On October 18, Miaofen Group was officially listed on the New York Stock Exchange with the stock code "MFQ".
Miaofen Group issued 37.5 million American depositary shares (ADS) at a price of US$24 per share, raising US$900 million, becoming the fourth largest stock issuance in the United States this year.
A high-spirited Lu Min stood on the bell ringing platform of the New York Stock Exchange, and beside him stood a group of shareholder representatives such as Leech Financial Services Group, Kunlun Wanwei, Phoenix Xiangrui, Guosheng Financial Holdings, Source Code Capital, and Lanchi Venture Capital.
Miaofen’s opening price was US$34, and then skyrocketed. The company’s market value once reached US$11.698 billion.
It has surpassed many well-known Internet companies such as Sina, Sohu, 58.com, Cheetah, Momo, Vipshop and Autohome, and ranks 7th among Internet concept stocks.
It has also surpassed Yimin Wangjin, which was frequently reduced by Zhang Yida and its market value fell to US$7.452 billion, ranking first among listed mutual financial companies in market value.
Lu Min holds 21.6% of the shares of Miaofen. After its listing, he immediately transformed from a young man from a small town into a CEO of a listed company worth tens of billions and a young talent.
Then investors began to show off.
Kunlun Wanwei Chairman Zhou Yahui wrote more than 10,000 words of investment insights and posted it on WeChat Moments, reviewing the investment process of Miaofen.
Wu Shichun from Meihua Venture Capital: Miaofenqin is another investment case with a return of more than 1,000 times.
Lu Min also shouted his slogan: No salary will be paid until the company reaches a market value of 100 billion US dollars.
The media is very interested in this "Internet celebrity" company. It was started with a campus loan and invested by Leech Financial Services Group. It took three years and seven months to complete the transformation from a start-up to tens of billions of dollars.
Facing various digging questions from the media, Lu Min gave some interesting answers.
"Did you lend money to students?"
"I borrowed it 15 years ago, but it didn't make any money and I lost hundreds of millions. Then the country stopped it..."
"Have you deliberately instigated people to borrow money from relatives and friends or other platforms to repay your money when you can't pay it back?"
"No. Anyone who fails to pay back the money after the due date is considered a bad debt here. We will not urge them to pay back the bad debts. We will not call them. If you don't pay back the money, forget it and give it to you as a benefit.
that's all."
"Are you a**?"
"It's not because we are the best. It's because of our business model. Our bad debt rate is less than 0.5%..."
When Lu Min was interviewed by reporters, she seemed overly hypocritical.
When the news spread back to China, it immediately aroused huge controversy.
Some people think that Lu Min's rise is accompanied by original sin and immoral, and can be called black gold.
Some people also believe that in this era when it is difficult to produce a son from a poor family, Lu Min, whose father is a farmer and whose mother is a primary school teacher, has given great encouragement to grassroots entrepreneurs.
"Wonderful installment listing, tens of billions of dollars later, wealth finally washed away the original sin"
"Domestic criticism, international popularity, the original sin behind the listing of wonderful installments"
…
Lu Min and his company have contributed to the country one hit article after another worth over RMB 100,000.
At the same time, many domestic cash loan entrepreneurs have also set their sights on Miaofenqi.
The listing of Miaofenqi has given them great encouragement, and countless cash loan companies are already on their way to listing.
Zhang Yida watched all this with cold eyes. Ruixiang invested 8 million yuan in Miaofan and earned 2.12 billion.
Among them, 1 billion was allocated to the Ruixiang Charity Foundation for afforestation and rural poverty alleviation.
Many foreign shareholders expressed opposition and incomprehension about this matter.
Originally, Zhang Yida wanted to donate all of it, but too many shareholders opposed it.
Finally, the amount was reduced to 1 billion yuan before the board of directors passed the resolution.
Stimulated by the good news brought by Miaofenqian, the stock prices of three companies, Yimin Wangjin, Yimin Dai, and Yimin Wealth, have experienced considerable increases.
But Zhang Yida’s instructions to the people at the family office were: reduce holdings as hard as possible.
So the stock price was knocked down again by his reduction of holdings, and it even fell a lot.
On the third day of Miaofen’s listing, Southeast Asia’s “Little Penguin” Sea Group, in which Ruixiang invested, was also listed on the New York Stock Exchange.
This company's main businesses are games and e-commerce. It has performed well on the market and has a market value of more than 5 billion US dollars.
Penguin holds 39.7% of the company's shares, making it the biggest winner.
After many rounds of follow-up investment, Ruixiang also holds 5.67% of the shares of Sea Group. The return on investment is not high, and it is barely close to doubling.
Zhang Yida knew that this company still had great potential, so he decided to hold this stake for a long time.
Sea Group is also the Southeast Asian agent for PUBG, and its strategic partnership with Blue Hole was also transferred to Zhonghe Group with the merger.
On the eve of the listing, Li Xiaodong also called Zhang Yida and asked the latter if he wanted to ring the bell together.
Zhang Yida declined Li Xiaodong's invitation and there was no need to join in the fun.
…
The Indian founder of OYO, Li Taixi, came to Beijing. The Indian market was almost occupied by him, so he decided to enter China.
Since I want to come to China to hang out, I naturally have to come out and pay my respects to the pier.
As the host and a shareholder of OYO Hotel, Zhang Yida invited him to visit Ruixiang Group and Zhonghe Group.
Even though he was far away in India, Li Taixi had heard of these two super unicorns.
"I heard that you are at war with Penguin Group, which has a market value of US$400 billion?"
Zhang Yida did not reply directly, but said with a smile: "Xiao Li, you are very well-informed!"
"It seems to be true, Mr. Zhang, your courage is really admirable!"
Zhang Yida waved his hand and his face gradually became serious, "If emerging forces want to rise, they must subvert traditional forces."
Li Taixi nodded, agreeing with this sentence. Their OYO model is also about subverting traditional forces.
"Mr. Zhang, if I introduce the OYO model to China, will there be any counterattack from traditional forces?"
Zhang Yida smiled and said jokingly: "What do you think?"
Li Taixi nodded, indicating that he understood.
"Mr. Huang Xin from Magnesium Group and Mr. Liang Jianzhang from Ctrip. Mr. Zhang, can you recommend them to me?"
It seems that Xiao Li has done his homework and knows which temples to worship.
Zhang Yida smiled and said, "No problem! I'll make an appointment for you later."
"That's great, thank you so much!"
Zhang Yida smiled and said: "We are friends! Don't be offended!"
Then Zhang Yida took Li Taixi to eat authentic Beijing roast duck.
Li Taixi ate with his mouth full of oil and said with a smile: "This is definitely the most delicious food I have ever eaten. It is better than the curry in our hometown."
Zhang Yida chuckled and said, "Really? Then I'll order another one."
Li Taixi burped. He had already eaten two. He quickly waved his hand and said, "No, I'm full."
Zhang Yida sighed, "Xiao Li, I may want to sell my shares in OYO."
"ah?"
Li Taixi was a little surprised. He didn't understand why Zhang Yida did this.
Zhang Yida added: "Zhonghe Group has encountered great financial pressure, and I can only raise funds from everywhere."
Li Taixi somewhat understood Zhang Yida, how difficult it was to face a behemoth with hundreds of billions of dollars.
"Okay! Who will the equity be sold to?"
Zhang Yida smiled and said: "I have negotiated with Mr. Masayoshi Son, and SoftBank Vision Fund is willing to take over these shares."
Lee Tae Hee breathed a sigh of relief when he heard that it was Masayoshi Son and SoftBank. SoftBank itself is a shareholder of OYO and an important supporter of him.
There is nothing he cannot accept when Zhang Yida transfers his equity to SoftBank.
It’s just that the absence of a well-connected shareholder like Zhang Yida in China is somewhat detrimental to OYO’s development!
The next day, Zhang Yida took classmate Xiao Li to meet Huang Xin and Liang Jianzhang.
Huang Xin and Liang Jianzhang were very considerate of Zhang Yida and agreed to establish cooperation with OYO.
At present, OYO does not have its own OTA platform, so it does not pose much of a threat to Magnesium Group and Ctrip.
But Zhang Yida knew that classmate Xiao Li was also an old bastard, and wanted to open the hotel offline first, and then provide a one-stop travel solution, including hotels, tour guides, catering, air tickets, visas, etc.
If you do this, won’t you force the OTA giants to ban OYO?
It won't be until next year at least that the two sides break up. Zhang Yida won't be able to control that much anymore. By then, all the shares will be sold, and it will have little to do with him.
After negotiating the cooperation with Li Taixi, Zhang Yida completed the equity transfer with SoftBank people.
At a valuation of US$2 billion, it sold 16% of its equity in exchange for US$320 million in cash.