Chapter 263 Convertible Bonds



Science No.

When Lin Run raised his head again, his handsome face had regained the long-lost calmness and composure.

"This court wants to talk to the person who is in charge of your company, but don't you say that you are an insignificant small shareholder?" Lin Run said to Zhao Hao with a teasing smile:

"Can you represent Jiangnan Company again now?"

"Of course I can't represent her." Zhao Hao snapped his folding fan shut and pointed at Jiang Xueying who was sitting quietly beside him, saying, "She was the one who represented the company in the discussion with Zhong Cheng."

"She?" Lin Run was stunned.

"Let me introduce this beautiful and intelligent girl. She is Ms. Jiang Xueying, Vice Chairman and President of Jiangnan Company." Zhao Hao introduced Sister Jiang's title with a smile.

Lin Run was naturally familiar with the title of "President". When the imperial court summoned Hanlin officials to compile history, it would appoint a highly talented and respected president to have full authority to summarize and decide all related matters.

I think the responsibilities and powers of the president of Jiangnan Company should be similar, and he should be in charge of the overall management of the company.

It was just that he had just gotten used to dealing with a teenager like Zhao Hao, and now he had to have a serious conversation with a young girl.

This feeling is so sour and refreshing.

Are all the adults in Jiangnan Company just living off the land?

Fortunately, Lin Zhongcheng managed his facial expressions well enough so he didn't show any inappropriate expressions.

He forced a smile at Jiang Xueying and said, "It is true that heroes have always emerged from young men... oh no, from young girls."

"No need to be polite, Zhongcheng. Just tell me what you want to say." Jiang Xueying started taking over Wu Ji's business at the age of twelve and has long been accustomed to the strange looks from adults.

But once you've dealt with her, that look will disappear... or the person with that look will disappear.

"Haha, okay. I am the one who looks like one." Lin Run smiled awkwardly, forcing himself to ignore the fact that the person sitting opposite him was a pair of exquisitely crafted golden boy and jade girl. Otherwise, he would not be able to enter the negotiation state.

"President Jiang, your company is willing to openly purchase silk from Dongting Chamber of Commerce during such a difficult period." Lin Zhongcheng finally adjusted his mentality. He said seriously:

"This court welcomes and thanks us for this. If you give me a papaya, I will repay you with a jade pendant. This is our promise."

Jiang Xueying nodded slightly and said, "Mr. Zhongcheng, you are too kind. Jiangnan Company is rooted in Suzhou. As we have always believed, if Suzhou prospers, Jiangnan Company will prosper; if Suzhou declines, Jiangnan Company will fail. Therefore, although our company has never been involved in the silk weaving industry before, we are willing to do our best to help Suzhou restore order as soon as possible."

"Well, Jiangnan Company is really not an ordinary business!" Lin Run praised, and then asked: "But what does this 'protective price' mean? President Jiang, please enlighten me."

"The protective price is a purchase price set by our company to protect Suzhou's silk industry. Jiangnan Company promises to purchase unlimited quantities of silk from Dongting Chamber of Commerce at this price."

Jiang Xueying actually just arrived this morning, and it was only then that she heard that Zhao Hao was going to make another big news.

Sister Jiang had no time to complain. She hurriedly crammed and brushed up on the relevant knowledge, then went straight into conversation with the governor.

"The current price is the average shipping price of Dongting Chamber of Commerce for the past month. It will change with market price changes. The specific price will be negotiated by Jiangnan Company and Dongting Chamber of Commerce at the beginning of each month, but it will not be lower than 90% of the average shipping price of Hangzhou and Nanjing last month."

"Isn't this fair?" Young Master Zhao asked with a smile.

"It's indeed fair." Lin Run didn't expect that Jiangnan Company had no intention of taking advantage of the situation. This was enough to make all the doubters, including him, shut up.

After a pause, Lin Zhongcheng said in a deep voice: "But this will probably cost a lot of money, right?"

"We'll need about three million taels this year, and no less next year." Jiang Xueying nodded.

"Hiss... so much?!" Lin Run gasped and said, "Can Jiangnan Company come up with so much money?"

"Of course we can't take it out." Jiang Xueying said calmly: "So we need to issue bonds and borrow money from the public."

This is not modesty. Although the original capital of Jiangnan Company was said to be 4 million taels, the shareholders only invested a total of more than 2 million taels of silver.

One reason is that several shareholders contributed capital in the form of grain, and the other reason is that Zhao Hao, the real major shareholder, did not invest a single penny.

The majority of the water conservancy projects in Kunshan and the construction projects in Xishan were borne by the Jiangnan Company, and more than 500,000 taels had been spent in a few months.

Therefore, there were only more than 1.5 million taels left in the company's account, and even if all of it was taken out, it would not be able to solve Suzhou's urgent needs.

~~

"Issuing bonds?" Lin Run couldn't help but laugh. "Your company is really creative. You keep coming up with new words for our institute."

"Zhongcheng, just think of it as us managing people's borrowing money. Now you understand, right?" Zhao Hao explained with a smile.

"So you guys are getting something for nothing?" Lin Run couldn't help but frown slightly, inevitably feeling a little fooled.

"Then why don't we borrow it ourselves?"

"Because Zhongcheng can't borrow it." Zhao Hao ate a piece of candied fruit and squinted his eyes happily. But what he said was very hurtful.

"It's not that my brother looks down on the Zhongcheng, it's just that at this moment, no one wants to waste money." Jiang Xueying smiled apologetically.

"If our hospital can't borrow it, how can Jiangnan Company borrow it?!" Lin Zhongcheng felt his self-esteem was hurt.

"Of course. Because we are Jiangnan Company." Zhao Hao said arrogantly.

Jiang Xueying translated for Zhao Hao, "There will be a 'debt-to-equity' clause on our bonds, which promises that if the principal and interest cannot be repaid on time, the creditor has the right to convert the bonds into shares of Jiangnan Company at a price of one tael per share."

"Is that so..." Lin Run lost his temper all of a sudden. The killer move that the other party had pulled out was something that even he, the Governor of Yingtian, could not compare to.

In the three months since cement was introduced, especially after Kunshan County created the myth of "building a dam in one month", Jiangnan Company has long been coveted by the wealthy families and tycoons in Jiangnan.

It was only because its shareholders were too arrogant and Master Zhao was a ruthless person who specialized in beating up ruthless people that no one dared to have any evil intentions towards Jiangnan Company.

Those big investors had no choice but to offer high prices and try to acquire some shares of Jiangnan Company.

Unfortunately, none of the shareholders of Jiangnan Company were willing to sell their shares.

The rich and powerful people in Jiangnan could only sigh and feel envy and jealousy.

Now that Jiangnan Company is issuing convertible bonds, it has undoubtedly opened up hope for these people. It would be strange if they didn’t scramble for it.

The big investors were not afraid that Jiangnan Company would default on its debts. Instead, they hoped that they would not be able to repay the debts so that they would have the opportunity to convert their debt claims into shares.

How could Lin Zhongcheng learn this? He couldn't just say that if he couldn't pay back the debt, he would just let him be the governor for a few days to satisfy his desire.

No matter what, cement is still too tempting.

ps. Third update, I will write another one...please give me a monthly ticket


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