Chapter 412: Win-Win

After pondering for a moment, Shen Bi slightly nodded, looked into Xia Yu's eyes, and asked, "Alright. May I ask which companies' stocks you are interested in?"

"The Dairy Company, Golden Gate Construction, and Yee Ho Auto Group!"

Xia Yu stated his targets plainly, which made Shen Bi instinctively furrow his brows.

This is because HSBC does not hold stocks in any of these three companies!

In recent days, major players from all directions have flocked to seize shares in the Yee Ho Group, with some even resorting to desperate measures. Many have approached HSBC regarding these stocks.

To address this, Shen Bi had specifically instructed someone to check which Yee Ho Group stocks HSBC holds.

He could confirm that HSBC did not hold stocks in the three companies Xia Yu mentioned.

"Mr. Xia, I'm sorry, but HSBC does not have stocks in these three companies."

Shen Bi expressed his apology, with a hint of regret, realizing he would miss out on these big deals.

Hearing Shen Bi's response, Xia Yu showed no sign of disappointment and maintained a pleasant demeanor.

Of course, HSBC does not hold these stocks, as these companies are private subsidiaries of Yee Ho Group and have been privatized in recent years. Their shares are not likely to be circulated.

However, Xia Yu's proposal had its own logic.

"Mr. Shen, actually, HSBC does have shares in these companies: Yee Ho Holdings, Yee Ho Pacific, and Yee Ho Group."

Xia Yu reminded him with a smile.

Shen Bi initially frowned, somewhat confused, but he knew Xia Yu's words had deeper meaning.

What connection could there be between these three companies and the ones mentioned?

After some contemplation, a sudden realization struck Shen Bi, and his eyes brightened as he understood Xia Yu's intention.

"Mr. Xia, you want me to exchange the shares of Yee Ho Holdings and other companies for the stocks of the three companies you want, correct?"

Although Shen Bi phrased it as a question, his tone was certain.

Xia Yu nodded, "Exactly. Shares of Yee Ho's subsidiaries are easier to sell, but the shares of these holding companies are undesirable and hard to sell. Instead of keeping them, it would be better to exchange them with the Kershaw family for some of their companies."

Yee Ho Holdings, Yee Ho Group, and Yee Ho Pacific are holding companies under the control of the Kershaw family, with a strong grip on these companies.

The number of shares scattered from these companies is very limited, and only HSBC and Standard Chartered Bank might hold some.

Even if a small portion of these shares is acquired by other major groups, they would only be minor shareholders and would not affect the company's decisions significantly. For them, it would be inconsequential.

Banks hold onto these shares primarily for stable dividends.

Now that there are many more companies under the Yee Ho Group to compete for, why tie up money in something insignificant?

Other major players are not interested in these shares unless the Kershaw family is willing to sell them.

But that's unlikely!

Thus, the value of these shares in HSBC's hands will depreciate as Yee Ho Group's subsidiaries continue to diminish.

However, these shares are still valuable, especially to the Kershaw family.

During this critical time, the Kershaw family would definitely look to cut off many less important companies, reclaim capital, and retain key companies, especially the shares of these three holding companies. The more they hold, the better, to ensure absolute control over their subsidiaries.

The Dairy Company, Golden Gate Construction, and Yee Ho Auto Group are also crucial to the Kershaw family. Even with strong measures, Xia Yu might not be able to acquire them all.

Therefore, HSBC needs to step in to demand a split and exchange HSBC's shares for those of the subsidiaries.

Others might not succeed in doing this, but with Shen Bi involved, the chance of success is highest!

Don't forget, the Yee Ho Group owes HSBC a considerable amount of money. Without HSBC's funding over the years, Yee Ho Group wouldn't have been able to acquire so many companies.

At this critical moment, these debts have become a deadly bomb. If HSBC demands repayment citing risks and insolvency, it could indeed be fatal for them!

So even if the Kershaw family is reluctant to sell, they will still have to sell due to practical reasons.

After all, HSBC only needs these three companies. Besides these, Yee Ho Group still has a series of important companies like the Land Group, Yee Ho Machinery Group, Yee Ho Real Estate Investment, Yee Ho Shipping, and Yee Gao Property.

Even if the three companies are removed, the Kershaw family can still consolidate more shares in other companies.

From another perspective, it may help them streamline their resources.

Shen Bi fell into deep thought, reflecting on how many shares of Yee Ho Holdings, Yee Ho Pacific, and the other companies HSBC holds, their value, and whether it could be successfully exchanged. He wondered how much could be exchanged.

Seeing Shen Bi in contemplation, Xia Yu smiled slightly, poured himself a cup of tea, and leisurely sipped it.

Shen Bi did not outright refuse but was in deep thought, showing he was interested in Xia Yu's proposal.

Xia Yu anticipated this situation before arriving, knowing Shen Bi was not foolish. Xia Yu's proposal was essentially helping HSBC untangle itself and come out of the vortex.

Moreover, HSBC would also make a profit from this, making it a win-win situation.

After a long time, Shen Bi came back to his senses and seriously said to Xia Yu, "Mr. Xia, this deal is acceptable. We will proceed with it."

Just as Xia Yu began to smile, Shen Bi continued, "However, I just calculated, and HSBC's shares are not enough to fully exchange for the three companies you want."

So that's it!

Xia Yu's concern was immediately eased, and he smiled, "It's okay if it's not enough for a full exchange. For the shortfall, I would like to entrust HSBC to help me acquire them. Is that possible?"

Upon hearing this, Shen Bi, who was prepared, smiled and nodded without hesitation, "Yes, we will take care of it."

This is what Shen Bi wanted to hear, allowing him to proceed confidently with acquiring the three companies.

The shortfall in exchange value is not a problem. Once the exchange is underway, the Kershaw family will have to sell part of their shares.

HSBC wants them, and the Kershaw family will sell!

What Shen Bi did not tell Xia Yu was that HSBC could acquire a considerable amount of shares without the need for an exchange.

The Dairy Company, Yee Ho Auto Group, and Golden Gate Construction had borrowed funds from HSBC for their development. Shen Bi could use a debt-to-equity conversion method to obtain the stocks at a low price.

Combining both methods would definitely be enough to acquire all the shares of the three companies.

Buying the stocks at a low price and then reselling them to Xia Yu would result in a substantial profit.

However, the actual profit would depend on the negotiation outcome with Xia Yu!

"Alright, Mr. Shen. Let's finalize the cooperation. May I use the phone to have my people come over?"

Xia Yu finished his tea in one gulp and said decisively.

"Sure, please use it. I will arrange for the verification."

Soon after, Xia Yu called Jiuding Securities Company and asked Wang Qi to bring lawyers and assistants over.

Once Wang Qi and the team arrived, HSBC's team was also present.

First came the discussion on the ten-billion loan, focusing on the interest rate and the equity ratio of the Kowloon Warehouse Group's collateral.

These were minor issues, quickly resolved with both parties signing the loan agreement.

Then came the main event!

Since HSBC did not have shares in the three companies, Xia Yu signed an acquisition agreement.

However, unlike the previous commission-based agreement, this time they directly negotiated a fixed price for selling the three companies to Xia Yu.

Xia Yu did not take advantage of HSBC. After negotiations, the three companies were sold to Xia Yu for nine billion Hong Kong dollars. To ensure everything was secure, the agreement included a two-billion penalty clause to prevent HSBC from selling to others after acquiring the companies.

Xia Yu had to be cautious as these companies were too important to him to risk losing!

HSBC could acquire the stocks at a low price, but that was their expertise. Xia Yu only needed to ensure the companies were secured.

Of the ten billion Hong Kong dollars in loans, nine billion would immediately return to HSBC, and the remaining one billion would be invested in other company reforms.

In the presence of a third-party law firm, Xia Yu and Shen Bi signed and sealed the contracts on behalf of their respective companies.

With the contracts completed, both Xia Yu and Shen Bi secretly breathed a sigh of relief.

Carefully putting away the contracts, Xia Yu stood up, shook hands with Shen Bi, and expressed his gratitude, "Mr. Shen, thank you very much!"

"Not at all, we should thank you for the business!" Shen Bi responded quickly, his smile clearly showing his pleasure.

In Shen Bi's eyes, Xia Yu was like a god of wealth. Combining the two deals with HSBC, if operated properly, it was equivalent to lending Xia Yu one billion in cash while completing a nineteen-billion business deal. Not only did it solve HSBC's problem, but it also brought profit from multiple directions.

If word got out, other banks might envy HSBC, but none could match this achievement in Hong Kong. It was due to HSBC's comprehensive strength.

Xia Yu was well aware of this, which is why he was confident Shen Bi would agree.

He adjusted his mindset, knowing that while HSBC would certainly profit, as long as he felt he wasn't losing out, that was enough.

Besides, he wasn't at a loss, having secured three desired companies and one billion Hong Kong dollars for a ten-billion loan. It was a win-win deal from every angle!

There is indeed a way to achieve a win-win situation in the world!