Chapter 949
Aiming for Global Domination, Hundreds of Millions of Dollars Spent in Europe and Americ
"Uncle He, tell me your specific thoughts," Lin Haoran said with a smile.
"Haoran, Huifeng Bank once successfully acquired 51% of the shares of US-based Sinobank. Although it was eventually forced to sell the shares to Citibank, I still believe that if Hengsheng Group can establish itself in the United States, it will become a truly world-class bank!"
He Shanheng's eyes gleamed with an almost fanatical light, and his withered fingers tapped heavily on the coffee table.
Lin Haoran was slightly taken aback.
To be honest, it was he who orchestrated the sale of Haifeng Bank's shares.
The reason is simple: Haifeng Bank has been losing money for years, with a high non-performing loan ratio. The cost of repair is high and the prospects are uncertain. Since he acquired Huifeng Bank, he naturally cannot allow Huifeng Bank to continue to hold such a bleeding asset.
So, at his behest, Huifeng Bank sold its shares in Haifeng Bank to Citibank, successfully getting rid of this burden.
“Uncle He, it will be quite difficult for Hengsheng Group to re-enter the US market. Back when Huifeng Bank was a British-owned bank, it had the backing of Britain. Now that Huifeng Bank is a Chinese-owned bank, it will obviously not be easy for it to enter the US banking market again,” Lin Haoran said bluntly.
"Haoran, I know that, but my target this time is not any bank in the United States!" He Shanheng laughed.
"Oh?"
"My target is Carole McKinsey & Company, a major dealer of U.S. Treasury bonds. I want Hengsheng Group to acquire this American company and use it as a springboard to enter the U.S. bond market!"
"I have thoroughly studied the information on Carol McKinty and McKinsey & Company. I am just waiting for your approval, Haoran. I will personally lead a negotiation team to the United States!" He Shanheng's voice revealed a determination to succeed.
Upon hearing this, Lin Haoran raised his eyebrows slightly.
Carole McKinty and McKinsey & Company.
He was familiar with the name.
This is a highly influential company in the US bond market, one of the more than thirty primary dealers recognized by the Federal Reserve, whose main business is the trading and underwriting of US Treasury bonds and government agency bonds.
If Hengsheng Group can acquire this company, it will essentially gain access to the US bond market, and its strategic value is far greater than acquiring a loss-making regional bank.
Moreover, acquiring a bond dealer faces far less regulatory scrutiny than acquiring a bank, and it doesn't have a large number of non-performing loans like SITC Bank.
This is indeed a shortcut to accessing the US financial market.
“Perfect timing! I’m also planning a trip to the United States. How about Uncle He comes with me?” Lin Haoran laughed.
Lin Haoran naturally wouldn't stop He Shanheng's plans, as he trusted He Shanheng's abilities.
He's not familiar with the banking industry, so he won't meddle; professional matters should be handled by professionals.
He went to the United States to do his own thing.
Although He Shanheng is 82 years old, he is in very good health and can take a plane without any problem. Moreover, he is traveling on his private luxury plane, which provides much better rest than a regular passenger plane.
Upon hearing this, He Shanheng's eyes lit up immediately.
Lin Haoran's meaning was quite clear: he supported his acquisition of the American company!
“Uncle He, then please go back and prepare, get the team in place, and solidify the negotiation plan.” Lin Haoran stood up, walked to his desk, picked up the calendar and flipped through it. “We’re leaving on December 20th, heading to New York first.”
"Once you get there, if you encounter any problems, you can seek assistance from Li Guowei. Li Guowei is currently representing me at Citibank and has certain authority there. I believe that if you want to negotiate the acquisition with Carole McKinsey and McKinsey & Company, Li Guowei should be able to provide some help."
He Shanheng and Li Guowei have known each other for decades. Back then, one was the chairman of Hengsheng Bank and the other was the general manager of Hengsheng Bank. He Shanheng even groomed Li Guowei as his successor. Later, Li Guowei left Hengsheng Bank and went to the United States to develop his career. Although He Shanheng didn't say it, he always felt regretful.
Now that Li Guowei has established himself at Citibank in the United States, and is also representing Lin Haoran at Citibank, and can also provide assistance to Hengsheng Group, he can finally let go of that regret in his heart.
“Okay, with Guowei there, I feel more confident.” He Shanheng nodded, the wrinkles on his face smoothing out. “He’s been in the US for a while now, and he’s more familiar with the business environment and legal rules there than I am.”
I spoke with him recently and learned about his current situation. He said that he has a very good relationship with John Reed, the vice president of Citibank, and that with his help, negotiations would be much easier.
Lin Haoran smiled and said, "Uncle He, you and Li Guowei are old partners, so there shouldn't be any problem with working together. After you get to New York, just contact him directly, and he will do his best to assist you."
"Okay, okay." He Shanheng said "okay" twice, stood up, straightened his collar, and had a long-lost air of high spirits on his face. "Then I won't bother you anymore. Go back and prepare."
Compared to the former Hengsheng Galaxy, the current Hengsheng Group is at least ten times stronger.
Therefore, He Shanheng is increasingly confident in developing Hengsheng Group into a world-class bank.
In fact, if only bank assets are considered, Hengsheng Group would definitely rank among the top ten in the world today.
However, in terms of internationalization and influence, Hengsheng Group still has a considerable gap to close with those truly international banks.
Citigroup, JPMorgan Chase, Barclays...
These banks have branches in major financial centers around the world, enjoy high brand awareness, have a broad customer base, and offer a complete range of products.
Hengsheng Group's core business remains concentrated in Hong Kong and Southeast Asia. Although it has branches or offices in major markets such as the United States, Europe, and Japan, it has almost no presence in these markets.
What He Shanheng needs to do is to make up for this shortcoming.
Carole McKinsey and McKinsey & Company were the first pieces he laid in the American market.
Although this piece is small, its placement is crucial.
The U.S. Treasury market is the core of the global financial market.
Once you've established a foothold here, it's like getting the key to the global capital market.
Lin Haoran saw him to the door, held his hand and said, "Uncle He, don't overwork yourself. Your health is the most important thing. No matter how big the acquisition is, it's not as important as your health."
He Shanheng patted Lin Haoran's hand and laughed, "Don't worry, my old bones are still strong. Besides, being able to work hard is a blessing. Many people want to work hard but don't have the opportunity."
After saying that, he turned around and strode away, his steps brisk and agile, not at all like an 82-year-old man.
Lin Haoran stood at the door, watching He Shanheng's figure disappear into the elevator, a complex emotion welling up in his heart.
82 is old.
Most people of this age are already enjoying their retirement at home, spending time with their grandchildren.
But He Shanheng is still on the front lines of the business world, his eyes shining with a light that even young people might not have.
What keeps him in this state?
Perhaps it's ambition.
There are still dreams.
And that feeling of resentment, "I haven't finished yet, I can do more."
Back in his chair, Lin Haoran sat down and began to think about his investment goals.
With over $30 billion at his disposal, plus the $8 to $10 billion that will soon arrive from Argentina and Venezuela, and the principal he originally invested in Mexico, he will have more than $40 billion in cash at his disposal.
$400 billion, placed in the global financial market of 1982, was a force powerful enough to shake the prices of any asset.
But this power cannot be used indiscriminately.
And it's impossible to use them all.
As for Huanyu Investment Company, at least $10 billion needs to be reserved so that the team can continue to secretly acquire shares in promising listed companies, as a trump card for the future.
This trump card cannot be easily revealed.
Therefore, although he has a certain influence in the global business world, no one knows that he has quietly laid out a grand plan in the stock market.
Microsoft, Intel, Coca-Cola, Disney... He has already held a considerable proportion of shares in these companies, some of which seem insignificant now, and others that have become giants but will remain powerful in the future, through multiple accounts of Huanyu Investment Company.
It's not about holding a controlling stake, but rather a minority stake. It doesn't involve joining the board of directors, nor does it interfere with operations; it's about quietly being a financial investor.
In another ten or twenty years, when these companies grow into global technology giants, the value of his shares will be astronomical.
This is Lin Haoran's "trump card".
This time, he plans to directly acquire some companies, that is, to take controlling stakes. He hasn't decided what kind of companies to acquire yet.
Luxury goods companies are definitely a direction to consider, as he is quite interested in this area. He remembers that some luxury brands in his previous life had market capitalizations of hundreds of billions of dollars, astonishing profit margins, and extremely high customer loyalty, making them largely unaffected by economic cycles.
Poor people stop buying bags when they lose their jobs, but the wealth of the rich may actually increase during a crisis; their demand for luxury goods has never disappeared.
LVMH, Hermès, Chanel, Gucci... these names came to mind one by one.
He clearly remembers that in the late 1980s, LVMH Group grew from an insignificant holding company into the world's largest luxury goods group through a series of mergers and acquisitions.
Bernard Arnault, the Frenchman known as "the wolf in the cashmere sweater," built a business empire worth hundreds of billions of euros by merging Louis Vuitton and Moët Hennessy through precise capital operations and then continuously acquiring other luxury brands.
Bernard Arnault should still be in the United States now, and perhaps he can meet the godfather of the world's luxury goods while he is there.
This future godfather of luxury goods is still in the real estate development business and has not yet stepped into the luxury goods industry.
His real estate ventures in the United States were not going well; most of his apartment projects were slow-selling, and his relationships with local developers, unions, and the government were not as smooth as they had been in France.
In the original timeline, it was in this state of despair that Arnault boarded a taxi in New York and heard the driver say, "I don't know who the French president is, but I know Christian Dior," which made him realize the power of a brand as if waking from a dream.
Bernard Arnault then decisively returned to France and switched to the luxury goods industry.
Now, it is December 1982, and none of these things have happened yet. Lin Haoran is quite interested in this luxury goods godfather. If possible, he wants to talk to this man and see if he can make him work for him.
Thinking of this, Lin Haoran's lips curled up slightly.
The idea of getting Arno to his side may sound a bit arrogant, but it's not entirely impossible.
At this moment, Arnault is in a low point in his career. A businessman from Hong Kong comes to him with a huge sum of money and proposes a cooperation. What reason does he have to refuse?
Of course, Lin Haoran knew in his heart that someone like Arnaud would not be content to be subordinate to others.
He is ambitious, decisive, and visionary; he is the kind of person born to be a king.
Getting him to honestly work for someone else is harder than climbing to heaven.
But if you don't ask him to work, but instead give him funds, resources, and enough autonomy as a partner, and let him take the lead, then the situation is completely different.
What Lin Haoran wanted was not Arno's loyalty, but his ability.
As long as interests are tightly bound together, abilities can be used to my advantage.
He picked up a pen, wrote Arnault's name on a piece of white paper, then drew a circle next to it and marked a few keywords: ambitious, capable, and questionable in terms of controllability.
Finally, a line was written below: Deep cooperation, no controlling stake, ample room for maneuver.
After finishing writing, Lin Haoran leaned back in his chair and stared at the words for a while, feeling that these eight words could serve as the basic principles for future cooperation with Arnault.
This person was able to rise from a real estate developer to become the world's richest man in the original timeline, and it wasn't just luck that made him successful.
Instead of trying to control him, it's better to give him a big enough stage to perform on, while Lin Haoran only needs to be a partner and let the other party fight for him.
This is the best course of action.
Besides the luxury goods industry, venturing into Hollywood and acquiring a film or record company might also be a very good option.
Lin Haoran's interest in the entertainment industry goes beyond just financial investment.
Hollywood and Hong Kong's entertainment industry are completely different things.
Hong Kong films have a very limited reach, resulting in very limited profits. A blockbuster film is lucky to earn a few million Hong Kong dollars.
Therefore, he has never been very interested in the Hong Kong entertainment industry. If it weren't for his father wanting to invest in movies for fun, he would never have bothered to enter the industry.
But Hollywood in the United States is different. Hollywood movies can be sold all over the world. A blockbuster can be released in more than 100 countries around the world, and the box office revenue can easily reach hundreds of millions of dollars. Add to that DVD distribution, television broadcasting, and the development of derivative products, and the profits of the entire industry chain are more than a thousand times that of Hong Kong movies.
Lin Haoran is not only interested in box office revenue sharing, but also in the closed-loop ecosystem of the entire entertainment industry, from content production to channel distribution, from IP incubation to derivative monetization, every link has huge commercial value.
Moreover, Hollywood's influence is unmatched by Hong Kong films.
A successful Hollywood blockbuster can shape global cultural trends and influence the aesthetics and values of generations.
Superheroes, science fiction adventures, animated fairy tales...
These IPs are not just a series of movies, but also commercial empires with unlimited potential for development.
Theme parks, toys, clothing, games, music...
Each IP can generate a multi-billion dollar peripheral market.
Lin Haoran was deeply impressed by Disney's business model in his previous life.
This company built a vast IP empire through the acquisition of Pixar, Marvel, Lucasfilm, and 21st Century Fox, with a market value that once exceeded $250 billion.
Disney's success lies in its control over high-quality content and the long-term operation of its intellectual property.
If Lin Haoran had started planning in the early 1980s, spending billions of dollars to acquire several promising film companies and IP libraries, the return on this investment would have been astonishing thirty years later.
Of course, acquiring a Hollywood film company is not an easy task.
The eight major film studios—MGM, Paramount, 20th Century Fox, Warner Bros., Columbia, Universal, United Artists, and Disney—each have their own historical baggage and shareholder structure, and acquiring a controlling stake requires a large amount of capital and patience.
Moreover, Hollywood is a society based on personal connections. Money alone is not enough; you also need connections, a good reputation, and an understanding and respect for content creation.
Lin Haoran's biggest connection in the United States is Citibank, which may be of some use to him.
In addition, he had enough money, so much that the seller couldn't refuse it.
If you offer a high enough price, you can find the best lawyers and advisors to handle the project.
As long as you can offer attractive enough contracts, you can retain key talent.
As long as there is a promise not to interfere with creative work and to maintain the stability of the existing management team, sellers' concerns can be dispelled.
He picked up a pen, wrote the word "Hollywood" on a piece of white paper, and then listed the names of the eight major film studios next to it.
After he finished writing, he circled the names of MGM, Columbia, and Universal.
MGM has a vast film library and classic IPs, but it is poorly managed and has a low valuation, making it the most cost-effective acquisition target.
Columbia's shareholding structure is relatively dispersed, making it easy to acquire shares from the secondary market. He also remembered that Columbia Records was wholly acquired by Sony a few years later, and wondered if there was a chance to snatch it away!
Global is the strongest in terms of overall strength among the eight, but it also has the highest valuation, so the cost-effectiveness of investing in it is not high.
Besides film companies, Lin Haoran is also very interested in record companies.
In the future, Warner Music, Universal Music, Sony Music, and EMI will control most of the world's music copyrights, and their annual royalty income will be outrageously stable.
Moreover, like the film industry, the music industry has a powerful cultural influence.
A popular song can reach every corner of the earth through radio, television, and records; this power of dissemination is unmatched by any other industry.
More importantly, the business model of music is more stable than that of film. A failed film may result in a complete loss, but as long as the copyright of a song is held, it can generate income continuously for decades.
Lin Haoran added another line under "Hollywood": "Pay attention to acquisition opportunities of major record companies, especially those with rich copyright libraries."
After he finished writing, he leaned back in his chair and stared at the blank sheet of paper for a while.
Luxury goods, entertainment, sports...
Every direction has enormous potential, and every direction requires in-depth research and meticulous planning.
Lin Haoran wasn't in a hurry; he had plenty of time and money.
Several hundred billion dollars is enough for him to choose one or two of these areas and cultivate them in depth. (End of Chapter)