is equivalent to an average of 80,000 saved in the stock market per capita. This shows how exaggerated the financial environment in Hong Kong is!
As far as Lin Zuhui knows, before the August 7th stock market crash, the market capitalization of the Hong Kong stock market was conservatively above 650 billion; while the GDP of Hong Kong was only 300 billion, with an average per capita of HK$54,000.
However, Xiangjiang's geographical location is great, and it is a model of free economy. It receives up to 10 million tourists every year, and it is also uniquely endowed with trade and finance.
Why are office buildings in Central so expensive?
It is because many foreign-funded institutions and companies have settled in Xiangjiang and plan to use Xiangjiang as a springboard to share the big cake of the mainland.
The meeting continues.
Lin Zuhui said: "I plan to have New Era Real Estate raise funds for a rights issue, with 1 rights issue for every 10 shares, and obtain a cash flow of more than 400 million. Director Liang, you will be the person in charge of this action, and it must be completed next week."
The Hong Kong government has recently discussed the introduction of new rights issue fundraising regulations, which means that each issuance of new shares cannot exceed 10%.
If Chinese Real Estate wants to raise funds through a rights issue, it must complete the rights issue before the regulations are promulgated; of course, such new regulations generally have an effective date, so it should be in time.
Liang Zhenxun nodded. He had already cooperated closely with his boss, and every time the rights issue was completed on time, he even took the lead in raising funds through rights issues for several of his subsidiaries.
Lin Zuhui is responsible for finding the right time to ensure that each rights issue fund-raising is at the hottest time in the market, so that the rights issue fund-raising can be completed smoothly.
After all, once the market slumps, no investors will be willing to raise funds through rights issues.
"Yes, boss! According to the current market conditions, our rights issue will go smoothly."
Lin Zuhui laughed and joked: "I am personally in a miserable situation. I am afraid I will have to borrow money to raise funds through this rights issue!"
A kind of senior management laughed in agreement. They were all old employees of Lin Zuhui, and they would not believe that Lin Zuhui was really poor. You know, since New Era Real Estate can make profits in foreign exchange, futures contracts, and blue chip stocks
It’s not cheap, doesn’t the boss know how to invest a little bit in it?
Besides, New Era Real Estate has issued rights issues many times. The boss has issued rights issues every time and has not transferred it to investors.
Seeing that everyone didn't believe it, Lin Zuhui had to say: "I really need to mortgage some stock rights issues. My investment is all in the December futures contract!"
Liang Zhenxun said: "The boss can also make money back. The futures contract has performed very well in the past six months!"
Lin Zuhui said with a smile: "That's true! I just feel that I finally made some money, and I have to raise funds through rights issues and pay off debts. I am really reluctant to let it go. However, New Era Real Estate has grown up now, and I am also very happy!"
Even as a child, along the way, Lin Zuhui has been using his own personal funds to support New Era Real Estate, which is why New Era has a market value of 4.6 billion today.
In the past, New Era only had a quarter of the market value of New World and Henderson (when the market value of New Era was 2 billion). Now it is one-third of the market value of New World and Henderson. It can be said to be developing rapidly.
According to this situation, there is no problem that the market capitalization of Henderson and New World is one-half of the 87 stock market crash. As for Sun Hung Kai and Cheung Kong, it is between one-half and one-third.
At the end of the meeting, Lin Zuhui emphasized: "As usual, Director Liang will announce the company's investment profits and increase the stock price this week! Let me know the news about our company's non-recurring profits of 600 million this year. If you don't believe it,
Times Real Estate’s price rise will be less than 5 billion next week.”
New Era Real Estate's non-recurring profits in the early stage were already 200 million, and now industrial plants and blue-chip stocks have each made more than 200 million, a total of more than 600 million in non-recurring profits.
New Era Real Estate also invested in 4,400 futures contracts, with an average purchase price of 2,280 points. It is expected to make a profit of 48 million by the end of December.
In addition to the profit of nearly 400 million from real estate development/rent collection this year, New Era Real Estate's financial report next year will blind the eyes of those who invest, and it will become one of the five most profitable real estate developers in Hong Kong.
Outperforming Hang Lung Properties, and maybe even similar to New World!
"Okay, I will definitely let this news out."
.......
The next day.
To be continued...