Chapter 603 Buy as much as you can
Lu Renhe is the second most valuable person here, so he naturally doesn't like this little money. However, he also knew that Fu Song was trying to boost morale, so he responded with a smile: "Mr. Fu has spoken, so I dare not be negligent. I will work hard to ensure that everyone is satisfied by the time."
"Thank you Mr. Fu, thank you Mr. Lu!"
After everyone calmed down, Fu Song continued: "As for United Real Estate Group, I didn't plan to go public in the short term, but then I thought that it would be a big loss to use all my money to do business."
One sentence made everyone laugh, and at the same time, it became even more enthusiastic. Just the listing of a United Hotel Group is already exciting enough. If there is another United Real Estate Group with a larger asset scale... Oh, isn't the young model of a luxury house and yacht?
But Lu Renhe said: "It's a bit too early for United Real Estate to go public now?"
Fu Song sighed and said, "It's a bit early, but time doesn't wait for anyone. My idea is to go public as soon as possible, raise it for hundreds of billions of Hong Kong dollars, and use this money to enclose land on a large scale."
Everyone gasped, about 100 billion Hong Kong dollars? Since the stock market was established in Hong Kong, it seems that no company's IPO has been able to raise 10 billion yuan in funds, right?
Seeing everyone's reaction, Fu Song smiled and said: "United Real Estate Group's net assets are more than 400 Hong Kong dollars. Not long ago, it spent more than 3 billion Hong Kong dollars to acquire a large factory in Tseung Kwan O from the Hong Kong Steel King. This land has a huge appreciation potential in the next few years."
Originally, Lee Shouki's Sun Hung Kai was also interested in the land of Tseung Kwan O, and he bid 2.9 billion Hong Kong dollars. Seeing that the acquisition agreement was about to be reached, United Real Estate suddenly came out. Lee Shouki felt that the land was not worth so much money and chose to let go without hesitation.
I offended Li Zhaoji during the stock market crash last year, and this time, the two sides' ties were completely formed.
But Fu Song didn't care at all. He was indifferent to life and death. If he didn't accept it, he would do it. If he wanted to blame, he would blame Li Zhaoji for not having vision and courage. Is it expensive to buy a piece of 10 hectares of land worth 3 billion Hong Kong dollars?
It's not expensive at all! Fu Song only knows that the land price in Xiangjiang will only get higher and higher in the next few years.
He remembers very clearly that starting next year, Xiangjiang real estate will usher in a big explosion. In the 1990s, international hot money and local speculators began to crazily speculate on buying Xiangjiang real estate. The housing prices and land prices soared. From 1991 to 1997, the Xiangjiang real estate bubble burst, and housing prices rose by about 4 times.
When will you wait if you don’t take the opportunity to hoard land at this time? Do you believe that the value of the land in Tseung Kwan O will double in two years?
Regardless of whether others believe it or not, Fu Songxin anyway.
In fact, it is not a good time to start the IPO of United Real Estate Group now, but next year, Xiangjiang real estate will start to heat up, and land prices will become more and more expensive. We must reserve funds in advance for bidding for land, so he is so anxious to go public and make money.
"Look for a few capable underwriters to package it carefully. The market value of the IPO can exceed 50 billion, or even reach 60 billion. If you take out 20% of your shares, you can easily raise 10 billion Hong Kong dollars."
Lu Renhe knew the tricks here best, and then interrupted: "Mr. Fu, it's not that I'm pouring cold water on you. Although United Hotel Group has great strength, it may be difficult to raise 10 billion yuan of funds. As for the land in Tseung Kwan O, the planning and infrastructure are far from keeping up, so now, it will not only not add valuation to United Real Estate, but will reduce the valuation."
Fu Song waved his hand and said, "Whether it is OK, let's try it first. Then again, if I raise less than 10 billion Hong Kong dollars, I would rather wait a few years before going public."
No need to wait for another three or four years, and the valuation of United Real Estate will definitely double.
Fu Song snorted again: "If this IPO is not successful, then don't demolish the land in Tseung Kwan O first, and keep it for a few years."
In his opinion, 10 billion Hong Kong dollars is really not a big deal, and you can spend it if you can’t buy a few pieces of land.
As I said just now, I bought the factory in Tseung Kwan O of "The King of Steel" Pang Dingyuan in Tseung Kwan O. It cost more than 3 billion Hong Kong dollars for only over 100,000 square meters. The floor price per square meter is more than 30,000 Hong Kong dollars, and 10 billion Hong Kong dollars. At most, I can only buy three such land. What is this money enough?
He has a big appetite. In the next ten years, he will plunder the wealth of Xiangjiang through real estate. When the Asian financial crisis in 1997 is in full swing, he will make a big profit...
This year and next two years are the lowest land prices in the next decade. It would be a loss if you don’t take the opportunity to acquire more land.
Therefore, even if the IPO of United Real Estate Group is not successful, it doesn't matter. You can issue corporate bonds. If it doesn't work, he can even inject the profits obtained from the Daiwan stock market not long ago into United Real Estate Group. Anyway, living people cannot let their urine die of suffocation.
Lu Renhe was reluctant to let United Real Estate Group IPO now. At this time, he saw Fu Song's hesitation and quickly struck while the iron was hot and persuaded: "Mr. Fu, whether from the planning of the Hong Kong government or the demand for land for Hong Kong's development, the New Territories will inevitably become a new growth pole for Hong Kong. Judging from the current situation, the land prices in the New Territories are not high. I think United Real Estate can increase its investment in the New Territories in the future."
The area of Xiangjiang is not large, with a height of over 1,000 square kilometers. Hong Kong Island is its essence, less than 100 square kilometers. After more than 100 years of development, the land has long been in subsidy.
Anyone with a discerning eye can see that the future development direction of Hong Kong will be in the New Territories in the north, but no matter how you know, there are not many people who can make up their minds to buy land in the New Territories.
In addition to Kowloon, Yau Tsim Mong and other areas along the Victoria Gulf coast, the development intensity of other places in the New Territories is still relatively low and the infrastructure cannot keep up. Now, invest valuable funds in this "barbaric" place. Not to mention ordinary real estate developers, even real estate tycoons such as Lee Zhaoji and Cheng Yu-tung are hesitant.
United Real Estate Group took over the land in Tseung Kwan O, which was considered a big advantage.
"Continue to buy. If you don't have enough money, please borrow from United Bank first. If you don't have enough money, I will issue bonds. I still have some money on hand, and I will transfer it in a while. Boss Lu, please tell Liu Da, I will just say that I can buy as much land as I can!"
Lu Renhe excitedly said, "Don't worry, Mr. Fu, I will bring you words intact!"
Although the morning meeting was not long, Fu Song believed that the several things discussed were crucial, which was related to the development plan of Yuanzi System in the next ten years, so he finally instructed: "Before the meeting, I would like to emphasize that today's meeting content is kept confidential and only for everyone here to know."
Everyone was shocked and expressed their understanding.
After the meeting, Fu Song saw Lu Renhe wink at him, so he understood and slowed down.
Chapter completed!