The inspiration for investing is not whimsical, but the accumulation of years and years of hard work, that is, that moment of inspiration is enough to build a brilliant investment career.
Sheng Yunjun takes you back to Hong Kong in the 80s of the 20th century, which was a historical turning point of Chinese-funded vs British-owned, and the battle of Wharf also gave Li Ka-shing's wealth the wings of an angel.
Background of the Wharf incident:
From 1977 to 1978, Wharf** hesitated between HK$13 and HK$14 per share. The company's total share capital was less than 100 million shares, and the market capitalization fluctuated around HK$1.4 billion at that time.
Concealed assets: Wharf owns the most prosperous ** lot in Kowloon, and the actual value of Wharf** is not less than HK$50 per share according to the calculation of HK$6,000 to HK$7,000 per square foot at the official land auction in the same area at that time.
Expected return on investment: If you invest in Wharf**, you can expect an estimated return on investment of around 260%.
Wharf's major shareholder shareholdings:
Jardine Matheson (British black capital, which starts with opium trafficking, like Old Money in Boston, USA) actually holds less than 20% of the shares.
Hong Kong Real Estate Market:
Land prices have soared, and Tsim Sha Tsui, located in the bustling business district, is even more valuable.
Li Ka-shing's Campaign:
1. Start **Wharf**.
In 1978, quietly, a large number of **Wharf**, from 10 Hong Kong dollars per share to more than 30 Hong Kong dollars per share, chips took about 20 million shares, by September, has mastered 18% of Wharf's shares;
*Tip: Spread out multiple company accounts**.
July 26: The news leaked and the acquisition of Wharf was suspended.
HSBC intervened and persuaded Li Ka-shing to abandon the acquisition and become the ship's king, Bao Yugang.
3. Reach an agreement and transfer shares.
transferred Wharf shares to Bao Yugang, making a profit of 59 million, and then Li Ka-shing inherited 90 million shares of Hutchison from HSBC (Watsons is no stranger to everyone, it belongs to Hutchison's old assets).
Bao Yugang then fought with British shareholders in Wharf and lost 6HK$100 million with interest of 2 per annum86 Hong Kong dollars, which is a fiasco, this is a later story.
The only winner of the Wharf takeover is: Li Ka-shing!
The enlightenment of this acquisition battle for our A-share investors:Stock selection and valuationThe two core issues are mentioned in the case.
Why Wharf?It's a matter of stock picking.
How to estimate the value of Wharf?This is a question of valuation, i.e. how much to buy.
The most valuable thing about Wharf is not the existing traditional business, but the real estate business that will "run rampant in Hong Kong" in the future, with a large number of prime land plots. As a real estate business, Li Ka-shing is familiar with estimating the value of Wharf's real estate business.
Sheng Yunjun focused on the case of our real investment more than 10 years ago, which is the same as Li Ka-shing's investment in Wharf, and the same goal, that is, the strategic investment of Shenzhen Kangjia 000016.
The story of Shenzhen Konka originates from: the relocation and renovation project of the factory of Konka Group in Nanshan District, Shenzhen, a listed company, mainly involves the listed company and the major shareholder OCT.
Investment period: 2013-2015.
Exit time: 2015 successive withdrawals.
Investment results: After this war, the listed company has obtained more than 6 billion investment income.
Konka's total share capital in 2015 was 1.2 billion, the stock price was around 3 yuan, and the market value of listed companies was about 3.6 billion yuan.
Outlook for A-shares:
At present, there are a few such listed companies in A-shares, concentrated in state-owned enterprises, in this round of economic reshuffle, will give a heart-warming **, opportunities often appear in places that no one cares about. When the blood is shed, it is the day when your "army advances".
Shen Konka A(SZ000016)$
Cheung Kong Group (HK|01113)$
Hong Kong Exchanges and Clearing Limited (HK|00388)$
When there is a river of blood on the street, you must go and buy assets!