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Published at 25th of December 2023 05:12:36 AM


Chapter 468: 【Land Drink Milk Restaurant】

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Chapter 468【Landal Drink Milk Restaurant】

From November 16th to November 20th, during the five trading days, the stocks of Dairy Farm and Land Company rose sharply;

The small market has heated up the big market again, and other stocks have risen to a certain extent, and the Hang Seng Index is approaching 260 points;

On the first trading day of the week, the trading volume of the Hong Kong Island stock market reached a record high of 320 million Hong Kong dollars.

As for Dairy Farm and Land Co., Ltd., during these five trading days, they did not make any major moves, and they seemed to be accumulating power for the next battle;

Wu Guangyao every day, apart from listening to the staff sent to Bida Street to report on the situation, he works as usual without taking it seriously.

This kind of acquisition battle is generally divided into a warm-up period, a high court period, and finally a final decision;

Obviously, everyone is still warming up at this time!

November 21, Saturday.

On the day the Land Company sent the acquisition documents to Dairy Farm shareholders, Dairy Farm started to fight back;

Milk Company advertised in major newspapers, expressing its rejection of Land’s acquisition plan and calling on shareholders not to accept Land’s acquisition proposal.

Milk Company responded to two reasons for rejection at the same time:

"First, the Dairy Company is a large company with 2,000 workers. It has been pursuing continuous and stable development for a long time. The established companies on Hong Kong Island are unknown, but most of the established companies went bankrupt after failing to diversify. Shareholders have suffered heavy losses due to the blind expansion of the company's management. The dairy farms, ice factories, and milk factories operated by the dairy company have no challengers on Hong Kong Island and they are well managed, which can bring sustainable benefits to shareholders."

"Secondly, the purpose of the acquisition of Dairy Company by Land Company is self-evident; but everyone knows that Land Company is conservative in real estate management and has been caught up by latecomers. Therefore, Land Company may not be able to successfully develop Dairy Company’s business. Land, stockholders will lose their own interests at that time."

Deep Water Bay, golf course.

After reading the newspaper, Wu Guangyao couldn’t help cursing: “It’s more than stable and insufficient offensive. It’s a failure!”

At this moment, Wu Guangyao is in the dining room of the golf course with a group of staff and executives;

Everyone had a Cantonese breakfast, and everyone had to play a round of friendly golf matches later.

Shi Jun echoed: "Hong Kong Island real estate is hot. Now that the dairy company has not mentioned the development of surplus real estate, how many investors can buy it?"

Liu Yu also said: “According to our investigation, the idle land of Dairy Farm has been underutilized and only some land has been sold at a low price. Shareholders have already criticized this approach!”

It can be said that the milk company in the previous life did not lose injustice, and even lost very thoroughly, because the land company directly got 80% of the milk public shares.

Why did the previous Land Land use such a bold advantage to win?

Wu Guangyao also summed up and warned himself.

First of all, when the Land Company acquired Dairy Company (1972), real estate was booming, blue chip stocks were popular, and Land Company was the star stock among blue chip stocks; in contrast, the conservative dairy company naturally became a sharp contrast;

Secondly, Land Land belongs to the Jardine Group. At that time, Jardine was the largest company on Hong Kong Island, with a reputation like a legend. In Hong Kong, all food, clothing, housing and transportation are related to Jardine;

Finally, it is naturally related to Henry Keswick’s brilliant acquisition art. This stop in the previous life is known as a classic.

Wu Guangyao nodded and said: “Anyway, the acquisition of Dairy Farm by Land will not succeed right away, we still have to calm down. Let’s not hide it from everyone, after this war, I will launch the acquisition of Wharf to shock the British capital.”

Except for Liu Yu, everyone was shocked. After a long time, the boss didn’t enter the venue for a long time. The original purpose was the second!

In this way, it can be understood why the boss risked waiting for Land and Milk to enter the fierce battle before intervening;

Because the boss needs a name, and this name is the name of the land company that opened the Pandora's Box of the acquisition war.

Looking at everyone’s look, Wu Guangyao said with a smile: “No need to be nervous, what we lack is not strength, but a reputation! Although there will be resistance in the subsequent acquisition war, it will not change the overall situation!”

Everyone heard the words, think about it, the boss is about to jump out of Hong Kong Island, this battle is just a battle for Hong Kong Island.

Everyone has a good spirit during happy events. In the morning, everyone’s golf skills have been super-normal, but obviously, Wu Guangyao’s skills are “high”.

Milk resists, Land and Land storms.

Landland responded quickly, accepting and dismantling;

At 11 o'clock in the morning of the same day, Yifu and Heshun, the financial companies of Hongkong Land Company, came forward and held a press conference in the Board of Directors of Gloucester Land. , To accept the takeover battle must go to the Pedder Street'Central Registry' to complete the registration procedures on December 10.

Land, Henry Keswick is holding a meeting.

"Today, we already own 16% of the shares in Dairy Company. According to the Hong Kong Island Securities Law, we can justify becoming a director seat of Dairy Company." said Jardine Fleming’s financial adviser.

Henry Keswick shook his head and said: "No, this time we acquired the Dairy Company, it must be a'good faith' acquisition; now going to the Dairy Company to get a seat on the board of directors will obviously irritate Zhou Xinian completely, and he won't have the right to speak. . Therefore, we must use the advertising exhibition to make investors and citizens feel that we are a'savior' role."

I have to say that Henry Keswick’s acquisition is quite artistic, and he wants to gain the support of investors and citizens through advertising;

In the end, Zhou Xinian lost the milk company, not to mention, had to bear a reputation for poor management.

November 22, Sunday.

Milk Company fought back again and held a press conference at 7 pm that day.

In addition to the chairman of Dairy Company Zhou Xinian, executive director Ke Lun, and director Qi Dezun, Wheelock Chairman Madden was specially invited to attend.

Judging from this lineup, Zhou Xinian has an idea of ​​‘learning from the barbarians to develop skills to control barbarians’;

However, what he didn’t know was Qi Dezun and Madden. These two foreigners would not help Zhou Xinian too much, and would completely offend Yihe;

After all, the story of the British beating the British would be too terrible for the two families to bear if it was passed back to London.

That night, Li Zhu, the chief director of Luo Fuqi, the finance company of Dairy Farm, put forward three reasons for opposing the acquisition on behalf of Dairy Farm:

"First, calculated in 1970, the dividend per share of Milk is 2.5 Hong Kong dollars, while the two shares of Land Land are only 2 Hong Kong dollars. The difference is very large. If Dairy Farm accepts the acquisition, it will harm shareholders' interest."

"Second, calculated in 1970, Milk's earnings per share were 3 Hong Kong dollars, and the total of the two shares of Hongkong Land was only 2.2 Hong Kong dollars. Luo Fuqi has handled many share exchange agreements all over the world, and this kind of acquisition that harmed the interests of shareholders could only be rejected."

“Third, the dairy company has an outstanding reputation, strong strength, stable development, and can guarantee the interests of shareholders.”

Li Zhu finally said confidently: “Landland will not succeed!”

Wheelock's Chairman Madden and Hutchison Peddler, did not speak, but reporters can see that they are on the side of the milk company.

Monday, November 23.

The public was taken aback by the milk company advertisement in the newspaper: the board of directors of the milk company announced that it would split the shares into 5 shares, and then give out a bonus share for every new share; at the same time, the milk company announced its expected dividend per share for the year Will increase by 67%.

Milk company operations like this, one stock of milk in the hands of citizens will become ten stocks of milk;

Coupled with the promise of increased dividends in 1970, it really played a certain counter-productive effect!

Like a thermometer falling into a brazier, as soon as the Hong Kong Island stock market opened, milk stocks were like a thermometer in a brazier, soaring upwards, and Hongkong Land stocks once again ‘pulled the bull’s tail to the sky’;

As of the close, milk shares are worth 186 Hong Kong dollars per share, and the company’s earnings per share are only 3 Hong Kong dollars per share, and the price-to-earnings ratio has reached 62 times;

Land was also fired to 116 Hong Kong dollars per share, and the price-earnings ratio was as high as 105 times.

The P/E ratios of the two companies are so high that there is no report on the market, and no one has raised it;

Shareholders only look up at the splendor of the sea market, but they don’t know that the sea market is just a shadow;

For those senior investors, what they want is madness, what they fear is calmness;

I don’t know where the profits will be made, so there will be countless other losers.

Wu Guangyao looked on coldly. It can be said that although the Hong Kong Island stock market is inflated, it will not collapse;

Furthermore, the next acquisition of Wharf, Tram, Qingzhou Yingni and other companies will surely make the stock market red and purple!

As for when to fall, maybe even oneself is not sure.

Because history has been changed!

(End of this chapter)




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