Lee Shau-kee and his confidant Lam Ko-yin had lunch with Yang Bingzheng at the Benqing Japanese Restaurant in the Landmark Plaza in Central, Hong Kong, to discuss business.
Yang Bingzheng said: "Fourth Uncle, you must have heard the recent rumors in the Xiangjiang market, right?"
Lee Shau Kee asked: "But what about New Era Group's intention to acquire the Miramar Hotel?"
Yang Bingzheng nodded and said: "Yes! It should be the shareholders represented by Uncle Tian and Uncle Heng who invited Lin Zuhui to acquire the Miramar Hotel. My brothers indeed want to give up the Miramar Hotel, but I can't bear to leave the legacy of my father
career."
Li Shauji frowned. He was very keen on the assets of the Miramar Hotel, but he didn't want to get into trouble with Lin Zuhui.
The two have recently cooperated in the Mainland. Central Plaza made three investments at once. Although Henderson only holds 25% of the shares, the investment is huge after all.
So, he asked: "Is Zu Hui not planning a hostile takeover? His current status is Ling Ran."
Yang Bingzheng said immediately: "It's true, Liang Botao called and negotiated the terms with us first..."
But after the conditions were explained, Lee Shau Kee felt regretful and knew that he could not join.
Originally, recalling his old friend, he was emotionally willing to take care of the next generation of his old friend, and he was even more unwilling to see the business founded by Yang Zhiyun being sold on the market and being split up into pieces.
But now, the conditions of New Era Group are very superior and there is no opportunity to take advantage of it.
"Azheng, why don't you agree to such a good offer?"
Yang Bingzheng said: "Because I am not familiar with Lin Zuhui, I am worried that the cooperation will not be pleasant. Therefore, the old lady said that as long as the conditions are the same, even if it is 16.8 Hong Kong dollars per share, we are willing to cooperate with you."
Lee Shau Kee shook his head and said: "If there are not the last two conditions - that is, not allowing you to continue operating the business and splitting off the Miramar Hotel, I will consider my relationship with your father and help you no matter what.
A handful... But now, the price offered by others is very high, and the conditions are so favorable. If I still join... you know, the strength of New Era Group, and my initiative to join Lin Zuhui
The relationship has become tense; with Lin Zuhui’s temperament, I am afraid he will raise the price again... By then, with our strength, we will still not be able to defeat him."
In Lee Shau Kee's view, Lin Zuhui's strength is stronger than that of Li Chaoren. The important thing is that Lin Zuhui will really raise the price "regardless of the cost." By then, Yang's 34.5% equity alone will not be a complete insurance.
What's more, the Yang family is seeking wealth. If Lin Zuhui raises the price, as long as he doesn't follow suit, Mrs. Yang and the Yang brothers will definitely still get it by the one with the highest price.
As a result, Miramar Group did not acquire the company, but instead caused a scandal.
Yang Bingzheng already had this answer in his mind, so he immediately asked: "I am not familiar with Lin Zuhui. Is Fourth Uncle optimistic about this cooperation?"
Lee Shau Kee said: "Optimistic! But he likes to be brave and aggressive in doing things. At this point, as long as you keep a balance, it will almost be a good cooperation!"
Yang Bingzheng nodded and said: "In fact, I am also optimistic about investing in the mainland! I really want to thank my fourth uncle for clarifying my doubts this time."
Lee Shau Kee said: "It doesn't matter! Lin Zuhui and I are familiar with each other. If you have any conflicts, I am willing to be a middleman and don't make trouble."
"Thank you, Uncle Fourth!"
In fact, in terms of deep feelings, Lee Shau Kee naturally still misses Feng Jingxi, Yang Zhiyun and others from time to time, and has a much better relationship with them than his new friend Lin Zuhui.
Therefore, if Lam Cho-fai is really making a hostile takeover, Lee Shau-kee will also fight for the sake of his old friend.
Even if they are defeated, they can still get a higher selling price for Yang.
........
But said the other side.
When Li Chaoren heard the market rumors, he immediately became interested in the Miramar Hotel because there were rumors that the Yang brothers were at odds with each other. Only Yang Bingzheng did not agree to sell the Miramar Hotel. This was a "fame".
In this way, although he does not have a director to take the initiative to introduce the door, he can still make a fair offer, which may be able to defeat Lin Zuhui.
However, he remembered Lin Zuhui's great reputation and financial resources, and quickly decided to rope in Mr. Rong from Huaxin Taifu to join him.
Soon, Mr. Rong was also very moved. Although he was suspected of offending Lin Zuhui, it was a fair competition at least. The important thing was that Li Chaoren had a good idea, which was to spin off the Miramar Hotel.
Miramar Hotel and many restaurants, Nanhai Hotel's equity belongs to Watson Pacific, and Miramar Plaza (demolished in 1988, construction has not yet started) covers an area of 86,000 square feet, as well as investments in Yangcheng and Magic City (Miramar Hotel was established very early
It has developed the Miramar Garden residential project in both places), which belongs to Cheung Kong Holdings.
For a time, the two hit it off and quickly started taking action.
........
Wednesday, May 20th.
Miramar Hotel announced the suspension of trading. The current share price is 14 yuan per share. Since it was reported that New Era Group was interested in acquiring the hotel, Miramar Hotel's share price has increased by 10%.
The reason for the suspension was that the acquisition proposals from Cheung Kong Holdings and Huaxin Pacific were sent to Miramar’s board of directors.
On that day, Yang Bingzheng said in front of the media:
"None of the directors have reached a consensus with Cheung Kong and CEFC that Miramar Properties has excellent development potential and the net asset value is yuan/share."
"We only received phone calls of interest from the financial advisors of Mr. Li Ka-shing and Mr. Wing Chi-kin last night, and at 9 a.m. the next day, the acquisition proposal was sent to Miramar's board of directors. For such a huge acquisition, the parties were not given appropriate time.
To understand and then act suddenly is certainly not friendly and well-intentioned.”
"And the price of the acquisition proposal is 15.2 yuan, which is much lower than New Era Group's intended offer! The attached conditions are not satisfactory either!"
For a time, public opinion was in an uproar.
Yang Bingzheng's move was regarded as a public criticism of Li Chaoren and Mr. Rong, which could be said to have offended two wealthy and powerful forces.
This chapter is not over yet, please click on the next page to continue reading! And the media is even more curious about the proposed price of New Era Group?
It has been so long since the news broke, but New Era Group has still not formally submitted the acquisition proposal. It seems that it is very confident in its offer. This has always been in line with Lin Zuhui's style of acquiring at a premium, but later facts proved that he has a very good vision.
, it only takes one year to achieve parity.
.......
That night, Lin Zuhui also invited Lee Shau Kee to dinner.
During the dinner, Lin Zuhui said: "Uncle Fourth, are you interested in participating in the project? Let's work together to develop the old wing of Miramar Hotel (originally three old hotel buildings)!"
Lee Shau Kee was stunned and immediately asked: "Do you want to spin off the Miramar Hotel?"
Lin Zuhui shook his head and said: "Of course not! I'm worried that after I acquire only 34.5% of the shares, Li Chaoren and the others will want to continue the full acquisition, and then the Yang family will lose their ancestral business. So, if you are optimistic about it, you can acquire it
The two of us only serve as directors. When Mr. He is willing to retire, I will serve as the chairman of the board of directors and we will jointly develop the Miramar Hotel!"
He is also worried that Li Chaoren intends to make a full acquisition (90% impossible), so he is not very reassured. Once the shares exceed 35%, a full acquisition will be required.
Although this deal is a good deal, Lin Zuhui does not want to invest 89 billion in cash in the Miramar Hotel.
Therefore, it is better to invite Lee Shau Kee and develop together.
Lee Shau Kee thought for a moment and then said: "How do you plan to develop the Miramar Hotel?"
Lin Zuhui said: "The land is naturally used to develop Miramar Mall, which can build a shopping mall of more than 500,000 square feet; and then an 18-story office building with 40,000 square feet per floor can be built on it...
..In addition to this plan, for investment in the mainland, I plan to position Miramar as a three-star or four-star hotel, and then invest in multiple plans. It is the time when the mainland is developing its economy, and the return occupancy rate of three- and four-star hotels is high.
It can speed up the return of capital.”
Li Shauji nodded frequently and was very moved. Although he was not a major shareholder, Miramar's assets and prospects were still huge, and the long-term dividends would definitely be good.
"Okay! I can buy individual shares from the market!"
"He Lao and the others have 5%, and the Yang family has 34.5%, which adds up to 39.5%. Of course, Yang Bingzheng will keep 5%, and when the market opens tomorrow, the fourth uncle can absorb it in the market. But you should not exceed 17 yuan per share.
After all, once Li Chaoren retires, the current Miramar Hotel cannot afford 17 yuan per share."
Li Zhaoji nodded and said: "That's true! As long as you reach an agreement with the Yang family and reach an agreement with Brother He and the others, we will have 40% of the equity in our hands. I know Li Chaoren, he will not raise the price again.
Because your price is too high."
Lin Zuhui smiled and said: "That's good!"
In any case, the Miramar Hotel is not an asset that Lin Zuhui values too much, so he does not want to fully acquire it.
........
Friday, May 22nd.
The 13 directors on the board of directors of Miramar Hotel all accepted the acquisition proposal of New Era Group and gave no chance to Cheung Kong and Huaxin Pacific.
For a time, public opinion in Hong Kong reported the details of this takeover battle.
When New Era Group's offer and conditions were announced, everyone realized that Li Chaoren had not lost unjustly. The sky-high price of 17 yuan per share was a full 36% higher than before the takeover war.
Not only that, such a high price also allows Yang Bingzheng to continue to manage the business, which shows his full sincerity.
Faced with this result, Li Rong Group stopped raising prices and admitted that the acquisition failed.
Public opinion described this confrontation as Lin Chaoren defeating Li Chaoren again.