"How are the sales of LeTV's bonds issued in the past two months? We at Xiyou can help."

At noon the next day, as it was the weekend, the banks of the Huangpu River were crowded with people, and the sound of ships' horns could be heard from the river in the distance.

Spring is here, just like the name of the restaurant, you can still see lush green plants at the outdoor dining table, without any trace of the cold autumn.

Tang Man, wearing a long floral skirt and a light-colored silk casual shirt, smiled and said, "We don't buy it, but we can package it with you and do 'bond lending'. The price is very considerable."

"Still like making fun of me, just like before."

Sitting opposite to her, a middle-aged man with a bit of Uncle Zha's temperament stroked the wedding ring on his finger and joked helplessly.

Tang Man stood up and leaned back slightly, raising her hand to tidy up her long hair: "Then you asked me out for dinner, and you don't have to pay for the appearance fee?"

"I can't argue with you. I'm very honored that Mr. Tang accepted my invitation." Uncle Zha picked up the cup in a serious manner, drinking tea instead of wine.

Tang Man chuckled and shook her head. It was really unpleasant to meet and drink tea with old classmates who she hadn't contacted for two or three years.

Uncle Zha is now working in the bond business at Debon Securities. He is the main underwriter of two bonds issued by LeTV in the past two months, totaling 19.3 billion yuan. He has been seriously affected by the industry-wide search for "bond sources".

Especially regarding the 9.3 million yuan four days ago, a fund that had already agreed to purchase LeTV bond shares in advance suddenly changed its mind and said it needed to reconsider.

Several other buyers instantly used the most simple and vigorous investment analysis logic. If he buys, I buy. If he doesn’t buy, I won’t buy either. We kept pushing each other to the limit.

Finally, they all slapped their thighs and realized, damn, is Xie Jingxing going to short or not?

"I was really screwed by your young master. LeTV's secretary Zhao Kai told me that Boss Jia and Young Master Xie have a tense personal relationship and it's hard to reconcile."

Uncle Zha said that things were not going well at work, and seemed to want to ask his old classmates to help mediate and reconcile.

"You heard them say that there may be personal conflicts between the bosses, but investment is based on rational analysis. When has Xiyou ever joked about goodwill?"

Tang Man couldn't help but raise her eyebrows and kindly reminded: "LeEco pays the underwriting commission, don't help them count the money after you are sold."

"how come."

The modest smile that always hung on the corner of Klopp's mouth became a little stiff. He only needed his old classmate to admit that the commotion caused by Grapefruit was a personal grudge, and then he could turn around and persuade a few buyers.

As a result, Tang Man not only refused to fall for it, but also insisted that it was a rational investment behavior. He also reminded him to be careful and not to help LeTV to issue fraudulent shares, and be punished by the regulator for "failure to perform due diligence".

So far, there has never been such an unfortunate case of punishment in the domestic bond market.

Ordinary people know to appropriately beautify their borrowing qualifications when they go to a bank to borrow money, so the bonds that can be redeemed and repaid in the end are good bonds, and there is absolutely no such thing as fraudulent issuance!
Unless the bonds default and are not repaid in the end, after the stock market crash, the regulatory personnel have been frequently transferred, and it is obvious that compliance and risk control have been tightened...

Uncle Zha looked at his old classmate in front of him with confusion. His demeanor has become better than before. What does it mean, sincerity or sarcasm?

"Has the situation at LeEco become so serious? If so, Xiyou's actions are inconsistent with Mr. Xie's consistent public image." He continued to probe.

Tang Man asked leisurely, "What do you think Mr. Xie is like?"

"It's unlikely that he has responded to Jia's WeChat Moments yesterday. There have been no official reports on LeEco's business difficulties in the market in the past two days."

The old man put himself in LeEco's shoes and said half-truthfully: "The offensive was not fierce enough. LeEco's share price only fell 2 points at the close last Friday."

"You don't want to do LeTV business anymore, do you?" Tang Man laughed again without commenting.

The uncle was choked and complained: "You have changed a lot."

"It's the same with you. We are all at different stages of growth." Tang Man inexplicably restrained his attitude and said seriously.

After a few seconds of silence, the uncle said bluntly: "Manman, this project is very important to me."

"I told you that you can arrange 'bond lending'. Our prices are very favorable and there will always be people willing to buy."

Tang Man picked up a finger, dipped it in the tea, and drew a group of numbers on the table. The numbers dried up and disappeared in the wind.

The so-called "bond lending" is played in the same way as stock lending, with a higher threshold than stock lending. The market is entirely composed of banks, insurance companies, and financial institutions for bulk transactions.

For example, Debon Securities, as the lead underwriter, sold LeTV bonds to Taihe. Xiyou first borrowed the bonds from Taihe and sold them on the market, and then purchased them from the market at a low price and returned them to Taihe.

The bet is that the risk of default of LeTV bonds will increase in the future. The original total principal was 19.3 billion plus 10% interest. If LeTV refuses to repay the money in the end, it will naturally be worth not a penny.

In short, combined with the margin trading inquiries that spread throughout the circle yesterday, Xiyou is shorting LeTV in all directions, from stocks to bonds, and his attitude is particularly resolute, as evidenced by the extraordinary interest offered by Tang Man.

From the perspective of Debon Securities, this will lead to differences in the market, and institutions in the industry that are influenced by Xie Jingxing and are not optimistic about LeTV will become even more pessimistic.

Institutions in the industry that are optimistic about LeTV firmly bought LeTV bonds and lent them to Xiyou at high interest rates.

It should be easier for Klopp to package the two transactions and find a buyer together than simply selling the bonds now.

"If LeEco fails to sell these two bonds and lacks 20 billion in funds for turnover, its financial problems may arise more rapidly. Isn't this more in line with your position?" He hesitated and felt there was a trap.

"The bond market is worth trillions of dollars. Grapefruit's market analysis is not a golden rule that all institutions must follow. It's not that you really can't sell it, but you just come to me to save trouble."

Tang Man explained lightly, paused and continued: "As for me, for the sake of our old classmates, I also took advantage of the situation and made a small investment."

"Manman, I don't mean anything else." The old man's face turned red.

Tang Man had no intention of listening to his explanation: "Do you do put options?"

"...over-the-counter options." Uncle Zha was speechless for the umpteenth time. This is the most flexible and capital-intensive way of short selling in China, and it eliminates the "securities lending" link.

This is what Xie Jingxing mentioned when he formulated the general framework of the plan to short LeTV. Stock short selling through securities lending and bond short selling are relatively speaking supplementary methods.

Three months later, no matter what LeTV's stock price is, Xiyou will buy it in bulk and sell it at 10 yuan per share. Anyone who wants to buy can sign the contract now.

Three months later, if LeEco's stock price was higher than 10 yuan, Xiyou would suffer a net loss. If LeEco's stock price dropped to 9.9 cent, Xiyou would earn yuan per share.

The door is open, come and gamble if you want.

A financial bomb with three layers of related transactions inside and outside gives buyers enough motivation to go long.

Uncle Zha couldn't help swallowing his saliva. Assuming he was rich enough, he would first sign a contract with Xiyou, agreeing to buy 10 million LeTV shares from the latter at a price of 2 yuan per share three months later.

Then, within the agreed period, artificially hyped up LeTV's stock price to 200 yuan per share.

Then three months later, Xiyou would have to go to the stock market and buy 200 million shares at a price of 2 yuan per share, and then sell them to him at a price of 10 yuan per share.

Net profit of 380 billion? No, at least 450 billion.

"Manman, you know, my family situation has been pretty bad in recent years, and life has taken up too much of my energy, so I haven't been able to devote myself to work..." Uncle Zha suddenly looked melancholy and expressed his feelings.

Tang Man frowned: "I don't understand."

"What I mean is, give me some advice, should I underwrite LeEco bonds?" Klopp was sincere and full of friendship.

He admitted that at this moment, he was a little panicked.

By the process of elimination, we can eliminate the possibility that Xie Jingxing is an idiot, and the remaining one is that he has a weapon in his hand that can kill LeTV with one blow, that can make Jia Yueting die on the spot, and that can directly bring LeTV to the New Third Board.

It could be serious financial fraud comparable to a black swan, or it could be physical destruction by administrative force.

Either way, Klopp feels that working hard to help LeTV sell its debts could easily get him involved.

"How much is the underwriting commission?" Tang Man hesitated for a moment and did not give a direct answer.

Klopp hesitated for a moment, dipped his finger in water and wrote a 3 on the table, which means an annualized rate of 3% for three years. A one-time commission of 19.3 million will be paid for 1.7 billion bonds, and there will be subsequent incentive clauses.

Tang Man put down his chopsticks and wiped his mouth slowly: "If you don't know, you would think you are selling arms."

"I have to make a living. Otherwise, why would I bother you with a 20 billion debt? After all, we used to be together."

Before the scumbag finished his words, he looked like he was saying, "I am a man too, I have to save my face too."

Tang Man didn't know why she suddenly felt particularly annoyed. A gentle smile appeared on the corner of her mouth, mixed with some vague nostalgia: "The past is all in the past."

"That's right, the past tense doesn't mention people and we need to look forward, so today is our new beginning."

"It's a bit hasty. Is this a new beginning?"

"Of course not. I've prepared a surprise for you. There are flowers and red wine, both of which you like."

The passion suddenly surged inside him. He took out his cell phone without leaving any trace and started typing, asking the hotel manager he was familiar with to help him prepare.

"You have no understanding. It's all in the past tense. Why are you still bringing it up?"

An old dog can't learn new tricks. Tang Man chuckled, "As for me, I was too hungry before. Now I think red wine is too bland and old-fashioned. Whiskey tastes more stimulating and refreshing."

"Huh?" The uncle was dumbfounded, his eyes wide as big as bells.

"Whiskey is a strong liquor. It's violent and choking."

Tang Man stood up, biting her red lips, as if slightly drunk, and patted his shoulder. "Sorry, my young commander has ordered me to talk to your major shareholder. It seems that he wants to sell his shares in LeTV."

Debon Securities was originally a small securities firm in Liaoning. It was sold to Fuxing Group more than ten years ago and moved to Shanghai. In the past two years, it was sold to Industrial Bank again.

A fund under Industrial Bank is currently one of the top ten shareholders of LeTV, with a shareholding ratio of 0.87%.

I looked at my old classmate walking away with a commuter bag on his shoulder.

Uncle Zha's face turned pale and red. He was still busy with the 2 billion underwriting project, but she had already gained both wealth and beauty.

An old cow eats young grass. You are not hungry, but your young commander must be a little hungry because he has never eaten any good pork head meat.

"Check the main suppliers of LeEco's business. Several of them are listed companies. Adjust your positions to avoid risks."

After determining that his old classmate was being sarcastic, the uncle immediately called his subordinates to assign tasks.

No matter what Tang Man said, it is impossible for Xiyou to open up short selling of LeTV put options to the entire market. The purpose is still to create panic.

However, the effect is far greater than securities lending and debt borrowing, and it clearly declares that LeTV is doomed and no one can save it.

The negative impact that the market will deduce from this association must first be a financial crisis, with the supplier company triggering the business-related risk warning issued by Grapefruit on Friday.

The herd effect will lead to a group decline, which is almost imminent. (End of this chapter)