Chapter 134 - Coveting Jardine and Hongkong Land
Lin Haoran specifically rented a car from a rental agency in downtown New York, and over the next few days, he toured around New York City and nearby areas. Times Square, the Statue of Liberty, the Empire State Building, Chinatown — he and his companions left their mark everywhere. The vast American market was incredibly tempting; he knew he would eventually invest heavily here to make serious money, but the time was not yet ripe. Although he had considerable funds at his disposal, it made more sense to continue operating within Hong Kong, to increase his influence in the local business world. Strengthening his position at home first was more important. Once he had harvested enough profits from the gold market, he would then have the confidence to invest aggressively abroad.
For now, steady development was the priority. Even within Hong Kong, he wasn't yet at the top — there was no need to rush into international investments prematurely. While he was in New York, though mainly there to relax, he continued to monitor international gold prices occasionally — just picking up a newspaper each morning sufficed. Since he had bought 1.9763 million ounces of gold futures, prices had indeed been rising steadily, climbing by one to two dollars per ounce on quiet days, and three to five dollars on volatile days. If everything went according to plan, January 1980 would be the peak for gold prices. After that, under pressure from the U.S. government, gold would begin a sharp decline.
Thus, Lin Haoran was already prepared: he would hold his gold until January, then find an opportunity to sell. In January 1980, gold prices would reach 634 dollars on the first two trading days. Then U.S. Treasury Secretary William Miller would announce that the Treasury would stop selling gold, and in less than 30 minutes, gold would surge 30 dollars to 715 dollars. On January 21st, gold would hit a historic high of 850 dollars per ounce. Lin Haoran didn't expect to sell at the absolute peak because he knew the top wouldn't last long. But even if he sold at around 750 dollars per ounce, he would be perfectly satisfied. One must not be too greedy.
Selling around 750 dollars would still mean tripling his investment. Compared to previous deals, this harvest would be his biggest yet — by far. On the morning of June 9th, Lin Haoran and his party were once again at John F. Kennedy International Airport. Two days later, their plane landed safely at Hong Kong's Kai Tak International Airport, and Lin Haoran returned directly to his villa at Deep Water Bay. He still hadn't bought his own villa yet; although he had his own apartment at Heng Fung Building, the comfort of a villa was unmatched, especially with servants attending to everything, and it was convenient to visit his parents.
Since Lin Wanan had retired from Wan'an Group, Lin Haoran noticed that his father's complexion had improved considerably. Without constant social obligations and heavy workloads, and following his doctor's advice on diet and health, there was a real chance he could recover fully. "Haoran, did you really go to America just for sightseeing?" Lin Wanan asked, skeptical, upon seeing Lin Haoran return.
Though he no longer worried much about Wan'an Group's affairs, it was hard to believe his son would go traveling right after inheriting the company. However, Lin Haoran's massive oil profits had not been made public; only a handful of people knew. Thus, Lin Wanan was unaware and naturally didn't suspect anything.
"Of course, Dad. I took a special trip to New York — I even took lots of photos. Times Square, the Statue of Liberty, the Empire State Building, Chinatown — everything. Wait a second, I'll show you," Lin Haoran said with a smile. He pulled a stack of photos from his backpack and handed them over. His mother joined them, curious to see. Sitting on the sofa, Lin Haoran recounted his travel anecdotes while flipping through the pictures. Life at home remained peaceful. His father resting more, and his mother's increased smiles, made the household much warmer.
After two days resting and adjusting to the time difference, Lin Haoran returned to work. Though he had been away from Qingzhou Cement Company and Wan'an Group for ten days, not much had changed. With two capable managers overseeing daily operations, his brief absence had no negative impact. Even while in America, he called Burton and Yang Mingyi every couple of days to stay updated.
Sitting in his office at Qingzhou Cement Company, Lin Haoran pondered his next move. He still had about 90 million U.S. dollars — roughly 477 million Hong Kong dollars — an enormous sum. Should he continue investing in real estate, buying land to profit from rising prices? It was a simple, low-effort method. From June 1979 to 1981, he could easily triple his money. Yet Lin Haoran found it too slow.
For most people, doubling or tripling their investment in one to two years would be extraordinary. But for Lin Haoran, who had multiplied his wealth dozens of times within a year of transmigrating, that wasn't satisfying. Instead of waiting patiently for moderate profits, he preferred doing something with more immediate impact. Acquiring Hutchison Whampoa? With his current resources, that was impossible. Moreover, he knew from history that Li Jiacheng had abandoned his pursuit of Wharf Holdings because Bao Yugang had promised to support his acquisition of Hutchison Whampoa, with Shen Bi's blessing. Lin Haoran's arrival had been too late. Had he arrived two years earlier, he might have contested for control of Wharf Holdings or Hutchison Whampoa.
Now, however, it was clear that the next owner of Hutchison was already decided. It was almost impossible for him to snatch it away — not when HSBC was the major shareholder and could sell it to whoever they wanted. Lin Haoran simply didn't have the clout to change that. Still, just because Hutchison Whampoa was off the table didn't mean there were no other good targets among the British companies. Hong Kong was full of British firms sitting on vast real estate holdings — like Wheelock & Company, Hongkong Land, Swire Group, Hongkong Electric, and even Jardine Matheson itself.
Lin Haoran also knew that a few years later, Hongkong Land would suffer a massive financial crisis, forcing it to sell assets at low prices. Their stock would plummet — that could be his opportunity. By 1980, Jardine's chairman, David Newbigging, would propose a cross-shareholding structure between Jardine Matheson and Hongkong Land to prevent Chinese investors from seizing control, as had happened with Wharf Holdings. Jardine and Hongkong Land would end up holding 40% of each other's shares. However, with Hong Kong's real estate collapse, this mutual entanglement would become a burden.
That would be the perfect time for Lin Haoran to take control of Hongkong Land — and through it, indirectly influence Jardine Matheson. Though the odds were slim, even if he couldn't get Jardine, controlling Hongkong Land alone would be a massive victory. Realistically, he didn't yet have the strength to pull it off. His funds were too limited, his network too weak. Trying to swallow an elephant like that was still a fantasy. But once he harvested a fortune from the gold market, he would have the capital to make it happen.
Picking up the latest newspaper left by his assistant, Lin Haoran leaned back in his chair and read. "Yesterday, Hong Kong's stock market continued its rally. Experts predict a new bull market has begun. Among the biggest gainers was Hongkong Electric, with a 3.72% increase, pushing its market capitalization past 1.5 billion Hong Kong dollars." It was a copy of the Hong Kong Commercial Daily, and the headline reported the stock market's continued surge.
Unlike the 1973 oil crisis, this time global stock markets were booming despite stagflation. From 1979 to 1980, the S&P 500 would climb 41%, while Hong Kong's Hang Seng Index would surge by an astonishing 197%. Lin Haoran's timing in acquiring Qingzhou Cement just before the bull run had been incredibly lucky. If he had waited until now, the cost of acquiring it would have doubled, and with more retail investors involved, it would have been much harder.
His attention was caught by another name mentioned in the paper: Hongkong Electric. Wasn't this the company Li Jiacheng would acquire a few years later?
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