King of Capital

Chapter 25 My second brother is invincible in the world

It's late at night and people are still not quiet, Suhe is full of wild visions.

These words made Xie Jingxing silent. He rubbed his face to dispel his fatigue, stood up, looked around, turned off the cameras one by one, and put down the lily leaf curtains.

The independent office with transparent glass windows temporarily became a private space. Su He seemed calm and raised his chin slightly and asked, "What do you think?"

"I don't understand how you plan to help me." Xie Jingxing leaned against the door to remain standing.

Su He returned to his desk and sat down: "Work on an M&A project with me. I'll put you in charge in name only. The project will take three months at the shortest and half a year at the longest. If you succeed, you will be the 22-year-old ED of Juntai Securities' M&A business line. Shen Xin has been in the industry for eight years and holds an insurance agent license, but he is only a D."

"Then what do I need to pay?" Xie Jingxing continued to ask.

Su He paused for a few seconds and said lightly, "Yunshan's spin-off and listing project."

Two tests, one carrot.

Xie Jingxing proved himself with his four-day internship performance. Su He believed that he was the capable and ambitious young master of Yunshan rather than the young master of Yunshan, so a deal that met his expectations came about.

But this transaction is not equal. While Juntai or Suhe takes over the Yunshan split listing project, it has to bear the doubts of countless domestic peers.

The M&A ED, which is only 22 years old, would be impressive in any securities firm, let alone Juntai, which ranks third in the industry and is expected to become the first.

If we put ourselves in his shoes, Xie Jingxing couldn't be sure that an intern could bear the title of ED based on his performance in a variety show?

If Juntai wants to go public, its reputation is very important, so it has to be careful about its manners.

In Xie Jingxing's vision, he was the one who brought up Yunshan's split-off and listing project, and Liu Qiming's "chance encounter" with Su He showed his needs.

Let Juntai take the initiative and approach him to discuss the transaction in exchange for the opportunity to work as a trader in the proprietary department.

The title does not need to be exaggerated. The fundamental thing is to control the position right. Even millions are enough, just relying on the endorsement of Juntai's platform.

With the current secondary market conditions, if he can produce an operation delivery sheet with an impressive return rate within half a year, he will be able to convince Lao Xie to take over Taihe.

In other words, Juntai has given too much now, far exceeding expectations...

"After you become a regular employee, you can continue to participate in the recording of variety shows. Juntai wants to go public, and the board of directors would like to see a star employee." Su He gave the final explanation.

Xie Jingxing suddenly realized and was even more speechless. He thought that Juntai should pay attention to its appearance when going public, but the result was just the opposite - it continued the hype to the end.

This inexplicably reminded him of President Dong and her secretary, a dance student. With the support of the Magic City, they were so bold as to try their luck and try all kinds of tricks.

Xie Jingxing temporarily suppressed all his thoughts, shrugged and said: "Anyway, I have to finish the project report tomorrow morning."

There are two levels to his joining Juntai and participating in variety shows. The public fame is beneficial to his long-term development, and the recognition of his abilities by his peers and Lao Xie is the key to his taking charge of Taihe as soon as possible.

Therefore, being over-praised is not necessarily a good thing. Just like some star fund managers, when they lose money they are called losers, and when they make money they are suspected of being just deified mascots. In fact, there are other people who manage the funds.

"No rush. The first episode of "The Flashing Offer" will be broadcast online on Saturday. Give me the answer before next Monday." Su He waited patiently.

…………

Friday, July 6, sunny.

One week after Xie Jingxing joined Juntai, it was time for the report day of the second assessment project.

The other interns were excitedly discussing how fulfilling their experiences were this week, but Song Anli's lost and depressed look was seen by everyone. After Lu Bu died, who wouldn't want to say, "My second brother is invincible in the world"?

Anyway, that's what Zhao Mengche was thinking. She put Xue Haoran's arrangements into action to debug the conference room equipment and wait for the leaders to arrive to get some impression points first.

Feng Shuo and Fan Haonan were busy checking the report documents. They had a conflicting project with Zhao Mengche's team and were unable to get the business plan for the social APP. Tang Man gave them a new project yesterday and the time was tight.

Qi Tian and Stanford are as steady as old dogs in their overseas shopping agency projects, but Xie Jingxing's project suddenly encountered an unexpected situation and he died suddenly. These two brothers are the ones who want to shout the most that my second brother is invincible!
Song Anli held her forehead against the table and whispered, "I was so sleepy last night that I fell asleep halfway through writing the PPT. How about the part of the PPT you wrote?"

"I didn't write it."

Xie Jingxing was not thinking about the assessment. He went home last night and fell asleep without thinking about anything.

Song Anli sighed: "Alas... forget it, we tried our best anyway."

"It's not necessarily a loss. After all, this is a project discussion meeting with the nature of an investment decision-making meeting." Xie Jingxing comforted.

The Investment Decision Committee is referred to as the Investment Decision Committee. Each venture capital institution has an investment committee composed of investors (LPs), managers (GPs) and industry experts. All investment projects must be voted on by the Investment Decision Committee to determine whether to invest.

Project discussion meetings in venture capital institutions are usually held by managers or fund managers who have private discussions with members of the institution to decide which projects can be brought to the investment decision-making meeting and which projects should be abandoned.

Today's report meeting invited members of the investment committee of Juntai Direct Investment Department and industry MD to attend. According to the two meeting models, we directly explained the reasons why we gave up a certain project, which is also within a reasonable range.

You can't just lie and ignore investment taboos just because you're an intern making a report for assessment, and focus on the advantages of investing and talk nonsense to the people on the investment committee.

So when Xie Jingxing and Song Anli stood on the stage to make a report, the first thing they said was: This project cannot be invested in.

The interns were all dumbfounded. Qi Tian and Stanford were speechless. Everyone was talking about the development prospects and advantages of their respective projects, and you just said you don’t want to play anymore?

Poor second brother, holding the Green Dragon Crescent Blade and swinging his arms, can't find anyone to chop him, and the Red Hare is running wildly in his heart...

“Why can’t I vote?”

The industry MD of the Investment Committee asked with a serious expression on his square face.

Xie Jingxing smiled helplessly: "There is an emotional dispute among the founding team. The person in charge of product development and the person in charge of marketing and public relations are pursuing the founder at the same time."

“Are you sure?” another private equity fund manager of Juntai’s subsidiary asked with a frown.

Xie Jingxing waved his hand to signal, and Song Anli took over the conversation to introduce the situation: "We have obtained relevant information through the personal background of the founding team. This is a diary I found through the Weibo of the marketing and public relations director."

"How did you find it?" Tang Man asked with a cold tone.

Peng Chuanming's Weibo diary projected onto the big screen recorded in detail his emotional entanglement with Cui Aliu and the annoyingness of his childhood sweetheart Dr. Wang.

The bottom of the diary clearly displays the "private" function of the Weibo platform.

Song Anli was a little flustered, and Xie Jingxing said lightly: "A friend sent it to me."

"Due diligence requires methods and approaches. Juntai has rules and regulations. Information from unknown sources must be carefully considered whether it can be used. You will need to receive compliance training later." Su He warned, but couldn't suppress the smile. The fund managers and industry MDs of the investment committee exchanged glances and made a tacit conclusion, judging from the practical perspective that this group of interns was the most qualified for the assessment criteria.

Securities firms outsource the "due diligence" process to professional third-party consulting agencies because some industries are highly professional. On the other hand, securities firms need accurate information and have no control over where the information comes from.

What's worse, when secondary market buyers go to the factories of listed companies in remote areas or to the construction sites of commodity futures companies to conduct research, there are all kinds of fancy confrontations between researchers and companies. If they are not weighed, they are not even four ounces, but if they are weighed, they are more than a thousand pounds.

But the purpose of coming here today is to test the professional knowledge of the interns. I have personally proven that the unconventional approach is effective, but I cannot say it.

The industry MD had no choice but to shamelessly continue the conversation: "Apart from the founding team, what about this project itself? What are its advantages that are worth paying attention to?"

"The brand's business philosophy and positioning, as well as its advantages in raw materials, have great potential."

As Xie Jingxing spoke, he asked Song Anli to distribute her semi-finished PPT to several examiners.

Given the current social situation, it is very difficult to convince examiners of the national trend, so there is no need to say more about the national trend brand positioning.

The tea supplier route he mentioned yesterday on the way back to Chuncheng from the tea mountain was the main content of the preparation for today's project report.

Cui A Liu only saw that opening up franchise rights and harvesting franchisees was too low-level, and further implementing the business model and listing it was not much smarter.

What "Budu" can really do is to use the huge number of franchise stores as offline retail outlets for finished tea, integrate the upstream and downstream industrial chains of tea, and force the traditional low-end tea sales channels such as wholesale markets, containers, and supermarkets.

Go a step further and move online to operate a vertical tea e-commerce platform.

Let's take Bawang Cha Ji as a benchmark. With the scale of two to three thousand franchise stores, if each store sets aside a space around the cash register to sell finished tea, it will be able to dominate the low- and mid-end traditional tea retail market.

As for why Overlord Tea Princess did not do this, it was because it started too late.

At present, the traditional tea market in China is characterized by chaos. The tea categories and tea producing areas are chaotic, and the brand tea merchants’ opaque pricing and speculation are even more chaotic.

Most of the sales channels in the high-end tea market actually rely on the distribution channels of liquor. Individual offline tea sales stores rely on relationship sales. They may not open for three years but make a living for three years after reopening. Looking around, no matter in the high-end or low-end market, there is no sales channel that can radiate across the country.

Ten years later, Cha Baidao had opened more than 7,000 franchise stores, and its IPO sales were achieved simply by being a supplier and selling raw tea to franchisees.

Traditional finished tea brands have all opened offline chain store sales channels, and a handful of large sales channels have just integrated the market and turned online to create vertical tea e-commerce platforms.

As a result, Douyin and Kuaishou suddenly came out of nowhere and slapped them in the face. You can run your own e-commerce platform, but my live broadcast room has an annual turnover of over ten billion.

No matter whether it is an offline chain store of a tea brand or a vertical e-commerce brand, die!

The business models and founding teams of many well-known industry giants are the foundation, and doing the right thing at the right time is the key.

There are many reasons why there is no photo social networking giant like Instagram in China, from the perspective of a latecomer.

In essence, it is just because of the first wave of mobile Internet terminal dividends that we hit the right node for take-off. If we missed it, we missed it.

"Where do you get the data and industry research you mentioned?"

After listening to Xie Jingxing's detailed analysis of future development expectations from beginning to end, the fund manager asked with a bad look on his face, "Actually, he wanted to ask where you found the ghostwriter to help write for you."

This business plan is not perfect. For example, the customer bases of milk tea and finished tea do not overlap. Also, with the development of takeout occupying a large proportion of in-store consumption, it is difficult to say what the development trend of finished tea sales channels will be in a few years.

But just following the route of becoming a tea raw material supplier like Starbucks will have a promising future and be enough to make it to the market.

Offline retail channels are a companion product, a story told to investors about the future.

Song Anli suddenly smiled brightly, and said with her chest puffed out: "A small part of the information comes from public information on the Internet, and most of the information comes from the Taihe Capital database."

The day before yesterday afternoon, Xie Jingxing disappeared because he ran to Taihe to check information. This was also the reason why Su He was provoked and confronted him.

"Taihe Capital Database?" The square-faced industry MD confirmed without blushing.

The database of a private equity venture capital institution is neither important nor unimportant. It all depends on the size of the institution. It is accumulated bit by bit at the cost of massive amounts of money.

Now everyone present was speechless. The fund manager thought he had found the truth, but he was now even more confused.

A ghostwriter who can write such an amazing business plan in two days is hired to write for others?
Qi Tian and Stanford are in a slump, Lu Bu is dead, but this guy has the money to watch a 30-second commercial and automatically revive. My second brother should just bear with it for now, being second in the world is pretty good too.

Xue Haoran worked himself into a sweat in vain. Impression points were just impression points after all and did not play a decisive role.

Zhao Mengche wanted to curse. Song Anli had completely become a bitch in her heart.

Tang Man stared at the table in a daze with an expressionless face. Su He stepped forward to control the situation and said with a smile: "The four groups of interns have finished their reports. Please ask the heads of the investment committee to comment on them."

"Excuse me, let me ask one more question. Can the conflicts among the founding team of 'Bu Du' not be completely resolved?" the fund manager asked regretfully.

Song Anli clenched her fists behind her back and waved them lightly. The result had already appeared and it seemed that no further evaluation was needed.

Her eyes were bright as if they could drip water. She tilted her head and looked up at Xie Jingxing with her pretty face: "Let my partner answer this question for everyone."

"Hard."

The fund manager nodded and asked humbly, "I wonder if we can buy out the original shareholders' equity and clear out the two founding partners in order to minimize the negative impact."

"Yes, but I expect the cost to be high. Both founding partners are irreplaceable in the short-term development stage of the brand." Xie Jingxing gave his answer after careful consideration.

The fund manager was quite positive: "So there is still hope for a solution. We at Juntai generally invest for the long term and do not consider exiting before listing."

Xie Jingxing looked at Su He, and Su He smiled kindly at Song Anli.

Song Anli bowed to the fund manager and said, "This concludes our report. Thank you all for listening."

“Yeah, that’s right. Let’s talk about it later.” The fund manager responded vaguely after understanding the truth.

It's not easy to talk about how to kick out the founding partners after the company's business model is stable in front of the interns and the program crew.

Moreover, given Peng Chuanming's background, it would be costly for investors to kick him out. As for "Bu Du" itself, at least Cui A Liu would have to pay a heavy price.

That's why Xie Jingxing made the decision without hesitation last night. The 'opportunity cost' of his investment was very high, and he should choose projects with high returns.

In the eyes of Juntai's investment managers, the "opportunity cost" of this project is very low. As long as there is profit to be made, we can discuss it in detail. Even if there is less profit, it is still profit!
So when Tang Man announced the end of the report meeting, the interns left in disappointment, and the fund manager enthusiastically pulled Xie Jingxing into Su He's office to discuss the project details.

(End of this chapter)