Water and Fire~Chapter 145.1: Grand Finale (Part 1)

 

Chapter 145.1: Grand Finale (Part 1)

While frantically preparing for the private placement, Chu Qianmiao meticulously reconstructed the entire process of Henong's acquisition of Hanhai.

She imagined how he would react to the dilution of Henong's stake after the completion of Hanhai's private placement, and how he would react to the new circumstances.

After careful consideration, she came to two possibilities.

One possibility was that Henong's share purchases would cease, as the capital required to continue increasing their holdings would further increase.

The other possibility was that Yingji Capital would continue to support Henong in increasing its stake in Hanhai, regardless of the cost.

Chu Qianmiao wondered if it weren't for the paranoid Tan Shen fanning the flames, Eagle Capital would likely have halted its acquisition plan after the private placement was completed and its stake was diluted.

But there was Tan Shen.

He might have told the leaders of Eagle Capital that since we'd already invested so much, if we stopped now, all our previous efforts would be wasted. It would be better to simply continue holding shares and not let our previous investment go to waste. After the acquisition of Hanhai was complete, we could integrate the education sector and create powerful synergies among the three educational institutions. Then, Henong's stock price would continue to rise, and our investment would be greatly rewarded.

Although Eagle Capital's funds were already tight, if Tan Shen persisted, convincing his superiors to continue leveraging and raising funds, even if his stake was already diluted, it wasn't impossible.

Chu Qianmiao thought that if that happened, it would be a nightmare for Hanhai Home Textiles. So, she had to do something to help Ren Yan and Han Hai.

While preparing for the private placement, Chu Qianmiao chatted with Tang Jie from time to time, asking him about his former colleagues.

She figured that his former colleagues had worked with Kan Qingzhou and Tan Shen on an overseas backdoor listing project and might know something about Yingji Capital.

As expected, Tang Jie told her during the conversation that a former colleague who had worked on that overseas backdoor listing project, named Han Wei, had actually asked him for help in transitioning from his previous accounting firm to his current one.

Chu Qianmiao asked Tang Jie why Han Wei had asked him for help in switching jobs.

Tang Jie said, "He's short on cash. His previous firm was fined for project violations, and he can't apply for new projects for several months. He needs to jump out and start earning money."

Chu Qianmiao then asked, "Why is he short on cash?"

It was this one question that brought her a crucial ray of hope.

Tang Jie said, "Don't mention it. When we were collaborating on a project together, Kan Qingzhou told us that Eagle Capital had a one-year fixed-increase fund with a 2:1 bank allocation. It would make a lot of money at maturity. Many people were desperate to invest but couldn't find a way, but he was close to people inside Eagle Capital and was able to secure investment shares. He asked if anyone wanted to participate."

He paused, then continued, "In the end, Han Wei and the others couldn't resist the temptation. Seeing that the stock market was indeed doing well, they invested all their family money. He alone invested nearly two million. He even told me excitedly that after the principal and interest were recovered at maturity, he could consider buying a house in the school district for his children. But now that the one-year term has expired, Eagle Capital has used all kinds of high-sounding excuses to prevaricate them and refuse to pay them."

Chu Qianmiao suspected that Eagle Capital must have used all its funds to raise stakes in the secondary market, and even if they wanted to pay, they wouldn't be able to transfer the funds immediately.

She asked Tang Jie, "What about Han Wei? He can't get back over two million yuan in principal and interest. He's just going to sit there and do nothing. Isn't he anxious? Isn't he thinking of some way to protect his rights?"

Tang Jie replied, "How can he not be anxious? He's so anxious that he curses Kan Qingzhou and Yingji Capital whenever he mentions them. But what can he do? He's just a small accountant, and they're a large institution. He's gone to their office several times, but hasn't even found a single middle or upper-level executive in charge. He's worried, unsure what to do next. All I can do is find him a well-paying job."

Chu Qianmiao marveled at how such a large investment institution could be so ruthless when faced with debt collection from powerless ordinary people.

So, how hard is it to be an ordinary person? You have to endure any bullying.

Chu Qianmiao thought for a moment and said to Tang Jie, "Brother Tang, I'm a lawyer. If you have a good relationship with Mr. Han Wei, you can ask him out tomorrow at noon. The three of us can sit down together. I can help him with some advice on what to do next."

Tang Jie immediately responded, "That's a perfect fit, Qianmiao! How could I have forgotten your background? Wait a minute, I'll contact him. Once this is done, he'll have to thank you profusely."

Chu Qianmiao smiled and said, "No, I should thank him too. After all, Han Wei and I should be helping each other this time."

The next day, Chu Qianmiao, Hou Lin, and Tang Jie met Han Wei for lunch.

During the meal, Han Wei detailed his investment in the private placement fund through Eagle Capital. This private placement fund was established with Eagle Capital as the subordinated shareholder, and another fund company raised funds to form a limited partnership. The fund then used asset management channels to establish an asset management plan to participate in the private placement of the listed company.

Han Wei and seven others invested a total of 15 million yuan. Han Wei, acting as a proxy, signed an investment agreement with Eagle Capital.

"So, you and Fund Company F are both investors in this fund," Chu Qianmiao asked Han Wei.

Han Wei nodded. "Yes, but Fund Company F invested first, and we joined later."

Chu Qianmiao thought for a moment and asked, "Now that the investment period has expired, has Eagle Capital paid back Fund Company F, besides not paying you?"

Han Wei replied, "The owner of Fund Company F has a good relationship with the owner of Eagle Capital. Eagle Capital paid them a quarter of their money, and they probably reached a compensation agreement for the remaining amount, allowing for a later payment." As he spoke, a frown crept across his face. "But ordinary people like us are suffering. Yingji Capital is clearly holding us back. We wanted to sue Yingji, but they cited the newly released rules for share reductions from private placements. They said that according to the new rules, after the lock-up period is lifted, a share reduction of no more than 50% can be made within 12 months. Therefore, we can't reduce our stake yet, and therefore, we can't redeem it. We'll be notified later when we can reduce our stake. But we all know Yingji is just trying to put us off. They think that even if we sue, they'll be able to use the new share reduction rules to fend us off, and we won't win. So, they're holding back. But honestly, apart from the quarter they paid to Company F, what happened to the remaining 50% they were allowed to reduce? Who knows, but it's definitely not returned to investors."

Han Wei rubbed his face, his expression both angry and gloomy. "I invested everything I had, and now Yingji is so brazenly using the new regulations to bully us. Even if we sue them, we can't win. I'm so angry and helpless every day."

Chu Qianmiao tried to persuade him, then thought for a moment, picked up her phone, and did some research.

When she put the phone down, a smile crossed her face.

She said to Han Wei, "Accountant Han, you want to sue Yingji Capital for overdue repayment now, but with the new share reduction regulations, you really can't win. You have to wait another year. If they still don't repay after that, the new share reduction regulations won't protect them anymore."

Han Wei's face darkened at this.

"But I have a suggestion that can help you win your case now," Chu Qianmiao said clearly.

Han Wei's eyes lit up immediately upon hearing this. "Ms. Chu, what do you say?"

Chu Qianmiao smiled and told Han Wei, "I just checked. The Yingji private placement fund only lists Fund Company F, not you. This means that although Yingji Capital signed an investment agreement with you, it never made the industrial and commercial registration changes to include you. This means that the 15 million yuan you invested was never invested in the private placement project. Instead, Yingji used the money for other purposes. Accountant Han, you can sue Yingji Capital for suspected fraudulent issuance and investor deception. You can apply for property preservation and freeze Yingji's accounts."

Han Wei's eyes lit up as he listened. By the time Chu Qianmiao finished, his once gloomy and haggard face had regained its vitality. Tang Jie, listening closely, said to Chu Qianmiao, "Qianmiao, you're amazing!"

Han Wei thanked Chu Qianmiao profusely.

Chu Qianmiao changed the subject to Han Wei and said, "Accountant Han, you don't have to thank me for giving you advice. I also have something I'd like to ask you for." After a pause, she said, "I'd like to ask you not to sue Yingji Capital just yet. The timing isn't right yet. I'll tell you when the time is right, and then you can sue. Is that okay with you?"

Chu Qianmiao explained her reasons, and Tang Jie, listening from the side, stared in amazement. "Qianmiao, your step-by-step approach is brilliant. Amazing!"

Han Wei immediately responded, "Ms. Chu, that's no problem. I'm willing to work with you."

Before parting, Han Wei repeated, "Thank you, Ms. Chu."

Chu Qianmiao quickly smiled and replied, "No, you're welcome. We're helping each other."

After dinner, Han Wei left first. Chu Qianmiao called a taxi, and while they waited, Tang Jie chatted with her.

Tang Jie smiled and told Chu Qianmiao, "Qianmiao, you and CEO Ren really have a good chemistry. He's been asking me about the overseas backdoor listing project that our firm is collaborating on with Eagle Capital these past few days."

Chu Qianmiao was stunned for a moment, then smiled and asked, "So, what did he ask about?"

Tang Jie replied, "He was asking about the specific operational details of that project."

Chu Qianmiao uttered an "ah" and nodded.

The taxi she had ordered arrived. She said goodbye to Tang Jie and got in with Hou Lin.

As they got in, she couldn't help but smile with interest, wondering if what he was doing was the same thing she was planning to do.

Chu Qianmiao and Hou Lin took a taxi back to the company to review the additional issuance application materials with the project team.

They all sat in the back seat.

On the way back, Hou Lin hesitated a bit, as if she was about to say something but couldn't.

Chu Qianmiao asked if there was anything wrong. Hou Lin thought for a moment and said, "Boss, I have something non-official to discuss. Can I talk to you about it?"

Chu Qianmiao smiled at her. "Of course. We're not in the office right now. Feel free to tell me anything that's bothering you."

Hou Lin turned sideways, facing her, pursed her lips, and spoke. "Boss, here's the thing. There's a male colleague in the fixed income department named Ge Song. He's told me several times that he likes me, but I've always told him I have a boyfriend and that our relationship is very good. But he messaged me again yesterday, saying that as long as I'm not married, he won't give up, saying that pursuing me is his right. Boss, I'm so annoyed. I really want him to understand that his so-called rights are disturbing me."

Chu Qianmiao's heart skipped a beat. She seemed to see a shadow of Tan Shen.

She thought for a moment and told Hou Lin, "In that case, when you get back to the company, go and tell him straight out, absolutely. Tell him that regardless of whether you're married or not, he has no chance. And insisting on pursuing her despite someone else's clear rejection isn't a right; it's harassment. If he gives you trouble later, don't be afraid. I'll talk to his boss."

After a pause, Chu Qianmiao told Hou Lin, "From your description, this guy named Ge Song seems a bit reckless. Be careful when you talk to him and record it."

Hou Lin replied crisply, "Okay, boss." She put her arm around Chu Qianmiao and began to flatter her. "Boss, you're truly wise and capable. I can solve any problem I have by simply sharing it with you."

Chu Qianmiao smiled, accepting the flattery.

The private placement proceeded efficiently and smoothly. After its completion, Zhou Hanhai's shareholding increased, while Henong's stake in Hanhai Home Textiles was diluted to below 20%.

Henong Shares' brutal acquisition of Hanhai Home Textiles was pushed back to the previous level, leaving Hanhai Home Textiles relatively safe.

Hanhai's management raved that after so much anxiety, they could finally sleep soundly.

Ren Yan asked Zhou Hanhai to give them a good night's sleep. The next day, he had Zhou Hanhai gather all the staff again for another meeting to discuss how the company could develop sustainably and sustainably in the future.

This time, Ren Yan didn't begin by analyzing Hanhai's situation. Instead, he led everyone in a detailed analysis of Henong Shares' equity structure.

Previously, everyone had been busy defending themselves in a state of chaos; now that the chaos had subsided, they could finally focus their attention calmly and seriously. Led by Ren Yan, they discovered that after various capital operations and the acquisition of two educational institutions, Henong's equity structure was actually quite fragmented. Henong's chairman, He Annong, held only a 12% stake, while Eagle Capital held a 25% stake, making it Henong's largest shareholder.

After presenting Henong's equity structure, Ren Yan surveyed the room and addressed the attendees with a resounding, "So, our next move is..."

At this point, his gaze flickered across Chu Qianmiao, resting on her face.

Their eyes met, and in a flash, Chu Qianmiao understood. "Why not take over Henong's shares through a reverse takeover bid?" She tacitly accepted Ren Yan's offer.

Everyone in attendance was startled by the words, surprised, yet also filled with excitement: "Great! This is the way to go!"

Zhao Zhenghuan was the most excited. He asked Ren Yan, "This is truly a perfect solution that will solve the problem once and for all. Mr. Ren, how did you come up with this idea?"

Ren Yan looked at Chu Qianmiao and replied, "This is something Ms. Chu inspired me to do. During our last meeting, she said that while Hanhai is implementing self-rescue measures, it would be ideal if they could also strike back at the other party, completely neutralizing their efforts."

Zhao Zhenghuan looked from Ren Yan to Chu Qianmiao, a look of annoyance on his face. "You two are both so wise. Who should I praise first?"

Everyone else laughed, and the atmosphere became more relaxed and uplifted than ever before.

Zhou Hanhai spoke up.

"It's a good idea," he said, changing the subject. "But if we take over Henong, Eagle Capital will also help Henong continue its holdings, or Eagle Capital will continue to increase its holdings in Henong to consolidate its position as the largest shareholder. In that case, the pressure on us to take over Henong will be exponentially increased."

His doubts dampened everyone's excitement.

A carefree mood suddenly gave way to a hint of worry.

Chu Qianmiao and Ren Yan exchanged glances. They both saw the other's hidden agenda.

Ren Yan raised an eyebrow, signaling Chu Qianmiao to speak first.

Chu Qianmiao smiled, dispelling Zhou Hanhai's concerns. "Then let's first make Yingji Capital completely incapable of doing anything."

She paused, then addressed Zhou Hanhai and everyone present. "A few days ago, Mr. Tang's colleague at the accounting firm sued Yingji Capital for alleged fraudulent issuance and investor deception. They've filed a property preservation order with the court to freeze Yingji Capital's accounts. Although the amount they can freeze is limited, he will contact the media today to report on this. Because of the long-standing stock-raising incident, Yingji Capital has long been at the forefront of public opinion, so news of its lawsuit will undoubtedly be pushed to the front pages of major news apps. Investors who have experienced the same situation as Mr. Tang's colleague will then sue Yingji Capital and file property preservation orders. This will accumulate, and Yingji Capital's accounts will essentially lose their effectiveness in the upcoming battle. And then, Henong Shares will lose its financial support."

As she finished her words, a resounding "OK" echoed through the conference room.

Chu Qianmiao turned toward the source of the voice, somewhat surprised. It was the usually steady and reserved Zhou Hanhai who called out, "Great!"

"Qianmiao, you've done a fantastic job. I've long been disgusted with Yingji Capital. They're a cancer in the capital market, exploiting their wealth to stir up trouble," Zhou Hanhai said indignantly, yet with a touch of satisfaction.

Chu Qianmiao turned to look at Ren Yan.

His eyes were like dark pools, bright and deep, practically drawing her in.

He looked at her intently, his lips curled as he spoke, "While being sued by numerous investors for alleged fraudulent issuance and investor deception, Eagle Capital's initial investment in Henong Shares is also due to repay principal and interest. If they can't make the payments, it will be another mountain of lawsuits."

He paused, then added, "Furthermore, Eagle Capital will soon face a joint investigation by regulators and economic investigation authorities for suspected illegal operations in a previous overseas backdoor listing project. Eagle Capital will be overwhelmed."

Hearing this, Chu Qianmiao immediately understood why Ren Yan had asked Tang Jie about the overseas backdoor listing project. It turned out that he and she were not planning on the same thing; he was gathering evidence of Eagle Capital's illegal activities in that project.

In the conference room, everyone digested the information Ren Yan had brought.

Secretary to the Board, Yu Yue, was the first to recover. He exclaimed admiringly, praising Ren Yan and Chu Qianmiao. "Mr. Ren and Ms. Chu, you two are incredible! Your coordinated attack is like two masters of the capital market, unstoppable."

The others all echoed him. Chu Qianmiao and Ren Yan smiled at each other, feeling a mixture of joy and sweetness.