The beginning of November, Tuesday.

New Era Group first announced the issuance of convertible bonds of 1 billion yuan, which was twice as much as expected.

Convertible bonds are bonds in which the bond holder can convert the bond into the company's common stock at a price agreed at the time of issuance. If the bond holder does not want to convert, he can continue to hold the bond until the repayment period expires.

principal and interest, or sold in the circulation market for cash.

On that day, New Era Group entrusted Peregrine as its financial consultant to hold a subscription ceremony in the building conference hall in Central. When some local investors rushed to the scene, they found many foreign investors and immediately felt the charm of Mr. Lin Zuhui.

Before the subscription ceremony began, some investors started talking.

"Everyone is very optimistic about the prospects of New Era Group!"

"Of course I am optimistic. It took Mr. Lam Cho-fai less than four years to turn the two companies into the fifth largest real estate developer and the third largest real estate company in Hong Kong (followed by Land and Wharf). This ability still needs to be doubted.

?"

"Yes! The important thing is that they are also very accurate in analyzing the real estate trend and predicting the stock market crash. This is amazing!"

"It seems that instead of investing in New Era Group, everyone is investing in Mr. Lin Zuhui!"

"That's right! He is the most popular business tycoon in Hong Kong!"

"Well! If you consider age, Mr. Lin Zuhui is indeed like this! But his strength is actually far behind Li Chaoren!"

"It's far worse now, but that doesn't mean it will be worse in the future. Li Ka-shing is still running a miserable business at the age of 24 and can't even afford to pay his staff!"

"ok I admit it!"

Today, many European, American and Japanese investors (investment companies) came, and New Era Group also sent many senior staff to entertain them. The New Era Group, which has developed to today, has already become famous overseas, attracting many overseas investors to join.

This issuance of convertible bonds is actually equivalent to a rights issue to raise funds. Lin Zuhui himself believes that within the time specified in the bond, many people will choose to exchange the common shares of New Era Group at the price specified in the bond.

(The current price of the stock is too high, and the price difference needs to be made up, but compared with raising funds from rights issues, bonds are a sure profit)

This issuance of convertible bonds is the first such commercial behavior of New Era Group. Lin Zuhui himself also talked with some large European, American and Japanese investment institutions at the scene and promoted New Era Group.

He started by talking about the overall future trend of Xiangjiang real estate. New Era Group has a huge land reserve and can make greater profits in the future. After all, the cost of land has been greatly reduced.

A Japanese investor raised a question and said: "Mr. Lin, when operating real estate in Xiangjiang, you have to consider the impact of the epidemic. How do you avoid this problem?"

Lin Zuhui picked up these questions and immediately said: "As far as I know, from 1986 to 1988, Japanese investors invested nearly 30 billion in Hong Kong, making them the second largest investment team in Hong Kong after the Chinese in Southeast Asia. This fully shows that

, you are optimistic about the real estate trend in Xiangjiang. Moreover, our debt ratio is a little more than 20%, which means we have enough ability to withstand risks!"

If the value of real estate rises by 40% this year, then New Era Group's reserve land will also appreciate by 20% to 30%, which is a huge amount of wealth. Because of this, even if New Era Group does nothing, its debt ratio will drop significantly.

quick.

In particular, office buildings appreciate faster. Less than two years ago, Huazhi Center was worth 1.9 billion, and now it is worth 3.5 billion. Not to mention making 80% of the book profit, the rent can still collect more than 300 million per year (not net profit, net profit is average)

It’s 70% to 80%, under good management).

The Japanese investor was very satisfied with Lin Zuhui's answer, but continued to ask: "Is it true that New Era Group's profit will exceed 1.5 billion this year?"

Lin Zuhui said with a smile: "Originally we expected it to be 1.2 billion, but the real estate value has appreciated so much, I think 1.5 billion is no problem!"

With Lin Zuhui's personal recommendation, many investors felt his charm, that is, he was quite confident, and the reasons he gave were very convincing. These investors became more determined to buy New Era Group's bonds, and some even more

It is the amount of temporary additional investment.

There are hundreds of investors in the auditorium. These investments all meet one condition, that is, the minimum subscription amount is 500,000 bonds. Of course, the vast majority of investors are ready to subscribe for millions or tens of millions.

.

Lin Zuhui has also prepared hundreds of millions of funds. If the subscription is insufficient, he will choose to subscribe.

However, there is a high probability that it will not be used today.

The subscription ceremony began. First, the executive director Liang Zhenxun began to make reports, using detailed data to deepen everyone's impression of the new era.

Needless to say, real estate also performed very well in the hotel and real estate fields, which immediately ushered in rounds of applause from the audience.

As a result, when the subscription started, everyone's enthusiasm was very high.

On that day, New Era Group issued a total of 1.23 billion in convertible bonds, which was more than 20% higher than expected!

At four o'clock in the afternoon, the management of New Era Group held another press conference and announced the news, intending to publish it in the newspaper tomorrow to stimulate the stock price.

.......

The next day.

The news that New Era Group issued 1.23 billion convertible bonds immediately reached the hands of major real estate developers.

.....

Sino Properties.

Huang Tingfang said to his son in the office: "From now on, we will have a strong opponent in the auction. This opponent is more powerful than Sun Hung Kai, Henderson, and New World, and it is not much concession to Cheung Kong!"

Huang Zhixiang nodded and said: "Sun Hung Kai and Henderson are building manufacturing factories, but they will not spend too high prices to develop rental properties. They are more cautious in auctioning high-quality commercial land. In fact, New World and Cheung Kong also have

Well, they will consider whether the purchase is expensive or not. On the contrary, Lin Zuhui is buying high-quality properties and land, and he can buy it at a much higher premium!"

Huang Tingfang said: "We are afraid of meeting such a person at the auction house. After all, we don't know what his bottom line is! However, it is difficult to defeat us. Our family regards Xiangjiang as one of its strongholds and will definitely go all out.

!”

"Okay, Father!"

.....

Sun Hung Kai Properties.

Guo Desheng and his three sons were also discussing Lin Zuhui. The real estate market in Xiangjiang was originally a "semi-monopoly" of a few large real estate companies, and they did not welcome the rise of new real estate companies.

However, Lin Zuhui was backed by a media group, so no one dared to unite with them from the beginning to target the New Era Group. In addition, Zheng Yutong was optimistic about his fellow countryman and participated in the stock investment, so it was impossible for several major real estate companies to United.

But now, the strong rise of New Era Group has squeezed all four major real estate families.

Sun Hung Kai is no exception. After the August 7th stock market crash, New Era Group was the first to react and frantically purchased 'affordable' land in the market. This made these established real estate developers secretly lament that 'one step is too late and one step is too late'. When they decided to buy land, Prices have risen slightly, and there are not so many land resources.

Even the powerful Cheung Kong lost a piece of land in a large housing estate - the property above the Lam Tin MTR station.

“You remember my words, development should be in Hong Kong, don’t invest too much money overseas. Use all the money to acquire land and increase our land reserves. In this way, we will have a large amount of cheap land for development in the future. , profits will also increase greatly!" Guo Desheng warned his three sons.

Unlike the other three major families who have a lot of investments overseas, Guo Desheng rarely invests overseas because he feels that the return on investment is not worthwhile; of course, there must be some investment, but not much.

The three Guo brothers all expressed that they would abide by their father's wishes to develop the company.

Sun Hung Kai will also complete its handover next year, the same time as New World.

Guo Bingxiang asked: "Do we still need to purchase a large amount of land now?"

At this time, Guo Desheng instinctively wanted to slow down, but when he thought of Lin Zuhui's actions and thought that New Era Group was going to purchase land as a reserve, he suddenly felt a sense of urgency.

You must know that New Era Group's land reserve is already close to that of Henderson. Although it is not a threat to Sun Hung Kai, it is still necessary to prepare for a rainy day.

"We can't stop buying land! Today it seems that we are buying expensive land, but in two or three years, you will find that we are buying cheap land!"

"Okay, we got it!"

Sun Hung Kai's move undoubtedly means that the land purchased is too expensive and too much!

Everyone thinks that New Era Group's issuance of bonds and preparations for rights issues to raise funds will be a land grab, so it will be affected to some extent. Even the real estate industry in Xiangjiang may receive a weak stimulus and rise higher than in the previous life. more.

However, the more it rises, the harder it will fall next year!

10 yuan rose by 30% and became 13 yuan; 13 yuan fell by 30% and became 9 yuan.

In fact, real estate will fall by 30-35% next year, which is estimated to be equivalent to the level after the stock market crash.

...

Lin Zuhui was also in the office, thinking about how to reduce debt and win the 'King of Earth'.

He judged based on the Hong Kong government's past practices that when real estate heats up, the Hong Kong government will definitely come up with the "King of Land" auction; first, it can stimulate land prices, and the Hong Kong government can get more from other official land auctions; second, it can 'King of Earth' sells for higher prices.

To be honest, Lin Zuhui thought it happened in November and December, but no news has been revealed yet. It is estimated that it will be in January next year.

At this time, his mind began to play the maps of Central and Wan Chai in his memory, trying to predict which piece of land the Hong Kong government would auction.

Suddenly, he thought of the 'Central Plaza' in his previous life, and quickly found a map to search for it.

Finally, he found a piece of land on the seaside in Wan Chai and instantly thought of a possibility.

Hong Kong Island is not big, and Lin Zuhui's memory is very poor. Lin Zuhui clearly understands the topography and buildings of Central, Admiralty, Wan Chai, and Causeway Bay.

"It should be this piece of land!"

"I remember this land was about 70,000 square feet!"

Lam Cho-fai began to calculate. In 1985, the Central Land King (Headquarters of Hang Seng Bank) was auctioned for $1 per square foot. Looking at it now, there is absolutely no problem with this coastal lot in Wan Chai above the auction house.

In other words, it would take more than 3 billion to win this piece of land!

New Era Group's current debt has been reduced to 5.05 billion yuan, and it is expected that it will be reduced to about 4.8 billion yuan by the end of the year just through the development of real estate sales.

Of course, this is equivalent to this year’s profit of 1.5 billion to 1.6 billion (there is still working capital in the account). I spent 700 million to purchase 30% of the equity in the Terrigende Pavilion, paid off more than 700 million in debt, and are still in the futures contract.

300 million was invested in it.

The investment futures contract cannot be counted on. After the December futures contract is delivered, the 300 million funds will have to be converted into the futures contract in April next year.
To be continued...