My Age of Investment

  Chapter 300 President of Bertelsmann China

  Xia Jingxing tapped his finger on the desktop and smiled and said, “It’s only been a month, and the valuation has tripled. Isn’t it too high?”

   Chen Hong seemed to have expected Xia Jingxing to say this, and shook his head calmly, "Jingxing, you are making a mistake.

  We have been in contact with Framework Media since July last year, and did not officially finalize the contract until November.

  In the middle of these four months, we have not been idle, and have been thinking about a way to success for Frame Media.

  The acquisition and integration plans you have heard so far seem to be very simple, but in fact, we spent a lot of time collecting information on industry competitors and analyzing them to verify the feasibility.

  These things are all intangible values.

  In addition, Tan Zhi entered Frame Media in November last year.

  The current framework media is different from three months ago.

  Not only rectified the team, determined the development goals and direction, but also cleared all the obstacles before starting the operation.

  You are now a shareholder of Frame Media, and you can wait up to one year, and you will surely get a satisfactory result. "

  Speaking very well, there is only one purpose, not to let oneself lower the price.

  Xia Jingxing saw it very clearly, so she started to reason.

   "Hanergy and IDG invested 10 million and 5 million respectively, but we have to vote 50 million, and the risks and pressures are much greater.

   Focusing on the crowd and gathering the crowd to regard the advertisement of the building as a sleeping place, how can you allow others to sleep soundly?

  Once the disputes over the LCD screen advertising market are over, the next thing they will use is frame advertising.

  The two of them each hold hundreds of millions of dollars in funds. Once they become real, the framework media may not be able to resist it. "

  Tan Zhi smiled, “The battle for LCD advertising doesn’t come out so quickly, and they don’t necessarily choose to be our enemy.

  If you want to go public, if you want to get a higher issue price and market value, you must have a good-looking business report.

  Follow us, and the gains outweigh the losses.

  I have dealt with Jiang Nanchun and Yu Feng, they are all smart people, knowing how to do it, is good for me. "

  Xia Jingxing shook his head, “It’s hard to say. If the acquisition of Frame Media requires 400 million, they only need to spend half of it, which is 200 million, to defeat Frame Media.”

  "I admit that, in terms of capital strength, we are indeed inferior to Focus and Gathering, which are blessed by top capital such as SoftBank, Goldman Sachs, and Carlyle.

  But Jingxing, you can’t look at the problem like that.

  For their two companies, choosing to acquire Frame Media obviously has more advantages than disadvantages. With their perfect advertising channels, after Frame Media is acquired, revenue may be doubled.

  If it is a listed company, the stock price will go up a few points, which will smooth out the cost of the acquisition.

  If there is a price war with us, the stock price will drop a few points.

  The investment institutions in their board of directors are not good.

  The company is listed, and investment institutions must seek to exit, so they naturally choose to sell at a high stock price.

  Even if the founder is unwilling to acquire us, he wants to fight with us.

  Shareholders will also have opinions, because it is not in their interests to do so. "

  Chen Hong looked at Xia Jingxing with a smile, and unhurriedly analyzed the game between listed companies, venture capital institutions, and founders.

  Xia Jingxing feels tricky. He is an old capitalist, so it's not easy to fool.

  "50 million pre-investment valuation, we can entrust the corresponding voting rights to Mr. Tan Zhi and continue to serve as the representative of the management."

  Tan Zhi smiled at Xia Jingxing and said, “Mr. Xia, I’m fifty years old and I feel old, but I don’t really want to be the chairman.

  We have been looking for management talents before, but we haven't found a suitable one, so I have been doing it concurrently.

  If Envision Capital has a suitable candidate, I can abdicate and become a virtuous person. "

  Chen Hong smiled and looked at Xia Jingxing, Envision Capital is a newly established fund, and there is no talent pool at all.

  Even if they allow Envision Capital to host Framework Media, the other party cannot recommend the right person.

  So Xia Jingxing’s right to abstain from voting is not an important weight in his eyes.

  Xia Jingxing saw the two unmoved, and proposed a new condition.

  “If you focus on the crowd and gather crowds to find the fault in the future, Envision Capital can also make additional investments.”

  Chen Hong came to be a little interested, and asked: "How much to add?"

   Tan Zhi also looked at Xia Jingxing.

  Although they keep saying that they are not afraid of the threat of focusing and gathering, a merger is more in the interests of the two companies than competition.

  But no one can guarantee that there will be no accidents.

  Xia Jingxing is willing to guarantee additional investment, which is what Frame Media urgently needs, and it is also a way to go.

   "There is no problem within 100 million. Of course, it depends on the specific situation."

  Hearing this, Tan Zhi looked at Chen Hong, and the two looked at each other.

  Chen Hong said: “Let’s do this, with a pre-investment valuation of 80 million yuan, you invest 50 million yuan in and become the company’s largest shareholder.”

  Tan Zhi also smiled and nodded, agreeing to this condition.

  This major shareholder is not good enough.

  Once they invested 50 million yuan, they boarded their ship, and the sinking cost was very high.

  If there really is a situation of fierce competition between the focus and the gathering of the frame media.

  They can all give up, but Vision Capital can’t. They must walk all the way to the dark, unless the 50 million is no longer needed.

  This is not a trap, it can only be regarded as a bondage.

   "A further decrease of 5 million, based on the pre-investment valuation of 75 million, I voted for 50 million and took 40% of the shares."

  Chen Hong hesitated for a moment, and finally nodded, "Well, this is also our first cooperation. I hope everyone has a happy cooperation."

  After finishing speaking, Chen Hong got up and handed Xia Jingxing a hand.

  Xia Jingxing shook hands with him, smiled and said, "Happy cooperation."

Tan Zhi next to    also got up and shook hands with Xia Jingxing. He was quite satisfied with the result. Compared with the 35 million post-investment valuation in the previous round, this round’s pre-investment valuation has more than doubled.

   is not a big profit, but there is a certain amount of floating profit.

  The most important thing is to obtain sufficient cash, which will provide the strongest support for their upcoming serial acquisitions.

   "I have no other requirements, I just hope that the funds will be in place as soon as possible, preferably within half a month."

  Chen Hong looked at Xia Jingxing and made a request.

   Tan Zhi added: “This is because we plan to start operations this month, and the funds cannot be dragged on.”

  It is very normal for venture capital institutions to settle investment funds slowly.

  In the case of Hanergy and IDG, the contract was signed in November last year, and the delivery was completed in January this year.

  This is because the decision-making process of some investment institutions is very long and requires due diligence.

  The most important thing is that everyone likes to drag it. If there is an accident in the middle, you can stop the loss quickly.

  Xia Jingxing knows that Frame Media needs money very much, so he said: "Don't worry, I will make payments very quickly."

   "Haha, that's good."

  Chen Hong smiled and greeted Xia Jingxing to drink tea.

  "Then, do we sign the investment intention agreement now? Or wait a few more days?" Tan Zhi looked at Xia Jingxing and asked tentatively.

  Chen Hong also looked at Xia Jingxing. The latter smiled and said, “Don’t wait, isn’t it in a hurry? Sign now.

  I will call tonight to inform the due diligence team to fly over from the United States tomorrow. "

  Xia Jingxing's vigorous and resolute manner made the two of them very satisfied.

  Chen Hong took out his mobile phone, walked to the office next door, and called someone from IDG.

  About half an hour later, Chen Hong came back. He smiled and said, "The IDG people have no objection. Wang Gongquan will fly over from the capital tonight, Tan Zhi, you can go back to the company to arrange a contract!"

  Tan Zhi nodded, did not stop, and quickly left.

  Chen Hong continued to chat with Xia Jingxing, planning to go to the Framework Media Company later.

   "Brother Chen Hong, you have a wide network of contacts, can you entrust you to find someone for me?"

  While chatting, Xia Jingxing suddenly thought of someone, so he asked.

   "Who are you looking for?"

  Having just reached a cooperation, Chen Hong is in a good mood, looking at Xia Jingxing with a smile on his face.

  "Executive President of Bertelsmann China."

  (End of this chapter)