Baimo Bicycle and Paishoudai held a grand strategic cooperation signing ceremony in Shanghai.
Fu Weiwei announced at the meeting: In the next three years, Paishoudai will become the exclusive financial partner of Baimo Bicycle. Baimo and Paishoudai will work together to provide users with the most convenient and high-quality financial services...
Zhang Junze, CEO of Paishoudai, said:
“Pai Shou Dai is the earliest P2P company in China. It was established in 2007. So far, it has received a total of three rounds of financing of nearly 100 million U.S. dollars...
Choosing to cooperate with Baimo is to spread the light of inclusive finance to the land of China...
Next, Paishoudai and Baimo will work on financial investment, consumer credit, credit big data and other aspects...
Let finance be at your fingertips and credit will change China!"
When the news reached the capital, Zhang Yida just smiled and put the matter aside.
Fu Weiwei's imitation was indeed not slow, but the gap between Baimo and Huimin Bicycle was getting wider and wider.
Baimo has only raised US$30 million, while Huimin has already raised US$175 million.
Baimo currently operates a total of 70,000 bicycles, distributed in four first-tier cities including Beijing, Shanghai and Pengyang.
Huimin's second batch of 600,000 bicycles has successfully rolled off the production line and begun being shipped to all parts of the country.
Including the previous 120,000 units, Huimin now operates a total of 720,000 bicycles, distributed in 46 first- and second-tier cities including Beijing, Shanghai and Pengyang.
As for Xiaolan Bicycle, Xiaoming Bicycle, and the dozen or so newly established bike sharing companies, not to mention compared with Huimin, even Baimo, for example, can easily crush them.
Second- and third-tier bike sharing companies such as Xiaolan Bicycle and Xiaoming Bicycle are also not idle.
Seeing that the first-tier Huimin and Baimo companies were starting to launch or prepare financial products, they also approached financial companies to discuss cooperation.
However, because they are too small, they have no say in negotiating cooperation with leading P2P companies, so they cannot get very generous terms.
As a result, some shared bicycle companies have set their sights on second- and third-tier P2P companies...
The two parties hit it off immediately. Second- and third-tier P2P companies are short of customers and funds, and second- and third-tier shared bicycle companies also want to get higher commissions for cooperation.
In this way, each shared bicycle company has found an Internet financial company to become its financial partner, forming a weak alliance.
Within a few days, all bike-sharing companies on the market were basically wiped out by Internet financial companies.
…
"Yimin Financial Management + Yimin Puhui will next be reorganized into Yimin Wangjin Group, and at the same time launch Series B financing, which is also the last round of financing before listing, that is, Pre-IPO round of financing.
Yimin Wangjin Group's current cumulative transaction volume has exceeded 20 billion, and the balance to be collected exceeds 5 billion.
In terms of data volume, we have surpassed any other P2P company in China except Lufax.
Behind Lufax is Anping Insurance, as well as other businesses besides P2P, such as asset management, wealth management, funds, insurance, bonds, and a lot more.
Simply looking at the P2P business, Yimin Wangjin Group is not necessarily weaker than them.
Yimin Wangjin Group plans to raise US$100 million this time. In addition to part of the funds being invested in the construction of offline loan stores, the rest will be used to acquire customers online.
Yimin Wangjin Group is expected to go public in the second half of this year, and our goal is to achieve a turnover of 30 billion and a balance to be collected of 10 billion before going public."
In the conference room of Yimin Group, Zhang Yida shared the future corporate vision with a group of investors.
"In just one and a half years, Yimin Wangjin Group has achieved such world-renowned achievements. Mr. Zhang is indeed a hero of the younger generation!"
A middle-aged man wearing gold-rimmed glasses said this. He is the vice president of Goldman Sachs Asia in a suit and tie. He was invited by the Beneficiary Group today to discuss financing matters.
“Goldman Sachs is very interested in participating in Yimin Wangjin’s Series B financing. In the future, when Yimin Wangjin is listed in the United States, Goldman Sachs can also contribute.
I just don’t know what the valuation of Yimin Wangjin is?”
Changchangqing was afraid that Zhang Yida would speak loudly, and specifically emphasized that Goldman Sachs could provide some assistance in the listing of Yimin Wangjin.
"What's the valuation? Mr. Cheng and I hit it off right away, so let's give it a discount! US$2 billion will be fine."
Zhang Yida smiled sincerely and looked at Changqing with a sincere look.
Changqing swallowed, looked at Zhang Yida with a smile, and said:
"Mr. Zhang is not joking, right?
2 billion U.S. dollars! Too overestimated! We at Yimin Wangjin Group have internally estimated that 1 billion U.S. dollars is a more reasonable price.
As far as I know, Yimin Wangjin Group has only received US$50 million in this round of financing from Blackshirt Capital and Zhenke Fund!
At that time, the valuation was only US$500 million! And it was also the valuation of the parent group of Yimin Holdings!
Together with the four companies Yimin Wealth, Yimin Dai, Ruimin Financial Management, and Huinong Dai, their combined valuation is almost US$2 billion.
Yimin Wangjin is just a subgroup spun off from Yimin Holdings, with a valuation of almost US$1 billion.
What do you think? Mr. Zhang."
Zhang Yida smiled and said:
“Lending Club was officially listed in the United States last month, with an issue price of US$15, and its first closing price reached US$23.43, a huge increase of 56.20% from the issue price.
What is the market capitalization?
$8.5 billion!
What is Lending Club's total transaction volume? As of the end of last month, it was US$7 billion.
What is the transaction size of Yimin Wangjin?
$3.26 billion!
Based on this judgment, Yimin Wangjin’s valuation should be US$4 billion, which is the most reasonable valuation range.
But considering the friendship between Yimin Wangjin and Goldman Sachs, and the subsequent cooperation between the two parties in underwriting and listing, I gave Goldman Sachs a 50% discount.
The price of US$2 billion is not high at all, it is purely a friendly price."
Changqing Qing shook his head repeatedly and said with excitement:
“Did you notice Lending Club’s price-to-earnings ratio?
1272 times! The bubble is too big.
Those people on Wall Street are going crazy. I am sure that after this stock passes the shareholder lock-up period, many shareholders will definitely take the opportunity to reduce their holdings at a high level.
Then "bang", the stock price will definitely collapse."
At this point, Changqing felt that his tone was too extreme, so he calmed down and said to Zhang Yida as calmly as possible:
"Mr. Zhang, you need to know that Lending Club is a company born and raised in the United States, and it is the largest P2P lending company in the world.
So it enjoys too many premiums!
Yimin Wangjin is a Chinese company, its scale is not as large as that of LC, and it is listed behind it, so it cannot enjoy such a high premium.
So we have to rationally analyze Yimin Wangjin’s valuation!”
Zhang Yida did not agree with his words and said:
"Online finance is the future trend! The rise of P2P is already unstoppable.
Ali has set up Wangjinshe and Ant Fortune, Qiandu invested in Yiyindai, Anping Insurance established Lufax, and the National Open Bank established Kaixindai...
So many giants and even countries are deploying in this field, which means they have seen the future trend.
Taking a step back, LC’s pre-IPO valuation was US$4 billion!
Yimin Wangjin is almost half his size, and its valuation of US$2 billion is definitely not overestimated."
Changchangqing naturally knows that P2P is the future development direction! Otherwise, who would come all the way to your company to talk to you about buying shares?
Two billion US dollars was indeed a bit beyond his psychological bottom line, so he bowed his head and remained silent.
Seeing this, Zhang Yida added fuel to the fire and said:
"LC's overdue rate is 1.27%, and Yimin Wangjin's is 0.8%. Compared with ours, our asset quality is more stable."
Changqing Qing was also knowledgeable and said with a smile:
"Mr. Zhang, we all are sensible people, it's meaningless for you to say this.
You can say this in the prospectus, but it is better to be honest with your partners.
Isn't it common practice in the industry to advance payment? If it is overdue, the company will advance it in advance, and the company will be responsible for recovering the overdue debt.
Bad debts are also bought out by P2P companies and covered from profits.
Not to mention a 0.8% overdue rate, I believe it can be achieved even with a 0% overdue rate.”
Zhang Yida was slightly shocked because he had done his homework in advance! He understood so clearly.
However, there was still a smile on his face and he continued:
"U.S.$2 billion is definitely not a loss. You must know that Yimin Wangjin has only been in operation for a year and a half. It is able to reach the current scale because it has stepped on the wind.
A big shot once said that if you stand on the wind, a pig can fly.
I think I am better than a pig!
Yimin Wangjin's single-year transaction volume this year is more than 10 billion. I estimate it will be 25-30 billion in 2015, 50-60 billion in 2016, and 80-100 billion in 2017.
In the next three years, the total transaction volume is likely to reach 150-200 billion.
You have also seen that the industry is booming now. New P2P companies are established every day, and one or two thousand companies are added every year.
As the leader of domestic P2P, Yimin Wangjin can also maximize the benefits of this large wave of development.
Yimin Wangjin’s future market value of tens of billions of dollars is not very far away.
Mr. Cheng, please think about it carefully!"
Changqing Qing was deeply attracted by the business blueprint drawn by Zhang Yida. He was also thinking that Yimin Internet Finance had only been established for more than a year, and the transaction volume had already reached 20 billion yuan.
In another three to four years, it is very possible that the scale will be ten times larger and reach 200 billion.
Even if the valuation is not magnified 10 times, it is still a good high-return project if it is magnified 5 times.
After figuring this out, he no longer hesitated, thinking that he must promote this project to complete the investment.
If he can earn 5 times the return, this will also be his performance during his tenure! It will be very helpful for him to get promotion and salary increase in the future.
"Mr. Zhang, after talking to you today, I realized that you have great ambitions!
I finally understand why you are so successful in your career at such a young age.
That means daring to think, daring to do, and daring to act!”
Changqing was indeed deeply attracted by the cakes painted by Zhang Yida. P2P entrepreneurship was in full swing at this time. The industry was cooking oil in a raging fire and flourishing in flowers.
No one knows what the trend will be in the next few years?
Should it continue to rise all the way up, or should it take a sharp turn?
Only Zhang Yida knows, but he must pretend not to know!