But for Su Yehao, this is not the most critical thing.
As long as he holds it for a long enough time, he will always be sure to earn enough benefits if nothing unexpected happens.
So when he came to PayPal headquarters today, Su Yehao almost wrote the words "I want to acquire you" on his face. Without any thought of hiding it, he directly laid the check flat on the conference table and waited for everyone's reply.
According to information given by the consulting firm McKinsey.
Paypal has not been listed yet, but it has expressed its intention to go public. However, it still lacks some necessary conditions for listing, such as meeting revenue standards and shareholder number requirements. These are not difficult.
Therefore, in Su Yehao's view, now is the best time to acquire, and hesitation may lead to accidents.
A group of PayPal people, including Elon Musk, looked at each other.
A middle-aged white female from a venture capital firm asked tentatively: "Su, do you want to acquire this company? So... how much are you willing to pay for it?"
Su Yehao immediately replied: "Three hundred million US dollars, this is a very fair price."
After hearing this, the people at Paypal basically felt that it was indeed a reasonable price.
Last year, before the bubble burst, the company had only been officially launched for three or four months. It raised tens of millions of dollars by selling the concept, but it was burned out before the end of the year. It had to bear tens of millions of dollars of expenses a month.
With no choice but to do so, the company adopted a strategy of charging transfer fees. Only then did it secure another round of financing, and has been struggling until now.
The entire market is in a state of panic. No one knows which companies will survive in the end. Some listed companies that have performed very well have collapsed at the drop of a hat. The competition in the online payment industry is also fierce.
Elon Musk is still young and in his youthful and vigorous age. He is taking a chance and replied: "No one knows what the next market will be like. It may be worse, but it may also be better."
"Yes, this is indeed possible, but I don't think the market will really recover for at least the next three years. If you choose to sell the company to me, you can use it to buy luxury homes, travel, and do whatever you want. You don't have to
Take any risk that might fail.”
Su Yehao smiled and added:
"Microsoft's MSN Messenger is competing with my emojis, which makes me realize that I can't put all my chips in the instant messaging market. If you get more business, it may help the company's performance. You know
Yes, investors need to understand our potential, and that's why I'm here today."
John Zhou helpfully said:
"Yes, in fact, there are some differences on the board of directors on whether to acquire PayPal. Your company's recent performance is not bad, but after all, it has many competitors. In Silicon Valley alone, there are several payment tool startups with good technology.
, they just lack a little bit of luck."
The implication is clear: if the cooperation with PayPal is not satisfactory, Yanmoji Group is likely to invest in other peers.
This is undoubtedly a huge blow to PayPal.
Su Yehao controls Yanwen Group and Google, with a combined number of global users of up to 80 million, and has sufficient funds. No matter which PayPal competitor he supports, his status in the industry will plummet.
Before this, there were no industry giants developing in this industry, only some venture capital companies paid attention to it.
As the entire market turned cold, the appeal of startups plummeted. PayPal's Series B financing in March this year was mainly supported by several shareholders who participated in the Series A financing, and received a total of US$50 million.
In just over a month, there are now only more than 30 million US dollars left in the account. It is expected that it will only last until September at most. If it fails to receive new financing, it will have to sell it to its peers or go bankrupt and liquidate.
David Flint, Elon Musk’s partner, was interested and asked:
"Su, I have heard about your deeds a long time ago and know that you are a very smart and intelligent person. We know the acquisition plan, but what about the financing plan? How much financing are you willing to provide at most?"
"...With US$200 million, I need to hold 75% of the shares. What Yaomoji Group lacks is its core business. Holding too few shares means nothing to me."
Su Yehao spread his hands and finished speaking, and then said:
"This financing plan is also very beneficial to you. I am confident that PayPal will add 10 million active users within a year. The US$200 million is enough to support PayPal's listing. Although your shareholding will decrease, it is very likely to become
More valuable.”
Among the people present, Su Yehao undoubtedly holds the initiative. The principle that money is the boss is most vividly reflected in today's Silicon Valley.
There is no shortage of projects in the market, but there is a lack of funds.
In the past few years, capital has poured into Silicon Valley like crazy, and some people can swindle tens of millions of dollars with a business plan.
Nowadays, even if they do encounter a good company, investors still doubt whether they will become takers. As soon as they spend real money, they will shrink crazily, and in the end they will lose all their money.
PayPal's situation was already pretty good, but it was burning money like crazy during its expansion and life was equally difficult.
The right to speak is no longer in the hands of several founders, including Elon Musk. With the completion of Series B financing, it has become dominated by venture capital institutions.
It is difficult for venture capital investors to have feelings for the company itself, and the focus is only on whether it can make a profit.
With the funds they have invested so far, if PayPal is traded at a price of 300 million U.S. dollars, the profit will probably reach 200%. If they invest 10 million U.S. dollars, it will become 30 million U.S. dollars, and as Su Yehao said, there is no need to
bear any potential risks.
After last year's bubble, many venture capital investors have understood that valuation is not money, stock price is not money, only what goes into their pockets is money.
Whether it is sold as a whole or raised 200 million US dollars all at once, it is a pretty good plan in their eyes. It basically solves the problem once and for all and solves the trouble that has troubled them for a long time-the fear that PayPal will fail.
After the two parties continued to understand some details, Su Yehao left with John Zhou and rushed directly to Netflix.
It's still simple and straightforward. Offer an overall purchase price of US$80 million to this company with more than 3 million customers, and assume Netflix's debt.
Last year, Netflix lost a total of more than 58 million U.S. dollars. It originally wanted to use its performance to obtain financing, but it did not expect that the financing market really collapsed, and it has not recovered until now.
There is really no money available, customer growth has slowed down significantly, and we are on the verge of bankruptcy.
This company was founded in 1997, less than five years ago. It is also facing fierce competition from its peers. The founder has recently been selling it everywhere, hoping that someone would be willing to take over.
With this, Su Yehao is like the bastard from Netflix, and they are in love with each other...