How much could be earned from this short-selling?
Wang Yi couldn't say for sure.
After all, HM had a large business and wouldn't easily admit defeat.
They were probably still preparing funds, thinking of a desperate counterattack to pull back the stock price!
Of course, Wang Yi also had his own backup plan.
Thinking of this, he sent a message to Song Guangyao: [You can make your move now!]
Give HM another surprise and let HM's stock price plummet a bit more.
Regardless of whether other giants would take action, Wang Yi was ready to buy back HM's shares in batches.
Thirty million shares couldn't be bought back all at once, or it would easily raise HM's stock price.
It was better to set a price and slowly buy them back in batches.
Anyway, the short-selling period was agreed to be one and a half months, and there were still more than twenty days left, so Wang Yi wasn't in a hurry.
Just take it slow.
As for whether other short-sellers would also take action, that was hard to say.
According to Wang Yi's understanding, with such a good opportunity, short-selling behemoths like Muddy Waters wouldn't miss it!
The stock market rises easily, and falls even more easily.
In his previous life, Jitu Express, due to an incident involving a certain football star, saw its stock price plunge by 25%!
If HM's plagiarism was on a small scale, it might have been fine.
Such large-scale plagiarism, repeatedly hammered by Meiyou, making it to global trending topics, causing a huge stir, naturally led to a more severe fall.
Not to mention its arch-rival Zara's parent company, Inditex Group, constantly hammering it, and short-selling institutions taking action.
Besides Wang Yi, there were an unknown number of institutions and enterprises secretly short-selling HM.
It could only be said that HM's situation would only get worse and worse.
Thinking of this, Wang Yi called Jian Ziyan:
"Ziyan, find a team of US stock traders and arrange them in a closed hotel!"
"Understood, Chairman!"
Buying back thirty million shares in batches was a huge project.
Wang Yi couldn't handle it alone; he would definitely need professional traders.
It was time to close the net.
The next day, in the evening, all the traders were in place.
Wang Yi and Wu Shuang arrived at the hotel, where Jian Ziyan was already waiting at the entrance:
"Chairman, everything is ready, and communication devices have been confiscated."
"Good!"
Wang Yi walked into the room.
For the next week, these traders would eat and live in the hotel, with all signals blocked.
Computers with internet access were also under strict control.
There was no other way; buying back thirty million shares was a big deal and had to be kept confidential.
If news leaked, HM's stock price would rise, and Wang Yi would have to spend a lot more money, so he had to be cautious.
Looking at the group of traders, Wang Yi calmly said:
"Funds and accounts are all ready for you. Wait for my instruction before you start. For the next seven days, everyone sleeps during the day and monitors the market at night. After this is done, each person will receive a large extra bonus in addition to the agreed-upon remuneration!"
"Thank you, Chairman Wang!"
Everyone responded.
Such a good assignment, if completed well, meant earning a month's salary in seven days, which was nothing.
In the East, night fell.
In the West, the sun rose.
Jiafute woke up from his secretary's bed, devoutly making the sign of the cross on his body, praying:
"God, please keep HM's stock price from falling any further, please don't! Amen!"
In early September, HM's market value was as high as 340 billion.
Due to the severe impact of Meiyou's "pure desire" style in the Xiaguo market, HM's revenue declined, and its stock price kept falling.
By early October, the market value had dropped to around 300 billion.
But now, only 130 billion remained!
In just one month, from 300 billion to 130 billion, such a terrifying drop would be unbearable for anyone!
Of course, HM had also mobilized funds multiple times, forcefully salvaging the stock price and pulling back its market value.
However, its arch-rival, Zara's parent company Inditex Group, constantly took action, aggressively suppressing it.
When HM bought back shares, Inditex Group would furiously dump them.
However much HM pulled back, Inditex Group would push it down by that much.
After several tug-of-war battles, HM threw in tens of billions, but it was useless.
Coupled with continuous negative news, HM's stock price only got lower and lower.
Inditex Group, on the other hand, made some profits from its various operations.
As the world's first and second largest apparel giants, Inditex Group and HM Group had a relationship similar to Samsung and Apple.
Given any chance, Samsung would burn money to try and get rid of Apple!
Similarly, Inditex Group would rather burn tens of billions to crush HM.
By then, Inditex Group would dominate the global apparel sector.
Inditex Group could capture more than 70% of the market share HM lost.
As for Meiyou, although its development momentum was fierce, it was like Huawei in 2011; its future might be promising.
But its current scale was too small, overlooked by Apple and Samsung.
Likewise, Inditex Group didn't consider Meiyou a destined major enemy.
The difference in size was too great.
After all, Inditex Group, like HM before, had daily revenues of over 500 million and annual revenues of 160-180 billion!
Meiyou Clothing was just starting.
At its peak, daily revenue was three to four hundred million, but after this surge, Meiyou Clothing's daily revenue would drop to just one hundred million...
Not worth worrying about.
Even if Meiyou's current daily revenue returned to a high level, it was only the total revenue from clothing + beauty + games.
Pure clothing revenue wasn't much, with the majority coming from "bare-leg" artifacts.
Inditex Group's biggest task was still to first destroy HM, the giant, and then swallow HM's market and share.
HM's stock price had fallen to such a degree that Jiafute, as chairman, was largely to blame.
He had originally worried that he would be dismissed and swept out by the board.
Only now did he realize he had overthought things; he wouldn't be dismissed at all.
The reason was simple: facing the pincer attack from Inditex Group and Meiyou, HM's situation was too dire, and no one was willing to step up and become the new chairman.
After all, once Jiafute was replaced, the new chairman would have to bear the responsibility for HM's continued stock price decline, and even the risk of bankruptcy.
At that time, the new chairman would not only be disgraced but also be swept out like Jiafute.
Not to mention their own bankruptcy, they would also be ruined and their career would come to an end.
With the reputation of causing HM's bankruptcy, their life would be over, and they could forget about being chairman in other companies.
To put it bluntly, in a winning game, everyone wants to take the lead.
But in this hopeless losing game, no one was willing to take the blame for Jiafute.
Jiafute couldn't even give up this position if he wanted to!
"Ugh..."
The secretary suddenly gagged and quickly rushed into the bathroom.
Jiafute smiled:
"God has been kind to me. Seeing my setbacks in business, He has blessed me with a child in my old age, how wonderful."
"Thank God, Amen!"
Jiafute prayed devoutly, then got up and walked towards the bathroom.
Hearing footsteps approaching, the secretary quickly put her hand to her throat, forcing out a little something.
The act had to be convincing!
Indeed, Jiafute saw the secretary vomit and fully believed her, his smile growing wider.
"Darling, are you okay?"
Jiafute embraced the secretary, full of concern.
The secretary shook her head, her face bitter:
"I don't know what's wrong, I've been vomiting a lot lately."
"Do you want to go to the hospital for a check-up?"
Jiafute suggested.
"Okay, I'll go another day."
The secretary felt relieved; step two was done.
Jiafute also believed she was pregnant.
Next, step three, bribing a doctor to get a pregnancy test report, would lead to step four: abortion, forcing the issue, and demanding property!
Helping the secretary sit down, Jiafute offered some comfort, then opened his laptop and breathed a sigh of relief:
"Good, HM's stock price only dropped a little today."
After several days of continuous plummeting, HM's stock price had finally stabilized.
"There shouldn't be any more surprises. Meiyou's press conference is over, and HM's stock price won't continue to fall."
Jiafute's mood improved:
"In a few more days, it will rebound, returning to 130 billion, no, 150 billion!"
Currently, HM's stock price had fallen to around 41 yuan, and its total market value was only a little over 120 billion RMB.
Fortunately, the decline had stopped, otherwise Jiafute would have been suicidal.
(For ease of reading, stock prices and market values have been uniformly converted to RMB.)
Blue Ocean Hotel.
Wang Yi sat in front of his computer, drinking coffee and staring at the screen.
"Chairman, HM's stock price is around 41 yuan, basically stable. Should we buy in now?"
Jian Ziyan couldn't help but ask.
Wang Yi waved his hand:
"The US stock market has just opened, it's still early, HM's stock price will fall further."
"Really?"
Jian Ziyan was somewhat incredulous.
HM had already fallen to such a miserable state; it would be hard for it to fall further.
Wang Yi said no more:
"Just watch, I'm about to buy at the bottom, so it naturally has to keep falling!"
Sure enough, half an hour later, HM's stock price began to fall.
And the drop was not small; in just five minutes, it fell from 41 yuan to 40 yuan, then 39 yuan, and was still falling!
"It's plummeting again!"
Jian Ziyan was somewhat incredulous.
Even a starved camel is bigger than a horse.
It was already incredible that HM's stock price could fall from 100 yuan a month ago to 41 yuan now.
And now it was plummeting again.
It was truly unbelievable.
"Could it be that HM has another negative news?"
Jian Ziyan was shocked, or had the Chairman made other arrangements?
No matter what, this time they were going to make a fortune!
No, the Chairman was going to make a fortune, she was just happy for him!
HM Headquarters.
Jiafute also received the news, his face pale:
"How is this possible? What did Meiyou do again? Causing our stock price to plummet again?"
"Boss, this time it's not Meiyou, it's Song Guangyao."
"Song Guangyao? Our general agent for HM in Xingzhou?"
Jiafute's mouth twitched:
"What has that scumbag done now?"
"He held a press conference, saying that because HM plagiarized Meiyou, the revenue of the HM stores he managed dropped to less than a tenth, resulting in heavy losses. He wants to terminate the agency contract with HM and sue HM to the end to protect his rights."
Jiafute nodded:
"Didn't he do that before? Last time it cost us tens of billions in market value. Will playing the same trick this time be effective?"
The secretary sighed:
"This time, he not only announced the closure of all HM stores and the termination of HM agency, but also publicly declared that he has become the general agent for Meiyou + Zhenyou in the western district of Xingzhou, and will fully cooperate with Meiyou to develop the Xingzhou market. All his HM stores will also be converted into Meiyou stores..."
"What!"
"Fuck!"
"Fuck!"
Jiafute was furious, trembling with anger:
"Damn Song Guangyao, closing stores and stopping agency is one thing, but suing us, suing us is one thing, but also converting all HM stores into Meiyou stores, Zhenyou stores! This is a complete stab in the back!"
"Fuck! With this move, we HM don't just lose the Xingzhou stores, we lose the entire Xingzhou market!"
"More importantly, HM's reputation!"
"HM's agent became a Meiyou agent, HM's stores became Meiyou stores!"
"That bastard Song Guangyao, he's slapping my face!"
"He's making me, making HM, a laughing stock in the industry, making us look utterly ridiculous!"
"He's so damn dead!"
"Fuck!"
The more Jiafute thought about it, the angrier he got.
This was not just betrayal, but a severe stab!
"Well done, Wang Yi, well done, Song Guangyao, you guys are ruthless!"
Jiafute roared, and started throwing things again.
In his anger, he even overturned the table.
"Fuck!"
"Fuck!"
"Song Guangyao has made HM a joke! A global joke!"
"Those media, who knows what they'll say!"
The more Jiafute thought about it, the greener his face became:
"This is so damn embarrassing, we must control public opinion. If it becomes globally known, our market value will drop by another 20 billion!"
"Quick, mobilize the public relations department immediately to contact the media, throw money at them, and tell them to remove the trending topics and shut up!"
"Yes!"
The secretary quickly responded, also aware of the seriousness of the situation, and decisively conveyed the chairman's order.
But she thought to herself,
'HM is getting worse and worse, I need to speed up my progress too! Don't wait until Jiafute goes bankrupt and I get nothing!'
She felt that working hard to earn money was too tough and the ceiling too low, so she might as well work hard to get money from men!
That was much easier and could easily net her a large sum she could never earn in a lifetime!
With that money, she could live a life of luxury and pleasure for the rest of her days!
Soon, a series of calls went out.
Western media were controlled by capital.
One way was political correctness, the other was money paving the way.
As long as the money was in place, everything could be suppressed.
Blue Ocean Restaurant.
"Chairman, HM's stock price is at 38 yuan, nearly ten billion evaporated again!"
Jian Ziyan exclaimed:
"Should we make a move now?"
She thought this price was already quite low; after all, it was HM!
Wang Yi waved his hand:
"No hurry, wait a bit longer. Let HM's stock price stabilize at the bottom first."
If they started buying back now, HM's recently fallen stock price would rise again.
That wouldn't do.
Wang Yi didn't want to be a great philanthropist.
Moreover, HM wouldn't sit by and do nothing; it would definitely intervene to save the market.
It wouldn't just watch the stock price continue to fall to 35, or even 30.
If it really fell from the opening price of 41 to 30, then HM's market value today would evaporate by over 30 billion again.
If HM's total market value fell below 100 billion, HM would go crazy!
Indeed, as Wang Yi expected, after HM's stock price fell to 36, it quickly rebounded to 36.5!
Then it rose to 37 yuan!
"HM is buying back shares!"
Wang Yi instantly understood the other party's strategy.
He also checked the news online; the trending topics about HM's Xingzhou agent defecting and becoming a Meiyou agent had mostly been removed.
"First remove trending topics, control public opinion, and then throw money to pull back the stock price, HM certainly knows how to play!"
Wang Yi smiled faintly.
Jian Ziyan, however, frowned:
"Boss, if this continues, HM's stock price probably won't fall any further. Should we crash it down?"
Wang Yi waved his hand:
"No hurry, we don't need to do anything, someone else will make a move."
"Who? Zara's parent company?"
Jian Ziyan's eyes lit up, realizing the stakes involved.
Wang Yi nodded:
"Don't worry, HM has spent a lot of money buying back shares trying to pull back the stock price recently, but each time it was pushed back down by Inditex Group!"
"The one who wants HM dead the most is not our Meiyou, but HM's arch-rival, Inditex Group! This time, they will also take action."
In this capital game, both HM and Inditex Group were behemoths, each with tens of billions in funds.
Wang Yi's few billions were not enough, and he wasn't interested in getting involved.
Let them fight; Wang Yi would seize the opportunity to buy at the bottom.
There was no other way, the chips weren't enough, no need to push his way to the table.
After all, once at the table, who knows if you're eating or being eaten!
Watching from the sidelines, playing both ends against the middle, wasn't that more enjoyable?
But after waiting for two full hours, HM's stock price stabilized at 37.5, and Inditex Group still hadn't made a move.
"Chairman, could Inditex Group be dropping the ball at a critical moment?"
Jian Ziyan couldn't help but ask.
Logically, Inditex Group should have acted earlier.
Once HM's stock price rose again, they would miss a good opportunity.
Wang Yi, however, was unfazed:
"Actually, Inditex Group has already made a move!"
"Where? Didn't HM's stock price rebound?"
Jian Ziyan was confused.
Wang Yi smiled slightly:
"Look at the trending topics on foreign websites!"
Jian Ziyan quickly opened her computer and started browsing:
[The Guardian: HM Xingzhou agent defects, becomes Meiyou Western District agent!]
[Ta Kung Pao: Plagiarism of Meiyou's "pure desire" style backfires! HM Xingzhou General Agent terminates agency and sues HM, also becomes Meiyou's new agent!]
[The Sun: HM Xingzhou General Agent becomes Meiyou agent, HM will completely lose the entire Xingzhou market!]
[The Wall Street Journal: HM Xingzhou agent defects, HM market value may evaporate by tens of billions again!]
...
Jian Ziyan was overjoyed:
"Inditex Group wasn't inactive, they just pushed HM's hard-won paid-for removed trending topics back to the top!"
"Exactly!"
Wang Yi said with a smile:
"Inditex Group is very smart. Fighting HM one-on-one would only lead to both sides getting hurt. But by exposing all this negative information and dragging in retail investors and institutions to fight HM together, it'll be twice the effort for half the result!"
"I see, Inditex Group is indeed clever. No, Chairman, you are the truly wise one!"
Jian Ziyan smiled gently, her eyes full of admiration as she looked at Wang Yi.
The news of Song Guangyao's defection, neither too early nor too late, broke now, hitting trending topics after the US stock market opened...
It could only be said that everything was pre-arranged!
It was all to take the opportunity to drive down HM's stock price, allowing Wang Yi to buy back at a low price!
Everything was clearly planned.
Even HM's forceful market rescue and Inditex Group's aggressive dumping were anticipated by Wang Yi!
He truly strategized within the command tent and won battles a thousand miles away!
Sure enough, HM's stock price began to plummet again.
From 37.5 all the way down to 37, 36.5, 36...
And it was still falling.
Jiafute was furious, completely beside himself:
"Damn it, what's going on? Didn't it stop falling and rebound? Why is it plummeting again?"
A subordinate came up with a laptop:
"Chairman, look, it's the trending topic about HM's Xingzhou general agent defecting! We just spent money to suppress it, and it's been blown up again!"
"Fuck! Fuck!"
"These damned unscrupulous media, didn't they take our money and remove the trending topics?"
"How can they renege on their word?"
Jiafute was extremely angry:
"They have no credibility, they are shameless. Go, contact those media outlets and ask them what the hell is going on?"
The subordinate's expression was complex:
"Chairman, they returned all the money, saying the other party offered more, and they really couldn't do anything!"
"The other party offered too much? Meiyou? No, it's Inditex Group!"
Jiafute instantly understood everything:
"Damn Inditex Group, they're like rabid dogs! They're determined to fight us to the death!"
"They're even willing to throw in tens of billions just to see HM collapse!"
After all, if HM was finished, Inditex Group would earn not just 50 billion, but 100 billion.
In a few years, they could potentially earn hundreds of billions more.
Inditex Group had calculated this account clearly.
"Fuck, HM will remember this blood debt!"
Jiafute roared, but he was helpless.
Currently, HM couldn't even protect its stock price, let alone counterattack Inditex Group.
With its own backyard on fire, how could it counterattack?
"Chairman, our stock price has fallen to 35 yuan."
"35!"
Jiafute's head swelled like a bucket!
"Quick, save the market, throw money, pull the stock price back for me!"
"At all costs, pull HM's stock price back for me!"
"It can't fall any further!"
But unfortunately, market panic was severe, and everyone was selling!
The price got lower and lower!
HM just bought 20 million shares at 35 yuan, and the market immediately dumped another 20 million shares at 35 yuan, and 10 million shares at 34 yuan!
They couldn't buy it all, simply couldn't buy it all!
Some people even directly listed at 32 yuan!
Jian Ziyan's eyes lit up:
"Boss, someone's listing at 32 yuan, should we take it?"
Wang Yi waved his hand:
"No, we can't. Those are listed by Inditex Group or other short-sellers; they want to crash the market and drive down HM's stock price. If we buy them now, it would be helping HM."
"I see."
Jian Ziyan suddenly understood.
Indeed, the lowest was 34, and suddenly a large batch of accounts listing at 32 appeared; it would be strange if they weren't trying to crash the market.
Sure enough, more and more 32 yuan listings appeared.
Other shareholders also panicked, quickly changed their prices, following suit at 32, and even 31...
So, after a series of fierce operations, HM threw another 10 billion to save the market, intending to hold at 35 yuan.
But it was crashed down to 31 by Inditex Group!
Jiafute was so angry he almost vomited blood.
Inditex Group had bought HM shares at 40 yuan before, and now they were selling them at 31 yuan!
Selling at a loss was to crash the market.
Even if they lost a lot of money themselves, they had to drive down HM's stock price.
As long as HM's stock price was driven down, HM would be severely weakened, and Inditex Group could earn back ten or even a hundred times that amount.
To destroy an opponent, burning money was normal and worthwhile.
The subordinate looked at Jiafute:
"Chairman, should we continue to throw money and hold at 31 yuan?"
Jiafute hesitated a little; before he could make up his mind, the stock price was crashed to 30 by Inditex Group!
Soon, it even reached 29 yuan!
"Fuck! Inditex Group is going too far, they're smashing us to death!"
"Invest another 10 billion and pull the stock price back up!"
"Okay!"
Thus, another new fierce battle began.
HM wanted to raise it, Inditex Group would smash it down.
Both sides continuously took action, refusing to yield, and the stock price remained deadlocked around 29.
Wang Yi watched this scene and smiled faintly:
"It's almost time, make your move. All twenty of you, buy everything below 29. Each person buys 20,000 shares first, using multiple accounts!"
"Yes, boss!"
Everyone responded, ready for action.
Jian Ziyan suddenly understood why Wang Yi hadn't bought at 32 before; it was because it could fall to 29!
Of course, the price might drop further to 28, but Wang Yi wasn't waiting.
After all, he was buying a large quantity and had to repurchase in batches.
It was unrealistic to buy all 30 million shares at the absolute lowest point.
Subsequently, Wang Yi bought 1 million shares at 29 yuan in batches, and HM's stock price still remained at 29.
"List 100,000 shares at 27 yuan, list them separately!"
Wang Yi gave the order.
"Yes!"
Seeing 27 yuan appear, HM decisively started frantic buybacks, pulling it back to 28 yuan.
But Inditex Group's eyes lit up, and they also started dumping shares, crashing it towards 27 yuan!
The two sides were once again in a deadlock, and HM's stock price fluctuated between 27 and 28.
Seeing this, the retail investors who were still watching also panicked, listing at 27 and 28 yuan.
For a time, HM's stock price was driven down again.
Wang Yi decisively said:
"Buy everything below 28 yuan, as much as possible, distributed across multiple accounts!"
"Yes!"
That night, after several operations, Wang Yi acquired 5 million HM shares at prices between 27 and 29 yuan, with an average price of just 28 yuan.
However, by the closing bell, HM's stock price was still pulled back to 32 yuan.
And Wang Yi had already secured 5 million shares at a low price.
Outside the window, night gave way to dawn.
Wang Yi then left the hotel and went to Lin Shu's house.
Seeing Wang Yi walk in with the morning glow, Lin Shu, still in her pajamas and sleepy-eyed, was stunned:
"Oh, did I wake up too fast?"
She pinched her face again, confirmed it wasn't a dream, and a smile spread across her face.
She quickly rushed into Wang Yi's arms, clinging to him like a koala:
"Darling, why are you up so early!"
"Because I missed you so much, I couldn't sleep!"
Wang Yi hugged Lin Shu tightly.
"Really? Really?"
Lin Shu was overjoyed, not caring if it was true or not.
"Of course."
Wang Yi said with a smile, leaning down to kiss Lin Shu.
After a long while, the two separated.
Lin Shu's cheeks were flushed:
"I'll make breakfast, let's eat together."
"No, I'm too tired, I'll sleep for a bit first."
With that, Wang Yi walked into the bedroom, plunged onto the bed, and fell asleep.
After staying up all night, he was still very sleepy.
When he woke up, it was already afternoon.
Lin Shu was no longer in the room, only a table full of food and a note:
[Dearest, remember to eat. Microwave it before you eat. I'll be back after school. Love you!]
Looking at the three dishes and one soup, Wang Yi smiled knowingly, heated them up, and ate with gusto.
These sleepless nights would have to continue for a few more days.
There was no other way; the stock market changed rapidly, and Wang Yi had to keep an eye on it.
In the evening, after having dinner and watching a movie with Lin Shu, Wang Yi went to the Blue Ocean Hotel again to monitor the market.
Similar to last night, he acquired another 5 million shares today, at an average price of 29 yuan.
HM was, after all, a former giant.
If not for Inditex Group crashing the market, its stock price would probably have rebounded to 35, or even 40, long ago.
As for tomorrow night, HM's stock price was estimated to rise further, and Wang Yi's acquisition price would also have to increase.
However, facts were always so unexpected.
On the third day, as soon as the US stock market opened, HM's stock price not only didn't rise but plummeted again.
It fell directly to 27 yuan!
And it was still falling!
This time, Jiafute was stunned, and Wang Yi was also stunned.
Even Inditex Group was stunned.
Three days had passed since Song Guangyao's defection, and its influence had weakened.
Everyone thought HM's stock price would return above 35 yuan.
Yet, it fell instead of rising, dropping to 27 yuan!
What kind of operation was this?
"Investigate!"
"See what the hell is going on!"
The same order was issued in Xiaguo, Ruiguo, and Xiyaguo.
Soon, there was a result.
[The Times: After HM's Xingzhou general agent defected, HM's agents in Australia also announced a complete closure of stores, termination of HM agency, and are suing HM...]
Wang Yi: "..."
Jiafute: "..."
Inditex Group Chairman: "..."
For a moment, everyone fell silent.
No one expected that HM's agents in Australia also understood Song Guangyao's audacious move and were imitating him!
They too wanted to turn a bad hand into a royal flush!
(End of Chapter)