Hong Kong's new giants

Chapter 670 [Development of Portal Website]

Beijing.

When Lin Zuhui came to the office building of Sina.com's mainland headquarters, Wang Leilei led the executives to welcome him and took Lin Zuhui to inspect the office environment.

The staff looked very excited when they saw the "Glory of the Chinese" that they had only seen in books. Seeing that Lin Zuhui was very kind, everyone felt that Lin Zuhui had the halo of a great man.

At this time, Lin Zuhui was in the mainland, and he was the object of vigorous praise of street stall literature. These books beautified him very much. As for his flirtatious affairs, he didn't mention a word.

And the officials naturally don't care about Lin Zuhui's romantic affairs at all, and naturally give various honors and praises.

Under various influences, Lin Zuhui is a completely mythical figure in the mainland.

Although he knew how much he would be praised and how badly he would fall when the Internet became popular in the future, Lin Zuhui said that he never cared about it; he never cared about honor, let alone bad words.

As the richest man in the world, surrounded by beautiful women, Lin Zuhui will not read reviews online, he will not be so boring.Even if he hears and sees any bad news, he won't take it to heart.

Does the eagle care about the ants on the ground?
"Sina.com is developing very fast in the mainland!" Lin Zuhui said with satisfaction looking at the large number of employees.

For the bosses of local advertising companies, they are equivalent to withdrawing the profits of the next few years in advance, and the purchase price is also based on a price-earnings ratio of more than 8 times. Why not do it!

In this way, many gamers will habitually open Sina.com every time they learn about such a section, and browse the game information for recent interesting PC games, the development of online games at home and abroad
Not only can game players come to Sina.com to read information about games, but it can also make these game lovers fall in love with other information on Sina.com.

"The boss is right. With the development of large overseas companies and the growth of domestic companies, the vacancy rate of outdoor advertising will gradually decrease, and the price will also rise, so the profitability of these companies will also increase. With these businesses, the entire Sina's financial situation will turn around."

After inspecting Sina.com for a day, Lin Zuhui was determined.

The reason why they didn't buy all of them was because Sina.com took a fancy to the 'local contacts' behind these advertising companies. Behind the bosses of these companies was a series of government contacts.

Although it is important for Internet companies to develop users, the prospect of profitability is also very important, and it is even more important if they can turn losses into profits.

In fact, in many areas of the Internet, the mainland government has opened up to foreign investment. This is also the reason why many Internet companies have been acquired by foreign capital in later generations, such as Amazon's acquisition of Joyo.com and so on.

Sina.com adopts three versions in Hong Kong, Macao and Taiwan. Of course, many contents can be shared with each other. The reason for the different news is that it is worried about touching the official bottom line of the mainland and Taiwan.

Drawing on the lessons of TOM from his previous life, Lin Zuhui paid much attention to the content of Sina.com from the very beginning in order to prevent Sina.com from being reduced to a side-ball situation (sports baby, entertainment dog-blood news).

For example, on the portal website of Sina.com, at the entrance of "Games", after the user clicks in, it is not a game, because the mainland does not allow foreign capital to operate all games; therefore, Lin Zuhui formulated the model of the previous life '17173' for this section, that is, game information model.

The acquisition of outdoor media advertising business in the mainland is one of the measures of Sina.com; Sina.com has carried out the acquisition of the publishing industry in Taiwan, and the acquisition price is higher. Each transaction is almost [-] million yuan. The field of youth magazines on Taiwan Island has also developed quite impressively.

As the person in charge of Sina.com in the mainland, Wang Leilei was also promoted to be the executive director of Sina.com's board of directors.

In the previous life, Netease was the king of the game field, and a large part of its market value of more than 3000 billion was contributed by the game industry;
In the previous life, Sina.com was the king of the news field and Weibo, and its development was not bad;
Sohu, the boss is the prodigal son, and later declined.

Cooperated with Wanhui Comics Club to create "Internet comics". In the previous life, the development of Korean webtoons was very good, and a large number of works were exported overseas. A certain Korean webtoon website ranked first among more than 100 countries' comics applications.

Finally, Lin Zuhui pointed out: "For offline acquisitions, it is actually only a part of the company's development. The mainland Sina.com should strengthen cooperation with local news media and vigorously develop news materials. Money is not a problem. stand out."

And in this life, what will Sina.com rely on in the future in the hands of Lin Zuhui?
Game development, this has been clearly positioned, although it overlaps with brother company 'The Ninth City' and 'ATV Group's game department', it will not affect anything.Bring out a good product, and the whole world will pay for you. Otherwise, in the previous life, a small South Korea would not have produced three top [-] gamers.

In the development of portals in the mainland, as long as the red line (news) is not touched, then Sina.com can overwhelm Sohu and Netease.

As a heavy Internet experiencer, Lin Zuhui can still point out a lot of opinions on the layout and content.

Summarizing the development in the first half of the year, Sina.com adopted a "blitzkrieg" development strategy and acquired 12 large outdoor media companies in the Mainland:
In January 1999, Sina.com acquired a 1% stake in Chunyu Huaxia, an outdoor advertising company in the Mainland, with a total value of RMB 50 million.The transaction was carried out in the form of cash plus the issuance of new shares, of which 3240 million yuan was paid in cash, and the rest was paid by the issuance of new shares by Sina.com.After the acquisition, Spring Rain will become the largest outdoor media company in Q Island City.

The mainland news needs to be particularly cautious, so they cooperate with the traditional media in the mainland, reprint their news materials, and pay usage fees.In this way, Sina.com is just an Internet that reprints official news from the mainland, so naturally there is no crossing the line.

Of course, it is a bit costly. Fortunately, Sina.com currently has a market value of 700 billion and can raise funds from the stock market.

Wang Leilei was immediately encouraged, feeling that the boss was praising him, just like those high-level officials in the past encouraged him.

In February 1999, Sina.com acquired a 2% stake in Qilu Huaxia, an outdoor media advertising company in the Mainland, at a total price of more than 5600 million RMB in cash and stock.According to the acquisition agreement, the transaction is paid for with 60% cash and the issuance of new shares.

Lin Zuhui nodded, and then came to the meeting room to listen to the management's work report.

Wang Leilei nodded and said, "Okay, we must start strengthening immediately."

As for local advertising companies, they can change from traditional mainland enterprises to listed companies in Hong Kong; from the perspective of development, advertising companies can rise from a simple workshop to the stage of group operations ; It is difficult for the advertising industry to get cash support in the current domestic financing environment and channels, because its assets are difficult to evaluate, and advertising companies that do well in China must rely on strong foreign capital support.

"The strategy formulated by the company is good, and the listed company also has greater advantages." Wang Leilei said modestly.

Not to mention Penguin, it is really a monopoly enterprise, and it is the king in every field.

As for how Sina.com will not be distanced by mainland portals in the future, this is also something worth thinking about.

Of course, it is also possible that the supervision will become more and more strict, but in any case, the portal website will not be affected, as long as the rules are followed.

After listening to the work report, Lin Zuhui said with approval: "We have invested in outdoor advertising media, and it seems that the price-earnings ratio is about 10 times, but the profits of these advertising companies will gradually increase significantly, and soon the price-earnings ratio of the acquisition will become less than 5 times. So it’s well worth the investment.”

With the launch and completion of a series of acquisitions, Sina.com's outdoor advertising business has spread across Beijing, Shanghai, Guangdong Province, He N, Yun N, Sichuan Shu, Liao N, Qilu, Fu J and other regions. All acquisition targets are The largest outdoor media company in the region also acquired at least [-]% of the controlling shares of these companies.And Sina.com also established 'Sina Outdoor Media Group', which is responsible for coordinating the advertising business of its various outdoor media companies.

The Internet comic website is somewhat similar to the model of "some point Chinese website", mainly relying on the copyright fees obtained from web comic works, user fees, advertising revenue, traffic value, and derivative products developed based on web comic IP. In addition, web comics go overseas It is also one of the components of income.

Cooperating with ATV Group to establish a "video website and APP" is also a later development model. After all, ATV Group is a traditional communication company. Cooperating with Sina.com can create an Asian "Netflix", relying on the influence of Hong Kong Stream power to promote in Asia.

Fiction site?

The market is a little smaller, and it doesn't seem to make much sense.

(End of this chapter)