Chapter 343 Stopping Jardines Matheson from Becoming the Debt King!
Even if coercive methods were used, faced with such immense wealth, how could the other party easily yield?
Unless they decided to give up everything and completely tear things apart.
However, once such news leaked, it would not only impact Hong Kong's social stability but also cause severe damage to the British government's credibility.
In the end, this matter only concerned the interests of the British consortiums. How could the government take such a huge risk just to help them deal with Lin Haoran?
MacLehose's words quickly made Henry Keswick calm down.
Indeed, the prestige of the Keswick family wasn't so great that the government would risk its own reputation just to help them.
"Mr. Henry Keswick, in my view, what you should consider now is whether you have the financial capacity to purchase Mr. Lin Haoran's shares, or whether you can find a partner to invest alongside you. Otherwise, all of this is just empty talk.
Moreover, even if you manage to raise the funds, you must also consider whether it is worth paying such a high price to acquire those shares.
As a businessman, I believe you are better suited than I am to understand the calculations involved.
If you can resolve these issues, although I cannot coerce Mr. Lin Haoran to make a deal, I can at least arrange a negotiation opportunity for you.
The rest is up to you. You should go back and think about it carefully," MacLehose added.
Indeed, he had previously promised not to intervene in the competition between Lin Haoran and the British consortiums, and now the competition seemed already decided.
His role could only be to mediate, which shouldn't count as interference.
Whether the British consortium could negotiate successfully afterward was no longer his concern.
MacLehose's words left Henry Keswick deep in thought.
After a while, he lifted his head and said,
"Governor, I was too rash to come and disturb you today. I apologize. I will go back and think carefully."
With just a few sentences, MacLehose had rendered the former head and key shareholder of Jardines Matheson speechless.
Leaving the Governor's House, Henry Keswick's eyes revealed rare confusion.
He had realized he would receive no real assistance from the government and would have to reconsider his options.
At Huifeng Bank, Shen Bi had actually suggested another idea:
The Keswick family could join forces with Huifeng Bank to buy out Lin Haoran's shares.
Although the Keswick family lacked enough cash, Jardines Matheson itself held considerable assets.
But Henry Keswick had immediately rejected that proposal.
He was well aware of Huifeng Bank's ambitions.
Even though they were all part of the British financial community, each party had its own agenda.
Two years ago, it was precisely Huifeng Bank's scheming that allowed Bao Yugang to successfully acquire Wharf Holdings—
the goal being to weaken Jardines Matheson and elevate Huifeng Bank to the top spot in Hong Kong's financial world.
They had succeeded—Huifeng Bank became the new hegemon.
But who could have predicted that just two years later, a young Chinese businessman would completely overturn the situation?
Henry Keswick knew perfectly well that Shen Bi's real goal was to strengthen Huifeng Bank's grip over Jardines Matheson.
If they succeeded, Jardines Matheson would essentially become a subsidiary of Huifeng Bank, cementing Huifeng's position as the dominant power in Hong Kong.
Thus, unless he had no other choice, Henry Keswick absolutely would not agree to this path.
In his eyes, whether Jardines Matheson was controlled by Lin Haoran or Huifeng Bank made little difference—it would still be lost to the Keswick family.
Meanwhile, after news of Lin Haoran's takeover of Jardines Matheson and Jardines Matheson spread throughout Hong Kong, Lin Haoran received many phone calls.
Almost all of them were from the major Chinese tycoons—Bao Yugang, Li Jiacheng, Cheng Yutung, Chen Songqing, and others.
Their purpose was the same: to congratulate him.
Lin Haoran had already been one of the top figures in Hong Kong's business world after acquiring Hongkong Electric, Hong Kong and China Gas, and Kowloon Motor Bus.
Now, with Jardines Matheson and Jardines Matheson under his command, his influence was simply unrivaled.
Currently, Lin Haoran was indisputably the head of Hong Kong's largest business empire, surpassing even Huifeng Bank.
With Jardines Matheson, Jardines Matheson, Kowloon Motor Bus, Hongkong Electric, Qingzhou Cement, Hong Kong and China Gas, Oriental Daily, and Wanqing Group all under his control,
Lin Haoran stood unchallenged.
Even the mighty Huifeng Bank could no longer compare.
The structure of Hong Kong's business world had been completely rewritten.
The Chinese consortiums had officially risen to dominate Hong Kong's economy.
The once-glorious British consortiums had been relegated to the background.
While they remained wealthy, their comprehensive strength was no longer a match.
For Chinese businessmen, this was a tremendous victory.
Even though they admired Lin Haoran's audacity and success, they knew they couldn't have done it themselves.
Li Jiacheng had foreseen this when he sold his shares in Jardines Matheson to Lin Haoran, making him the calmest among them.
As for the others—Bao Yugang, Cheng Yutung, Chen Songqing, Lee Shau Kee, Kwok Tak Seng—they expressed congratulations laced with shock.
Nobody in Hong Kong wasn't shocked.
Bao Yugang's acquisition of Wharf Holdings and Li Jiacheng's takeover of Hutchison Whampoa had already stunned everyone.
Now Lin Haoran had pulled off an even bigger move, seizing control of Jardines Matheson—the most prestigious firm.
The business world had completely changed.
Since noon, Lin Haoran had remained in Connaught Centre without leaving once.
Although the situation at Jardines Matheson was stable with Niu Bijian still in place, Lin Haoran nonetheless ordered a full audit of their finances.
He didn't fully trust Niu Bijian, whose loyalty was only around 60%.
If not for the need for stability, Lin Haoran would have dismissed him already.
The office that had once belonged to Bofuda was now Lin Haoran's own.
Even the chair had been replaced with a new one.
Before him lay thick stacks of documents.
Only now did he realize the true extent of Jardines Matheson's power—
over 70 construction projects underway across Hong Kong!
Many were joint ventures with developers like Far East Consortium, Hang Lung Properties, Cheung Kong Holdings, and Swire Properties.
And on his desk was the development plan prepared by Bofuda and approved by Niu Bijian:
A partnership with Sino Land to invest over HKD 1 billion in a 1.45-million-square-foot plot at Tai Tam to build about 400 luxury villas, with Jardines Matheson contributing HKD 500 million for 40% ownership.A joint venture with Carnation Group to invest nearly HKD 3 billion in redeveloping the Mira Hotel site in Tsim Sha Tsui into a premium commercial complex, with Jardines Matheson investing HKD 1 billion for a 35% stake.
In total, there were more than a dozen projects under discussion, with a combined investment exceeding HKD 8 billion.
And that didn't even account for projects already underway or future plans for 1981 and beyond.
If all proceeded unchecked, Jardines Matheson's total exposure would be astronomical.
Much of the investment came from earnings, but a substantial portion relied on bank loans.
No wonder Jardines Matheson later became Hong Kong's infamous "Debt King" during the real estate crisis, owing over HKD 15 billion.
But now, Lin Haoran was in charge.
He would not allow Jardines Matheson to become a debt-ridden giant.
He had to stop it.
After reviewing the financial reports, he confirmed that as of October 1980, Jardines Matheson's financial situation remained healthy.
Thanks to recent asset sales and strong rental income, their outstanding debt was only about HKD 4.8 billion.
Given Jardines Matheson's asset value exceeding HKD 20 billion,
the debt ratio was merely 24%—a very manageable figure.
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