OBS Chapter 351 Fundraising and Rights Issue Plan
Chapter 351 Fundraising and Rights Issue Plan
The assistant excitedly ran over to tell Jiang Tiansheng, "Mr. Jiang, the stock price of Cheung Kong Holdings has skyrocketed."
"Our stock holdings have made a lot of money, which will greatly alleviate our financial pressure."
"Contact Sun Hung Kai Securities immediately and have all the shares of Henderson Land Development Company held by Paramount Company sold," Jiang Tiansheng said to his assistant.
"Mr. Jiang, are you sure you want to sell everything? That's a huge amount of assets," Xiao Li asked, somewhat surprised.
“Yes, sell everything. Recovering funds is the most important thing right now. Do as I say,” Jiang Tiansheng said.
Soon, the stock sale was completed, and 1077.8 million yuan was successfully recovered.
"Transfer this money to the Paramount Company's account; it will be very useful later," Jiang Tiansheng instructed.
After dealing with the stock sale, Jiang Tiansheng called Bai Jinyan to his office.
“Jinyan, we need to clear the Paramount Company’s stock account to zero. What do you think about the arrangements?” Jiang Tiansheng asked.
Bai Jinyan thought for a moment and said, "President Jiang, clearing the account is fine, but I think it's okay if Paramount Company holds shares in Cheung Kong Holdings and New World Development."
The stock price is still rising; should we consider holding onto it?
Jiang Tiansheng nodded, "You make a good point. Let's keep the shares of these two companies for now."
Furthermore, I intend for you to take over the stock and securities business of Zhao'an Real Estate Company. Are you confident you can handle it well?
"Don't worry, Mr. Jiang, I will do my best," Bai Jinyan replied quickly.
Having resolved the stock account issue, Jiang Tiansheng immediately went to Huoduoli Company to discuss the plan to acquire Zhao'an Real Estate Company with Liang Botao.
"Mr. Liang, I've come here today to discuss the acquisition of Zhao'an Real Estate Company with you."
I plan to acquire Zhao'an Real Estate from Paramount for 2000 million yuan.
"At the same time, do you think it's feasible to transfer the 1000 million yuan pledged loan from HSBC to Hehong Real Estate Company?" Jiang Tiansheng asked bluntly.
Liang Botao frowned and thought for a while, "President Jiang, the plan itself is feasible."
However, I have something to tell you. I'm about to leave Wardley Company and join Citibank International Financial Advisory Limited, a company established by Citibank.
manage."
Jiang Tiansheng was taken aback, then said, "I see. Then I'll hand over the acquisition of Zhao'an Real Estate to your new company."
I've always trusted your abilities and believe you'll do a great job at the new company.
"Thank you for your trust, General Manager Jiang. I will certainly live up to your expectations," Liang Botao said gratefully.
A few days later, Jiang Tiansheng, representing Paramount Company, signed the acquisition contract for the Sheung Wan Wah Wai Building with Wah Kwong Real Estate Company…
"As stipulated in the contract, we will first pay a down payment of 820 million yuan," Jiang Tiansheng said, signing his name on the contract.
After this expenditure, Paramount's cash balance dropped to 700 million yuan, while its liabilities exceeded 1.1 million yuan.
But Jiang Tiansheng remained calm; the key was the subsequent operations.
"Immediately publicize the news of Paramount's acquisition of Huahui Building and Shifeng Building through the media, and at the same time announce the company's asset situation," Jiang Tiansheng said to the employee in charge of publicity.
Following media reports, news of Paramount quickly spread, and its stock price rose accordingly, successfully pushing it to 3.5 yuan, with a market value exceeding 3 million yuan.
At Tak Ho Properties, Chiang Tin-sing and Lam Lok-kei were discussing the revenue from the warehouse-style car park in Sham Shui Po.
"Lin Luoqi ultimately made a profit of more than HK$220 million from this Sham Shui Po warehouse-style parking project."
According to the agreement, Dehe Land could receive more than 80 yuan.
"The company currently has over 300 million yuan in cash and assets worth approximately 1800 million yuan," Jiang Tiansheng said.
Lin Luoqi exclaimed in amazement, "President Jiang, your management of Paramount is amazing! You've increased the company's market value in such a short time."
Jiang Tiansheng smiled and said, "These are just some experiences I learned from Chen Songqing."
By the way, how's the situation with Jide Real Estate Company?
Lin Luoqi replied, "Kidade Properties has successfully acquired Kidade Building in Sheung Wan, and now they plan to acquire Kidade Building in Central through a rights issue."
After hearing this, Jiang Tiansheng shook his head. "It's not suitable to issue shares right now. There will be a more suitable time later."
We will remain on hold and closely monitor market developments.
Lin Luoqi nodded, indicating that he understood.
On the other side, Lin Luoxun and Lin Luoshi sat in the office, their faces gloomy.
"Lin Luoshi, look how ruthless Jiang Tiansheng's move is. In the Kunbao Building acquisition case, he quickly reached an agreement with Huaguang Real Estate Company."
"They've tricked us again, putting us on the defensive," Lin Luoxun said angrily.
Lin Luoshi responded, "Brother, Jiang Tiansheng was indeed too cunning this time. But luck also played a big part in his success."
Lin Luoxun slammed his hand on the table. "Whether it was luck or scheming, we can't just let it go like this."
I plan to bribe a few media outlets to publish negative articles, driving down the Paramount Company's stock price and sabotaging its rights issue plan.
Lin Luoshi hesitated for a moment, "Big brother, will this method be effective?"
"Whether it works or not, let's create some trouble for him first."
"Jiang Tiansheng is currently riding high. If we don't suppress him, he'll be even more difficult to deal with in the future," Lin Luoxun said firmly.
The following day, several newspapers indeed published articles questioning the financial situation of the Paramount Company.
On the third day, the article implied that the source of funds for Paramount's acquisition of the Huawei Building and the Shifeng Building was questionable, and also demanded that Paramount disclose its financial information.
On the fourth day, the news affected Paramount's stock price, which remained at 3.7 yuan per share.
Upon seeing the report, Jiang Tiansheng immediately realized the seriousness of the situation. "It's obvious that someone is sabotaging us behind the scenes, trying to affect our fundraising and rights issue plan," he told his assistant.
"Mr. Jiang, what should we do?" the assistant asked anxiously.
"We need to find a way to divert public attention. Contact Liang Botao immediately."
"Let him announce that Hehong Real Estate Company has acquired 49.4% of the shares of Zhao'an Real Estate Company held by Bailumen Company for 7000 million yuan." Jiang Tiansheng calmly made the arrangements.
“But Mr. Jiang, you only need to pay 3500 million yuan,” the assistant reminded him.
"I know, but I'll release this news first to ease the pressure from public opinion."
"As for the remaining funds, we'll talk about that later. What's our debt situation right now?" Jiang Tiansheng asked.
"Including bank loans, the debt is close to 2700 million yuan, and there is still a balance of 1500 million yuan owed to Paramount Company," the assistant reported.
Despite facing a funding gap, Jiang Tiansheng decided to address the public opinion crisis first.
Soon, following Jiang Tiansheng's instructions, Liang Botao announced the acquisition of the shares.
But that wasn't enough. Jiang Tiansheng then had Paramount Company announce the sale of shares in Cheung Kong Holdings and New World Development Company worth 2200 million yuan.
"Mr. Jiang, why are you selling these shares?" the finance staff asked, puzzled.
"Recovering funds and easing public pressure can also bring the company a good return on investment," Jiang Tiansheng explained.
After the stock was sold, 2169.23 million yuan was recovered, with a return rate as high as 30%.
This positive news successfully pushed Paramount's stock price to 4 yuan per share, bringing its market value to nearly 3.5 million yuan.
Jiang Tiansheng breathed a sigh of relief and then used the funds to pay the HK$2560 million owed for the acquisition of the Deer Island Building in Wanchai, plus interest, leaving him with approximately HK$3100 million in the account.
At Vanke International Finance Company, Jiang Tiansheng and Liang Botao were discussing the fundraising and rights issue plan for Paramount Company.
"Mr. Jiang, are you really planning to raise 7000 million yuan through a rights issue?"
"According to the plan, you need to pay around 3400 million yuan. Your current financial situation isn't very optimistic," Liang Botao said worriedly.
Jiang Tiansheng nodded, "I know, but there's no better way right now."
I will raise funds as soon as possible, and have secured a four-month grace period.
The proposed rights issue is for every 5 existing shares held, at a price of 4 yuan per share.
"Alright, Mr. Jiang, I hope you can get through this difficult time smoothly."
"But your debt has increased again, now it's close to 6100 million yuan," Liang Botao reminded him.
"I know that I plan to use the remaining 200 million yuan to try to earn back half of the debt."
"It's very difficult, but I have to give it a try," Jiang Tiansheng said.
That evening, Jiang Tiansheng returned home. Luo Qixing came over and said, "Mr. Jiang, Yulang International is still insisting on 136 million yuan in compensation and won't budge an inch."
Jiang Tiansheng leaned back in his chair, pondered for a moment, and then said, "Qi Xing, you should communicate with them again."
They offered to buy back the problematic comics at double the price, but we absolutely cannot agree to any other unreasonable demands.
"What if they still disagree?" Luo Qixing asked.
“Then let’s be tough. If it comes to it, we’ll go to court. We have a case and we’re not afraid of them,” Jiang Tiansheng said.
At this moment, Lin Ya overheard their conversation and said worriedly, "Jiang Tiansheng, won't going to court affect the company's business? If word gets out, other clients might have concerns."
Jiang Tiansheng shook his head. "Think about it. If we back down easily this time, what if other clients see this and make unreasonable demands? That would be even more detrimental to the company's long-term development."
Luo Zegui also came in. After listening to Jiang Tiansheng's words, he thought for a moment and said, "Tiansheng, you make a good point. Let's try to negotiate first. If that doesn't work, then we'll go to court."
Jiang Tiansheng nodded in agreement, then said to Luo Qixing, "Qixing, when you go to negotiate with Yulang International, reveal some background information about Paramount Company and see how they react."
I suspect that Wong Yuk-long, the owner of Yuk-long International, may have ambitions to enter the printing industry. His targeting of our company might be an attempt to expand his industrial chain.
After agreeing, Luo Qixing went to prepare for the negotiations with Yulang International.
Jiang Tiansheng then turned his attention to the old-style shopping mall at Lishi Building, No. 8, Grandview Road, Tsim Sha Tsui.
The next day, at the Lishi Building, Jiang Tiansheng met with the owner, Huo Dazhen. "Mr. Huo, the situation of your shopping mall isn't very optimistic. The facilities are outdated, the layout is poor, and there are many competitors around. It won't be easy to get a good price," Jiang Tiansheng said bluntly.
Huo Dazhen: "Mr. Jiang, you can't say that. This location is worth a good price."
Jiang Tiansheng smiled and said, "Mr. Huo, location is important, but we also have to consider the actual situation."
Renovating this mall would cost a lot of money, and there's no guarantee of good returns. I think the prices need to be lowered further.
The two went back and forth, engaging in heated bargaining. "Mr. Huo, I can only offer a maximum of 300 million yuan; that's the limit I can accept."