According to the 65% cash plus 35% equity swap plan proposed by Didi, all the 30.57% equity held by Zhang Yida can be sold in exchange for US$1.8342 billion.
Among them, cash is US$1.19223 billion and Didi equity is US$641.97 million.
If he follows this script, Zhang Yida can get 1.15% of Didi's shares.
This amount of equity may not seem like much, but considering that the valuation of Didi after acquiring Huimin Travel will reach US$56 billion, the real value is quite high.
But Zhang Yida gave up his equity in Didi and chose to sell it to SoftBank and Ruixiang Industrial Investment Fund.
Among them, Ruixiang acquired 0.46% at a price of US$260 million. In addition, it exchanged 5% of Huimin Travel's equity for 0.54% of Didi's equity, and its total stake in Didi was just 1%.
SoftBank acquired the other 0.69% stake in Didi from Zhang Yida for a total of US$381.97 million.
Therefore, Zhang Yida finally received a total of US$1.8342 billion in cash.
Interestingly, many large investment institutions, including SoftBank, have chosen to replace all Huimin Travel shares with Didi shares.
To this end, they also made deals with the minority shareholders of Huimin Travel.
In other words, they used 65% of the cash received to buy Didi shares held by other shareholders.
Didi has always been a hot topic, and there is no shortage of investors to pursue it.
But Didi has grown to over 50 billion U.S. dollars now. When financing, in addition to comparing money and price, we also need to look at the background and energy of the investment institution.
Looking at these backgrounds, can Energy bring greater development opportunities to Didi, such as internationalization, etc.
Therefore, general small and medium-sized investment institutions are excluded from Didi financing at this time.
And their only chance to invest in Didi and get involved with Didi is this Huimin Travel merger.
Most investment institutions hold on to the converted Didi equity and will not sell it at all.
There are not many "idiots" willing to sell their equity. Apart from Zhang Yida, there are only two institutions: Huayi Capital and Zhenke Fund.
Huayi Capital did this under the instruction of Zhang Yida.
While Zhenke Fund chose to cash out in full, Xu Xiaoming felt that Didi’s valuation was too high. Even if it had the opportunity to become a giant worth hundreds of billions of dollars in the future, the rate of return would not be that high.
If you have this time, you might as well use the money to make some small angel investments.
For example, if you find the next Zhang Yida or the next Chen Ou, the return rate will be much higher than this.
Large investment institutions such as Blackshirt Capital and CITIC Industrial Investment Fund are shareholders of Didi themselves and are very optimistic about Didi.
They chose to continue playing with Didi, because they were greedy for Didi's equity.
The valuation of this stock rotation is 56 billion U.S. dollars. The next time financing is opened, it may be 80 billion or 100 billion U.S. dollars.
However, there are not many Didi shares flowing privately among Huimin Travel shareholders, and most of them have been bought by Ruixiang Industrial Investment Fund and SoftBank.
Ruixiang Industrial Investment Fund increased its stake in Didi because Zhang Yida wanted to maintain the relationship between Ruixiang and Didi.
If funds were not allowed, Zhang Yida would have wanted to increase his holdings to 2% or 3%.
But right now, we can only try to acquire 1% of the shares and barely maintain a sense of presence.
The most distressing thing is the three institutional shareholders who cashed out some time ago.
Didi is okay. Anyway, they successfully acquired Huimin Travel, which is a profit for them.
Being tricked by SoftBank is nothing.
On the contrary, SoftBank played a large role in this merger and acquisition, and SoftBank basically brokered the negotiations between the two parties.
Zhu Xiaohu from Jinsha River Venture Capital and Zhang Ying from Matrix Partners Global were so disappointed that they both regretted it.
In the A+ round of financing, their two institutions each invested US$50 million and acquired 8% of Huimin Travel’s equity at a post-investment valuation of US$625 million.
After subsequent dilution, it still holds 4.38% of the equity.
These shares were valued at US$3 billion by their two institutions and sold to SoftBank for US$131.4 million.
After selling, the two of them felt that the return rate was not as high as expected.
But it’s actually not that bad. The key is that the exit time is short, only two years, which translates into an annual return of 80%.
Regarding Huimin Travel, the two of them have analyzed that the problem of profitability is difficult to solve.
As time goes by, it is very likely that it will not be able to raise funds, and companies such as Ruixiang, Zhonghe Group, and Ruixin Group will take turns to provide it with blood transfusions.
For Zhang Yida's industries, Huimin Travel has a very good traffic diversion effect and has a very high strategic position, so it is impossible to give up.
But if the venture capital keeps playing like this, it will be completely trapped.
So after SoftBank made an offer of US$3 billion, the two of them quickly agreed after a little trial and error.
At that time, they thought that SoftBank people were stupid and had too much money. After investing in Yahoo and Ahri, they slowly began to drift away.
But looking at it now, I have to admire SoftBank's capital integration capabilities.
I and others were completely manipulated by others, and if I jumped off the bus one month later, I could earn an additional US$130 million in return.
But there is no regret in selling medicine, so they can only accept defeat.
The investment institution behind the two, as a shareholder of Didi, was also invited to attend the merger signing ceremony.
Looking at Zhang Yida, Chen Wei and Zhu Xiaohu who were signing various contracts on the stage, they muttered, "Why do I feel like I lost money when I bought Didi?"
"Haha, capital pays the bill, no one loses."
Zhang Ying chuckled, thinking that Zhu Xiaohu hadn't figured out the fact that he was cheated by SoftBank.
It is normal to make a few comments if your thoughts are unclear.
In fact, it was Didi's acquisition of Huimin Travel that led to the big embarrassment between the two.
If it hadn't been for this incident, maybe in two years' time, they would still have a good reputation as "the one who had the foresight to successfully escape from the top".
But now, things have begun to spread in investment circles on a small scale.
SoftBank bosses have used their wisdom and skills to integrate the travel field, and their two institutions have become negative examples to set off others.
Colleagues laughed at them for being short-sighted, and well-informed clients said they would not renew their contracts with either of them when they expired.
There are too many things to worry about, and Zhang Ying can't be happy either.
SoftBank did make a good move. It first acquired the equity of Huimin Travel, and then persuaded the shareholders and management of the two companies to agree to the merger.
In fact, there were some minor episodes at Didi's shareholders' meeting.
Ahri firmly disagrees with the acquisition of Huimin Travel, mainly because of Ruixiang's series of additional conditions, which can be said to have seriously violated the interests of Leech Financial in Didi.
Penguin and Financial Investment shareholders support the merger.
The penguin was very happy for Rui Xiang to come in and share the Leech Golden Clothing cake. Because Rui Xiang didn't come to eat, most of the cake was eaten by the Leech Golden Clothing.
Ruixiang comes in and gets the cake, and Penguin, as an important shareholder of Ruixiang, can also get a share of the profits.
Secondly, it can weaken the energy of Ahri system.
The confrontation between Penguin and Ahri is not a simple confrontation between two companies, but a confrontation between the two major camps of the Internet.
This confrontation is protracted and the winner will not be determined immediately.
The successful launch of Mobao Pay on Didi can also be regarded as the victory of a small battle.
As long as this kind of small battle happens a few more times, the balance of victory and defeat may tilt towards the Penguin series.
Financial investment shareholders want to see Didi become stronger. They have not paid the company and have nothing to do with them, so naturally they will not support Ahri.
The meeting was deadlocked, and SoftBank became the final decisive force. They preferred to acquire Huimin Travel.
Because most of the acquisition funds came from SoftBank, the situation changed as soon as SoftBank opened its mouth.
All shareholders welcome and look forward to the US$5.5 billion financing that SoftBank is about to lead.
Because the completion of this round of financing means Didi will reach a new level and even have the opportunity to launch an impact on Qiandu.
Chen Wei is also very close to the investors of SoftBank. He used to have the thighs of Penguin and Ari, but now he has changed to a richer one.
Chen Wei is very greedy for the US$100 billion fund size of SoftBank Vision Fund.
In terms of money, Ahri and Penguin are not as happy as SoftBank.
"Zhang Yida is definitely not a loser. He cashed out US$1.8 billion in cash, and Jack Ma has never been so happy to rob Ali's equity."
Zhu Xiaohu was watching the signing ceremony in the audience and making comments at the same time.
"Chen Wei is not a loser. After the acquisition of Huimin Travel, Didi will reach a new height, and his career will also rise to a new height.
As for his equity being diluted, it doesn't matter. It's not diluted much, and he himself doesn't even hold 3% of the shares.
For people like them, corporate influence and assets they can control and influence are most important.
Among the four domestic RDMT giants, Didi is temporarily ahead."
"Now we have added Zhonghe Group, one of the five small giants of RDMTZ. Ruixiang is not bad either. It has never stopped expanding internationally and is not inferior to Leech Financial Services.
Even Ruixiang has not raised funds for a long time, and the outside world has no way to judge its valuation.
Therefore, the outside world’s fair valuation has remained at US$27.5 billion in 2015, and it is hard to say whether it has doubled now.”
Zhang Ying followed Zhu Xiaohu's words and also expressed his own views.
"Well, Rui Xiang's strength is indeed unfathomable, and he has become the most important opponent of Leech Financial Server.
Whether at home or abroad, I heard that two companies are at war in India and Southeast Asia..."
Zhu Xiaohu told Zhang Ying what he saw and heard during his inspection trip to Southeast Asia and India some time ago.
"Zhonghe Group, I think, is a little behind. It cannot be called one of the five small giants. Before the merger, the two companies were only a few billion dollars in size."
Zhang Ying shook his head and said: "You are wrong. I find that everyone underestimates the potential of Zhonghe Group, especially the software called Musical.ly, which has not only become popular in Europe and the United States, but has also begun to sweep across Asia.
Unconsciously, its business territory has almost covered most countries and regions around the world..."
Zhu Xiaohu said "hmm" and looked at Xue Cunhe sitting in the first row.
Said to Zhang Ying: "I think SoftBank's investment is too radical. If Didi has some problems in the future, or like Huimin Travel, it will not be profitable.
Maybe SoftBank will suffer a big setback!”
Zhang Ying was stunned and said with a smile: "Why did Didi have a problem? You are worrying too much. As for not being able to make a profit, I don't think so.
Once the market is semi-monopolized, subsidies can be eliminated. What Didi wants to do is to be a travel platform, and then expand to other areas by gathering traffic.
For example, finance, driverless..."
The two people in the audience commented on Zhang Yida and Chen Wei, while Zhang and Chen on the stage signed the contract, exchanged documents with each other, and finally shook hands and took a photo together.
The ceremony ended here, and Huimin Travel was officially sold to Didi.
Before the signing ceremony was completed, the invited media published articles related to "Didi Acquisition of Huimin Travel".
This hot news immediately topped the list of hot searches on Weibo, and countless people began to speculate on the motives and details of the transaction.