Chapter 331 Launch of the IPO
Shirakawa Kaede did not expect that Arai Yu and his team would ask for help for this briefing.
It turns out that even a reserved little life can use this trick.
But it is understandable. After all, these institutions are underwriting pressure, and it is common for them to use some tricks.
As Ichiro Watanabe's detailed explanation on the stage ended, the briefing was coming to an end.
Of course, at the end, there are some media interviews.
Compared with the investors present, the reporters were obviously more interested in the two high-tech technologies at the briefing.
Most of their questions are also focused on this, such as when the product will be launched, whether the actual performance is as good as the demonstration, etc.
Baichuan Feng had already prepared answers to these questions in his mind, and his answers were flawless.
However, the blond-haired, blue-eyed American reporter asked a very sharp question.
"Mr. Shirakawa, you just mentioned on stage that in order to reduce supply chain risks, you have your own chip design company?"
“Yes, that’s right, our chip design is aimed at satisfying self-supply first.
Of course, in the processor field, we are also seeking a larger market share.
For example, the cooperation with Fujitsu in the personal computer business has proved that SIC's chips are excellent and have won wide acclaim from consumers.
We have also received many inquiries from other customers, and we believe that SIC will become another major force in the chip market in the future."
Since the other party asked this question, Baichuan Feng didn't mind bragging about his own chips.
With so many media outlets around, it would be a waste not to promote it.
"We all know that Japan's DRAM chip business is now plundering the global market.
So does SIC also plan to expand into the global processor chip business? "
It is well known how strong Japan's current DRAM business is. Although it has not yet occupied an absolute dominant position, the situation in the US market has become increasingly dangerous.
Now a chip company focusing on processor business has emerged in Japan, which makes people wonder whether Japan is preparing to monopolize the global chip market.
As soon as this question was asked, the surrounding voices fell silent. Everyone looked at each other, and the atmosphere became somewhat subtle.
Most of the people gathered here at this time were Japanese reporters, but the question asked by this American reporter could be said to be quite tit-for-tat.
When Baichuan Feng heard this question, he still maintained a calm expression.
“As I just said, SIC’s first priority is to meet its own needs.
Neon is the second market we are considering, but so far we have no plans to enter the overseas market.
In addition, I believe that the law of development of the market economy is self-regulation. As long as we make our products well, I believe we will not be abandoned by the market.”
Baichuan Feng said these nice words in such a sanctimonious manner, but in fact, even he himself did not believe them.
In the face of the state apparatus, self-regulation is a joke.
Aren’t there enough sanctions imposed by the United States? That is the biggest insult to the free trade it advocates.
But there is no way, we have to say some polite words, everyone is wearing a mask and no one should say anything about anyone else.
And Baichuan Feng's seemingly objective words also won the favor of the surrounding Japanese reporters.
Because of IBM's commercial espionage during this period, the Japanese actually have a bad impression of the United States.
According to media reports, Hitachi is portrayed as a victim, and it is IBM and the US government that are deliberately making things difficult for Japanese companies.
Therefore, Shirakawa Kaede seems to be fair, but in fact he is defending the practices of Japanese enterprises. This makes reporters feel that Shirakawa-san is indeed a responsible entrepreneur who is never ambiguous in the face of major issues.
In fact, Baichuan Feng doesn't care about right and wrong, he just wants to make money. SIC hasn't even developed the Japanese market yet, what's the benefit of kneeling down to the United States now?
"So, Mr. Shirakawa, what do you think about the recent IBM industrial case?"
"I'm sorry, but this topic has nothing to do with this briefing. I'm sorry, I can't comment on it."
"Then the products of Hitachi and other companies are suspected of infringing IBM's designs, including chip architecture and other aspects. How can SIC avoid this risk in the course of its operations?"
“First, IBM’s chip architecture is aimed at the professional server market, while SIC’s chip architecture is aimed at the personal computer processor market.
These two are completely different concepts and cannot be compared together.
I would like to emphasize once again that I cannot answer questions that are not related to this briefing. "
Even during interviews with reporters, the Americans could not hide the arrogance and prejudice that were revealed everywhere.
Such questions are considered very rude in the eyes of the Japanese, but they ask them as if it were natural.
However, Baichuan Feng did not tolerate them and answered them directly, almost confronting them in person .
After a heated exchange of words, I finally got rid of all their problems.
Upon seeing this, the person in charge who was the guest host on the scene immediately announced that the briefing had officially come to a successful conclusion.
The next meeting was an internal one that was not open to the public, so the reporters who were enjoying the meal left one after another.
When they left, they all walked in a hurry, eager to send out all the news in their hands immediately.
Today's briefing was definitely not in vain. Not only were there all kinds of amazing black technologies, but the conversations with American reporters were also very interesting.
As the reporters left, other investment institutions that had joined in the fun slowly withdrew.
At this time, the only people left in the hall were the institutions that were truly interested in Shirakawa Electric's stocks. A rough count showed that there were about a dozen people.
However, the next meeting will be moved to a more private room, and the protagonist will no longer be Shirakawa Kaede.
Dai-ichi Kangyo Bank, Nomura Securities and Kitato Bank, which contracted 70% of Shirakawa Electric's issued shares, are the main players. He just needs to listen from the side.
When Dai-ichi Kangyo Bank sold the issued shares of Shirakawa Electric to a third-party institution, it was equivalent to the stocks flowing into the primary market.
Third-party institutions then sell them to retail investors, which is the trading behavior in the secondary market.
The difference in price is where the profit of the financial game lies.
As for the remaining 30% of Shirakawa Electric's issued shares, they will be opened to the outside world by Dai-ichi Kangyo Bank, and both institutions and retail investors can be trading targets.
Of course, since Shirakawa Electric has not yet been officially listed, this internal meeting was all about discussing purchasing intentions.
Once Shirakawa Electric is officially listed on the first section of the Tokyo Stock Exchange, the stock delivery will be completed immediately.
The rest of the matter has nothing to do with Dai-ichi Kangyo Bank and Shirakawa Electric. It was a spontaneous trading behavior of the stock market and was self-regulated by the market.
The meeting ended soon. Shirakawa Kaede was confused, but Watanabe Ichiro and Arai Yu had unconcealable excitement in their eyes.
After almost everyone had left, Watanabe Ichiro and the others found Shirakawa Kaede alone.
“Mr. Shirakawa, Morgan and many local investment institutions without chaebol backgrounds are very optimistic about Shirakawa Electric’s stock.
After consulting with them, we all agreed that the price of Shirakawa Electric's issued shares should be above 1,000 yen."
As he spoke, Ichiro Watanabe looked at Shirakawa Kaede with burning eyes, and even Arai Yu beside him nodded in approval.
Baichuan Feng knew that this must be an agreement they had reached with those investment institutions.
700 yen is the underwriting price of Dai-ichi Kangyo Bank, but the offer to third-party investment institutions will definitely be higher than it.
This price difference is the underwriter’s profit, so how do third-party investment institutions make a profit?
That is to ensure that the issue price of Shirakawa Electric's new shares is higher than the price they purchased from Dai-ichi Kangyo Bank.
There is another price difference, which is the profit of the third-party investment institution.
After filtering through layer by layer, if you want everyone to get money, then everyone must reach a sufficient consensus on the issue price.
This is the unspoken rule of the stock market and how the financial game is played.
After all, the price difference profits of several parties are ultimately paid by retail investors, and this is the greatest significance of the existence of leeks.
After receiving hints from Watanabe Ichiro and Arai Yu, Shirakawa Kaede nodded and agreed to this pricing.
At 1,000 yen, Shirakawa Electric can fully support such a pricing, and it has gone through countless calculations internally, so there is no risk of breaking the issue price.
The interests of both parties were guaranteed, and everyone was satisfied and ready to end the meeting.
After getting in the car and watching the Imperial Hotel getting farther and farther away behind him, Shirakawa Feng breathed a sigh of relief for some reason. Finally, most of the procedures before Shirakawa Electric went public were completed.
"Arai-san, how many shares of Kitato Bank have been reserved?"
"More than half of the shares have been sold, and the market is better than we thought." Arai Yuya was excited when he mentioned this.
Finance still makes money quickly. Just with this back and forth trading, Kitato Bank has already made a net profit of 4 billion yen.
This was the first time that Kitatoshi Bank entered the securities market, and it earned profits with almost no channel resources behind it.
Baichuan Feng believes that Dai-ichi Kangyo Bank must have earned more, no wonder they were so active and busy at this briefing.
They booked the Imperial Hotel, arranged the venue, and sent out invitations to all parties.
There's no such thing as doing nothing without benefits. Ichiro Watanabe and his colleagues must have lost a lot of hair recently for this feast.
On the last day of July, the Shirakawa Electric briefing officially ended.
On August 1st, Shirakawa Electric officially submitted its listing application to the Financial Services Agency and the Tokyo Stock Exchange.
This also officially marks that Shirakawa Electric's listing process has entered the fast lane.
Starting from today, Shirakawa Electric will no longer issue any announcements to the public.
According to the unwritten rules of the stock market, once the initial public offering is launched and a formal application is submitted to the stock exchange, the company planning to go public will enter a silent period.
During this period, listed companies, company insiders, analysts, and other relevant parties are legally prohibited from discussing or promoting stocks that are about to be publicly offered.
This is done to eliminate possible insider trading and reduce the risk of disrupting market order.
After all, if an insider reveals a rough range of the issue price, it may lead to a series of subsequent organized financial activities.
So in order to avoid trouble, companies simply remain silent during this period to avoid complications.
However, the fact that Shirakawa Electric did not make an announcement does not mean that the outside world will shift its focus and ignore its existence.
There was a lot to see at the briefing that just ended.
