Winning the new financial era

Chapter 288 An APP with Over [-] Million Users
Evans and Robert applauded after seeing such detailed data, and then Evans said:

"Ms. Ding, I agree with part of your point of view. China's economy is indeed advancing by leaps and bounds. It is the country with the most and fastest births of multi-millionaires and billionaires.

But I have a doubt. The revenue of the Xinhuo family office business accounts for 30% of the revenue of the entire company of Yimin Wealth.

Moreover, 50% of the more than 50 billion US dollars managed by the Xinhuo Family Office belong to Mr. Zhang Yida.

In other words, Mr. Zhang Yida contributed 15% of his company's revenue.

This kind of related transaction is very criticized.

And Mr. Zhang Yida, according to our internal statistics, his assets may exceed tens of billions of dollars.

Rich people of this level basically set up their own independent family offices.

In other words, it is very likely that he will withdraw from the joint family office of Xinhuo in the future.

Most of the other clients of the family office are friends of Mr. Zhang Yida, including another super rich man, Mr. Robin Lee.

The withdrawal of Mr. Zhang Yida may also cause the loss of other customers.

In my opinion, the revenue and profits of the Xinhuo family office cannot be included in the valuation. "

Ding Siyao thought, this last sentence is your real purpose!
"Mr. Evans, we cannot predict the future. What we can see is that Yimin Wealth has stable revenue and profits.

And all clients of the family office have signed a five-year long-term cooperation agreement.

This part of the business is equivalent to saying that there will not be much fluctuation within five years.

In addition, besides Mr. Zhang Yida, we are also actively expanding other wealthy clients.

It has only been half a year since the development of the Xinhuo family office, so most of the revenue you see is dependent on Mr. Zhang Yida.

But as we develop, the dependencies keep dropping until they're minimal. "

Ding Siyao looked at Robert and said, "Mr. Robert, you have also cooperated with Yimin Wangjin, and the cooperation is very pleasant.

You can share your success stories with Mr. Evans. "

Speaking of the cooperation with Yimin Wangjin, Robert grinned, and the book return exceeded 100%. In less than a year, he earned more than 4 million US dollars.

It was really a very successful investment case, and Robert was awarded by the company for this.

Considering that Zhang Yida still has so many unicorn companies under his umbrella, the relationship still needs to be established. Robert also felt that it was necessary to say a few words on the scene.

He said to Evans: "Evans, Mr. Zhang Yida's companies are all very good projects. The opportunity is rare, and I think Morgan Stanley should seize this opportunity."

After finishing speaking, Robert looked at Ding Siyao again and said, "Ms. Ding, the 30 times PE is indeed a bit high, and we don't make much money either!

In this way, is 20 times PE okay? 12.3 billion US dollars, we Goldman Sachs approved of this valuation. "

Evans also nodded and said, "If it's $12.3 billion, I'm fine."

Ding Siyao still felt that it was a little underestimated, but Zhang Yida told her that as long as the pre-money valuation was not less than US$10 billion, she could make a deal.

After thinking about it, she decided to fight for it again, and said: "25 times PE, we also give Goldman Sachs and Morgan Stanley the right to underwrite the listing."

"What about the opening share of financing?" Robert did not answer directly, but asked about the opening share of financing.

"How much does Mr. Robert want?"

Robert compared two fingers and said, "20%."

"We want 10% from Morgan Stanley." Evans also made the request on behalf of the company.

"That's too much," Ding Siyao shook his head, "unless some of the old shares are sold."

"Yes, it's just right that some shareholders want to withdraw, and we will accept all of them."

Robert has tasted the sweetness once, and is ready to copy the successful case of Yimin Wangjin again.

"What about the valuation?" Ding Siyao asked again.

Robert and Evans looked at each other, and the latter said: "If you agree to sell 30% of the shares, we agree to your valuation conditions of 25 times PE."

"Then you wait a moment, I will contact Mr. Zhang."

After finishing speaking, Ding Siyao called Zhang Yida, "Boss Zhang..."

Ding Siyao repeated the conditions given by Robert and Evans.

"Tell them to wait, I will contact Shen and Xu and ask them if they can cash out.

They are allies, let allies run first! "

Ding Siyao smiled, why did the friendly army run first?Obviously, investors have the priority to cash out.

After hanging up the phone, Zhang Yida called Xu Xiaoming first, "Mr. Xu, Yimin Wealth is conducting the last round of financing before going public. Are you going to cash out this time?"

"Don't do it, don't do it! Yimin Wangjin was killed by me that time, and I will wait until it goes public this time."

Every time Xu Xiaoming thinks about the fact that he liquidated his shares before Yimin Wangjin went public, he feels heartbroken.

Hey, I lost tens of millions of dollars!

Zhang Yida called Shen Beipeng again, who also expressed his long-term optimism and would not cash out.

If you don't cash out, then you have to "sacrifice" yourself.

Zhang Yida came to Yimin Wealth Company, greeted Robert and Evans, and asked Lei Dongming, "How much do you want?"

Lei Dongming laughed and said, "Whatever you want! Three points or five points will do."

"Okay, then 5 points, the three of you add up to 35%."

Zhang Yida thought for a while, and came up with his own plan, "How about issuing 20% ​​new shares and transferring 15% old shares?"

All parties nodded in agreement.

In this way, according to 25 times PE and a pre-money valuation of 15.4 billion U.S. dollars, Yimin Wealth raised 3.85 million U.S. dollars in new stock financing, making the post-money valuation reach 19.25 billion U.S. dollars.

The 3.85 million US dollars entered the company's account and belonged to all shareholders.

Among them, Goldman Sachs contributed US$2.2 million, Morgan Stanley contributed US$1.1 million, and Huayi Capital contributed US$5500 million.

After the parent company introduced financing from Heishan Capital and Zhenke Fund, Zhang Yida's shareholding ratio is 72%.

Later, Huinongdai cleared Ding Siyao's shares, and Zhang Yida compensated Ding Siyao's shares worth US$100 million, which is about 0.2% of the shares.

After completing this round of new share financing, Zhang Yida's shareholding ratio dropped from 71.8% to 57.44%.

Then, based on a valuation of US$19.25 billion, Zhang Yida transferred 15% of his old shares and cashed in US$2.8875 million.

The 2.8875 million US dollars was cashed out by Zhang Yida himself, and after paying taxes, it will belong to the individual.

Among them, Goldman Sachs contributed US$1.65 million, Morgan Stanley contributed US$8250 million, and Huayi Capital contributed US$4125 million.

In addition, Zhang Yida's shareholding ratio dropped from 57.44% to 42.44%.

After signing all the contracts, Zhang Yida looked at the more than 2 million US dollars lying in his overseas bank account and showed a satisfied smile.

If you don't cash out so much, the shares are too concentrated, which is not a good thing for market circulation.

In addition, the cash-out rules for major shareholders in US stocks are too cumbersome. It is really difficult to cash out if the company does not operate for ten or eight years, and the performance must grow steadily.

If you are not careful, you will have to face a class action lawsuit by minority shareholders.

Therefore, major shareholders of companies who want to list on the US stock market generally have a pre-IPO cash out round, and then issue a small part of old shares when the stock is issued.

Then there is a six-month lock-up period. After the end, all venture capitalists have to run first.

After running, it is almost the turn of the founder of the company. At this time, I don’t know if the break is broken or not.

Even if there is no break, major shareholders cash out and report to the SEC in advance, and then cash out no more than 1% of the issued shares every three months.

After tossing until the year of the monkey, the rules of the US capital market are too perfect, and it is not easy to cut leeks.

……

After getting the money, Zhang Yida quickly started the A-round financing of Doushi.

Tiktok’s funds have always been tight. Zhang Yida invested 1 million U.S. dollars to survive until now.

After procrastinating for so long, Zhang Yida finally waited until he had a little more money on hand, which happened to be used to increase his shareholding in Douvision.

Douvision, as one of the few companies under Zhang Yida that have never raised funds, has always attracted the attention of investors. People who know each other often call Zhang Yida to ask about financing, but Zhang Yida rejects them one by one. .

"Douvision has 8000 million registered users in China, Musical.ly has 3000 million North American users, 1000 million European users, and a total of 1.2 million global users."

In a meeting room of Douvision, Zhang Yida used PPT to play the global user distribution of Douvision.

On a global map, there are three big red areas, the reddest is the Chinese rooster, followed by North America, followed by Europe.

"Tsk tsk tsk!"

Xu Xiaoming sighed and said, "Yida, you've covered it up quite deeply. You have more than 1 million users without making a sound, and the users are distributed on three continents."

Shen Beipeng also adjusted his glasses. He didn't say anything, and began to estimate the value in his heart. How much should an app with hundreds of millions of users be valued?
Lei Dongming and Lan Lan also sat aside and thought about each other.

Zhang Yida only invited these four investors today. Heishan Capital, Zhenke Fund, Huayi Capital and Ruixiang Industrial Fund are all relatively close companies.

"Yida, make an offer!"

Xu Xiaoming thought in his heart that no matter what high price is charged for an APP that has reached more than 1 million users in a year, he must invest.

"A user of 50 US dollars, a pre-money valuation of 60 billion US dollars."

Xu Xiaoming smiled, "Yida, are you kidding me?"

Zhang Yida waved his hand, "I'm really not joking. A Facebook user is worth thousands of dollars. My $50 is really not much."

"Overseas users are indeed more valuable." Shen Beipeng agreed, and said: "But your 8000 million domestic users are not worth that much money, 50 yuan is about the same."

"Now the cost of acquiring a customer for an online APP is two to three hundred yuan each, and 50 yuan to buy all zombie users is about the same."

Zhang Yida pressed the PPT controller, and a histogram of daily active users and monthly active users appeared. He introduced:
"Currently, there are 4000 million daily active users and 1 million monthly active users, which means there are only 2000 million zombie users.

This stickiness is unmatched by many apps, and with the enrichment of content, user stickiness and usage time are still being further improved.

Think about it, how much is the advertising value in this? "

Shen Beipeng and Xu Xiaoming didn't speak, and each thought about it. The valuation of 60 billion US dollars really scared them a bit.

Zhang Yida wanted to open up financing to Ruixiang Industrial Fund, so he took the three of them along.

Zhang Yida and Li Hengbo of Temasek had an agreement to promote Musical.ly to Southeast Asia, and consortiums in Southeast Asia will also provide various supports, but the premise is that Ruixiang Industry Fund will invest in DouTV.

(End of this chapter)