The birth of the Hong Kong Island family

April 5th, Qingming Festival.

When employees at the Hang Seng Bank head office on Queen's Road in Central came to work, they were immediately shocked. I saw a dense line of people queuing outside the bank. The line was endless and I didn't know where it extended.

There were also many police officers who had heard the news and came to maintain order. The scene was extremely spectacular.

"Oh no, it's a run!" The bank employee suddenly wailed.

"What should we do? With so many people, how can our bank have so much cash flow!" complained an employee.

"Stop talking! Come to work quickly and prepare to deal with it! What can we ordinary employees do if something like this happens?" the employee could only say sadly.

Everyone hurriedly walked into the Hang Seng Bank Building, which was built just a few years ago, through the back door (employee passage), and they all had a bad feeling. After all, rumors that have been fermenting for so long will turn into a river of blood once they break out.

As soon as Hang Seng Bank opened its doors at nine o'clock in the morning, people poured into the lobby - withdrawing money and canceling accounts.

He Tian, ​​who heard the news, came to the door of the business hall under the escort of the staff, and began to explain to the depositors: "The bank has a good reputation, and we will never lose a penny. The interest rate of the bank is so high. Wouldn’t it be better to deposit in the bank to earn interest? It’s really uneconomical to withdraw it before it’s due! We, Hang Seng Bank, can afford to build a 22-story building, and still owe you money? The bank has a lot of funds, and someone Jazz big shots have recently deposited large sums of money, this is our credibility!"

A lot was explained, but fell on deaf ears.

What's more, there were boos and curses.

"Where did you get the money? It's not our depositors' money. Where did you get the money to build the bank building? It's not our depositors' hard-earned money."

"That's right! How do you rely on your authority? It's not just a lump sum of money from our depositors."

"If you don't pay today, I'll break your bank!"

An excited aunt picked up something and almost smashed it. Fortunately, JC stopped her in time.

Even so, He Tian was so frightened that He Tian quickly evaded and fled in confusion under the escort of the staff.

He Tian returned to the office building and reported the matter to He Shanheng. At this time, everyone was anxious and anxious.

"We have a cash flow of 280 million Hong Kong dollars, and we can definitely support it! Don't panic, immediately ask the Hong Kong government for help, and let the Hong Kong government, HSBC and Standard Chartered come out to stabilize the market sentiment. Guowei, please hurry up and handle this matter. You understand English!" He Shanheng said in a deep voice after calming down.

During the run in February, the Hong Kong government contributed a lot. For example, the Hong Kong Governor signed a decree, the pound was also the legal currency of Hong Kong (pounds can be withdrawn to depositors), and there was a temporary limit on depositors' withdrawals. In the end, there was no limit on the entire Hong Kong bank. The system broke out and only a few companies were affected.

Li Guowei nodded and said, "Okay, I'll contact you right away!"

Generally speaking, HSBC and Standard Chartered Bank, as note-issuing banks, are equivalent to central banks. London once suggested that the Hong Kong government set up a central bank, but HSBC directly protested, and eventually the matter was ignored.

Moreover, HSBC and Standard Chartered are executive members of the Hong Kong Association of Banks, so they are obliged to maintain order in banks. Every time there is a bank run, they provide some support.

Of course, this support is limited, such as stabilizing military morale and providing a small amount of cash loans.

But Hong Kong's runs are so terrifying that they can wipe out a banker's decades of hard work in an instant.

He Shanheng arranged everything calmly, letting the senior executives have their own tasks. After everyone left, he sat down helplessly.

"What's wrong with us building a bank building? Could it be that the money from HSBC and Standard Chartered was brought here from London?"

"Why do these depositors always have trouble with Chinese banks?"

He Shanheng complained in a low voice about the injustice!

He needed to be calm and collected in front of his colleagues, but only then did he feel - it was really scary to squeeze out!

Hang Seng Bank has over 800 million in deposits. Even if half of it is withdrawn, it will be too much to bear. His only hope is that after the run occurs for a day or two, with the help of the Hong Kong government, HSBC and Standard Chartered, the run will stop.

In this way, Hang Seng Bank has escaped the disaster.

"It's fine!"

Cheung Kong Holdings.

On the third day of the run on Hang Seng Bank, its general manager, He Tian, ​​found Lin Zhichao’s office.

Logically speaking, Lin Zhichao should avoid seeing it. After all, he had promised Sandus not to interfere. However, Lin Zhichao likes to do things upright.

If he doesn't save, he won't save. He won't avoid it and fall into the inferior position.

"Sir Lin, you also know what's going on outside. Big Brother Shan asked me to ask for help. I hope you can help me again."

Lin Zhichao sat on the sofa with He Tian and said seriously: "I can no longer help you! He Sheng, I have a full 100 million funds to deal with it for you. This is my greatest strength. A lot of my funds are Investing in shipping is a bottomless hole. So I’m sorry!”

He Tian was immediately speechless. Before arriving, Brother Shan and he had analyzed that Lin Zhichao might not have the strength to save them.

Cheung Kong Industries and Cheung Kong Industries can indeed make money, but I heard that Global Shipping's debt is very high; Lin Zhichao borrowed heavily in order to rapidly develop shipping, thanks to the support of HSBC Bank.

"Lin Sheng, what do you think Hang Seng Bank should do?" He Tian said lonely.

Lin Zhichao shook his head and said, "I don't know what to do. After all, after three days, the Hang Seng Bank's cash run may have reached a scale of 200 million. And the number of people outside still hasn't decreased. The queue from Hang Seng Bank to Chater Garden has been so long. I don’t know what to say about our team! If I really want to say it, Hang Seng Bank is still very popular, after all, there is no problem with the assets!”

He Tian raised his head fiercely and said, "Lin Sheng, are you talking about selling yourself?"

Lin Zhichao nodded, but didn't speak!

He doesn't get involved in this kind of thing.

The reason why He Tian is received is because everyone is a friend and he will not hide his head or hide his tail.

He Tian could only stand up and say goodbye!

He can't blame Lin Zhichao, a Chinese leader, for refusing to save him, because he supported him with a total of 100 million Hong Kong dollars. In other places, Hang Seng Bank has only raised a total of HK$50 million.

What's more, when everyone was chatting together, Lin Zhichao also used Liu Chong Hing Bank as an example and said that Chinese-owned banks should take a lesson. However, the management of Hang Seng Bank in recent years has been too eager for success. They only saw the speed of surpassing Bank of East Asia and did not see its hidden risks.

After He Tian left, Hu Zhaoxu walked in soon.

"Boss, land prices and house prices fell sharply in the first quarter of this year, by almost 30%."

Lin Zhichao raised his head and said: "This time, we are not in a hurry to buy the bottom, just wait patiently! But you still have to pay close attention to the market and report to me if there is any situation."

"Okay, I understand!"

Let Hu Zhaoxu monitor every move of the market, but Lin Zhichao estimates that this year he will only consider buying bottoms a little; if the land price falls by half, he will buy less desirable ones.

The real bargain hunting was in 1967!

The other side.

After He Tian returned to the Hang Seng Bank Building, everyone saw his appearance and knew that their last hope was gone.

"Lin Sheng said that he has done his best to benevolent and righteous, and the current situation is not something he can save."

He Shanheng nodded and said, "Yes! There are only three ways in front of us now. The first is to accept the loan from Citicorp, the second is to be taken over by the Hong Kong government, and the third is to sell ourselves to HSBC."

Li Guowei said: "I'm afraid I won't be able to save Hang Seng Bank by accepting the loan from Universal Bank!"

Isn’t this a loan issue?

Moreover, after taking out the loan, Wan Guo Baotong will force you to repay the loan, and you don’t know what Hang Seng Bank will become in the end.

He Shanheng nodded and said: "So the first one is not feasible! As for the second one, it is even more impossible. Being taken over means preparing for bankruptcy."

Obviously, selling to HSBC is the best way.

He Tian said: "We still have more than 70 million in cash flow, should we wait until tomorrow?"

He Shanheng smiled bitterly and said: "It's okay to talk about it tomorrow, but it doesn't hurt to talk about it today!"

210 million Hong Kong dollars passed by in three days, and 80 million Hong Kong dollars passed by on the first day; therefore, more than 70 million Hong Kong dollars can last more than one day.

He Tian added: "Actually, I always feel that Lin Zhichao's financial strength is more than this. Otherwise, why would he not care and be nervous about the 100 million in our bank account. You know, many big accounts have closed their accounts in advance."

He Shanheng waved his hand and said, "That's natural, but he can't save us with all his strength! If I can give us 100 million, we will accept his favor. And the reason why he doesn't worry about his funds is because he knows that HSBC wants to save us." Eat us. So even if we are eaten, his funds will not be a problem."

He Tian said again: "It makes sense. He also told me today that he believes that Hang Seng Bank's assets are fine. It is a sweet potato. It seems that he guessed that Hang Seng Bank will only consider selling itself to HSBC in the end!"

He Shanheng said: "He is very powerful, he can plan ahead for everything, and his vision is very vicious! He criticized Huazi Bank back then, but I didn't expect it to come true today." After speaking, he couldn't help but feel lonely.

Everyone at Hang Seng Bank couldn't make up their mind and looked at He Shanheng.

"Wait until tomorrow! If it doesn't subside in the afternoon, then Guowei, go and talk to HSBC. 51% of the shares are worth HK$51 million, which is a lot of money."

Two days later.

Hang Seng Bank was eventually taken over by HSBC, because there were too many people running out, even if Hang Seng Bank had 70 million more cash than in the previous life, it would not help.

However, when the news spread that Hang Seng Bank was acquired by HSBC, the crowd of people running on the bank quickly disappeared.

I have to admit that Hong Kong citizens trust HSBC far more than Chinese banks.

"Boss, Li Sheng is here!"

"Um"

Then, Li Gaofu walked in with a big belly. He had gained a lot of weight in the past few years. He was very rich and his family was prosperous. His first wife alone gave birth to two sons and two daughters for him. Seven or eight years ago, he married a concubine and gave birth to another son and two daughters for him.

"Sir Lin"

"Brother Gao Fu, come sit down and talk!"

Lin Zhichao is as enthusiastic as ever. Although not long after Li Gaofu started real estate, everyone has their own careers and contacts, but they still meet occasionally to chat.

In the past few years, Li Gaofu has done well in real estate. Fuhe Real Estate can barely rank in the top ten in Hong Kong's real estate industry, and Li Gaofu's assets are probably over 100 million. Only the Taiping Building in Central (12 floors, 50,000 square feet), the Fuhe Building in Sheung Wan (22 floors, 198,000 square feet), and the Furui Building in Tsim Sha Tsui (26 floors, 260,000 square feet). The value is more than 50 million.

Of course, this is the value of last year. This year, the property has fallen rapidly. The price of 2,500 Hong Kong dollars per square foot in Central has now dropped to 1,500 Hong Kong dollars per square foot, and it is still falling.

It's a pity that there are no high-quality building properties for sale, otherwise Lin Zhichao would take action! Of course, there is nothing to regret, there is still a long time!

"You came to the company to see me on official business, right?" After drinking tea, Lin Zhichao took the lead in speaking.

Li Gaofu put down his teacup, and then said with a bit of bitterness on his face: "This real estate plummet is too sudden, I still have a medium-sized real estate and a small real estate under construction, and my funds are a little tight now, so I want to borrow 15 million from you. Emergency response.”

Lin Zhichao nodded and said: "For business to business, the interest will be calculated according to the bank's lowest 12%. I will ask Zhou Fuzhao to contact you later!"

Li Gaofu quickly expressed his thanks, and said: "This time, I didn't understand the situation, so I failed. Now the bank is urging me to pay off the debt, so I can only come to you for help. In any case, finish these two buildings first."

Now a small real estate requires a lot of investment. According to last year's land price and construction costs, the investment for a building is more than 8 million Hong Kong dollars; a medium-sized real estate requires at least an investment of more than 30 million Hong Kong dollars.

In addition to commercial real estate and development real estate, Li Gaofu's assets now also include purchasing properties abroad and starting trading and other businesses. So assets of over 100 million are one thing, but how much cash can be withdrawn is another.

This is why Lin Zhichao dared to say that no Chinese-funded businessman in Hong Kong can come up with 200 million in cash flow, thinking that if he can get it out, his assets will be at least 1 billion or more.

Lin Zhichao said: "It's not too aggressive! Without my loan, it's not too difficult to get through the difficulties. But this bank run is indeed risky. I'm afraid there are many companies in Hong Kong that are liquidated and bankrupt."

No, at least four to five hundred companies will go bankrupt next year, including a large number of real estate developers.

Li Gaofu was afraid for a while, and said: "It's still at the last moment, and I'm a little greedy. Even if I was greedy a year in advance, I won't be short of cash flow now."

In fact, he did not escape the two real estate crashes, but he was not very aggressive.

Take this time as an example, even if the two real estate projects with an investment of more than 40 million yuan were sold at half price, the loss would only be a mere 20 million yuan, which is not a large proportion of the total assets.

Seeing Li Gaofu's appearance, Lin Zhichao felt that he had no hope of competing for the "Five Real Estate Tigers".

First, investing in too much commercial real estate takes up a lot of funds.

Second, he leaves 30% of each property for rent, which makes the return on investment slow.

Thirdly, in both crises, he 'rushed' at the last moment, which shows that he is not very visionary.

However, although Li Gaofu's model cannot make him a first-class rich family in Hong Kong, it is also good to become a second-rate rich family, similar to the Ma Jincan family and the Liao Baoshan family.

Lin Zhichao said: "It's normal to win and lose in the market. The most important thing is to keep your cards so that you don't lose completely. You have a lot of assets scattered and invested, but you also have a lot of cards, so there is no need to be depressed."

He comforted Li Gaofu that there was no need to worry.

Li Gaofu asked at this time: "What do you think of the real estate market outlook?"

Lin Zhichao said with a smile: "The goods are in rotation. If the real estate in your hand can be sold, sell it. You already need to borrow money, which means that you must have the goods in rotation and sell them to get cash flow. As for the market outlook, Who can be 100% sure, just don’t borrow money to develop it!”

In fact, it has been revealed that this time was different from 1957, and it took a year and a half for the situation to recover.

In fact, real estate has fallen by 30-50% this year, and it will recover slightly in the first half of next year. However, in May and June, due to the incidents in the Mainland, the real estate industry is in a wait-and-see situation, so it will not recover; until the next year (1967), it will be a hell on earth. .

Therefore, in Li Gaofu's case, the best thing is to sell it if you can.

Although the price of this kind of real estate has plummeted, there are still some sales. After all, some people just need it.

"Okay, I understand!" Li Gaofu also said modestly.

Although he is already in his forties, his admiration for Lin Zhichao has always existed. Because of this, it helped him offset two disasters.

During the crashes of 1957 and 1965, countless real estate developers disappeared. Although he suffered a slight loss, it was not fatal, or even seriously damaged.

The reason why I need to borrow money this time is because I have invested 26 million yuan in the medium-sized site in my hand just for the land fee, and with the construction fee, the investment is nearly 40 million yuan. One-third of the site was already built and was being prepared for sale when this happened.

The cooperative bank forced him to repay the debt, so he could only come to Lin Zhichao to borrow some money.

"Just in time, let's go to Zhihao's place for lunch and try their abalone!"

"Well, this kid Zhichao has also become successful and revitalized the Fulin Hotel! Fulin's abalone has also begun to gain some fame in Hong Kong!"

"Haha, this kid has been scolded by me many times and has made some progress. As for the business, it can only be said that it has survived with the care we gave him."

After all, he is his cousin, and Lin Zhichao is still very happy to take care of him. He occasionally brings his friends to take care of him. With everyone's care, coupled with the selection and research of overseas abalone, he finally has his own characteristics.

Therefore, business began to improve, and I was able to survive in a high-end hotel.

However, Lin Zhihao was not a professional chef after all, so Fulin Hotel was destined to be classier than the later Regal Hotel - Fulinmen. Because of this, this hotel is nothing more than a testing stone.

Lin Zhichao is testing Lin Zhihao. When he runs the business for another three or four years, he will still have to engage in Chinese fast food. After all, if the Chinese fast food in Hong Kong is done well and becomes the number one, it can also become a listed company; after listing, it can be regarded as a way to develop into a catering kingdom.

The reason why Lin Zhichao is keen is because he can own 50% of the shares, otherwise his cousin would not be happy to take care of it.