Rebirth of the World’s Richest Man

Chapter 3673 Success

Although the media reporters did not know the specific amount from Jiang Xiaobai, everyone could tell from the smile on Jiang Xiaobai’s face that Jiang Xiaobai really made money this time.

Of course, it is Li Yanhong and his team of Baidu executives who face the most media reporters. These are newly promoted rich people and the protagonists present today.

“Mr. Li, what do you think is the reason for Baidu’s success? Why can Baidu achieve such unprecedented success?” The reporter looked at Li Yanhong and asked, using the adjective “unprecedented”.

ˆ It is indeed an unprecedented success, because Baidu has directly refreshed the record of foreign companies listed on Nasdaq, so using the word unprecedented is not an exaggeration at all.

Li Yanhong’s face was full of excitement. Yes, it was indeed unprecedented. He created a history.

"I believe that the reason why Baidu can achieve today's success is inseparable from the help of investors and the support and trust of the majority of users. Of course, Baidu's success is also a contribution to our long-term efforts. For sure…”

Li Yanhong talked in front of the camera with a smile on her face.

"Mr. Li, I am a reporter from the Wall Street Journal. I would like to ask, what does Mr. Li think is the reason why Baidu was able to set a new record for the first day of listing of foreign companies in our Citi stock market on the first day of its listing?"

"Today's Nasdaq, the two most popular terms are China and search, and our whiteness happens to occupy both..." Li Yanhong said lightly.

 At this moment, the giant wheel is flying by, bringing about a new era.

Of course, Li Yanhong faces not only praise, but also some doubts. Some people think that the current stock price of Baidu is really too high.

Last year, Baidu’s revenue was more than 14 million US dollars, and its current market value has reached 279 times its revenue. This number is too high.

 As for its fellow search company, Google’s current market value is 26 times its revenue last year.

The market value of Baidu is definitely exaggerated. Li Yanhong dealt with all these questions vaguely because he didn't have a good answer in mind.

 Because this answer was not in his consideration. He had never thought that the stock price would rise to such an extent. In his opinion, if it could be $40, $50 would be enough.

 Otherwise, he would not have negotiated with the underwriters to set the issue price of the stock at US$22 per share.

You must know that this issuance price is very influential to Baidu Company. Baidu's listing must raise funds for development. With so many publicly issued stocks, they are issued at a price of 22 yuan per share. We went out and raised 100 million US dollars in development funds. If we issued it at 40 yuan per share, we could get 200 million US dollars in development funds.

  If it's $60, that's 300 million in development funds, so the issue price has nothing to do with shareholders like them, and it won't affect their worth.

  However, it will affect the share of funds that Baidu can raise.

 Of course, the higher the price, the better, but Li Yanhong didn’t have this confidence before.

So now when faced with reporters’ questions, whether the valuation is too high, Li Yanhong actually feels that the valuation is too high, but can this kind of thing be said? He definitely can't say it. If he dares to say now that Baidu is overvalued, the stock price will fall tomorrow at the opening, so he can only deal with it with vague words.

Needless to say, the atmosphere at the celebration party in the evening could not be more lively. At the same time, Nasdaq news also began to spread in the country.

Even the news that Li Yanhong and others were interviewed has been spread back to China. Before, the big guys in the Internet industry who had been paying attention in real time had already received the news, but now it has been spread throughout the domestic shopping malls.

 Another company with a market value of several billion US dollars and a founder worth several hundred million US dollars was born. Previously there was Cheng Tianqiao from Shengda Games, and now there is Li Yanhong from Baidu.

Since the Internet bubble, traditional industries have felt that the Internet industry is no longer viable and the sun is setting. This is no longer reliable. How can doing business be so simple?

In just a few years, not only can the company be listed on the market, but the market value can reach several billion, and it is still in U.S. dollars. If converted into domestic terms, it would be tens of billions.

 Are you kidding? What have Internet companies done? Needless to say, how many assets do they have? How many employees do they have? Why is the company worth so much money?

Take Baidu as an example. Currently, Baidu has less than a thousand employees. In the domestic real industry, if there can be a company with a market value of one billion, it will not have tens of thousands of employees and a lot of fixed assets. It is possible.

 How could it be so easy to do it and put it on the market in two or three years?

 It’s a bubble, it’s not going to work now. As a result, the bubble in the Internet industry has just passed, but it has stood up again. Companies in the Internet industry have begun to list on Citigroup one after another, and they have begun to become popular.

The market value is nearly 4 billion U.S. dollars. When converted into domestic money, this is almost a market value of nearly 30 billion. What is the concept of 30 billion? Most of the domestic real industries have been in business for more than ten years. None can reach this level.

 As a result, in just a few short years, Baidu has created another miracle.

Also, Li Yanhong’s net worth is more than 100 million US dollars, which makes a group of real estate bosses envious.

Even their eyes are red with envy. They are still worried about the share-trading reform. As a result, the Internet industry is not good. It is directly listed abroad and how many shares can be exchanged for how much money.

 And it’s 900 million U.S. dollars. With this worth, in the domestic shopping mall, it is not only ranked in the top five, but at least it can be ranked in the top three. How can this not make people jealous?

The key is that the success of this Internet industry always gives people the feeling that it comes too easily. It is obvious that there are no assets, just an Internet website, and it can be so valuable.

 Suddenly, there was a lot of rumors about Baidu’s listing on Nasdaq.

 (End of this chapter)