Chapter 997: Chatting, Investment, and Relationships

During the Prohibition era, anyone who had anything to do with the brewing industry knew very well how astonishing the super-high profits brought by liquor were!

Perhaps in the eyes of some people, several times the profit might... not be as high as some special commodities, such as some high-end tobacco, or some compound industries that Lans didn't know about, pharmaceuticals.

The cost of a few cents for medicine can be sold for a few dollars, dozens of times or hundreds of times the profit. The profits of these industries are far greater than the liquor industry.

But there is actually a misunderstanding here.

High profit doesn't mean high gain. For example, those miracle drugs that have now risen to three dollars a shot, their cost might only be ten cents or so. Thirty times the profit is indeed considerable.

But pharmaceutical companies don't necessarily sell everything they produce immediately. Besides the relatively large demand on the battlefield, the frequency of use in the Federation is not high. After all, three dollars a shot, how many families can use it long-term?

This is also why pharmaceutical companies know that some drugs will cause serious dependence on users, but they deliberately ignore this problem.

Things produced are not necessarily all sold.

You produced things worth ten billion, but you can only sell a few million. The profit is high, but the income hasn't really improved.

Liquor is different.

In this best and worst era, no matter if it's the worst people or the best people, they all need liquor.

Liquor can be a drink to celebrate and increase the atmosphere, and it can also become a good medicine to relieve sorrow and make people briefly forget the pain.

Its price is not high, and there are no side effects. Men, women, old, and young can drink it.

Have a cup after work, have a cup when the mood is depressed, have a cup when happy. It has too many applications, so that the market is always in a state where demand exceeds supply. This is where its profiteering lies.

Being able to sell one hundred percent, several times the profit, is equivalent to dozens or hundreds of times the profit of other high-profit commodities.

A profit of tens of millions or hundreds of millions a year in a state is not a joke with people.

Governor Wei De is also very interested in this industry because he truly understands these industries through Lans.

And the new president of Gold Standard Liquor is a person in this industry himself, and he has also sold these liquors. He also knows very well how great the profits of these liquors are.

So now this newly appointed president is a bit confused. He asked directly in front of Governor Wei De, "Governor, excuse me for being presumptuous, aren't you and the Lans family always in a cooperative relationship?"

"The defeat of Gold Standard Liquor in Denuozhou was because of the Lans family, and you now want to personally invest in Gold Standard Liquor. I don't quite understand."

Everyone knows that Governor Wei De and Lans are in the same group. Before the election, Lans gave him great help. Although it can't be said to be a "decisive" help, it was also very important.

Support in terms of funds, support in terms of personnel, everyone knows this, so Governor Wei De wanting to invest in a company that failed in competition at this time makes the president confused.

Is the winner investing in the loser? Is he planning to annex Gold Standard Liquor?

Governor Wei De chuckled twice. "We had some disagreements because of profit distribution. There is an old saying, 'Don't put all your eggs in one basket,' and I think this saying is very correct."

"This world won't stop no matter who leaves. The liquor of the Lans family can sell so well, why can't the liquor of Gold Standard Liquor continue to sell?"

Hearing what Governor Wei De said, the new president of Gold Standard Liquor seemed to understand.

Uneven distribution of spoils—this might be the main inducement for all cooperative groups to eventually move toward division, no one else.

"May I presumptuously ask, how much share do you want to get from the Lans family?"

"Of course I won't reveal it to the outside. I will use this to persuade the board of directors and shareholders. You know, I'm just the president, I can't decide whether you can obtain the company's equity."

"I have to persuade them!"

Governor Wei De's tone was very light. "You have already been presumptuous twice, but this is not a secret. My requirement is twenty percent."

The new president gasped. Before they competed with the Lans family, they knew that the Lans family promised to "share the spoils" with local mayors and government departments. Half of the money was used to bribe local main leaders and law enforcement departments.

In other words, the profit produced by the Lans family's liquor, they could only get half. If they gave another twenty percent to Governor Wei De, then their profit would be thirty percent.

Only six dollars out of twenty dollars of profit belonged to them, and then after deducting some expenses other than costs, they were roughly working for nothing.

No wonder they didn't get along so happily. In the heart of this new president, he felt that if Governor Wei De only asked for five percent or ten percent, perhaps they could maintain cooperation.

But twenty percent is indeed a bit unreasonable.

But, doesn't this just give them a chance?

"I will discuss it with the board of directors. If there is news, I will notify you as soon as possible."

Governor Wei De said "um." "The liquor market in Denuozhou has a scale of several hundred million every year. I dare not say you can take down the entire market, but with my support, your competitiveness will obviously be stronger than Lans's."

"You guys consider it carefully."

Soon the two ended the call. In fact, Governor Wei De didn't just want twenty percent of the equity, he wanted more, but this has a gradual process.

His ideal holding is over thirty percent, or they can sign an additional agreement to let him get more liquor profit sharing.

This market is too big, and the profit is too big. His brain is full of interests.

Perhaps this is the way of thinking of the superior that best fits the federal people's hearts: interests first, everything else is fake.

The president put down the phone, and he was a bit excited to light a cigarette. If there is really a governor supporting them behind their backs, then they don't have to worry about some "vicious competition."

Lans gave local mayors a very high profit share, which means as long as they fight a price war with Lans, the Lans family will definitely not be able to hold on.

As an old enterprise, they can completely sell liquor in Denuozhou without making money, to force all competitors to withdraw from the market. The home-field advantage makes them invincible in price competition.

As long as these competitors withdraw from this market, they hold the pricing power. Isn't it whatever they say the price is?

He directly called the chairman of the board of directors of the company and talked about this.

The chairman of the board of directors was also a bit excited after knowing this. Being driven out of the home field by an outsider's winery is a very shameful thing.

Gold Standard Liquor has become a joke in the industry, but if they can fight a beautiful counterattack at this time, then everything will be rewritten!

"I know about this. I will communicate with other members of the board of directors, and the shareholders."

"Try to investigate whether our new governor can be relied on..."

After putting down the phone, the new president's mood was very high. After thinking about some things, his gaze fell on the title of the page opened by the magazine on the table—"New Hope Mining, Gold Hidden in Stones"

This report revealed the news that New Hope Mining obtained a large amount of mining rights in the Xiang Yalan region, including gold mines and copper mines, which have huge mining value.

The magazine also attached quite a few photos. The photographer of each photo added the recent newspaper at the time of shooting in the photo, telling everyone in a clear way that these photos are real.

There have been some cases of using photos falsely in the Federation before, which finally triggered a series of problems, so in various fields, if you want others to believe your photos, you have to do this.

Because photos can't be faked, and the newspapers inside can't be either. Whether it was taken recently is clear at a glance.

Looking at the prosperous scene in the mine in the photo, looking at the picture of gold ingots refined and piled up in the warehouse, and some photos that are clearly procurement personnel signing to buy ore or copper ingots, the president's heart became hot again.

This is a very suitable investment in the market recently. The financial circle has started to pay attention to this New Hope Mining. It is said that they hold the development rights of more than twenty mines.

The annual net profit exceeds forty million, and the sustainable mining life of these mines is more than ten years.

This means that these mines can stably bring at least four hundred million or more profit returns. In some disclosed board meeting minutes of the mining industry, they mentioned that they would continue to obtain development rights for more mines in the Xiang Yalan region.

Among them, about seven mines are already in negotiation. Once the negotiation is successful, the annual net profit will increase by about ten million more.

This magazine reported a lot of relatively detailed things. They called New Hope Mining's plan to establish an organization called "Xiang Yalan Mining Alliance," pulling all the mines in the Xiang Yalan region in to form an industry association with a huge scale, achieving actual monopoly.

Any commercial behavior that is hooked up with monopoly will bring unimaginable super profits!

The president also really wants to invest, but he doesn't have much money in his hand, and he doesn't dare to invest in this kind of project casually.

And this kind of project investment of ten thousand dollars, twenty thousand, is no different from not investing. If you want to invest, you have to invest a big one!

He called his friend, a friend on Detran Financial Street. As soon as the phone was connected, he stated his identity, and his friend couldn't help but say, "My God, have you heard?"

"Several banks are contacting New Hope Mining, hoping to take them down directly!"

"The entire market is going crazy!"

For the banking industry, this kind of stable output industry is always their first choice, not to mention that these minerals are not only stable but also have high profits. Naturally, they won't let them go!

Banks joined in, which made the atmosphere that was already very hot even more explosive.

People who still had a little doubt, after seeing the bank side also entering the market, didn't have any doubt anymore, and started to contact friends to see if they could get some stocks.

New Hope Mining hasn't gone public yet. They just submitted an application for listing to the Federal Financial Management Committee, and it is expected to be listed on the three major exchanges by the end of the year.

The Financial Management Committee has always said not to engage in this kind of private trading before listing, but how can those who play finance put the law in their eyes?

Someone described Detran, saying that this is a place flowing with gold, but under the gold, it is sin!

"Other companies going public might still need some contractors, but this time, they absolutely don't need it!"

"If you have some money in your hand, no matter if you want stable long-term income or want to make a fortune as soon as possible, I recommend you keep a close eye on this stock. It will definitely create a miracle!"

The voice of the president's friend was filled with a passion he hadn't had before, as if he had already foreseen the miracle myth created by this stock here.

This also made the president a bit tempted. "But I don't have that much money in my hand now."

His friend said in a very strange tone, "Do you know?"

"This is the biggest difference between you who do entities and us who engage in finance."

"In your eyes, money refers to those colorful little pieces of paper, but in our eyes, there is nothing that cannot be exchanged for money!"

"Houses, cars, bonds, gold, anything, even the company shares in your hand, this is a large sum of money, brother!"

"If I were you, I would find a financial company you can trust locally and sign a medium-to-short-term loan agreement with them."

"Mortgage everything valuable you have to them, even if they require a higher interest rate, it doesn't matter."

"As long as you eat New Hope Mining, your wealth will soon double!"

"This kind of thing is too common in Detran. We all look very favorably on this stock!"

"I'm not afraid to tell you, I'm already all in."

"Alright, if you have no other business, I have to hang up the phone."

"You know, I'm very busy now!"

The president seemed to have nothing else to say. He simply said a few irrelevant words and hung up the phone directly.

Some time ago, this friend of his would take the initiative to persuade him to buy this stock, but this time the other party just mentioned it simply and didn't say he must buy it.

Sometimes people are just lowly. The more you let them do, the less they want to do. On the contrary, things people don't want you to do, you will definitely have more interest.

The fact that one's net worth can multiply several times overnight is nothing new in Detran; there are no so-called "upper or lower limits" for federal stocks—as long as you can rise, you can keep rising.

Similarly, if a stock appears to have a collapse phenomenon, it will keep collapsing until it is worthless.

This crazy mechanism, if matched with financial leverage, is the reason why myths can appear!

A stock of a few dollars becomes more than ten dollars overnight. If you add ten times leverage, a person's net worth can increase ten times overnight!

Doing entity industry, it is impossible to complete the feat of increasing assets by multiples in a short time. Perhaps this is why those who engage in finance now look down on those who engage in real industry.

They work hard for a lifetime, and the money they earn is just a "fluctuation" of profit and loss in the financial circle.

The president's brain is full of "legendary myths" in Detran, plus Governor Wei De and Lans seem to have had some contradictions. If they can seize this opportunity, maybe he can get more equity dividends soon.

Although he didn't give himself any clear ideas, he was already looking for various reasons to persuade himself to work toward this goal.

Who can remain calm when net worth increases by several times or ten times rapidly?

No one can.

He called and asked some other friends in the financial field. They all looked very favorably on this stock of New Hope Mining and unanimously believed that it only takes two or three days for its stock price to be several times its issue price, which is also inevitable.

The stock hasn't gone public yet, but people's enthusiasm has already pushed its price to a very high expected value, which means as long as it goes public, its price will soon explode, and there is no need to find someone to support the market, countless people will come to do this for free.

Of course, Lans doesn't know that their financial little game has started to operate and prepare to harvest money. He originally thought this matter would wait until the middle of next year.

He doesn't know much about the federal financial harvest. The long paving is because the market reaction is not good enough. If the market reaction is like now, three or five months is enough.

In fact, this is also related to the war. Some people firmly believe that the Federation can win the final victory of this war.

But there are also people who don't believe that the Federation can obtain the final victory.

Once the Federation loses the war, or doesn't get the results the Federation wants, it is very likely that a bad situation will appear.

At this time, finding projects that can survive the "cold winter" is particularly important. A mining group with stable output is undoubtedly a very good project. This is also the reason why the outside propaganda says that the bank side also wants to buy New Hope Mining.

Banks also need these industries that survive the winter to ensure the safety and stability of their funds.

Although Lans doesn't know much about this, he also heard that Governor Wei De has contacted Gold Standard Liquor and seems to be talking about cooperation.

Lans knows that he is putting pressure on himself in this way. If he can't hold on here and compromises, Governor Wei De will definitely clarify the rumors soon.

But if he doesn't compromise here, Governor Wei De will definitely continue to promote this project.

This is a guy with ambition and strong desire. When Sidney used the opportunity of "nominating a gubernatorial candidate" to transfer the Wei De family away, Lans understood this point.

They have the characteristics of gamblers, and their ambition is far-reaching and their desire is strong.

These people cannot be maintained by "human feelings." For him, every event is an isolated event. This is also a concept of facing the world that the federal elite class relatively admires.

You helped me, and I must help you—there is no connection.

Before they might be friends, but at this moment, they are not necessarily friends, and they could be competitors, or even enemies. ===== CHAPTER 998 =====