Chapter 229 Seibu Group's Debt Problem

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In the absence of any other reasonable explanation, Japan's financial media had no choice but to regard Muddy Water's report as the only legal explanation. However, in the eyes of most investors, this report is a bit of a fuss. How many properties and projects Seibu Group has in Japan and the world? A Swiss ski resort is nothing at all. After all, Seibu Group probably didn’t do it on purpose. What I did was accidentally put on the crown of the ski resort under my banner.

But in the end it was financial fraud. The Tokyo Stock Exchange issued a warning to Seibu Group. Seibu Group claimed that it was because of the negligence of financial personnel that it mistakenly counted a ski resort in Austria as Swiss. And corrected his financial report in a timely manner. Not long after this statement was issued, early the next morning, investors who lost money yesterday prayed for an immediate rebound in Seibu stocks today. Let them undo yesterday's losses.

Just in the expectation of all investors, from the call auction, the stocks and bonds of Seibu Group were firmly sealed on the limit board. Many investors who wanted to pick up a bargain yesterday directly lost 10% of their principal. What's more terrible is that even if everyone wanted to run under the limit, they couldn't run away, because everyone was waiting for someone else to take over. stock.

Seibu's stock and debt double kill was once again staged on the Tokyo Stock Exchange, which is definitely a major blow to investors. If the stock-debt double kill on the first day was caused by an omission in Seibu Group’s financial report, then what is the reason for the second stock-debt double kill?

The two consecutive days of decline made Seibu Group feel very helpless. They did not encounter any operational difficulties during this period, but the group's stocks and bonds have fallen by 20% of their market value. In just two days, Yoshiaki Tsutsumi's net worth has shrunk by more than 25 billion US dollars. But he didn't even know why.

During the market break at noon, Seibu investors received the latest news about the Seibu Group. Yoshiaki Tsutsumi announced that he would spend 100 billion yen to increase his holdings of Seibu Group’s stock because he was optimistic about the future development prospects of the Seibu Group. The news quickly brought confidence to the market. As soon as the market opened in the afternoon, Seibu stocks began to counterattack throughout the county, and quickly returned to yesterday's closing price. Many investors saw Seibu's strong rebound and followed without hesitation. Just when the bulls of the Seibu Department were about to pursue the victory, the invisible demon in the market made another move. In just five minutes, the counterattack of the Seibu Department was once again severely suppressed. Sealed on the limit board. Seeing the huge and terrifying cover sheet in the stock market, it is as high as 1.5 trillion yen, that is to say, unless someone can spend 10 billion US dollars to eat this cover sheet. This kind of financial resources makes people feel incomparably desperate. Who on earth is so pessimistic about Seibu Group and insists on putting him to death?

All investors desperately need an explanation, an explanation that they can accept. But apart from yesterday's news about the ski resort in Switzerland, there is no bad news about Seibu Group. This makes investors unable to figure out why they lose money anyway.

Now the entire Japanese financial circle is unable to give a legal explanation for the attack on Seibu Group's stock price. The Muddy Water Research Company far away in Switzerland sent the latest research report to the "Yomiuri Shimbun". This report was written based on the public information of the Seibu Group. In this report, the Muddy Water Company pointed out that the The overall debt ratio has exceeded all the assets it owns. To put it plainly, it is insolvent. This is not a new discovery. A Japanese research institution published a similar report a few years ago. However, commercial real estate developers are a highly indebted industry. Real estate development involves construction, design, building materials and other related issues. industry. Developers usually borrow funds from banks to purchase land, and then mortgage the land to banks to obtain more funds before purchasing land. The whole process is like a snowball. In the construction of real estate projects, construction contractors, building material suppliers, and even architectural design firms must advance funds for the projects they undertake. Because of this, although Japan's real estate industry is in full swing, construction contractors, design companies, building material suppliers and other related service organizations that are actually responsible for construction have not earned the most lucrative profits. Most of the money went into the hands of real estate developers. It can be said that using other people's money to make money is an open secret in the real estate developer industry, so the debt ratio of developers is generally above 70%.

With the status of Seibu Group in Japan, if they develop a project, the cost will be lower. The bank will give it the most favorable credit because of the size of Seibu Group. Business cards can lend hundreds of millions of yen in loans from Japanese banking institutions. And those construction contractors and building material suppliers are lining up to cooperate with Seibu Group, and Seibu Group will naturally choose those companies that can provide more advance funds for the project to cooperate. It is also for this reason that although Seibu Group's projects are spread all over Japan, they do not use much of their own funds in Japan, and these funds have been exchanged by Seibu Group for US dollars to invest in overseas projects due to the appreciation of the yen. superior.

Although the truth is so, when the real estate industry in Japan continues to rise and there is no inflection point in sight, no one will care about the debt of Seibu Group. Because everyone believes that land prices in Japan will continue to rise.

Seryosha knew that he could not directly confront the Japanese government's huge foreign exchange reserves, but it was more than enough to deal with Seibu Group, Japan's largest real estate developer. All this was part of Seryozha's plan. Including Lebedev's muddy water company, its implication is to fish in troubled waters. Seryozha wanted to defeat the myth that the Seibu Group was invincible, thus triggering a debt crisis in the entire Japanese financial market.

Two consecutive days of stock and debt double killings have made Tsutsumi realize that someone is behind the scenes. He dare not suspend trading now, because once the trading is suspended, investors will think that there is something wrong with Seibu Group. The only way for Yoshiaki Tsutsumi now is to face the provocations of his opponents in the stock and bond markets of the Tokyo Stock Exchange, and use his strong financial resources to raise the stock price of Seibu Group.

Yoshiaki Tsutsumi has already pledged 10% of his shares to the bank to raise more funds to repurchase his own stocks. The amount of money is close to 10 billion U.S. dollars, or 1.5 trillion U.S. dollars , this time Tsutsumi Yoshiaki risked his wealth to confront his opponent head-on. ()