Chapter 975: 291 million US dollars will do the trick

"Knock, knock!'

'Come in!'

In the chairman's office of the Jiuding Building, Xia Yu, who was reviewing documents, heard the knock on the door and said without looking up.

Then the door opened and Fok Kin-ning walked in. Xia Yu raised an eyebrow, put down his pen, and asked, 'Kin-ning, what's the matter?'

'Chairman, the acquisition of the equity of Island Pioneer Electronics has almost reached its peak. A total of 33.5% of the equity has been acquired, just over the one-third mark. The details are all in the report, please take a look!'

Fok Kin-ning gave a brief report and then respectfully placed the acquisition report in front of Xia Yu.

'Have a seat for a while, and make yourself some tea if you're thirsty!'

'Okay!'

Xia Yu changed to a more relaxed sitting position, leaning back against the soft, comfortable leather executive chair, and opened the acquisition report.

The acquisition report prepared by Huo Jianning was very detailed, with progress reported for each day.

For example, on March 24, 0.24% of the shares were acquired from the Tokyo Stock Exchange, and 0.15% of the shares were acquired from the Osaka Stock Exchange, for a total of 0.39% acquired that day.

...

On 21 April, 0.25% was acquired from Amsterdam, the Netherlands, and 0.17% from the Tokyo Stock Exchange...

On 30 April, 0.33% was acquired from the New York Stock Exchange...

Especially towards the end of May, the shares acquired on various exchanges had become quite small, and the acquisition targets were mainly the top 20 shareholders, and those who were simply financial investors.

When it comes to that point, it is actually difficult to hide, even if the previously acquired equity is scattered in the accounts of various shell companies.

After all, Island Pioneer is listed on four exchanges, and the number of shares in circulation is not high on each exchange. With few public shares, the reaction caused by the slightest wind and grass movement will be relatively greater.

Therefore, it is stated in the report that due to the uninterrupted acquisition of equity, the market value of Island Pioneer Electronics has now risen to 205.8 billion yen, an increase of 14% compared to two months ago.

The acquisition of 33.5% of the shares cost a total of 291 million US dollars.

Apart from the 100 million US dollars provided by Xia Yu, the rest of the funds were raised by the four wholly-owned subsidiaries of the Tiangong Group themselves, mainly through self-owned funds, with a small part relying on loans. The surplus is returned and the deficit is made up for, and the specific amount is determined based on the subsequent equity distribution, so that no subsidiary will suffer.

The report also states that in order to maximise the effect and benefits, it is planned that the equity will be distributed according to the following plan: Tiangong Electronics, which has the most direct effect, will hold 13.4% of the shares, Tiangong Automotive Group, which can use the car audio, will hold 10%, and the remaining equity will be held by Tiangong Electrical Appliance Manufacturing Company (5.1%) and Tiangong Machinery Group (5%).

...

'I've finished reading the report, it's very well done!'

'Since the acquired shares have already exceeded the one-third threshold, the purpose of strategic investment has been achieved. More would be a waste. After all, the company's shares are not cheap, so we should save where we can.'

'You have also considered the shareholding distribution plan very thoroughly. Let's do it this way.'

'What you need to do next is to transfer the shares from the account of the shell company and consolidate and distribute them under the names of the four companies. After disclosure, you will enter the board of directors of Island Pioneer Electronics.'

'The island country is different from the mainland, so you must be careful when choosing agents and directors. The ultimate goal is to maximise your influence within Pioneer Electronics. You must seize the opportunity!'

Xia Yu looked approvingly at him, and in a good mood, he spoke at some length.

Fok Kin-ning nodded solemnly and replied, 'Yes, I will definitely think more and act cautiously according to your guidance.'

Xia Yu nodded with satisfaction and said with a faint smile, "From now on, you can remove the word "acting' in front of your name. You are the chairman of Tiangong Group.'

Overall, Xia Yu was satisfied with Fok Kin-ning's actions in the capital market this time. Xia Yu was also at ease about adding to Fok Kin-ning's workload to accelerate his growth, so it was time to honour the promise he had made at the beginning.

Fok Kin-ning was pleasantly surprised and immediately got up to bow to Xia Yu in thanks.

'Thank you, Chairman. I will definitely continue to work hard and make more contributions to the company, and I will definitely not let you down!'

Xia Yu smiled and said encouragingly, 'Keep up the good work, and I will be watching your performance in the future.'

'If there's nothing else, you can go back to work.'

'Okay, then I won't bother you anymore!'

After saying this, Huo Jianning carefully withdrew, and after leaving the room, he left with a spring in his step.

Looking at the acquisition report left on the table, Xia Yu smiled, then picked it up and put it in the shredder to shred it.

With the acquisition of the shares in Pioneer Electronics, Tiangong Group will have an important piece of the puzzle. Tiangong Electronics will be able to use a lot of key technologies and develop and produce related products; Tiangong Automobile Group will have a greater advantage in the field of car audio; Tiangong Machinery Group can start in the field of industrial audio; and Tiangong Electrical Appliances Manufacturing Company can develop and produce audio products for home use.

In short, this equity acquisition is of extraordinary significance!

...

Garth Liddle was very enthusiastic about Xia Yu's order to acquire the shares of Tsao Kuang-piu, and made it the top priority of all his work.

From the order to the completion of the acquisition, it only took exactly one week!

And the purchase price was not too high.

Twenty-four percent of the shares cost a total of 90 million Hong Kong dollars!

According to the latest issue of Economic Weekly's corporate rankings, the valuation of Hong Kong Airport's ground handling mistake should be deleted, and it is only 350 million Hong Kong dollars. Moreover, the main value is concentrated on the 4% stake in Cathay Pacific worth more than 100 million, the company building and some land.

According to this valuation, 24% of the equity should be worth 84 million Hong Kong dollars, and Standard Chartered Bank's acquisition of the equity from Tsao Kuang-piu is only a 7% premium.

Xia Yu was a little curious about how Giles Liddell could complete the task with such high efficiency and quality. The answer he got was that Cao Guangbiao's Yongxin Enterprise was planning a large-scale expansion of the factory, and he wanted to take out more loans by taking advantage of this opportunity. Cao Guangbiao was already planning to list Yongxin Enterprise, and he hoped that Standard Chartered Bank could become the lead underwriter of his company's listing and help him push up the stock price by making market moves at that time.

Of course, Giles Liddell did not hesitate to agree to this kind of blank cheque. After all, the future is unpredictable, so we'll talk about it then.

After encouraging Giles Liddell, Xia Yu reminded him to prepare for the performance, and then immediately notified Bao Yugang, informing him of the acquisition of Cao Guangbiao's shares and that he could start moving.

Bao Yugang, who had long been prepared, immediately sent an invitation to Swire Pacific Airlines on behalf of Hong Kong Air Cargo Terminals Limited.

The president of Swire Pacific Airlines was named Wade Shiyahuai, a cousin of Norman Shiyah, the head of the Shiyah family.

During the meeting, Bao Yugang proposed to take an equity stake in Hong Kong Airport Ground Services with the aim of deepening cooperation, optimising the service quality and operational efficiency of Kai Tak International Airport, and achieving a win-win situation.

It has to be said that Wade Shiahuai was wary of Chinese investment and asked Bao Yugang some probing questions. Unfortunately, Bao Yugang was an old hand at this and didn't show any unusual behaviour.

A little disappointed, Wade Shiyahuai said he needed to think about it and would get back to him in three days, and then ended the meeting.

After Bao Yugang left, Wade Shiyahuai immediately gathered his subordinates to discuss Bao Yugang's true intentions.

In the evening, he went to Norman Shiyahuai's villa to report to him.

'...'

'Uncle, that's what happened. I've already gathered people to discuss it, but I'm still not sure what Bao Yugang's real intentions are,'

Wade Shiyahui finished and looked at Norman Shiyahui quietly.

Norman Shiyahui pondered for a long time and asked his nephew Wade, 'Wade, I remember that there are a few Chinese shareholders in Hong Kong Airport Ground Services, right? What is our shareholding percentage?'

Wade Shiyahuai immediately replied, 'Uncle, Swire Pacific owns 41% of the shares of Hong Kong Airport Ground Services, and together with the 4% owned by Cathay Pacific, we own a total of 45%.'

'In addition, Cao Guangbiao personally owns 24%, Fok Ying Tung's Fok Group owns 16%, and Jiuding Industrial Group owns 15%.'

Upon hearing this latter remark, especially the word 'Jiuding' that appeared, Norman Shi Yahuai's gaze sharpened and his suspicions were aroused.