Chapter 516: Just a Little Bit of Weather
the next day.

Alone in the large suite of the Peace Hotel, after waking up, Fan Wumian suddenly wanted to eat noodles, so he packed up and went out, finding a century-old restaurant to taste the “Kai Onion Oil Noodles”.

Pu Jiajing chose a corner seat in the noodle shop to avoid the crowd that was attracted to shout and scream. She sat opposite him and said in a low voice:
“The little white rabbit that was delivered to my mouth last night was actually let go by you, boss. When she left, she looked back every few steps, as if she couldn’t bear to leave you.”

Mixing the noodles with chopsticks, Fan Wumian replied:

“Those who are greedy for money are prosperous, those who seek love are unsuccessful, the wise do not fall in love, and the foolish indulge in pleasure. Come to think of it, I don’t even seem to know her name. It’s enough to experience it to broaden my horizons, and I’m worried about being set up by a honey trap.”

It’s definitely a good idea to be a little cautious when it comes to a conspiracy set up by others. Compared to a penniless young girl, famous actors in the entertainment industry are more reliable.

The former is likely to use the romantic scandal to climb to the top in order to become famous, causing Fan Wumian to fall into the gutter, but the latter will not joke about his own future easily.

Pu Jiajing had been with Fan Wumian for a long time and had learned to look at men with a new perspective. She ignored this trivial matter and continued:

“You asked me to check China Merchants Bank Securities yesterday. The information has been sent to your email.”

“The company is headquartered in Shenzhen, with total assets under management of approximately RMB 140 billion, a market share of approximately 3.6%, and net assets of approximately RMB 35 billion.”

“Last year, our net profit was over 6000 million. This year, the stock market is doing well, and we have made over 9 million in the first three quarters.”

“.Then why did someone tell me last night that its market value is only 30 billion RMB?”

“Because the debt is too high, it owes the bank about 130 billion, and the interest alone is 7.8 million every year. The conclusion of McKinsey Consulting also reminds us that this year’s bull market may not be able to continue for a long time. In 2003, the company lost more than 4 million, and only made 2002 million in 500. Now it has a lot of non-performing assets.”

After Pu Jiajing finished speaking, Fan Wumian had a rough idea in his mind.

As a subsidiary of China Merchants International Group, one of the “big conglomerates”, China Merchants Bank Securities has assumed social responsibilities in recent years and taken over several problematic securities and fund companies, causing its debt ratio to soar, dragging down its development in the short term, which led to its low valuation.

It can be seen from the Internet industry that there is currently a lack of professional evaluation agencies in the mainland. Coupled with the sluggish securities and fund markets in the past two years, investors have a serious lack of confidence, resulting in inaccurate valuations of many companies.

Moreover, creating a chaotic situation in valuation pricing may be exactly what many foreign companies want to see, so that it will be easier for them to fish in troubled waters and acquire high-quality assets in the mainland at low prices.

It is difficult to make a clear calculation about the confusing accounts of foreign investment. After all, although they suffered a lot of losses in the process of joining the WTO and integrating into the global economy, they also used markets and wealth as bait to successfully allow the mainland to gain a firm foothold in the international market. Overall, the benefits undoubtedly outweigh the disadvantages.

Overhearing other people chatting last night, I learned that most businessmen are pessimistic about the future economic development of the mainland. They believe that the economy will soon be affected by factors such as the Federal Reserve’s interest rate hike, a slowdown in export growth, a slowdown in investment growth, and so on, and will fall into the downward phase of this economic growth cycle.

Some businessmen are even eager to cash out and immigrate to other countries, while others allocate their assets in US Treasury bonds and happily wait to earn interest.

On the other hand, countless multinational companies, as well as Uncle Li from Hong Kong, have made a fortune in the process of investing in the mainland and have not missed the feast of rapid economic development. These days, most foreign companies that focus on the mainland market can reap the benefits.

Many people who have gone abroad used to curse everywhere when they were in China, and they still curse everywhere after they go abroad, and their lives are still hard.

In the first half of the year, Yang Mi earned some money from filming “Detective Chinatown” and also took out a loan of 245 million yuan to buy a small courtyard house covering an area of ​​more than 260 square meters in Houhai, Yanjing, about three or four hundred meters away from Fan Wumian’s house.

The original owner went abroad to an island country and found that the price of courtyard houses in Yanjing has been rising rapidly in recent months, with an increase of more than 35%. Some time ago, he called Yang Mi’s father and said that he was cheated out of 600 million yen by the immigration agency and demanded that her family pay an additional 50 yuan in compensation, otherwise he would return to China to file a lawsuit and cause trouble.

Fortunately, Yang Mi’s father was a cop himself, and he just said, “If you have the guts, go ahead and make trouble.” Fan Wumian had long discovered that even the most optimistic economists dared not make too radical predictions these days, and even generally believed that it would take until around 2030 for the total GDP to surpass that of the island countries.

Some pessimistic economists have predicted that it will never be possible to surpass the island nation. It is estimated that it has received a lot of sponsorship fees from abroad.

But the fact is that after waiting for another 4 years, it was easily surpassed, the speed was so fast that it was unbelievable.

This often leads to a huge gap between Fan Wumian’s memory and real life. For example, China Merchants Bank Securities, which is only worth 30 billion yuan, is as cheap as cabbage in his eyes.

Directly ignoring the risks such as “too many non-performing assets” and “the debt ratio is much higher than that of peers”, Fan Wumian was full of confidence in such central enterprises. He answered while eating noodles:
“Well, those foreigners know nothing. Just take a look at the conclusions they give. If there is no problem, buy back a batch of shares of China Merchants Bank Securities as soon as possible. The more the better. You can take a share of about 200 to 300 million RMB.”

Pu Jiajing raised her eyebrows and asked in doubt:

“You’re still going to attend the auction, don’t you have enough money? And you’re using it as collateral for a loan, with only a down payment? If you keep going this way, your total debt will soon be higher than that of China Merchants Bank Securities. I’m afraid that the hundreds of millions of dollars in interest every year will be too much for you to breathe. When you invested in Paulson’s hedge fund, didn’t you also say that there might be a financial crisis?”

“Foreign countries are foreign countries, and domestic countries are domestic countries. As long as the economic growth rate is fast enough and the official policy support is strong enough, the mainland has the opportunity to develop an independent market trend and will not necessarily be affected too much.”

After Fan Wumian finished speaking, he paused for a few seconds and added:
“Otherwise, don’t buy the Fabergé egg you liked before. It’s just a work of art anyway. There’s nothing you can do with it except look at it. It doesn’t have much meaning.”

It’s a little after nine in the morning.

On the Hong Kong Stock Exchange side, Penguin Group plummeted from the opening, with the decline once exceeding 5.8%.

The bad news came from an article, which pointed out that Penguin Group is facing the impact of similar products such as NetEase Cloud Music, Microsoft MSN, and Yahoo Messenger, and that mainland telecommunications operators are planning to launch an instant messaging software and have recently made strong demands to cooperate with Penguin Group, including business mergers and interconnection.

In addition, the article points out that the proportion of Penguin Group’s wireless value-added services in revenue is continuing to decline, from 2005% in 36.3 to around 25% this year, and may be moved out of “DreamNet”, resulting in a sharp drop in revenue.

Some monopoly enterprises have long been accustomed to a comfortable life and want to get involved when they see a profitable business. For example, the profit-sharing ratio stipulated in the contract for Fan Wumian’s own mobile phone ringtone was almost forcibly modified.

Previously, a certain telecommunications operator did strongly request to cooperate with Penguin Group to help incubate their own instant messaging products.

This is tantamount to stealing food from the Penguin Group’s bowl and cutting off one’s own arm to help its competitors develop.

Of course, Pony Ma was not happy about this and had clearly expressed his refusal a few months ago. He even encountered some troubles because of this and started looking for ways to make money from other businesses.

Fan Wumian wasn’t quite sure why the negative news suddenly broke out.

I vaguely guess that it might be someone who wants to short-sell Penguin Group’s stocks to make a profit, or there might be a competitor who is trying to seize market share by undermining the prestige of Penguin Group.

After finishing his noodles, he returned to the hotel and leisurely searched for news to understand the situation. He only opened Weibo to find the topic tag “Penguin Stock Plunge” and wrote a sentence:
——”It’s just a little bit of wind and frost, but unfortunately I don’t have the spare money to continue to increase my position.”

He also posted the same content on the international version of Penguin Weibo, which had just started public testing. The effect was seen by noon, with the decline quickly narrowing to around 2%.

Until the close of the day, Penguin’s stock price not only did not fall, but instead rose slightly by 0.08%.

After hearing the news from Xiao Ma Ge’s phone call, Fan Wumian felt that it would be a pity not to do fund business with his current fame.
(End of this chapter)