Zhang Yida organized an unprecedented large-scale merger and acquisition in Southeast Asia. At the same time, the domestic P2P industry also ushered in its darkest moment.
In June alone, hundreds of platforms either closed down or ran away, with an average of three or four collapses a day, including many well-known tens of billions platforms.
There have been platform collapses in the past few years, but most investors have become accustomed to them.
After all, this industry is close to money and has low entry barriers. Many wealthy bosses invest millions to buy a system, recruit a few programmers and start issuing bids.
The funds raised may be used for other businesses, or used for stock and land speculation.
Of course, there are also some bosses who enter the business with the idea of taking a profit and running away.
These people die the fastest. After all, most Pond's people can't survive for a few months, and those who can advertise may have a longer lifespan.
This round of bankruptcies has exceeded investors’ imagination and is far more violent than any previous year.
Panic is also contagious, and Yimin Financial Management, a subsidiary of Yimin Wangjin, and Ruimin Financial Management, a subsidiary of Ruixin Group, have also been severely impacted.
Affected by this news, mutual funds listed in the United States have plummeted.
Yimin Wangjin fell more than 10% at the opening, with its stock price falling to US$14 and its market value of approximately US$3.5 billion, a drop of more than 44% from the IPO price of US$25 and a drop of more than 75% from its peak market value of US$12 billion.
Yimin Wealth and Yimin Loan also experienced declines, but not as severely as Yimin Wangjin.
Yimin Wangjin was once listed on the market with the title of "the first mutual financial stock" and "the first P2P stock", which accumulated a lot of reputation and saved a lot of advertising costs.
But when the industry collapses, it is also the one that suffers the most backlash.
It has been almost three years since Yimin Wangjin was listed. Except for the founder Zhang Yida and the two co-founders Fan Hongyang and Ding Siyao, the other venture capital shareholders have basically cleared their stocks.
In the past three years, Goldman Sachs has often deliberately raised the stock rating of Yimin Net Financial, just to facilitate shipments.
Zhang Yida personally cashed out a lot, mostly last year, when the market value of Yimin Wangjin reached tens of billions of dollars.
Through multiple rounds of shareholding reductions, transfers, additional stock issuances, etc., nearly US$340 million has been cashed out.
Before the listing, it also transferred 9% of its shares to Goldman Sachs, taking away US$200 million.
Fan Hongyang and Ding Siyao also reduced their holdings and cashed out tens of millions of dollars each.
Yimin Wangjin Company has no shortage of money on its books. Through the IPO and additional issuance after listing, coupled with the continuous operating profits generated in three years, the cash on its books once exceeded US$2.55 billion.
After spending US$1.1 billion to acquire Gem Bank, more than US$1.45 billion was still left on the books.
To deal with this kind of sudden crisis, having money in your account is the greatest confidence.
As CEO, Fan Hongyang has spoken out many times through public channels to appease investors, while also shining a light on Yimin Wangjin’s net worth.
The 55% stake in Gem Bank, also known as Yimin (Indonesia) Bank, is worth US$1.1 billion. The 2.1% stake in Xinrui Xiang Group is worth more than US$40 million, and its cash reserves are US$1.45 billion...
Although the trick was a bit cliché, and it was not the first time I used it, it really worked, and investors' emotions quickly calmed down.
It’s okay not to believe in these assets, but can they still not believe in Zhang Yida, the richest man?
Compared with the calmness of Yimin Wangjin, Ruimin Financial Management, a subsidiary of Ruixin Group, is much more hectic.
Because it is not listed on the stock market, Ruimin Financial Management has not harvested any leeks and has not reserved a large amount of cash.
And because most of the funds were provided to the two cooperative companies of Yimin Wangjin, "Yimin Puhui" and Yimin Dai, its own "Xinglong Dai" belongs to supply chain finance, developed very slowly, and did not make much money.
money.
In addition, Ruimin Financial Management has always relied on Huimin Travel for development. After the latter was sold to Didi, the cooperative relationship was still maintained despite the constraints of the contract.
But Chen Wei is not Zhang Yida, and Ruixin Group is not his biological son.
Not long after this wave of thunderstorms occurred, Didi felt the crisis.
Because of the Zhengzhou stewardess incident in May, Didi suffered a lot of negative reactions and was criticized by society, so it became very sensitive.
Now "deposit financial management" has become a time bomb around us, and we don't know when it will explode.
Chen Wei called Zhang Yida urgently. On the phone, he was very anxious and asked Zhang Yida: "Tell me the truth, where did the funds raised by Ruimin Financial Management go?"
Are you sure it all went to the three platforms of Yimin Puhui, Yimindai and Xinglongdai?”
Normally, Chen Wei would definitely not be so anxious to get angry and ask questions in a cross-examination style.
But the situation was urgent, and he couldn't care less about these false courtesy.
If Zhang Yida really misappropriated part of the funds and invested elsewhere, he simply couldn't imagine the consequences.
Huimin's trip may be directly ruined, and the people will regard it as a big liar, even defrauding the deposit.
Didi will also be jointly and severally liable, and its brand will be damaged. No matter how serious it is, years of hard work may be wiped out.
When asked by Chen Wei, Zhang Yida also found it funny and replied: "Do you think I am short of money? Will I use such high-cost funds?"
If I casually release some information, family offices, and venture capitalists from all walks of life would all be lined up from Zhongguancun to Xiongan, what’s the point of me?”
Zhang Yida's soul question made Chen Wei calm down. Thinking about it, this is indeed the case.
Zhang Yida is the darling of the capital industry. Raising some funds is as simple as eating and drinking, so he shouldn't have to do those little tricks.
Besides, how big is Ruimin Financial Management? It’s tens of billions of yuan.
It sounds like a lot, but if you really want to embezzle it, you don't dare to appropriate it all. You have to leave a large part for turnover.
"Yida, I'm sorry. I just got a little excited. Please understand, Didi has encountered too many problems recently, and people's nerves have become sensitive."
Zhang Yida knew what the "problem" Chen Wei was talking about and didn't mind his own business. It was not his turn to dictate the direction of Didi's development.
"The P2P industry is about to explode. In just one or two months, hundreds of platforms have closed down, involving hundreds of billions of funds."
Speaking of this, Chen Wei asked again: "You are a good news person, do you know what the attitude above is?"
Of course Zhang Yida knows what the attitude is, that is, one size fits all.
But from what Chen Wei meant, it seemed like he had something to say.
Zhang Yida said calmly: "I don't know yet. I will return to China soon. I heard that the superiors will organize a meeting."
Chen Wei thought for a while and said: "Then you have to convey the spirit of the meeting to me as soon as possible. Ruixin Group and Didi are also strategic partners.
If there are any situations or difficulties, the two of us can easily resolve them through discussion."
Zhang Yida knew that Chen Wei was still worried about the tens of billions of deposits for financial management, so he smiled and said: "No problem, don't worry too much, Ruixin and other companies are fine.
As long as there are no problems on the asset side, there will be no gaps in the payment of funds."
Zhang Yida already said so, and Chen Wei couldn't ask further questions.
Originally, according to his intention, he wanted to stop the deposit financial management business directly, but because there was an agreement in front of him, he did not dare to voluntarily breach the contract.
After hanging up the phone with Chen Wei, Zhang Yida had a remote video call with Fan Hongyang and Fang Yuhan to learn about the latest situation of the two companies.
Zhang Yida decided to return to China. He handed over the Grab matters to Lan Lan, who had just arrived in Singapore, and she was responsible for following up.