Chapter 1177 Squeeze Quotes

   October 26, Sunday.

   Porsche Group issued an announcement: The company already holds 42.6% of the shares of Volkswagen Group, plus 31.5% of the options. Once all options are exercised, a total of 74.1% of the shares of Volkswagen Group will be held.

   This news was like a thunderbolt that quickly detonated the entire European financial market!

   Dozens of hedge fund managers are enjoying a happy weekend with their families, and at the same time fantasize about whether to buy a Porsche 911 or a 918 after the Volkswagen short position is closed. I must thank the Porsche family for their "friendship" cooperation!

  When they saw the announcement from Porsche, they were completely in no mood to think about which Porsche to buy.

  Everyone rushed to the company in a hurry. Now, let alone buying a Porsche, they may not be able to afford a bicycle.

  This night, countless well-dressed, wise and calm hedge fund managers on weekdays slapped tables, smashed cups, and howled like irritable beasts in the office...

   After they finished venting, they had to figure out a way to face the next ferocious squeeze.

   That’s right, short positions can’t be closed!

   Dozens of hedge funds held short positions equivalent to 10.4% of the total equity of Volkswagen through direct short selling and naked short selling, as well as options derivatives.

   100% of Volkswagen's total share capital, minus the 74.1% announced by Porsche Group, and minus the 20.1% held by the Lower Saxony state government, only 5.8% of the outstanding shares.

   Subtract 5.8% from 10.4%, which means that 4.6% of short positions cannot be closed.

   In this case, there is only one solution. After the market opens tomorrow, everyone will use their ability to grab chips and close their positions.

   If you can’t grab it, then you can only pray to God!

   The next day.

   As soon as the Frankfurt Stock Exchange opened, Volkswagen’s stock price soared like a rocket.

  €250

  €300

  €350

  …

   It is hard to get a ticket in the market, there are many buyers and few sellers.

   Even the most sluggish person realizes that there is a problem with the short group, and there is no rush to sell the ticket. .

  Wait a second, a share can sell for hundreds of euros more.

  The shorts have no choice but to try to get the chips to close the position by continuously raising the quotation.

  Experienced hedge managers know that if they drag on, they will only die worse.

  At this time, the European subsidiaries of Goldman Sachs and Morgan Stanley also issued an announcement stating that they each held a part of the underlying shares and options of the Volkswagen Group, holding a total of 3%.

   The news stunned dozens of hedge fund managers.

House seemingly endless rain!

   The liquidation gap was originally as high as 4.6%, and now it has increased by 3%.

   also means that the total short position of 10.4% is facing only 2.8% of the outstanding shares.

   It becomes more difficult to close a position!

  …………

  …………

   In a large manor near the Black Forest in Stuttgart, Xia Jingxing sat on a chair in the open air, looking at the lush forests and vegetation in the distance, and took a few deep breaths of moist air.

   Then he felt strange, how could he smell the euro like that of Li Yaozu?

Thinking of this, he turned his head and smiled and looked at an old white man in his 60s sitting across from him, and said, "Mr. Porsche, you still understand life, living in such a beautiful and charming place, I believe that every day can have a good mood.

  I read the fairy tales of Cinderella and Snow White when I was a child, but I didn't know that it happened in this black forest before I came here.

   is indeed a good place! Come and don't want to leave! "

   The silver-haired old man sitting across from him smiled with a wrinkled face, "It seems that it's not a bad choice for me to meet here! After talking about things later, I think I can invite Mr. Xia to visit the Black Forest together."

   "Really? That's great! I love the environment here."

  After a while, Wolfgang Porsche, the grandson of Porsche founder Ferdinand Porsche, the fourth son of 911 creator Ferry Porsche, who is also the current head of the Porsche family and chairman of the Porsche Supervisory Board, suddenly said:

   "Mr. Xia, I remember that you seem to be the largest shareholder and chairman of Tesla Motors, right?"

  Xia Jingxing replied with a smile: "Yes, like you, I personally like cars very much."

  Wolfgang said lightly: "Then why do you buy Volkswagen stock? I think people who really like and love the car business should design one or more classic cars and use it to conquer the market."

   "In fact, Tesla has been designing a new car that is a perfect electric car, and Mr. Porsche will be able to see it soon."

  Xia Jingxing said neither humble nor arrogant: "Besides, I am also a financial investor, and I bought Volkswagen's stock because I am optimistic about its development.

   And firmly believe that after Volkswagen returns to the Porsche family, it can usher in more brilliant achievements. "

   Hearing the word "return", even at Wolfgang's age, there was a smile on his face.

   "Oh, is that right? After Tesla's new car goes on sale, do you want to go to the New Nordschleife with 911?"

   The corner of Xia Jingxing's mouth rose slightly. He remembered that when the Roadster was just launched, in order to achieve marketing effects, various sports car brands such as Porsche and Ferrari and Lamborghini were touched. However, all these companies were unwilling to end the battle with Tesla.

   A little-known electric car brand, won't gain face, lose face will lose face.

   Now Wolfgang is willing to send the ace car series 911 to fight, seems to be giving himself a great face?

Xia Jingxing didn't bother to get to the bottom of it, so he happily agreed, "Okay, I'll let the American Facebook, YouTube, China's Hainei.com, and Tudou Video to warm up the event, and after the event starts, the whole process will be broadcast live, I believe it should be possible. attract the attention of hundreds of millions of people around the world.”

  Wolfgang smiled faintly, young man, his tone is quite crazy, I hope the car will be as optimistic as it is now when it arrives on the track.

   did not mention this again, Wolfgang talked about the origin of Volkswagen and his family.

   "I believe Mr. Xia should also know that the first model of the predecessor of Volkswagen, the National Automobile, was designed by my grandfather Ferdinand Porsche."

  Xia Jingxing nodded lightly, Volkswagen does have a deep relationship with the Porsche family.

   The campaign slogan of the head of state at that time was "Germany should be like the United States, everyone has a car to drive".

   In the United States in the 1930s, 1 in 5 people owned a car, while in Germany only 1 in 50 people.

   Porsche's design studio accepted the task assigned by the head of state to design a car that ordinary people can afford, and the price can't be more expensive than a motorcycle.

   Volkswagen's logo "VW" is the abbreviation of German Volkswagen (people's car).

Under the guidance of the founder of Porsche, the beetle was soon born. The price was only 990 marks. At that time, the per capita monthly income in Germany was 128 marks, and a person could buy a car with more than half a year's income. This shows that the head of state still did not randomly write empty checks and basically fulfilled his election promise.

   "After the end of World War II, the French arrested my grandfather and wanted to move Volkswagen to France. Because of internal opposition in France, this matter was finally abandoned."

   When speaking of the French, Wolfgang looked disdainful.

  Xia Jingxing thought it was funny, what happened to France, everyone would step on it.

   "My grandfather died not long after, but his last wish was that our heirs would take back the Volkswagen he built into the Porsche family!"

  Under Wolfgang's gaze, Xia Jingxing nodded, "I can actually understand your family sentiment very well!

   But as far as I know, Mr. Ferdinand Piech, former chairman and CEO of Volkswagen and now chairman of the supervisory board, is also a member of your family, right?

   This old gentleman led Volkswagen to enter China and is very influential within Volkswagen. With his help, it would undoubtedly be much easier for the Porsche family to take back the Volkswagen brand.

   And he should have inherited a lot of Porsche shares, right? "

   Wolfgang sneered, "Mr. Xia, you misunderstood, he is no longer a member of our family, his surname is Piech, he is not worthy of the name Ferdinand."

   If it wasn't for Xia Jingxing who had known about the grievances and grievances of the rich and powerful before he came, he would have been dazed by the old man's remarks.

   Former Volkswagen CEO Piech is actually the cousin of Wolfgang, the current head of the Porsche family, and the son of his aunt.

  The two families were quite close before, adding the name of Porsche founder Ferdinand to the front of Piech's surname.

  This operation is often used in Europe and the United States. If the mother is from a famous family, the mother's surname or the name of the ancestor's famous person should be added to the offspring.

Whether    is useful or not, it must be useful. It is hard to say that Piech can become the CEO of Volkswagen without the influence of his grandfather.

   But since Piech slept with his cousin's wife, the second sister-in-law of the old man in front of him, the two families had become hostile.

   In particular, Piech also divorced and married his cousin's wife, which hurt the face of the big family even more.

  Xia Jingxing felt that Wolfgang, the third generation of Porsche, was so obsessed with acquiring Volkswagen, maybe he also had the intention of revenge on his cousin.

  Aren't you pretty cool? I'll **** your most proud career!

  Xia Jingxing stopped going around in circles with the old man, and directly talked about the matter of public equity.

   "Mr. Porsche, you are now within easy reach of the 75% holding line. You only need to acquire another 1% of the Volkswagen stock to realize the family's dream shared by three generations for more than 70 years!

   And you, as the third-generation head of the family, will definitely be included in the glorious family history! "

   Wolfgang smiled and said: "Yes, the dream is about to come true!"

  Xia Jingxing silently watched the old man sigh, but the other party didn't write anything for a long time.

   He reminded aloud, "After today, Volkswagen's tradable shares will definitely be less than 2%. If Porsche chooses to buy shares from the secondary market, it will inevitably be robbed by short sellers."

  Wolfgang waved his hand, "We are not in a hurry, our holding costs are very low, our patience is also very good, and we are not in a hurry to realize our dreams these days."

  Xia Jingxing heard the overtones and said with a smile: "Okay, I understand, then let's learn from Mr. Porsche and cultivate more patience."

  Wolfgang looked at Xia Jingxing with bright eyes and smiled, "Mr. Xia, I advise you better not to wait, the food will be cold after waiting."

   "Thank you Mr. Porsche for your suggestion! But there is an old saying in China, that a good meal is not afraid of being late!"

  Xia Jingxing looked at Wolfgang with a smile on his face for a few seconds, and the latter sighed suddenly, "Alright then! The shotgun is ready, let's go to the Black Forest together, there are a lot of prey in it!"

  Xia Jingxing said, "Forget it today, next time I'll go hunting with Mr. Porsche."

   Wolfgang gave Xia Jingxing a meaningful look, and quickly forced a polite smile on his face, "Alright! There will be opportunities in the future."

   After saying that, he got up and shook hands with Xia Jingxing, posing as a way to see off guests.

   Seeing this, Xia Jingxing didn't plan to stay any longer, he shook hands and turned around and left with someone.

  This old man likes to play with him, so let’s play together.

   (end of this chapter)