The Rise of Australia

Chapter 294 Buying the Rubber Company at a Low Price

The good news is that this rubber crisis did not involve many other industries, and the crisis almost only stayed in the rubber industry.

In addition, other European countries have strict supervision of the securities market. After the collapse of the rubber stock market, they immediately introduced corresponding policies for management. This led to the fact that the stock markets and economies of most regions, including Australasia, did not experience too much fluctuation, and also avoided a large-scale economic crisis worldwide.

In order to prevent the Sydney Stock Exchange from being affected too much, Arthur let the royal consortium announce the acquisition of all rubber company stocks on the market when the rubber stock price plummeted to less than half of the issue price.

This move saved the economy of some Australasia rubber companies and allowed some shareholders to sell their stocks.

This action would not be too bad for Arthur, after all, the rubber company's stocks have fallen to the bottom price, and they will not fall much further.

Anyway, Arthur's royal consortium made a lot of money in this rubber event, and it is reasonable to take out a little to save the Australasia rubber market.

As for the rubber market and rubber companies in other parts of the world, Arthur can only say that he is powerless.

Anyway, the huge crisis facing the rubber industry is largely caused by the greed of these small capitals.

In this rubber crisis, Arthur did not make much money. Although he knew that shorting the stocks of rubber companies could make a lot of profits for the royal consortium, Arthur was not interested in such ill-gotten gains. After all, for a monarch, reputation is more important than money.

But there was a nation that shorted a lot in this rubber crisis and collected a lot of funds.

This nation is the famous Jewish people in history, but this also led to the rise of hatred of Jews among many people in Europe.

Even anti-Jewish actions broke out in some areas, making the lives of some low-level Jews more difficult.

This can also be regarded as the Jews asking for trouble. After all, being greedy is okay, but being too greedy is not okay.

Faced with such an extremely greedy nation, who would have a good impression of it?

After the end of World War I in history, the phenomenon of 500,000 marks of bread faced by the defeated Germans was inseparable from the actions of the Jews behind the scenes.

This also indirectly led to the Holocaust against the Jews after the Third Reich came to power. After all, in the hearts of all Germans at that time, hatred for the Jews was engraved in their bones.

In early May 1911, Kent Butler came to Arthur with a happy face to report the achievements of the Royal Consortium in the rubber crisis.

Since its establishment, the Royal Consortium has invested nearly 2 million Australian dollars, created and invested in more than 40 rubber companies and more than 200 rubber production gardens.

At that time, the Sydney Stock Exchange was not listed, and Arthur was aware of the losses brought to the stock exchange and the national economy by the rubber crisis. Therefore, these rubber companies established and invested by the Royal Consortium were generally listed in other foreign regions, including New York, London, etc.

"Your Majesty, our income during the stock issuance period exceeded 13 million Australian dollars, and the income from cashing out stocks at high prices was as high as 31 million Australian dollars. After deducting a series of expenses during this period, our total profit should be as high as 35 million Australian dollars." Kent Butler reported to Arthur with a smile.

The Royal Consortium's annual profit is more than 35 million Australian dollars, which is why Butler Kent was not too moved when reporting.

But this money was obtained for free after all, and it was enough to make people happy.

"How much did we spend on repurchasing stocks after this stock market disaster?" Arthur asked with interest.

The Royal Consortium's high-profile repurchasing of all rubber stocks on the market has made many Australasian stockholders grateful.

After all, if it were not for the acquisition of the Royal Consortium, the price of the stock would probably be reduced by more than half, and it would really be worse than waste paper at that time.

"There are not many rubber companies listed in Sydney. So far, we have acquired all the stocks of most rubber companies listed in Sydney, which cost us a total of 590,000 Australian dollars." Butler Kent continued.

Although there are only more than a dozen rubber companies listed in Sydney, if you want to acquire these companies before the rubber crisis breaks out, you have to pay at least more than 10 million Australian dollars.

But now, it is just 590,000 Australian dollars, perhaps just a fraction of the previous amount, to buy all the listed stocks of these companies.

Moreover, the rubber companies listed in Sydney are generally well-qualified, and these rubber companies are fully capable of continuing to invest in production after the rubber crisis.

Because in Arthur's knowledge, even in the future, synthetic rubber has not been able to fully replace natural rubber.

This also means that although these natural rubber plantations and rubber companies are currently suffering from a crisis, their overall value and role are still not small.

In fact, the real reason for this rubber crisis, in addition to the saturation of synthetic rubber and rubber production, is that the rubber market is relatively chaotic. In Southeast Asia, the main rubber production area, there are a large number of shell companies.

After this rubber crisis eliminates most rubber companies and those shell rubber companies, the rubber market will also return to stability in a few years.

After discussing with Kent Butler for a long time, Arthur decided to start a large-scale acquisition of stocks of Southeast Asian rubber companies and rubber estates after the stocks of some rubber estates and companies in Southeast Asia reached the lowest point.

This is almost the best time to buy, and you only need to invest a few million Australian dollars to buy hundreds of rubber companies.

More importantly, Southeast Asia is very close to Australasia, and Australasia still has some influence in this area.

After acquiring these rubber companies and estates, Arthur will also be able to fully control them, thereby affecting the rubber prices in Southeast Asia and the world.

With Arthur's approval, the royal consortium is expected to invest at least 8 million Australian dollars to acquire rubber companies and estates in Southeast Asia.

As for rubber companies in other regions, they are not considered by the royal consortium for the time being. After all, Australasia's hands cannot be stretched that far for the time being, and the interests of the rubber market are not something that Arthur can eat alone.

Of course, after acquiring the stocks of these rubber companies, the delisting must be done.

It is definitely impossible to make money from the stocks of these rubber companies. At least within a dozen years, the rubber market will never be able to return to the grand situation before the crisis.

For the stock market at this time, selling stocks in hand is the dream of all stockholders.

Therefore, when the Royal Consortium was buying rubber stocks, a large number of shareholders began to sell their stocks, which also allowed the Royal Consortium to acquire stocks in many rubber markets in Southeast Asia in a short period of time, with a total of more than 100 rubber companies and 200 rubber estates.

The acquisition lasted for more than half a month, and the Royal Consortium also increased the number of rubber companies acquired to more than 500, and the number of rubber estates was as high as more than 1,000.

At the same time, other rubber companies on the market were also almost acquired, and a vigorous rubber crisis ended.

The Royal Consortium currently owns more than 500 rubber companies and more than 1,000 rubber estates. These rubber companies combined are not a small business.

After careful consideration, Arthur decided to unite all the rubber companies in Southeast Asia to establish the Australian Rubber Company and operate independently.

After all, the current scale of the Royal Consortium is already very large. Even if Arthur can control it now, it may not be controlled by the next monarch or every monarch in the future.

It is better to prepare for the splitting of the royal consortium in advance, split the royal consortium into giants in various industries, and the royal family can just be the controller behind the scenes.

It is better to get a large amount of dividends every year without showing up, isn't it better than working hard to control a group and being remembered by others?

As May came, there were several more important news around the world.

The first one was that the Qing Dynasty in the East officially began to implement the responsible cabinet system. But Arthur was not very optimistic about such changes, because those who could enter the cabinet were still royal nobles after all, and ordinary people basically had no qualifications to get involved.

In addition to establishing a responsible cabinet, the Qing Dynasty also nationalized the railways across the country, which also aroused domestic anger.

In Europe, the Italo-Turkish War was also becoming more and more intense.

On May 1, more than 20,000 Italian troops landed in Tripoli, officially starting the first battle of the Italo-Turkish War.

Compared with the Turkish garrison troops, the Italian army had a clear advantage in equipment and number of people.

Italy, one of the great powers, also used its fleet to blockade the coast of Tripoli, and even dispatched military airships and aircraft to participate in this war.

As in history, this was the first time in human history that aircraft were used to participate in a war.

However, due to the influence of Australasia before, the development of aircraft in European countries was generally slow, and the military aircraft dispatched by Italy were more backward than those they had dispatched in history.

However, the development of Italian airships has made some progress, and this time more airships than aircraft were dispatched to participate in the battle.

The advantage from the air made the Turkish army miserable, and the British directly banned Turkish reinforcements from passing through Egypt, leaving the Turkish army in Tripoli without any reinforcements and directly trapped in an isolated place.

The British act of helping the Italians made the Turkish government and people very angry. But at the same time, the contradiction between Turkey and Italy also deepened sharply, which is why the Turkish people still did not choose to join the Allies after being hostile to the British.

Arthur looked at the war report from Europe and shook his head. He wondered if the event in history that directly made Turkey join the Allies would happen again in this world?

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