Rebirth of the Strongest Tycoon

Vol 3 Chapter 951: Hunting 2 bus companies

Just as Xia Yu was drinking tea, Wang Qi walked in with a folder, and said immediately: "Chairman, I have brought the information of Kowloon Bus and China Bus. Xiangjiang is the two bus companies. Bring it over, maybe you can use it."

"Well, just bring it over, let's watch it together later."

Xia Yu said with a smile, and then took the folder. After opening it, the cover that greeted the eyes read the words "Kowloon Bus Co., Ltd.".

He took out the document, and the other document with "China Motors Co., Ltd." on the cover was temporarily left in the box.

Opening the cover, Xia Yu looked at it quietly.

Hong Kong’s bus service industry also has franchise rights. The Kowloon Motor Bus Co., Ltd., founded in 1933, owns the franchise rights for the bus industry in Kowloon and the New Territories. At the beginning of its establishment, it was established by Tang Shiu Kin, Lei Rui De, Lei Liang , Tan Huantang, Lin Mingxun and others jointly funded the establishment.

After more than 40 years of development, the Kowloon Motor Bus Company Limited now has more than 1,700 buses.

Before the Kowloon Motor Bus Co., Ltd.'s profit was considerable and stable, the shareholders' year-end dividends were very good, which was very popular with investors, so in 1972 the market value reached 200 million Hong Kong dollars.

However, in 1975, considering the influence of the bus industry on people's livelihood, the Hong Kong government ordered the implementation of profit control, limiting the annual rate of return to no more than 16%, and the Kowloon Motor Bus Co., Ltd. lost the right to increase prices.

As a result, the profits of the Kowloon Motor Bus Co., Ltd. plummeted and shareholder dividends decreased. Since then, the stock price of the Kowloon Motor Bus Co., Ltd. has fallen into a weak state.

Faced with this situation, the founders Tan Jia and Lin Jia successively reduced their stock holdings, and also wanted to exit the bus industry and use funds to invest in more promising industries.

Today, nine years later, the market value of the Kowloon Motor Bus Company Limited is only about 420 million Hong Kong dollars.

No, considering that the share price of Kowloon Motor Bus Co., Ltd. plummeted today, the market value has now fallen below 400 million Hong Kong dollars.

Of course, the Kowloon Motor Bus Co., Ltd. is also a company that has been established for more than 40 years. It stands to reason that there will be no shortage of hard assets. In particular, the bus company occupies a lot of land, and its assets will definitely not be only a few hundred million Hong Kong dollars.

But in fact, it was in 1961 that the Kowloon Motor Bus Co., Ltd. was split up. The bus business still belonged to the Kowloon Motor Bus Co., Ltd., while the original real estate construction business was spun off and became the Kowloon Construction Industry Co., Ltd.

After the split, the Kowloon Development Co., Ltd. is mainly dominated by the original shareholders of the Kowloon Motor Bus Co., Ltd. Lei Jia and Wu Jia.

However, despite being split, the Kowloon Motor Bus Co., Ltd. still has a lot of land, which is being developed and used by the Lei Jia, the helm of Kowloon Jianye and the largest shareholder of the Kowloon Motor Bus Co., Ltd., and the public is losing money. Investors.

Currently, the shareholder structure of Kowloon Motor Bus Company Limited is:

Lei Jia, the largest shareholder, holds 20.33% of the shares.

The founder and current chairman of the board of directors Deng Zhao insisted that the shares are 9.75%.

The Yu family, who later invested in, held 9.64% of the shares.

The fourth largest shareholder and founder family Wu Jia holds 9.45% of the shares.

The fifth largest shareholder and founder Tan Jia holds 8.48% of the shares.

The sixth largest shareholder and founder Lin Jia holds 7.46% of the shares.

In addition, 34.84% of the equity is in circulation, distributed in the hands of financial institutions and individual investors who have not entered the board of directors.

Unless financial institutions and individuals actively disclose it, as long as the five percent line is not reached, no one knows who is in the hands.

Just like Jiuding Securities Co., it has bought 3.75% of the equity in succession before, totaling 3.45 million shares.

Jiuding Securities Company does not need to disclose shareholding information at all, but considering that it will buy and sell in the future, it is convenient for buyers to come to the door, so it actively discloses shareholding information.

As long as other financial institutions simply invest and do not conduct hostile takeovers, they will basically disclose their shareholding information. After all, they are buying equity to make money. If you don't show it, you can sell it!

After reading the information of Kowloon Motor Bus Co., Ltd., Xia Yu took out the documents of China Motor Corporation and looked at it.

China Motor Co., Ltd. was established earlier, in 1924. At first, it operated bus services in the Kowloon Peninsula and the New Territories. Later, after the British Hong Kong government implemented the bus franchise in 1933, it obtained bus services to the more prosperous Hong Kong Island. Franchise.

It’s a pity that just after MacLehose went north last year, the question of the future of Hong Kong has been exposed. The Hong Kong government announced the construction of the Hong Kong Island Line of the subway. These two unclear factors let the founder of China Motor Co., Ltd. control it. The Yan family and the Huang family have no idea, and they have become conservative in the management of the company.

One incident last year was very representative. Originally, there was a batch of buses that needed to be exchanged and purchased last year. The Kowloon Motor Bus Co., Ltd. began to discount it. Originally, it had to purchase 50 vehicles, but only 32 vehicles were purchased.

In addition, the Yan family and the Huang family have begun to reduce their holdings of cash stocks.

Investment institutions with a keen sense of smell have begun to vote with their feet.

Up to now, the market value of China Motor Co., Ltd. is only about half of that of Kowloon Motor Bus Co., Ltd., at 230 million Hong Kong dollars.

In terms of shareholder structure, China Motor Co., Ltd., which was established earlier, is not as fragmented as the Kowloon Motor Bus Co., Ltd., which was established later. The founder Yan Jia holds 24.74% and the founder Huang Jia holds 100%. Twenty-two point one two.

In addition, there are some small shareholders holding some equity, and the rest are scattered in the hands of financial institutions and retail investors.

So in general, the acquisition of China Motor Co., Ltd. is less difficult!

After closing the information, Xia Yu was already aware of the situation of Xiangjiang's bus industry. After thinking about it for a moment, he looked at Wang Qi and said:

"Wang Qi, give you a task to acquire the Kowloon Motor Bus Co., Ltd., a puzzle piece is needed in the grand strategy!"

"Now this opportunity is rare."

Wang Qi was not surprised. He knew that Kowloon Motor Bus Co., Ltd. would be the acquisition target when Xia Yu first arrived.

As for the reason for the acquisition, Xia Yu did not say, but after the strategic meeting of the consortium, he was able to guess something.

In the strategy of "One Core, Six Pillars", the trade and logistics industry and the tourism service industry all need the support of the bus business, especially the tourism service industry. Convenient transportation can drive the much-needed passenger flow of tourism and retail business.

In addition, there should be calculations for the real estate industry. After all, the Kowloon Motor Bus Co., Ltd. has a lot of land, and it is better to get it and not develop it than to be bought and used for development.

Moreover, transportation is an important factor affecting the real estate industry. With convenient transportation, houses on a transportation line will sell well, and the original low land prices will rise.

If you think about it the other way round, as long as the Kowloon Motor Bus Co., Ltd. is in hand, you can vigorously open up new transportation lines, and the importance of urban houses will lose the huge advantage of convenient transportation.

Originally, it takes one or two hours from the suburbs to the urban area. After the bus line is opened, it can pass through at any time. The time is reduced to ten to twenty minutes. For many residents, the difference between the suburbs and the urban area is not much. The big deal is to spend more. Ten or twenty minutes, why bother to buy a house in the city?

"Chairman, to what extent does it need to acquire Kowloon Motor Bus Co., Ltd.? Should it be privatized?"

Wang Qi thought for a while and asked Xia Yu.

Xia Yu thought for a moment, and said: "There is no need for a wholly-owned acquisition and delisting. It is not cost-effective to invest in Kowloon Motor Bus Co., Ltd. What I need is its function. I only need to acquire 67% of the shares and have absolute control over the board of directors and shareholders meeting. That's it."

"After the acquisition, Kowloon Motor Bus Co., Ltd. will belong to Jiuding Transportation Group, and Jiuding Securities will be the second largest shareholder. Don't let Jiuding Transportation Group exceed the line."

"What about the chairman, China Motor Co., Ltd.? Does it need to be acquired?"

Wang Qi then asked again.

Xia Yu said immediately: "Of course it will be acquired, but don't worry, you can gnaw the harder bone of Kowloon Bus Co., Ltd. first. The Yan family and the Huang family want to withdraw their capital and leave Xiangjiang. The acquisition will not be too difficult."

"However, this major traffic accident of the Kowloon Motor Bus Co., Ltd. will also affect the stock price of China Motor Co., Ltd. When the time comes, you will arrange for secret hunting in the stock market."

Wang Qi nodded understandingly and said: "I understand, I will call a group of people to a meeting later, and try to come up with an operation plan today."

"By the way, Chairman, this action needs the assistance of Jiuding Newspaper Company and Universal Television."

Xia Yu said nonchalantly: "You should communicate with you on specific operational matters. Anyway, don't be sloppy, hurry!"

"understand!"

Wang Qi replied with a straight face.

After Xia Yu left, Wang Qi immediately summoned his staff to form a temporary special action team and got busy.

Early the next morning, major newspapers under Jiuding News reported on the major traffic accidents that occurred yesterday.

Not to mention Global TV. Last night’s "News 30 Minutes" and this morning's "Chao Wen Tianxia" both focused on reporting this news ~www.readwn.com~ and sorted out a series of bus related events in Xiangjiang in the past. Traffic accident.

It can be said that as long as the audience sees the news, they are all shocked.

Because the impact of this incident was too great, other newspapers, radio stations, and TVB focused on reporting and following up on relevant developments.

In just one day, this incident became the biggest hot news in Hong Kong. The Kowloon Motor Bus Co., Ltd. was carried to the fire. Deng Zhaojian and other company executives were very busy.

The severe inquiries from the Hong Kong government, the blocked media outside the company, the plummeting stock price, the turbulent feelings of the company, the accusations and abuses from the masses, etc., are like huge rocks after smashing them into confusion.

The muddy water is so hidden!

No one in Lei Juekun and others had noticed that Wang Qi and others were helping behind.

The share price of China Motor Co., Ltd. also fell below 1.3 Hong Kong dollars, and the company's market value fell below 200 million Hong Kong dollars.

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