Chapter 485 Successfully Acquired Golden Gate Construction

Chapter 485 Successfully Acquired Golden Gate Construction

Chapter 485 Successfully Acquired Golden Gate Construction
In the past few months, Yang Wendong has been paying more attention to the stock market and real estate market, especially some targets that he has his eyes on.

Fang Xianming said: "Yes, because our goal is to acquire the Kinmen Group, so in terms of operation, we have to invest more than other stocks, and the stock price has naturally risen a bit;
In the early days, because Changxing Infrastructure was going to develop two large infrastructure projects, a tunnel and a port, this good news made the rise in Kinmen Construction Group's stock price considered normal, but now that it has not won the bid, the stock price fell and was pulled up by us, which may arouse suspicion. "

"Well, have you contacted their shareholders?" Yang Wendong asked again.

The two large-scale infrastructure investments are additional projects and are not deliberately intended to cooperate with Changxing Finance's actions. However, after all, for a city, too large an investment will affect the entire industry.

However, since they were preparing to acquire Kinmen, it was naturally impossible for them to win the bid for the big project now. That would only increase their acquisition costs and difficulty, so Kinmen Construction naturally lost the bid.

Fang Xianming replied: "We have already contacted them. Many British shareholders are also willing to sell, but some require the use of US dollars or British pounds."

"That's not a problem. Go find Zheng Yuhua. Most of the money he earns from shipping is foreign exchange." Yang Wendong added, "Then how many Kinmen shares can we buy?"

Fang Xianming said: "About 15%, but there are some shareholders in the UK that we haven't contacted yet, so it may be a little more."

"It takes too much time to go to the UK to find someone. If we can get another 15%, we will be close to 30%." Yang Wendong thought for a while and said, "So, after acquiring their stocks, we can directly make this public and find the board of directors of the Kinmen Group to propose a friendly acquisition. It is better not to fall out with the British capital at this moment."

Gammon Construction is only a medium-sized company, but it is also relatively well-known among British companies. Over the years of British rule in Hong Kong, many Chinese companies have acquired British companies in good faith, and many have competed with British companies in multiple fields, but there has never been an open malicious acquisition of medium or large British groups.

If the acquisition can be made in good faith, it is better to do so, which is more cost-effective in itself.

"Okay." Fang Xianming agreed.

A week later, Fang Xianming came again and said, "Mr. Yang, I have acquired some of the shares of Kinmen Group's shareholders. Now we have 28% of Kinmen's shares."

"Then their board of directors and management should all know about it, right?" Yang Wendong asked.

This kind of large-scale acquisition in a short period of time, coupled with contacting shareholders, would only need one person to leak the information, and the acquired party would also know about it. Moreover, they themselves had no intention of concealing it. Only a super-large company like Jardine Matheson would need to operate step by step.

Fang Xianming said: "Yes, the management of Kinmen already knows about it, and even sent someone to ask me what I meant. I haven't replied to him yet."

"Okay, let's contact Coaster, the current boss of Kinmen Construction Group, and tell him that I have something to discuss with him. Let me set the location and he can decide the time. It can be done in the next few days." Yang Wendong said with a smile.

67 is almost over. Although there are big bargain hunting this year, he is not planning to launch mergers and acquisitions of many British companies. He only needs to buy stocks at the bottom to prepare for the layout in the early 70s, especially several large consortiums with market capitalizations of hundreds of millions or even billions. Let’s not talk about whether Yang Wendong has so much money. Even if he does, it is impossible to acquire enough stocks within a year. He can only spend a long time to do it slowly.
But his target was Gammon Construction, which was one of the top two construction groups in Hong Kong, specializing in infrastructure and building construction, and it also had a Gammon Building in Central.

"Okay." Fang Xianming agreed and said, "Mr. Yang, there is one more thing. Huangpu Group seems to have discovered that someone is buying their stocks and has started a reverse acquisition."

"It's quite sensitive." Yang Wendong said with a smile.

Fang Xianming explained: "It is also because after the construction of the container terminal began, the market itself was not optimistic about the Huangpu Group. In addition, the economy itself was not good, so the stock price should have fallen. But now that we have acquired it, it has attracted attention."

"Well, once Kinmen is settled, we can discuss it with the Huangpu Group's board of directors." Yang Wendong said, "For the time being, we only need one director position."

Fang Xianming said, "Okay."

On the third day, the manager Coaster from Kinmen Construction came to Changxing Building.

"Mr. Coaster, please take a seat." Yang Wendong said politely.

"You're too polite, Mr. Yang." Coster also responded politely. Facing the wealthiest Chinese in Hong Kong, even the Governor of Hong Kong had to give him some face.

The assistant made coffee for both of them. Usually when foreigners are around, they make coffee, while Chinese people use tea.

After taking a sip, Coster asked, "Mr. Yang, you recently bought a lot of shares of my Jinmen Construction in the stock market, and also arranged for someone to buy out the shareholders' shares. I want to know your purpose."

"I want to acquire Kinmen Construction Group." Yang Wendong said directly. There was no need to be fussy about this matter.

Coaster's face changed, and then he said: "Mr. Yang, Kinmen Construction is a pure British-owned enterprise. We do not accept acquisitions by Chinese capital."

"Pure? That's not necessarily true." Yang Wendong said with a smile, "I already own nearly 30% of the shares, plus there are many Chinese shareholders in Hong Kong. As long as I acquire some more, I'm afraid that more than 50% of the Kinmen Group will belong to the Chinese."

In the 60s, many British companies in Hong Kong wanted to go public and reap the benefits. They did reap the benefits, but because of this, they also became the leeks of others. When Chinese capital gradually became stronger, they would naturally sharpen their knives to exploit the pigs and sheep.

Historically, Golden Gate Construction was recently acquired by Jardine Matheson, which means that they are not concerned about selling it, but to whom? Of course, it is also possible that they are in the process of bargaining.

Coaster frowned and said, "Mr. Yang, if you want to become a shareholder of Kinmen, we welcome you. We hope to achieve what you Chinese often say is a win-win situation."

Although Gammon Construction is a large British company in Hong Kong, its assets do not involve large-scale infrastructure industries. If Yang Wendong really launches a hostile takeover, the Hong Kong government may not necessarily protect him.

"My proposal is also a win-win situation." Yang Wendong said with a smile: "After accepting my acquisition, all of your British employees, from top to bottom, can continue to receive salaries from the Kinmen Group;

And I can tell you that my Changxing Infrastructure will invest heavily in various infrastructure facilities in Hong Kong and overseas in the future. This is why I want to acquire Kinmen. If you join the Changxing Group, many orders will naturally be given to you. "

Although Changxing Group also has a real estate company, it is more inclined to property purchase and operation rather than construction, so even if it acquires Kinmen Construction, it is impossible to drive away all the foreigners. Besides, even if it is a large company in the mainland in the future, it will hire many foreigners after it grows in size. This is Hong Kong, which has a large number of British foreigners and many industries have close ties with the UK, so he naturally wants to keep the original team.

More importantly, he still has a lot of British companies to acquire in the future. If he keeps these people in their positions, then when he launches the acquisition in the future, at least many managers will not resist him.
"Will the company remain listed?" Coster paused and asked.

Yang Wendong said: "It will remain listed. In the future, Kinmen Construction will also need to take on overseas business. The financial disclosure of listed companies will also make it easier for foreign companies to understand."

Many companies go public to demonstrate their strength and real data, etc. Otherwise, if they cooperate with an unfamiliar company, especially the client, they will not spend a lot of time getting to know you. The company's market value is a good object of self-introduction. Although others will not cooperate with you just because of the market value, there will at least be a certain possibility and it will be more convenient to understand you.

Another reason is that he is about to start planning to acquire British capital. Many British companies have some good assets, and perhaps he will privatize them after the acquisition, but this kind of thing cannot become a routine. Once it happens, when a hostile takeover war occurs, many shareholders will not let go of their stocks and wait until they succeed before privatizing them. This will definitely affect the possibility of a successful acquisition.

Therefore, if it is not a special British company, then it only needs to maintain controlling stake after the acquisition. Besides, some listed companies can also bind many shareholders or other capital to their side.

"Then I need to discuss it with the board of directors and management." Coaster did not answer directly.

Yang Wendong said: "Okay, I hope to get your good news soon. In addition, if the acquisition is successful, some people in the management will also have their salaries increased."

"I understand. Thank you, Mr. Yang." Coster also understood the meaning.

This is clearly to give benefits to the management and then ensure the smooth acquisition. This is also a common method in many acquisitions. First buy off the management, and then the management convinces the shareholders. And everything is legal. In any country, salary increases are not illegal.;
Golden Gate Building, Hong Kong:
Koster sat at the head of the meeting room and said, "Dear directors, you all know Yang Wendong's conditions. Please make a decision as soon as possible?"

"Coaster, has your management agreed?" asked an old British ghost man.

Coaster replied: "Our management has no objection. Besides, whether this matter can be agreed or not depends on the board of directors."

"Hmph~" the old man snorted coldly and said, "I disagree. My Kinmen construction has a history of several decades and has built a large number of buildings in many British colonies. How can I sell it to a Chinese?"

"Cole, they already own 30% of the shares, and you only have 3%. Will your objection be useful?" another middle-aged woman said with a smile.

"So what?" Cole snapped.

The middle-aged woman said, "If you have the ability, buy 30% as well, and then tell me."

Cole asked with an unpleasant expression: "Chrisley, are you planning to sell your stocks?"

"I'm not planning to sell it." Chrisley ignored the old man and said to everyone, "Everyone, let's not talk about what will happen to the current situation in Hong Kong. Even if everything is normal, you can see that Chinese capital in Hong Kong has risen, right?"

"Yes." Many people naturally agree that this is an indisputable fact, especially in the fields of real estate, industry and banking.

Chrisley added: "Among the current Chinese consortiums, Yang Wendong is the strongest. I don't need to say much about his industry and experience. Since he wants to acquire Kinmen Construction, he must be thinking of investing heavily in the construction industry;

If this is the case, wouldn’t it be better if we accept the acquisition and can also enjoy the benefits?”

"You mean we don't sell our shares, but let him increase his capital and join the board of directors?" asked another foreigner.

Chrisley said, “Yes, according to Coaster’s information, he already owns 28% of the shares, so we might as well let him increase his capital a little more, and he will complete the acquisition;
The shares we hold are only diluted a little bit, but in this way, Golden Gate Construction can get on board with Changxing Group. Isn’t this better for us? "

Many people began to negotiate in a low voice. Seeing this situation, Coaster above knew that it was almost done. This was indeed a good deal in itself. After all, Yang Wendong had already acquired so many shares. Even if he resisted, it would be useless unless the Hong Kong government intervened, which was unlikely.

At the same time, he glanced at Chrisley. This woman was probably also promised some benefits like him.
After a while, Coaster said, "Well, let's do this. Everyone vote. I'll count them based on the number of board seats and shareholder equity. As long as one of them passes, this cooperation will pass."

The reason for this is that even if the board of directors does not pass it, if several shareholders with sufficient weight agree, Changxing Group can also convene a shareholders' meeting to vote. The legal effect of this is stronger than that of the board of directors. There is no need to do this in vain and offend people.

Many people raised their hands. Coaster counted them and said, "There are 9 shareholders, including my vote, a total of 5 people have passed, and the stock rights and interests exceed 25%. This time the proposal is passed;

I will negotiate with Changxing Group on capital increase on behalf of Kinmen Construction. If anyone does not want to stay, please tell me and I will be responsible for cashing out the shares. "

The directors looked at each other, and finally, Cole, who had just spoken, roared, then got up and left.

"That's it for today's board meeting," said Coster.

In mid-October, Fang Xianming came to Yang Wendong's office and said, "Mr. Yang, we have already reached an agreement with Kinmen Construction. We will spend another HK$10 million to acquire shares in Kinmen Group. At the same time, our shareholding will reach 1100%, which is already the largest proportion held by a single shareholder of a listed company."

"Okay then." Yang Wendong nodded and said, "This matter has come to an end. Just let Kinmen Construction continue to operate normally. We will send someone to take over the financial affairs, and give them freedom for other matters."

This is also for the purpose of promoting other acquisitions in the future in advance and reassuring the British management.

"Okay," Fang Xianming said, "I already own 16% of the shares of Huangpu Group. According to the law, we can get a board seat."

PS: Ask for monthly ticket

(End of this chapter)