1RomanceEB Chapter 24 Once the rabbit is dead, the dog is not cooked.
Chapter 24 Once the rabbit is dead, the dog is not cooked.
October 31st, Halloween Eve!
Hongkong Land published a full-page article titled "GG":
Announcement of the acquisition plan:
The proposed acquisition plan, which involves exchanging two HK$5 Hongkong Land shares for one HK$7.5 Dairy Farm shares, will be sent to Dairy Farm shareholders on November 7.
One stone stirs up a thousand ripples!
Currently, Milk Company's shares are priced at HK$135 per share, while Hongkong Land's shares are priced at HK$94 per share, totaling HK$188 per share. A share swap would yield a difference of HK$53.
Anyone can figure out this price difference. As long as Hongkong Land's share price is not lower than HK$94 and Dairy Farm's share price is lower than HK$188, you can make money even if you buy blindly.
then!!
Milk Company's stock price has been soaring, quickly breaking through HK$188 per share and showing no signs of stopping; Hongkong Land's stock price has also slowly broken through the HK$100 mark, further fueling the already heated stock market.
The Hang Seng Index surged 43.67 points to 623.67, breaking the trading record, with a daily turnover of HK$4.43 million.
Different people see things from different perspectives!
Unlike individual investors who went into a frenzy upon seeing the price difference, financial and securities firms or practitioners saw two company names: HOTOLI and Jardine Fleming Bank.
Jardine Fleming Bank was a joint venture with Robert F. Fleming, a British merchant bank, and belongs to the Jardine Matheson Group, the parent company of Hongkong Land.
Brothers fight tigers together, fathers and sons go to war together.
With Jardine Matheson's "left-wing" subsidiary, Hongkong Land Group, taking the lead, Jardine Fleming Bank, as a business-related entity, naturally couldn't remain uninvolved.
Wintek is a merchant bank under HSBC, and Wintek's fate represents the attitude of HSBC, the "supreme ruler of Hong Kong's economy".
Hong Kong's largest bank and largest trading company have joined forces to crack down on the Milk Company. How can Zhou Daheng possibly survive?
.........
However, legal and government professionals, as well as directors or general managers of listed companies, sensed a completely different atmosphere.
Hongkong Land Group, with a total share capital of 6500 million, exchanged two shares for one share of Dairy Farm International Holdings, which has a total share capital of 1000 million. It was able to acquire Dairy Farm International Holdings without spending a single Hong Kong dollar, simply by virtue of its own size.
This is absolutely outrageous!
A "mandatory offer" should be based on prior consultation with shareholders and directors, rather than simply issuing a "share-for-share" offer without prior discussion and a forced acquisition.
If we follow the same approach, wouldn't that mean that any company with a large total share capital and a large size can acquire a company with a small total share capital and a small size in this way?
When a large company acquires a smaller one, its already massive size becomes even larger, making it easier to acquire other companies in the future.
Moreover, the company can issue new shares, and can even increase its capital by issuing new shares when the total share capital reaches the upper limit.
Does this mean that large companies can continuously issue new shares to acquire other companies, while smaller companies are forced to issue an unlimited number of new shares to resist acquisitions?
This does not comply with the rules of the securities market. If other companies follow suit, smaller companies should simply be delisted. There should only be one company on the Hong Kong stock exchange.
Clearly, they are aware of this problem, and the Hong Kong government is also aware of the potential harm.
however!
Hongkong Land dares to do just that;
HSBC also echoed this sentiment;
The Hong Kong government, however, did not stop it.
The attitude conveyed was self-evident.
As for the judiciary and the legislature, Zhou Xinian is no longer a member of the Legislative Council. On the contrary, the Jardine Matheson Group has many seats in the Legislative Council.
Once everything settles down, the illegal activities of Jardine Matheson will be dealt with as a mere slap on the wrist.
This hostile takeover attempt is only aimed at Zhou Xinian, who is trying to seize control, and has nothing to do with other listed companies. There is absolutely no need to panic.
.........
Chen Guanjiang, however, saw from various signs that Zhou Xinian was being abandoned by everyone.
The root of the matter is naturally the incident six years ago, which put Zhou Xinian in a very awkward position; and then, after Zhou Junnian passed away last year, all the planning had already begun.
In March of this year, Henry Keswick, the patriarch of the Jardine Matheson Group, traveled to East Taipa Wharf.
In July of this year, Governor Murray MacLehose visited Eastern University to discuss cooperation on several matters.
after all!
Hong Kong is not as far out of reach as the British Isles, where one could swim right under one's nose. To touch a world-renowned "high-class Chinese" person, permission must be obtained.
Otherwise, Southeast University, which already coveted Hong Kong, would never have missed such a golden opportunity. England could tell the difference between a bottle of milk and the entire Pearl of the Orient.
Therefore, what appears to be a hostile takeover by Hongkong Land Group is actually the result of tacit approval from multiple parties.
Poor Zhou Xinian knew he had caused a huge disaster six years ago, and apart from two core rights he couldn't bear to let go of, he gave up all other titles and benefits.
Do you think you'll be safe just by staying home and milking cows all day? It's nothing more than burying your head in the sand, or deceiving yourself when you've run out of options.
A lesson from the past, a teacher of the future.
Merchants depend on power, and when that power collapses, they become easy prey. Zhou Xinian's tragedy was that he didn't even have the chance to change sides.
………………
At this moment, the newspaper office received two uninvited guests: a foreigner named Wal and a traitor named Song Qifeng.
Chen Guanjiang looked at the documents handed to him, blinked, and said, "I don't understand!"
This document, written entirely in English, is as long and tedious as his grandmother's foot binding cloth; who knows how many time bombs are buried inside.
"Handsome guy, you've struck gold!"
The traitor Song Qifeng explained, "Once you sign this share swap agreement, your 90,000-odd shares of Milk Industry will instantly become Double Land, with a price difference of HK$50 per share, earning you millions more!"
"Great! What about paper shares?" Chen Guanjiang asked with a smile.
Song Qifeng, the traitor, said somewhat awkwardly, "The stock... will take some time! But don't worry, once this agreement is signed, Jardine Land will not renege on its promise."
The rabbit isn't even dead yet, but they're already cooking the dog.
Hongkong Land closed at HK$104 per share today, but I don't have any shares and can't sell them. Once I actually get my hands on the Hongkong Land shares, will the share price still be the same?
What do we say when prices rise, and what do we say when prices fall?
It is equivalent to the current fixed price;
In exchange for a price that brings uncertainty about the future.
This is an obvious scam, completely lacking in sophistication and offering absolutely no emotional value. Even those selling health products to the elderly know to call them "godfather" and "godmother" first. Thumbs down!
Chen Guanjiang feigned delight and said, "Making a few million more! That's great! I'll go get it and exchange it for stocks tomorrow. You guys must save it for me."
A wicked smile flashed in Song Qifeng's eyes as he said, "No problem! You have to sign a share swap agreement first before the Hongkong Land shares can be left to you."
"No!"
Chen Guanjiang said reluctantly, "I bought the stocks using my parents' account. My signature is useless! My parents need to accompany me to HSBC tomorrow to withdraw the stocks before I can exchange them for shares..."
"I see!"
The traitor Song Qifeng translated the conversation between the two men verbatim to the foreigner Wal, who was standing nearby.
Seeing Chen Guanjiang's expectant look, Val nodded in agreement.
Disagreeing is not an option either; you can't force the other party to exchange shares with HSBC, can you? Who would have thought that this innocent teenager had a belly full of wicked intentions?