diymy Chapter 77 Three Dogs Join Forces to Go Public
Chapter 77 Three Dogs Join Forces to Go Public
Monday, August 1973, 1.
The Kowloon News Agency is listed on the Far East Club and the Kowloon Club!
Compared to when Cheung Kong Holdings went public, its authorized share capital was HK$8400 million, and its paid-in capital was HK$4200 million, divided into 2 million shares with a par value of HK$2 per share.
With a registered capital of HK$1 million and a paid-in capital of HK$5000 million, the newspaper is divided into 2500 million shares with a par value of HK$2 per share, practically blatantly displaying the word "robbery" on its face.
After all, when Cheung Kong Holdings went public, although the company owned mostly industrial buildings, it still had 350 million square feet available for rent, generating an actual annual rental income of over HK$390 million.
Despite having only HK$300 million in actual assets, the newspaper was able to inflate a financial bubble more than ten times its own size.
In reality, while acquiring photos at high prices, the news agency was also spending a lot of money to maintain and expand its "gossip department," resulting in an astonishingly high turnover but pitifully low profits.
Cheung Kong Holdings issued 1050 million new shares at HK$3 per share, raising HK$3150 million.
The newspaper, Ong News, offered 1500 million new shares to the public at HK$4.5 per share, raising HK$6750 million.
Even more remarkably, the shares were sold out immediately upon issuance.
The share price of the Kenneth Flint newspaper rose to HK$4.9 per share in just one morning, which is quite remarkable. It's amazing that even a dog could be listed on the stock market and people would speculate on it.
Of course, the timing of Cheung Kong Holdings' listing on November 1st was also unfavorable, as Hongkong Land Group announced its full-page acquisition of Dairy Farm the day before, causing all the hot money in the market to be siphoned off.
In contrast, Hopewell Holdings and Sun Hung Kai Properties, which went public in August, both had a par value of HK$2 per share but were oversubscribed more than 10 times when offered at HK$5 per share.
Hang Lung Group, which went public later, offered shares at a high price of HK$8.5 per share on October 21, with a par value of HK$2 per share.
Even Dah Chong Hong Properties, which listed on December 11, was able to issue shares with a par value of HK$2 each at HK$4 each.
All I can say is that timing is crucial; it's all about timing and fate.
"Mr. Chen, congratulations on your fortune!"
"May your listing be auspicious, and your profits overflowing!"
May your business thrive and prosper!
“…………”
At the Kowloon Club, agents surrounded Chan Kwun-kong, showering him with congratulatory messages that were never repeated.
Chen Guanjiang smiled broadly and said, "It's just a small token, everyone can bring it as a good omen..."
After handing out red envelopes, the crowd quickly dispersed. Three companies went public today, and they were busy using their lunch break to visit the other two companies for good luck.
As for what's inside the red envelopes, everyone knows perfectly well. Each broker receives 100 new shares, and no one dares to break the rules.
Based on the closing price in the morning, each broker would receive HK$490, and whether or not to sell would be up to them.
Chen Guanjiang personally sealed 800 red envelopes containing the new shares, knocked on the door of the chairman's office, and thanked Chen Pufen, saying, "Thank you for your support, Uncle Fen. The issuance of the Yin Xun newspaper has been a success."
"It's Ajiang!"
Chen Pufen, busy approving documents, looked up with a forced smile and said, "What brings you to the Kowloon Society? Chairman Li didn't endorse you, is the sales not going well?"
"Thank goodness, thank goodness..."
Chen Guanjiang knew this guy was being sarcastic, so he awkwardly put the red envelope on the table with a forced smile.
When a company goes public, the chairman of the exchange naturally has to support the companies that choose to list on his exchange.
However, despite being listed on both the Far East Club and Kowloon Club stock exchanges, the newspaper was not endorsed by any of its chairmen, which inevitably led to it being looked down upon.
The successful IPO was not only due to the joint statement from the three newspapers under the Koo News Agency, but more importantly, it relied on the current frenzy of stock market investors snapping up new shares.
Logically speaking, even if the marriage alliance fails and resentment arises, the two sides still cooperate quite closely, so Li Fuzhao should at least step forward to help and support them.
But... Li Fuzhao is just too awesome right now.
The trading volume surged to HK$800 million per day, with nearly half of it completed at the Far East Exchange, earning over HK$8 million in exchange settlement fees daily.
What the hell does that even mean?
Far East Bank was already comparable in size to East Asia Bank, and its profits were more than a hundred times greater, so it was no wonder that it didn't take Chen Guanjiang seriously.
Let alone Chen Guanjiang, even clan chief Li Fushu and Hong Kong Governor Murray MacLehose would dare to speak out against him.
The Securities Advisory Committee, established on January 6, was completely unable to suppress the Hang Seng Index's unstoppable upward momentum.
On January 12, Hong Kong Governor Murray MacLehose publicly stated that the Hong Kong stock market had entered an irrational state and advised citizens to exercise caution when investing in stocks.
Li Fuzhao, who earns HK$800 million in settlement fees a day, couldn't stand this. He immediately retorted in the newspaper: "Mr. MacLehose knows so much about stocks, why not let him run the Far East Club?"
Nowadays, Li Fuzhao is the God of Wealth in Hong Kong. You have to make an appointment a week in advance to meet him. Where would he find the time to endorse a small company that has just gone public?
Even though this company has a market value of HK$1.25 million, it is still a small company compared to Sing Tao Daily, which has a market value of HK$3.2 million, despite its current phenomenal growth.
The daily sales of "Wang Gou Daily" are 3.3 copies.
Hyena Weekly Report averages 8.6 copies sold per week;
"Caigou Express" has an average daily sales volume of 7.5 copies;
Three newspapers, with an average daily sales volume of 12 copies!
In comparison, the daily sales of Sing Tao Daily, a subsidiary of Sing Tao Press Group, are 12 copies, Sing Tao Evening Post is 8 copies, and The Standard and many other newspapers in Southeast Asia are 11 copies.
Sing Tao Newspapers' "Galaxy Newspapers" have a combined daily circulation of 31 copies, while the market value of The Newspapers is less than half of that, leaving room for its stock price to rise.
Therefore, it would be fine for legal counsel Li Guoneng to preside over the Far East Club; Chen Guanjiang was too lazy to go and make a fool of himself.
however!
Even though Chan Kwun-kong personally appeared at the Kowloon Club, he couldn't get Chan Po-fan to personally endorse him. The chairman's representative in the morning was Hong Kong Properties, a real estate company with close ties to the Chan family.
Unexpectedly, not only did he not show up to support the event, but he was also ridiculed for offering "pancakes". It seems that Chen Pu-fen is still unhappy about being rejected when he took the initiative to ask for them last time.
Currently, international speculative capital is pouring in, driving up the stock market while simultaneously lending money to shareholders through British banks.
With daily trading volume exceeding HK$5000 million, stock liquidity and the number of listed companies have multiplied, the supply and demand relationship has been reversed, so why would they give them a friendly welcome?
When invited to a thank-you dinner, Chen Guanjiang remained unperturbed, waiting to see him make a fool of himself.
Similar to the listed authorized share capital of the Hong Kong News Agency, Xiangjiang Antenna's authorized share capital is also HK$1 million, with a paid-in capital of HK$5000 million, issued in 5000 million shares.
but!
Just as Chen Pufen was racking his brains to suppress the antenna stock price, Xiangjiang Antenna suddenly issued 20 million new shares on January 10, bringing its paid-in capital to HK$70 million.
However, the 2000 million new shares issued were offered to the public at HK$15 per share, and the whereabouts of the HK$3 million that was taken away are unknown.
Clearly, Chen Pufen's relative, Chen Dacai, chairman of Xiangjiang Antenna, seemed unwilling to take the blame for him and was subsequently purged and imprisoned.
issuing new shares and raising funds in the name of the chairman without Chen Pu's knowledge seems to be preparation for a final escape...