Chapter 383 North American ATM (7K chapter, please subscribe~)

   North America, New York, Manhattan, Wall Street!

  High into the cloud building, the crowd is in a hurry. There are various commercial banks and securities companies such as Morgan, Citigroup, and American Express in the buildings on both sides.

  When people walk here, they will involuntarily become nervous because of the atmosphere here.

   Fortunately, Chu Huan is not such a follower. With Qin Peng and others, at this time, the leisurely and contented Chu Huan seems out of place compared with the hurried Wall Street.

Chu Huan's first stop in North America was not Los Angeles. There were still more than ten days before the premiere of "Jaws". Of course, Chu Huan came to North America so early not only to observe Universal Pictures' response to "Jaws" of publicity.

  In the distribution contract signed between Vertex Pictures and Universal Pictures, there is a special contract on promotion, in order to ensure that Universal can fully promote "Jaws".

  Although the movie "Jaws" was an epoch-making success in another time and space, Chu Huan understands that a successful movie definitely doesn't mean that if I take it to the theater and show it, all fans will buy tickets to watch it.

  For a movie to succeed at the box office, it needs overwhelming publicity.

   Movies like Jaws are no exception!

   It's like the "Ghost Story", which was regarded as the pioneering work by many American Entertainment's revival novels. With a shooting cost of 15,000 US dollars, it created a movie of more than 200 million US dollars!

The reason why this movie became a big hit at the box office later was that after Paramount, the distribution company, discovered the potential of this movie, it immediately spent tens of millions of dollars to promote the movie. The film was a huge success at the box office.

  Without Paramount's later publicity, the movie "Ghost Story" would not have had a box office of 200 million U.S. dollars, even 20 million U.S. dollars!

  The same is true for "Jaws". This movie will definitely be successful, but it also needs overwhelming publicity to make this movie have the box office it deserves.

It's just that before Chu Huan came to North America, he heard Kelly call and said that Universal was not very concerned about the promotion of the movie "Jaws". propaganda.

  Chu Huan decided to go to Los Angeles to solve the matter after he settled the matter in New York.

  The success of "Jaws" cannot be missed!

   It was possible for Chu Huan to give up dealing with the promotion of "Jaws" first, and choose to come to Wall Street, because there are profits that Chu Huan pays more attention to.

  In a coffee shop, Chu Huan met the long-lost Linda of the American Express Bank!

   At the beginning, Chu Huan leveraged US dollars here, and finally earned his first pot of gold in the true sense.

And this time, Chu Huan came here to settle part of the funds needed for the land in East Tsim Sha Tsui. Although the periphery of "Fantasy Comics" is still providing Chu Huan with a steady stream of cash profits, Chu Huan can't afford it. The sheep around "Fantasy Comics" is pulling its wool hard!

   After all, he was raised by himself, not by his stepmother.

  That's why Chu Huan set his sights on the current global economic center, and only here can bring him some of the funds he needs.

   "Chu, welcome to New York again!"

  Linda looked very happy after seeing Chu Huan.

  Can you be unhappy? The last time she followed Chu Huan, she made a lot of money.

   "Thank you, Linda, you are really getting more and more beautiful!"

  Chu Huan said against his will. I always feel that Linda is fatter than when we met last time.

  Although according to Chu Huan's current status, he could already have a direct meeting with the boss of American Express Bank, but Chu Huan did not do so. One is because he has cooperated with Linda before, and the two parties are happy to cooperate.

  The second reason is that Chu Huan does not need too much leverage this time, or even leverage, so choosing to continue to cooperate with Linda will be smoother, just like when Chu Huan first started in Xiangjiang!

   "Chu, have you found any business that can bring you huge wealth this time when you come to Wall Street?"

  After the pleasantries were over, Linda upheld the principles of Wall Streeters and spoke to Chu Huan straight to the point.

  Chu Huan smiled and said, "Are the materials I want ready?"

  Before meeting with Linda, the two sides had already talked on the phone, and Chu Huan also asked Linda to prepare some materials for him.

  Linda nodded, and then struggled to show Chu Huan a thick stack of materials on the chair next to her.

"This is a family business listed in North America in recent years with a market capitalization of about 200 million U.S. dollars. These materials include the shareholding ratio of these families in the company, the company's operating conditions in recent years, and some news within the family. There is a chart of the North American Dow Jones Index in recent years"

  Chu Huan nodded slightly, signaling to Qin Peng beside him to hand over the check he had already prepared to Linda. This is a check for 5,000 US dollars, which can be regarded as the reward for Linda's help this time.

  Of course, this salary is high, but Chu Huan still needs to use Linda in the future, so giving more is also to improve Linda's work enthusiasm.

   Sure enough, after seeing the reward, a smile appeared on Linda's face immediately.

   "Cooperating with Chuyou is a pleasure!"

  Chu Huan smiled and said, "Did the person I asked you find?"

  Linda looked at the lady's watch on her wrist, and then said: "I've found it, he should be here soon!"

   After the words fell, a middle-aged white male walked in. After seeing Linda, he walked over with a smile on his face.

   "Jerry, let me introduce you. This is Chu Huan from Xiangjiang, please come here!"

  Linda smiled and introduced Chu Huan to Jerry.

  Jerry stretched out his hand and said with a smile: "Mr. Chu Huanchu, a wealthy man in Xiangjiang, I have heard about it for a long time, but I didn't expect him to be such a young gentleman. It is really admirable!"

  Chu Huan stretched out his hand at the same time and said with a smile: "Mr. Jerry Kohlberg, one of the directors of Bear Stearns' financial department, the leveraged buyout you talked about is also deafening!"

  Jerry Kohlberg is a person who will play a pivotal role in the North American securities industry in the future. KKR, which he co-founded with his cousins ​​Henry Clivey and George Roberts, is the pioneer of leveraged buyouts in North America.

The famous book "Barbarians at the Gate" is about KKR's leveraged acquisition of the North American tobacco giant Nabisco, which involved a large-scale acquisition of 31 billion US dollars, while KKR only used 15 million US dollars, and all the rest All funds come from leveraged funds raised.

   Linda froze for a moment, and asked Jerry Kohlberg, "Jerry, do you know Chu?"

Jerry Coleberg was already sitting next to Linda at this time, and said with a smile: "I don't know him, I just heard of Mr. Chu's name, and know that he has the title of Midas in Xiangjiang. The real estate project with an investment of 6 billion Hong Kong dollars reported in the "Wall Street Journal" was written by a company under the name of Mr. Chu!"

  As one of the most important financial cities in Asia, Wall Street has always been paying attention to the situation of Xiangjiang. Of course, because of today's communication methods, it is impossible to say how much Wall Street knows about Xiangjiang.

  However, as the most important real estate project in Xiangjiang so far this year, Wall Street must have reported it.

   Linda was shocked!

  The real estate project that Jerry Kohlberg talked about, Linda also saw this news report on the Wall Street Journal.

  However, this report was not so conspicuous in the "Wall Street Journal", so Linda only knew that there was such a thing, but did not know the specific situation.

  But he didn't expect that this project was actually done by Chu Huan.

   And Linda also noticed one thing, that is, what Jerry Kohlberg just said, a company under Chu Huan's name?

   "So, Chu, you have other companies?"

   It was useless for Chu Huan to answer, Jerry Kohlberg had already preached with a smile.

   "Of course there are, "Fantasy Comics", as well as the peripheral youth toys of Fantasy Comics, are also Mr. Chu's company!"

  Linda is completely numb this time!

  As an elite on Wall Street, how could Linda not know about the two companies "Fantasy Comics" and Youth Toys!

  In fact, not only Linda, but also many Wall Street investment banks are paying attention to these two companies, especially when the flagship stores of youth toys are opening more and more in North America.

  Although the pride of North Americans makes many media reluctant to report on these two companies from Hong Kong, Wall Street is not like this.

   There is only one rule of survival on Wall Street, and that is profit!

  For profit, Wall Street can even sell North America!

   It is precisely because many investment banks are paying attention to these two companies that they naturally know more than others.

  Although "Fantasy Comics" and Youth Toys are not listed, and they are not North American companies, they do not need to disclose financial reports, but many investment banks have already regarded these two companies as unicorns!

   Linda was not surprised when she heard that Chu Huan was the boss of these two companies!

   "Chu, this is really unbelievable!"

  Linda preached in surprise.

  Chu Huan laughed and said, "It's just a moment of good luck!"

  Jerry Kohlberg was also observing Chu Huan at this time. As he said before, Chu Huan was too young, and he couldn't believe how young he was.

   But believe it or not, the man is already sitting opposite him, and he also wants to know why this rich man in Xiangjiang found him.

   "Mr. Chu, you specifically asked Linda to invite me here, what's the matter?"

Chu Huan said earnestly: "Since Mr. Kohlberg knows about my situation in Xiangjiang, he should also know that I have a consulting company in Xiangjiang. If Mr. Kohlberg is willing, I hope to hire Kohlberg. Mr. Berg has become the head of the North American branch of our Jiaku Consulting Company, and the manpower is twice as much as you are now at Bear Stearns, and at the same time, after completing each project, there will be a 3% profit dividend!"

  It is impossible to invite someone like Jerry Kohlberg to Xiangjiang.

  But Jerry Kohlberg is indeed a very rare talent. If he can be recruited into the company, it will be of great help to Chu Huan's investment in North America.

  That's why Chu Huan is willing to offer a high salary, and at the same time share profits to attract Jerry Kohlberg.

  In addition, before Chu Huan came to North America, he had obtained some information about Jerry Kohlberg from Ma Jizu. He knew that Jerry Kohlberg's work at Bear Stearns was not very smooth.

  Jerry Kohlberg is good at mergers and acquisitions, acquisitions, not finance.

   This is one of the reasons why Jerry Kohlberg will establish KKR together with the other two next year.

Linda thought that Chu Huan was a little whimsical. Bear Stearns is one of the largest investment banks in North America. You wouldn't go to Chu Huan, an unknown investment company!

  In this century, Bear Stearns is indeed one of the largest investment banks in North America, and even one of the facades of Wall Street, but in the next century, Bear Stearns will be on the verge of bankruptcy due to the subprime mortgage crisis in North America.

  Bear Stearns’ crisis came from its bets on real estate subprime mortgages and related derivative products, which relied heavily on financing in the short-term repo market, and maintained long-term assets by borrowing overnight funds.

  At the end of 2007, Bear Stearns' stock short-term repurchase exceeded US$100 billion. The interest rate difference between short-term funds and assets contributed to Bear Stearns' high profits.

   Of course, there is nothing wrong with doing this when the market is full of confidence, but once the market loses trust, a terrible crisis will come.

  In March 2008, due to the downward cycle of the North American real estate market, related derivatives based on real estate subprime loans destroyed the market's confidence in Bear Stearns.

Bear Stearns first experienced asset shrinkage. Two of its hedge funds went bankrupt, its credit rating was downgraded, and it was sued by investors. Then it encountered a liquidity disaster. Willing to continue financing to Bear Stearns, even if Bear Stearns took out US treasury bonds as collateral for repurchase, it would not help.

  In just one week, Bear Stearns' cash reserves shrank from 18 billion to 200 million, and it was completely impossible to complete the blood circulation through the repurchase market, and the situation was precarious.

   So on March 13, Bear Stearns had to ask the Fed for help, otherwise it would go bankrupt.

At that time, Bear Stearns had about 30 billion US dollars of financial assets, and these assets were mainly subprime mortgage loans, commercial housing mortgage securities and various financial assets derived from them. These assets had poor liquidity and no transactions. The market, so if these assets are sold at a low price in bankruptcy, it is likely to cause a chain reaction in the market, thereby endangering the safety of the entire financial system, indicating that the Fed decides to step in.

At the beginning, the Federal Reserve considered pushing the North American Ministry of Finance to use the foreign exchange stabilization fund to directly acquire Bear Stearns and turn it into a nationalized investment bank, but then US Treasury Secretary and former Goldman Sachs CEO Hank Paulson did not agree, so The Fed decided to take matters into its own hands.

  But as a central bank, the Federal Reserve does not have the authority to directly acquire Bear Stearns. Therefore, the Federal Reserve completes the custody of Bear Stearns through the large commercial bank, **** Bank.

   This is actually the same as the Huaguo Central Bank’s trusteeship of Baoshang Bank through CCB.

  So the Federal Reserve authorized the Federal Reserve Bank of New York to provide $13 billion in loans to **** banks, and **** provided Bear Stearns with guaranteed financing with a term of 28 days.

  In this chain, the government acts as a "fund bridge", and with the endorsement of the Federal Reserve and the government, the market is more acceptable.

  **** finally bought Bear Stearns, the giant bear, at the price of 2 US dollars in US stocks. Bear Stearns, once glorious, disappeared from Wall Street.

   Even if Jerry Kohlberg was an acquisition genius, there's no way he'd see things this far.

  But now Jerry Kohlberg does have the idea to come out and do it alone in Bear Stearns.

   What he didn't expect was that Chu Huan from Xiangjiang actually wanted to let himself join his company.

Those who want to do it alone naturally don't want to continue to rely on others, but Jerry Kohlberg also knows that this is a rare opportunity. Although he will not join Chu Huan's company, if Chu Huan can be his new partner It is also a good thing for companies to invest.

   "Mr. Chu, personally flew from Xiangjiang to New York, and deliberately chose this time period, I don't think it's just because you want me to join your company?"

After receiving Linda's call, Jerry Coleberg deliberately found various information about Chu Huan from various sources. Although there was no way to compare the details with Xiangjiang's, Jerry Coleberg Berg also knows the problems Chu Huan is facing now!

  That's the question about Chu Huan's cash crisis in Xiangjiang Media now!

   At this time, Chu Huan came to North America, to Wall Street.

  Jerry Kohlberg believes that Chu Huan came here to solve his financial problems.

   This is why Chu Huan admired Jerry Kohlberg for wanting to recruit him. This man is very smart!

  Chu Huan did not directly answer Jerry Kohlberg's words, but took a few copies of the information that Linda had handed to him just now and handed them to Jerry Kohlberg.

   After Jerry Kohlberg took it, he looked at it seriously.

   Soon, a shocked expression appeared on his face.

   "Mr. Chu wants to acquire a listed company in North America?"

   That was Jerry Kohlberg's first thought.

  He believed that since Chu Huan wanted to invite him to join his company, he must have investigated himself to a certain extent, and naturally knew where his specialties were.

  Buyouts, leveraged buyouts!

   That's why Jerry Kohlberg had the idea.

   But after speaking, Jerry Kohlberg immediately refuted his speculation.

   "No, no, Mr. Chu's current situation should not simply want to acquire a listed company in North America."

   After being silent for a while, Jerry Kohlberg looked at Chu Huan with a shocked expression, "I see, Mr. Chu is using the North American stock market as your cash machine!"

Chu Huan smiled noncommittally, and said: "Mr. Kohlberg, you have the ability in this area, I have funds, and I also have trust in you, so this time I very much hope to be able to cooperate with you, Mr. Kohlberg. A cooperation has been reached!"

  Jerry Kohlberg began to murmur. Chu Huan didn't deny his speculation just now, so it was true.

   At this time, Jerry Kohlberg also wanted to understand that Chu Huan came to New York this time to solve his cash problem.

  And what he has to do is to attack the stock market, which is still fresh on Wall Street.

  Thinking of this, Jerry Kohlberg's mind instantly came up with a Chinese who used to be all-powerful on Wall Street!

   Cai Zhiyong!

   This is what Wall Street called the "stock god" in the 1950s and 1960s.

   After graduating from university, Cai Zhiyong came to Wall Street, joined vested securities, and became a securities analyst.

A year later, he was recruited by Fidelity Securities, the largest securities company on Wall Street. After working in Fidelity Securities for 5 years, he was appreciated by the manager of Fidelity Securities, Edward Johnson II. Cai Zhiyong established a fund on behalf of Fidelity Securities. And Cai Zhiyong also became the person in charge of this fund.

  In the past 10 years, Cai Zhiyong's Fidelity Capital Fund has maintained rapid growth and has never lost a year.

  From 1958 to 1965, the investment of the original investors of Fidelity Capital doubled by 27 times!

   This is a jaw-dropping number!

  Such outstanding performance has made countless investors trust Cai Zhiyong. When a Fidelity salesman named Cai Zhiyong, almost all investors took out their money without saying a word. At this time, the size of the fund under his management has increased dramatically from $12.3 million in 1959 to $340 million.

  Cai Zhiyong's trading makes people feel incredible: every time the stock price starts to rise, Cai Zhiyong will buy it in large quantities; when it is about to fall, Cai Zhiyong is the first to sell it.

  The rhythm is so well controlled, it's like a godsend.

   What is even more rare is that the fluctuations in the stock market seem to have no effect on Cai Zhiyong.

  In May 1962, the North American stock market began to adjust.

  In August, the "Cuban XX crisis" began to break out, and the stock market began to fall into a greater panic.

   But in October, when the United States and the Soviet Union reached a consensus and eliminated the crisis, Cai Zhiyong, as if nothing had happened, invested a huge sum of US$26 million in the stock market within 6 weeks, and obtained a return of 68% within 3 months!

  More and more investors are beginning to pay attention to Cai Zhiyong's every move. When he buys a stock, others will follow up in time; when Cai Zhiyong sells it, others follow suit.

The miraculous performance made Peter Lynch, who only joined Fidelity in 1966 and later became an investment legend, admire Cai Zhiyong: "Being able to work in Fidelity Fund Company and work in Cai Zhiyong's original office made me feel deeply Very excited."

  In 1963, Cai Zhiyong had been promoted by Johnson to the executive vice president of the company, holding a 20% stake in Fidelity with a market value of several million dollars.

   At this time, Cai Zhiyong also had other ideas, he wanted to become the boss of Fidelity Fund!

   However, migrant workers are always migrant workers, and in the end Edward Johnson II handed over the Fidelity Fund to his son.

  So Cai Zhiyong left Fidelity Fund and founded his own Manhattan and fund company. At the beginning of establishment, Cai Zhiyong's goal was to raise an initial capital of 25 million US dollars.

  However, he underestimated his title of "stock god" of the new generation in North America.

  After the establishment of the Manhattan Fund, investors flocked to bring Cai Zhiyong US$250 million in funds. With only a 0.5% management fee, Cai Zhiyong’s company can earn an annual income of US$1.25 million!

  During the two years leading the Manhattan Fund, the value of the stock assets managed by the Manhattan Fund has actually declined, but Cai Zhiyong’s personal charm is still there, so the funds managed by the Manhattan Fund have reached 500 million US dollars!

   But at this time, Cai Zhiyong should have discovered something and made a decision that investors hate.

  He sold the company to an insurance company in exchange for a top management position in the company and about $30 million worth of stock!

   In the second year after Cai Zhiyong left the company, the Manhattan Fund fell by 36.8%. By the time of 70 years, those investors who had invested in the Manhattan Fund had borne 55% of the losses!

  Whether he was at Fidelity Fund or Manhattan Fund, Cai Zhiyong was best at short-term sniping.

  Now Wall Street has another Chinese who is ready to play short-term sniping!

  Jerry Kohlberg can predict that for some time to come, the small and medium-sized listed companies on Wall Street will definitely live under a cloud.

  But that has nothing to do with me.

  Jerry Kohlberg cares more about his own interests!

   "Mr. Chu is going to leave this matter to me?"

   Facing Jerry Kohlberg's inquiry, Chu Huan nodded and said, "If Mr. Kohlberg is interested, I will invite Mr. Kohlberg to work with me on this matter!"

  Of course I am interested. Regardless of whether I will join Chu Huan's company or not, this project can bring me a lot of money.

   But Chu Huan also wants to join?

  Chu Huan naturally wants to join. Although Jerry Kohlberg is a very smart and powerful person, this investment is related to whether he can complete the original start-up capital accumulation of the Tsim Sha Tsui East land.

  Even if his trader is Jerry Kohlberg, Chu Huan must personally intervene.

  Linda received Chu Huan's money, and seeing the expression on Jerry Kohlberg's face, she immediately spoke for Chu Huan: "Jerry, you don't know how I met Chu, do you?"

   Jerry Kohlberg said: "Want to hear more!"

  Linda told Jerry Kohlberg about the first meeting with Chu Huan a few years ago, of course, the part that she also participated in was omitted.

   After listening to Jerry Kohlberg, he was shocked again.

   "I didn't expect Mr. Chu to know so much about securities and politics!"

  Chu Huan said with a smile: "If Mr. Kohlberg is willing, I think you can get to know me better in the future!"

  Jerry Kohlberg thought for a while, and said to Chu Huan: "Mr. Chu, I need to seriously consider this matter!"

Chu Huan nodded and said: "It's natural, but Mr. Kohlberg, you didn't have too long to think about this matter. I only have two days to wait for you. If Mr. Kohlberg You still haven't given an answer, I can only take it as that you have given up our cooperation!"

   Jerry Kohlberg preaches: "No problem!"

   Also, but the next chapter is not sure whether it can be uploaded before 8:00 am, because it is not finished yet.

  

  

  (end of this chapter)