In Hong Kong, we build a global business empire

Chapter 786 I don't even want to act anymore!

When Tyron's response reached him, he was in his office, frowning and overwhelmed by a recent customer churn report from Huifeng Bank.

After experiencing several severe customer losses, Huifeng Bank's remaining customer base had become relatively stable.

However, recently, both Cheung Kong and Hutchison Whampoa, two important clients, changed their partner banks.

This change caused a sharp drop in Huifeng Bank's stock price, which even affected other customers and triggered a chain reaction.

Tyron was deeply worried, feeling that if things continued this way, Huifeng Bank would likely be unable to continue and would truly be heading towards decline.

Therefore, taking this opportunity to sell Huafeng Bank shares is undoubtedly an excellent choice.

However, when his gaze fell upon the reply from Hengsheng Group, he couldn't help but frown.

Soon, a high-level meeting was urgently convened in a luxurious conference room in the Standard Chartered Building.

In the conference room, Standard Chartered Bank CEO Tyronn and several other senior executives from Standard Chartered in Hong Kong gathered together.

Hengsheng Group's strongly worded and uncompromising response has been laid bare before everyone.

"What?! They actually refused to acquire Huifeng Bank? And they even gave us an ultimatum: either we secure the currency issuance rights within five days, or we have to pay them 3 billion?" A senior executive suddenly jumped up from his chair, his face instantly turning extremely ugly.

Tyron sat solemnly on the throne, his face grave, remaining silent without uttering a word.

He had anticipated that Lin Haoran would try to negotiate the acquisition price and lower it.

But to their utter surprise, the other party's attitude was so resolute that they overturned the negotiating table, throwing this hot potato back at them.

What chilled him to the bone was that the other party only offered two options: either guarantee the other party's right to issue currency or pay 30 billion in compensation, seemingly showing no interest in Huifeng Bank whatsoever.

Hengsheng Group's response was like a precise scalpel, directly piercing Standard Chartered Bank's Achilles' heel.

Lord Derek Barber at headquarters has approved the plan to sell Huifeng Bank, but only on the condition that it fetches a good price.

Now things are really messed up. Not only can the bank not be sold, but it is also very likely to trigger the compensation clause of up to 3 billion, which will undoubtedly be a disaster for his career!

The Governor's Office's bias appeared weak and powerless in the face of Lin Haoran's tough stance and the irrefutable contract.

Tyron had originally thought that, given the pressure from the Governor's Office, Hengsheng Group would be more accommodating and easier to talk to.

Previously, he had received information from the Governor's Office that Lin Haoran had visited the Governor's Office and that his attitude at the time was relatively mild and polite.

At that time, he secretly felt that the sale of Huifeng Bank was a sure thing, a done deal.

But the reply he received was like a heavy hammer blow, shattering his previous confidence.

what on earth is it?

The other party really showed no respect to the Governor's Office?
Clearly, Hengsheng Group's response has not changed in the slightest and remains as tough as ever.

However, Tyron knew that the other party had indeed made the right bet.

Governor Merrih would not openly trample on the authority of commercial contracts for the sake of Standard Chartered.

A wave of panic instantly gripped Tyron.

Five days!

Only five days!

How to secure the right to issue currency within five days?
This is not a problem. As long as Standard Chartered Bank headquarters puts pressure on the Governor's House, the Governor's House will eventually have to sign.

After all, Standard Chartered Bank's headquarters had already smoothed things over with the British government. Even if the Governor's House didn't give Standard Chartered Bank any face, they still had to listen to the British government.

But that's not what Tyron wants; what he wants is for Lin Haoran to buy Huifeng Bank.

He really didn't want to miss this opportunity to get rid of Huifeng Bank, this burden.

He made a solemn promise to the Standard Chartered Bank board that he would definitely get rid of Huifeng, this hot potato!

Cold sweat trickled down Tyron's temples.

He slumped back into his chair, forcing himself to calm down.

Lin Haoran is forcing the emperor to abdicate!

They forced him back to the negotiating table with a huge compensation of 3 billion and an ultimatum, but in an extremely unfavorable position.

Hengsheng Group completely disregarded the Governor's Office's "advice," and Lin Haoran's confidence likely stemmed from his vast assets.

"No! We absolutely cannot go to the point of compensation!" Tyron clenched his fist tightly.

His succession to Brown as the head of the Hong Kong region means that if he performs well, he has a high probability of becoming the chairman of the Standard Chartered board in the future. He must not let all his previous efforts be wasted because of the mess that is Huifeng.

The conference room was deathly silent; all eyes were on Tyron, awaiting his decision.

The air was so heavy it felt like you could wring water out of it.

Tyron's fingers tapped unconsciously on the smooth tabletop, making a dull "thump-thump" sound, just like his turbulent heartbeat.

He took a deep breath, forcing himself to calm down, and his mind raced as he weighed the pros and cons.

Fulfill the contract and help Hengsheng obtain the right to issue currency?
This path seems the simplest, avoiding a 3 billion yuan compensation, but it has endless consequences.

Not to mention that the Governor's Office's "principle" opposition to private banks having the right to issue currency was difficult to circumvent, even if the Governor eventually agreed under pressure from the British government, it would be tantamount to personally giving wings to Heng Sheng, this fierce tiger.

In the future, Standard Chartered will face a more powerful competitor with the right to issue currency in Hong Kong's financial market, and the competition will be even more intense!
This is definitely not the situation that Standard Chartered headquarters wants to see.

Pay 3 billion in breach of contract penalties?

This is an even worse strategy, one that would ruin one's future.

Not to mention the heavy blow this huge sum will deal to Standard Chartered's cash flow and annual financial statements, he simply cannot afford the anger and accountability from the London headquarters.

Lord Derek Barber will never forgive him for botching the aftermath of the acquisition of Huifeng, which not only failed to generate profit but also caused the bank such a huge direct loss.

His career prospects are bleak.

So, the only remaining way out seems to be to sell Huifeng, and quickly, an agreement must be reached within five days!
This is his only chance to fulfill his promise to the board.

However, Lin Haoran's attitude was so firm and his conditions so demanding.

Tyron felt a deep sense of powerlessness and anxiety.

“Mr. Tyron,” a senior vice president began cautiously, trying to break the deadlock, “While Hengsheng Group’s response was firm, they haven’t completely closed the door on the ‘acquisition’.”

This shows that the power to issue currency is fatally attractive to them, a strategic goal they cannot easily give up. This may be our only breakthrough.

“I suggest that Mr. Tyron, you personally lead your team to talk to Lin Haoran face to face. The reason why Hengsheng Group is so tough on us may just be because the price we offered is a bit too high for them, which has led to their misunderstanding. It does not mean that Hengsheng Group has completely closed the channel for selling Huifeng Bank,” another senior executive said.

Tyron took a deep breath, forcing himself to calm down.

He knew his subordinates were right; now was not the time to panic.

Although Lin Haoran's attitude was tough, the allure of the right to issue currency was real to him; it was Standard Chartered's last and most important bargaining chip.

Between the right to issue banknotes and HK$3 billion, in the short term, HK$3 billion seems more worthwhile, since it's like getting HK$3 billion for free.

However, from the perspective of a bank's development, the significance of the right to issue currency is far beyond what 3 billion can measure.

It represents credibility, status, and a voice in the financial system.

Lin Haoran is a smart man; he knows how to weigh things.

With just this one right to issue banknotes, it's possible that the company could not only create HK$30 billion in value in the future, but also transform Hengsheng Group into a world-class bank.

It can be said that the right to issue currency is priceless!
After all, just look at Hong Kong now. There are hundreds of banks of all sizes, but only two have the right to issue banknotes, which shows how precious they are.

Lin Haoran's plan to dominate Hong Kong's financial industry includes securing the right to issue currency; otherwise, even if Hengsheng Group dominates Hong Kong's financial sector, its international expansion will still be difficult.

After all, if they can't even get the right to issue currency in Hong Kong, other overseas markets won't believe that Hengsheng Group has enough strength and credibility.

Therefore, Tyron knew that if Hengsheng Group were given the choice between HK$30 billion and the right to issue banknotes, Hengsheng Group would definitely choose the right to issue banknotes.

He doesn't think Hengsheng Group is so short-sighted.

“You’re right.” Tyron finally spoke, his voice tinged with weariness, but his eyes had regained their focus. “We have to talk again, and it has to be me who goes.”

He stood up, looked around at every executive present, and his tone became resolute: "Prepare immediately! Finance department, I need you to come up with a new, attractive offer within half an hour, based on a worst-case scenario assessment. This price must be sincere and demonstrate to Lin Haoran our determination to solve the problem!"

"Legal Department, continue to study alternatives to the guarantee clause. We need a compromise that can meet Lin Haoran's risk control requirements while protecting ourselves to the greatest extent possible."

"Furthermore," he paused, glancing out the window, "we will once again 'report' to the Governor's Office on the real predicament we face and the major concessions we are prepared to make."

We must make it clear to Governor MacLehose that we have shown our utmost sincerity and hope that he will consider the overall situation of maintaining Hong Kong's financial stability and mediate for us one more time.

Tyronn knew very well that this time he had to put aside all unrealistic fantasies and negotiate with a real "floor price" and a compromise.

This concerns his career, and also Standard Chartered's future plans in Hong Kong.

"Meeting adjourned! In half an hour, bring your proposals and we'll head straight to the Kang Le Building!"

Night fell completely over Hong Kong, and the skyscrapers of the Central financial district were brightly lit.

Tyronn's car sped towards the Connaught Building. This "regional governor" of Standard Chartered Bank was completely devoid of his usual composure and sense of superiority; his brow was furrowed, clearly worried about the upcoming negotiations.

He knew that this visit had put him at a disadvantage; the initiative in the negotiations was now firmly in the hands of his terrifyingly young opponent.

The office of the chairman of Hengsheng Group is located on the 42nd floor of Kang Le Building.

Lin Haoran and He Shanheng were chatting when, half an hour earlier, he had received a call from Standard Chartered Bank that Tyron would personally come to discuss the matter at 7 p.m.

Therefore, instead of rushing home, the two had a simple dinner in the building's cafeteria before returning to their office.

Lin Haoran made a special call to Guo Xiaohan to tell her that he would be going home later tonight.

The power to issue currency is of paramount importance, and neither He Shanheng nor Lin Haoran wants to miss out on it.

After all, if Hengsheng Group misses this opportunity, it remains to be seen whether it will have another chance to obtain the right to issue currency in the future.

This isn't something that can be solved simply by having money.

Just as Tyron thought, given the choice between HK$30 billion and the right to issue banknotes, Lam Ho-yin would definitely choose the right to issue banknotes.

The right to issue currency can bring Hengsheng Group unparalleled brand reputation and international recognition, which is something that cannot be bought with any amount of money.

Unless, of course, Hengsheng Group only wants to stay in its small corner of Hong Kong.

But this is clearly not Lin Haoran's ambition, nor is it He Shanheng's pursuit.

There was a gentle knock on the office door.

"Boss, Mr. He, Mr. Tyron from Standard Chartered Bank has arrived," came the voice of He Shanheng's assistant.

Lin Haoran and He Shanheng exchanged a knowing glance.

Tyron arrived faster than expected; it seems that the ultimatum really hit him where it hurt.

"Please let him in." Lin Haoran sat back down in his large office chair, relaxed, and even picked up the teacup on the table, slowly sipping a mouthful of fragrant Pu'er tea.

He Shanheng sat on the sofa to the side, his expression returning to its usual calm and reserved demeanor.

The door opened, and Tyron appeared in the doorway.

The newly appointed Standard Chartered tycoon, who has always presented himself as an elite, was still impeccably dressed in a suit, but the fatigue and undisguised urgency between his brows were clearly visible.

Seeing Lin Haoran's calm and composed demeanor, the corner of his mouth twitched slightly.

"Mr. Lin, Mr. He, good evening. I apologize for disturbing you." Tyron tried to maintain his composure, but his opening pleasantries sounded somewhat dry.

“Mr. Tyron, a rare guest.” Lin Haoran put down his teacup, a faint, emotionless smile on his face. “Please sit down. What brings you here so late? Is there any progress on the issue of the currency issuance rights, or are you here to prepare for the handover in advance for the HK$3 billion compensation?”

Let's get straight to the point!

Lin Haoran's words immediately brought the atmosphere to a tense standpoint, even carrying a hint of mockery.

He gave Tyron no room to beat around the bush, directly throwing out the two most glaring keywords: "right to issue currency" and "compensation."

Tyronn's expression instantly darkened further.

He walked to the chair opposite Lin Haoran and sat down, taking a deep breath to suppress his turbulent emotions: "Mr. Lin, you're joking. I've come in sincerity to seek a solution that we can both accept, regarding Huifeng Bank..."

“Sincerity?” Lin Haoran interrupted him, crossed his legs, and looked directly into Tyron’s eyes. “Mr. Tyron, is your so-called sincerity to acquire Huifeng, a company that you have squeezed dry of its high-quality customers, has a total market value of only HK$24 billion, and is burdened by the bottomless pit of Haifeng Bank, for HK$5 billion?”

Hengsheng's response is very clear: until you show real sincerity, all that remains between us is a contractual relationship.

Five days, the right to issue currency, or three billion—there's no third way.

The air in the office seemed to freeze.

He Shanheng observed quietly from the side, secretly praising Lin Haoran's control of his aura.

Although he is good at running a bank, negotiation is not his forte.

Therefore, he chose not to speak and waited for his boss, Lin Haoran, to speak in person.

Tyron felt a tightness in his chest from this merciless rebuke. He understood that any polite, perfunctory words were meaningless at this moment.

“Mr. Lin!” Tyron’s voice rose slightly, tinged with the urgency of being driven to a corner. “Please understand Standard Chartered’s situation! Although HSBC is currently facing difficulties, its brand value, branch network, and especially its valuable banknote issuance license, all indicate that its actual value is far greater than its stock market capitalization!”

The 5 billion might be a valuation difference, which we can discuss. As for the 3 billion compensation, it won't help Hengsheng obtain the right to issue currency in any substantial way!
As you know, the Governor's Office faces enormous resistance in granting private banks the right to issue currency directly. Acquiring Huifeng is truly the quickest and safest option…”

"So, the Governor's Office's attitude, coupled with Huifeng's accumulated problems and huge debts, is worth five billion?"

Lin Haoran interrupted again, his tone icy, "Mr. Tyron, when I, Lin Haoran, do business, I value value for money and controllable risk. I'm not doing charity, much less cleaning up other people's messes and losing huge sums of money!"

"I understand Huifeng's value better than you do. To me, Huifeng Bank today is less than a tenth of its peak. I never intended to acquire such a bank. It was Standard Chartered Bank's offer to sell to us that forced us to consider this option."

Lin Haoran stood up, walked to the huge floor-to-ceiling window, overlooking the dazzling night view of Victoria Harbour. With his back to Tyron, his voice was calm but carried an invisible pressure:
"Now, I'm giving you two choices. First, according to our original contract, assist Hengsheng Bank in obtaining the right to issue banknotes within five days. I know you can do it."

You've already established connections with the British government, and the Governor's House will eventually sign off. To put it bluntly, your request for the Governor's House to bring up those things is just a way to put pressure on me.

He slowly turned around, looked at Tyron, and calmly continued, "Second, if you insist on selling Huifeng, then please show real sincerity. My conditions are: the acquisition price shall not be higher than the secondary market stock price, and there shall be an unlimited guarantee against any future risks that Huifeng Bank may face."

No higher than the secondary market share price!

Unlimited guarantee!

These two conditions struck Tyron like a heavy hammer.

This is much lower than his expected bottom line!
"That's absolutely impossible!" Tyron sprang to his feet, his face turning deathly pale. "The market capitalization of most listed companies in Hong Kong is already far lower than their actual value. Moreover, we hold a controlling stake, so how can we calculate it based on the secondary market price?"
What's the difference between this and selling shares directly on the secondary market? And that unlimited guarantee is even worse..."

Today, Huifeng Bank's total market capitalization is only around HK$24 billion.

If, as Lin Haoran claims, the stock market value is used to calculate the value, then the shares held by Huifeng Bank are only worth a little over HK$12 billion.
This number hit Tyronn like a hammer blow, leaving him dizzy and disoriented.

Standard Chartered Bank simply cannot accept this outcome. Even if he himself agrees, the headquarters would never agree.

“Mr. Tyron, the difference is that selling your 51% stake through the secondary market will not only cause the stock price to collapse, but you simply cannot find such a large buyer in a short period of time.”

More importantly—

Lin Haoran strolled back to his desk and sneered, "You can't wait. Five days, only four days left. Once you breach the contract, the HK$3 billion compensation will immediately become a reality."

As for the right to issue banknotes, I do want it, but if you really don't want Hang Seng Bank or Standard Chartered Bank to obtain the right to issue banknotes, you can find a way to do it in the future. Right now, Hang Seng can get HK$30 billion for free, which seems like a good option!

Faced with Standard Chartered Bank, Lin Haoran no longer wanted to pretend.

The reason is simple: on the surface, after Tyron took office in Hong Kong, although he personally visited the company to express that the two sides would compete peacefully in the future, Standard Chartered Bank would no longer specifically target Hengsheng Group.

But how could he possibly believe the nonsense spouted by these British conglomerates?
Lin Haoran knew all too well how these British conglomerates operated; they were two-faced, and given the chance, they would never show any mercy to Hengsheng.

Brown's past experience is still fresh in everyone's mind, how could he be so naive as to believe Tyron's promise?

Moreover, as two banking giants, no matter how harmoniously they develop together, they are still competitors.

“Mr. Tyron,” Lin Haoran’s voice was filled with undisguised sarcasm, “your British conglomerate’s reputation has long been bankrupt in my hands.”

When your bank wanted to acquire Huifeng Bank, didn't Mr. Brown also vow to coexist peacefully? And what happened?
After successfully acquiring Huifeng Bank, they turned their backs on us and tried to unite with other forces to deal with Hengsheng Group. If I hadn't been prepared, I'd probably be the one in a complete mess right now.

Lin Haoran walked to the sofa opposite Tyron and sat down. Looking at the Standard Chartered tycoon who had lost his composure, he continued, "You're talking to me about sincerity now? About understanding?"
When you joined forces with other British conglomerates to besiege Hengsheng Group, did you show even a shred of sincerity?

Tyron's face turned from white to pale, his lips trembled as he tried to explain, but he found himself speechless.

He was fully aware of the actions taken during Brown's time, which is why Brown was transferred back to headquarters and why he became Brown's successor.

At this moment, under Lin Haoran's merciless exposure, it all seemed so pale and powerless.

“Mr. Lin, those are all things of the past. Since I took over as the head of Standard Chartered Hong Kong, I have never secretly engaged in any underhanded tactics against Hengsheng Group…” Tyron managed to squeeze out a sentence, his voice full of bitterness.

"You actually say you've never done anything against Hengsheng Group? Then how do you explain having the Governor personally intervene and persuade Hengsheng Group to be the sucker, acquiring Huifeng Bank's shares at an inflated price?"

Lin Haoran's voice suddenly rose, and he sneered with a hint of anger: "If this is not targeting, then what is? This is clearly an attempt to take advantage of someone's misfortune!"
"Mr. Tyron, do you think I, Lin Haoran, am an easy target to fool?"

Tyron was speechless after being bombarded with questions, and fine beads of sweat instantly appeared on his forehead, slowly sliding down his cheeks.

He knew very well that he could not deny that by using the Governor's Office to pressure Hengsheng Group and force it to take over at a high price, he was essentially targeting Hengsheng Group.

"I...we just..." Tyron stammered, his tongue seemingly tied in knots, unable to find the right words to explain himself.

At this moment, Tyron was no longer the imposing figure he once was as the head of the Standard Chartered Bank Hong Kong branch.

He looked more like a pitiful wretch driven to desperation and with nowhere else to turn.

"Just what?"

Lin Haoran sneered and continued, "Do you just think that Chinese-owned enterprises are weak and easy to bully? Or do you think you can do whatever you want and act recklessly just because you have the Governor's Office backing you up?"

He Shanheng stood aside, watching Tyron being relentlessly pressured by his young boss, completely powerless to resist, and couldn't help but sigh inwardly.

The newly appointed Standard Chartered tycoon was as weak as a lamb to the slaughter in front of Lin Haoran, completely powerless to fight back.

That aura is truly domineering!

(End of this chapter)