Chapter 097 [Tiansheng Capital prepares to go public (1700
Lu Ming came to Shanghai, completed the two venture investments of Pinduoduo and Mihayou, and then stopped investing. For other VCs, they need to constantly look for opportunities, but for Lu Ming, opportunities are everywhere.
Learning to be willing to give up is a kind of wisdom. The so-called giving up more will get more, giving up less will get less, and be reluctant to give up. The concept of "weak water is worth three thousand, but take a scoop" is not only used to whitewash the style and deceive the founder, it is true.
If you want to practice it, you can’t make enough money in this world.
The formalities were officially completed, and when I came to Shanghai, I decided to take a vacation here with Yao Yun and An Yirou. I couldn't be too capitalist, I had to rest.
…
On October 5, Pinduoduo and Mihayou also announced the completion of Series A financing, and the investor was the famous Tiansheng Capital.
What makes the industry confused is that the two investments made by Tiansheng Capital are completely unrelated to each other. One is an e-commerce company and the other is a two-dimensional mobile game.
It invested US$100 million in Pinduoduo, which is equivalent to a valuation of 21 yuan; it invested US$78.8 million in Mihayou, which is equivalent to a valuation of 2 billion yuan.
What interests the capital circle is that Tiansheng Capital is not satisfied with the secondary market and has begun to make VC venture capital in the primary market.
However, industry insiders are not very optimistic about these two investments made by Tiansheng Capital, especially the investment in Pinduoduo.
The reason is very simple, because Jingdong and Alibaba have already divided up the e-commerce market share, and the Matthew effect has taken shape. Now, if you enter, you will get free gifts...
Most people are sure that Tiansheng Capital will probably lose all their money in its debut in the primary market. On the contrary, investing in Mihayou is a bit interesting, but they still feel that it is not worthwhile for Tiansheng Capital to invest 500 million in it. It might as well be
Trading stocks in the secondary market is a real possibility.
It is true that Mihayou's performance has grown rapidly in the past two years, but 100 million in revenue is really not much in the game industry, which is known for huge profits. Some web game companies even make more than this.
Once you get money, it comes. Then you change your vest and ID and get another wave of money, and then it comes again.
And this involves a lifespan issue. How many game manufacturers can survive three years? Basically, they are all short-lived, or they just make a fortune and change their vests to flush and go online to continue making money. Only idiots will spend time and money to create high-quality products.
…
The first day of work after the holidays.
When Lu Ming arrived at the company, he called Li Mingyang to the office.
"Mr. Lu, what are your orders?"
Lu Ming glanced at Li Mingyang and ordered crisply: "Old Li, you take a group of people to Hangzhou to investigate Bolaiya, an unlisted domestic daily chemical company. Tiansheng Capital wants to invest in the company. Tiansheng Capital
Do your part to help this company land in the big A. Bolaya is a good company and is expected to become the first stock in the beauty industry in the domestic capital market. It has the potential of ten times the stock. You have to find a solution for this car.
Even if you can't do it, you have to do it."
"Bolaiya?" Li Mingyang said in surprise: "Mr. Lu, the difficulty of going public has been a hidden pain for domestic cosmetics companies for many years. Most of the cosmetics companies that have gone public face a decline in performance or net profit, which makes investors and
Regulatory authorities remain cautious about this industry. Overall, domestic cosmetics companies are left out in the capital market."
What Li Mingyang said is not unreasonable. There are a large number of brand products in the cosmetics market, and brand concepts emerge one after another. In addition, international daily chemical giants occupy a dominant position, and the market competition is very fierce.
But the profits of cosmetics are unquestionable.
Lu Ming said solemnly: "I have a general understanding of the company Bolaya. Its positioning is similar to popular skin care products. It currently owns brands such as Bolaya, Hana, and Youya, and its products cover skin care products, makeup, and cleaning products.
The fields of skin care and aromatherapy lamp cosmetics meet the needs of consumers of different ages and preferences."
"What I like is the company's misplaced competition model. The main consumer target group is young consumers aged 20 to 35 who pursue diversification and cost-effectiveness. The beauty industry is a rising track, and the international daily chemical leader is making a lot of money.
However, not all people have such spending power, but all women cannot do without cosmetics, and Boreal’s misplaced competition is very imaginative.”
In fact, Bolaiya has long been trying to achieve its own growth through the capital market. It started preparing for its listing in 2011, and by 2012 it had completed the shareholding reform and organized the company structure, three-year financial reports, etc.
The layout is almost done.
However, the market situation changed, and the mainland capital market environment was not ideal around 2012, so it tried to list in Hong Kong in 2014. However, in 2014, Big A became popular, and finally decided to go back to Big A to list.
By this year, Bolaiya has begun to dismantle red chips, and will submit materials to the China Securities Regulatory Commission next year, and has been working day and night to prepare for the listing.
"clear!"
Li Mingyang nodded and said, if Boss Bo is so optimistic, then he should take people to investigate.
Lu Ming added: "You are leading a delegation to go out for research this time. Going to Hangzhou to research Bolaiya is secondary. Another important task is to go north to Byte to instigate research, focusing on the launch of the company's D round of financing.
, strive for Tiansheng Capital to lead the D round of financing, and it is best to obtain exclusive investment."
At this time point, we can only get on the bus halfway, but it is not too late.
In the first half of last year, ByteDance received US$100 million in Series C financing from VC institutions such as Sequoia Capital and Shunwei Capital, accounting for 20% of the shares and a valuation of US$500 million.
There's nothing we can do about it, because the time point for time travel was already in the second half of last year.
By the time of the D round of financing, ByteDance’s valuation has exceeded US$10 billion, a direct increase of 20 times. However, it doesn’t matter even if it is in the D round of financing, because ByteDance will soon be valued in the near future.
With a value reaching hundreds of billions of dollars, it is another Internet giant.
The D round of financing is ten times the amount, so that’s good.
After Li Mingyang received the assignment, he began to prepare for the research work.
After returning from the holidays, another important task Lu Ming had to prepare was to prepare for the listing of Tiansheng Capital. He did not intend to seek listing in the United States, but chose to list in Big A.
To maximize profits, it must be listed. This was all planned in Lu Ming's mind.
The domestic capital market follows the normal listing and IPO process. First, it must find strategic investors, then the accounting firm modifies the company's financial statements, secondly, it finds a securities company to act as a sponsor, and then conducts a road show and queues up for a meeting with the China Securities Regulatory Commission.
Only when the inquiry is over and the meeting can be completed can it be successful.
There are many conditions for a company to go public. One of them is that the issuer is established and has been operating continuously for more than three years. This condition alone made Tiansheng Capital click away.
The company has been established for less than a year, and it is simply impossible to achieve it in a short time through the normal listing process.
But there is a way to reasonably circumvent this rule, and that is backdoor listing.
There are quite a lot of shell resources in the capital market. These are already listed companies. They were not shell companies before. They were normal companies. However, poor management later led to the company's losses. After three consecutive years of losses, it was ST.
If the net worth of the stock is less than 1 yuan, it will even be subject to *ST.
This type of company is basically unable to survive on its own. For some companies that are strong and plan to go public, they convert their own company into shares, and then exchange the shares with a shell company at a certain consideration. It turns out that
The non-performing assets were packed up and thrown away, and the company's name took on a completely new look.
Obviously, the backdoor process is simpler than the IPO, mainly because it is fast. The backdoor only needs to bear the debts of the original company, which is a small amount of debt for a large company.
Many companies would rather borrow money than go public, especially Internet start-ups. The IPO queue takes three years, and the company may die due to funding problems in the second year, or miss the opportunity.
Obviously, if Lu Ming wants Tiansheng Capital to go public quickly, he can only take the path of shell resources, complete mergers and acquisitions and reorganization, and revise the company's articles of association. The original company name will be completely new once it is changed.
…
(Ps: Keep asking for votes, subscriptions, all kinds of requests, full of stud)
