Since February, global Internet and telecommunications stocks have plummeted again.
As of mid-March 2001, the Nasdaq index had fallen from its peak of 5,000 points in March 2000 to 2,000 points, and the sharp decline continued.
Precisely because the Internet bubble burst, the blow to local Internet companies in Hong Kong was also devastating. After all, financing was difficult and their prospects were slim.
As for Sina, owned by Lin Zuhui, it is talked about by investors because of its "successful transformation".
Why is it called ‘transformation successful’?
Because in the eyes of many investors, Sina.com has become the largest outdoor advertiser in the mainland, with a fixed net profit of hundreds of millions of Hong Kong dollars every year. With China's entry into the WTO, foreign capital has entered the mainland, and outdoor advertising has also become a popular industry; at the same time,
, Sina has also become the largest publisher in Taiwan, acquiring several large publishers in the early stage.
This kind of layout has allowed Sina to have a stable "industrial net profit" in one fell swoop; coupled with Sina's game business, web comic business, Internet DVD rental services, etc., Sina's market value is still around 70 to 80 billion Hong Kong dollars.
Considered stable.
Internet companies in other consortiums were not so lucky. Sun Hung Kai's "New Idea Network" fell by nearly 70%, and Cheung Kong Group's "TOM Network (non-portal)" also fell by nearly 60%...
As for the Internet industry, game industry, and technology industry that originally emerged in Hong Kong, they have all been hit to a certain extent.
The impact of the bursting of the Internet bubble goes far beyond the plummeting of stocks. For example, Sohu's stock plummeted and Zhang Chaoyang was almost driven out by foreign shareholders; NetEase's stock fell to a few cents, and Ding Lei twice wanted to sell NetEase.
There is also the problem of difficulty in financing. Without venture investors, the inability to go public means that it cannot cash out. For the company, it also means that it cannot raise funds from the stock market.
Based on these problems, Lin Zuhui took into account the prospects of Hong Kong's Internet and technology, and asked Matrix Partners, Media Group, and Xiangjiang Telecom to set up several venture funds in the Cyberport to encourage Hong Kong investors to enter the Internet, gaming, and technology industries.
Although his Internet technology industry supports most of Hong Kong, he is still eager for more companies to grow.
Recently, Cyberport's approximately 1.5 million square feet of "low-rent office buildings" have provided the best technological soil for Hong Kong. In addition, there are Lin Zuhui's talent plans over the years, as well as the three technology giants such as Media Group, Xiaomi Technology, and Xiangjiang Telecom.
.
Lin Zuhui believes that Xiangjiang's technology industry will definitely achieve world-renowned achievements, such as being one of the top three in the world in the development and export of online games, an important city for software exports, a city with developed telecommunications and information, a city with developed electronic technology, etc.
These goals have almost begun to succeed!
"Dong dong"
"Come in"
The person who came in was Ai Weilang, the president of Xiangjiang Telecom. When he saw the excited expression on his face, Lin Zuhui knew what was going on.
“BOSS, the Australian government has ‘conditionally’ agreed to Xiangjiang Telecom’s acquisition of Optus Communications!”
Lin Zuhui said with satisfaction: "Tell me, what are the conditions?"
Ivey Lang nodded, and then reported: "First, regarding the submarine cable, the Australian military has the right to control it when safeguarding national security."
"There is no problem with this. We only do business and do not involve politics."
Ivey Lang said with a smile: "Thanks to the fact that Singtel's major shareholder is Temasek. Recently, Temasek has become feared by all Asian countries."
This matter will come sooner or later. Xiangjiang Telecom is just quietly promoting it. To put it bluntly, Temasek is the official investment company of Sing Tao. In the previous life, South Korea directly did not allow Temasek to be a financial group, so it was not allowed to acquire Korean financial companies for more than
10% of the shares; later it was also feared by the mainland government, which did not allow Temasek to hold more than 5% of the shares in telecommunications; India, Thailand, etc. have also introduced restrictions on Temasek's investment.
On the contrary, Xiangjiang Telecommunications is a purely commercial group, and it often invests in Optus Communications.
Iveyron continued: "Second, the Australian government hopes that after Xiangjiang Telecom merges with Optus Communications, Optus Communications will be listed in Australia."
Lin Zuhui suddenly started thinking, and then he said: "No problem!"
Iveyron nodded and said: "There will be no problem in going public in the future. After all, if it doesn't work, we can still delist. The current matter is to acquire Optus Communications first."
Lin Zuhui echoed: "You are right! Optus Communications is a vital part of Xiangjiang Telecom. By acquiring it, Xiangjiang Telecom will become a world telecommunications company, and the population we radiate will also increase from nearly 7 million to 27 million."
Next, Iveyron made some other requests, none of which were excessive.
Lin Zuhui said: "I will leave the management of Optus Communications to you. I only have one request, that is, after the acquisition, we must operate it well and try to use all local employees. Localized operations are the key to development."
Ivey Long is an Australian national and has worked in the Australian telecommunications department for many years, which is actually very advantageous.
"OK!"
Xiangjiang's telecommunications industry has always been one of the top five developed countries in the world. Xiangjiang Telecommunications Company can provide unlimited Internet access at speeds up to 6Mbps, allowing ordinary users and their families to enjoy broadband Internet services.
This acquisition adopts a loan model. Xiangjiang Telecom needs a loan of HK$50 billion, but will only provide HK$13 billion. After spending HK$13 billion, Xiangjiang Telecom still has more than HK$10 billion in liquidity on its account, which will be used to support continued development.
.
Of the HK$50 billion loan, HK$20 billion was spent by the parent company New Era Group to issue convertible bonds to the parent company New Era Group.
For example, Xiangjiang Telecom's current market value is only HK$170 billion, and it issued 20 billion convertible bonds to its parent company, New Era Group. If the company's stock appreciates in the future, New Era Group can choose to convert it into stocks, or require Xiangjiang Telecom to repay the principal and
Low interest.
This kind of financial arrangement can be described as a win-win situation, that is, a win-win situation for both Xiangjiang Telecom and New Era Group. Of course, the future shareholders will suffer.
At the same time, Lin Zuhui invested in Xiangjiang Telecom in promising Internet companies such as DuNiang, Ctrip, and Priceline, which will also bring considerable profits to the company.
.........
Xiangjiang Telecom successfully acquired Optus Communications, which immediately became a talking point among Xiangjiang citizens.
"Mr. Lin Zuhui is still so powerful. Foreign companies have been acquired by him one after another, which has greatly boosted the popularity of us Chinese!"
"Isn't that right? Other companies have encountered troubles one after another, but Mr. Lin Zuhui's company is getting bigger and bigger."
"In the past, Hong Kong always talked about cases such as 'Charter King's acquisition of Wharf' and 'Li Chaoren's acquisition of Hutchison Whampoa', which were thought to boost the morale of Chinese people. But after all, these acquisitions took place in Hong Kong, and Mr. Lin Zuhui directly made large-scale investments overseas.
Acquisitions, such as Hilton Hotel Group, Gucci, Optus Communications, etc., this is the courage of a world-class businessman."
After the news spread, Xiangjiang Telecom's stock bucked the market trend and rose by 3%. Of course, it soon continued to fall due to the global Internet bubble.
.......
USA.
Ellis returned home with high spirits. Although he was in a lawsuit with Adidas, he firmly believed that the 'Tianzu' patent could make him a lot of money. After all, in addition to Adidas, there were many sports brands that were interested.
Therefore, his purpose is very simple, that is, to get more and become a rich man in the United States in one fell swoop.
Because of this, he is very excited every day now, as if countless dollars are waving to him.
When he dared to return home, the eldest son ran to Ellis.
“Baba, will you buy me a pair of ‘Tianzu’ Fila sneakers?”
Ellis touched his son's head and said with a smile: "Currently there are no Tianzu technology sneakers on the market, but don't worry, son, after I sell the Tianzu technology, I will buy you a house full of Tianzu technology.
Sneakers. How about it? Are you proud of you Baba?"
Unexpectedly, the son said distrustfully: "Baba, you are lying. I clearly saw a classmate wearing Fila sneakers using your Tianzu technology. I will not admit it. The Tianzu sole technology is really obvious, and that
A classmate also said it was Fila using Tianzu technology."
Ellis's anger level skyrocketed for a while. Fila announced some time ago that he had almost obtained the patent for Tianzu technology. He specifically consulted a lawyer. It was not illegal for Fila to say that. After all, people speak fast; but now, Fila
Le has actually directly used Tianzu technology, which is undoubtedly illegal.
The next day.
Ellis quickly found a lawyer and explained the situation.
"Ellis, the top priority is to search for evidence. If Fila really dares to produce sports shoes with natural soles without obtaining a patent, then congratulations on your fortune!"
"Okay, let's collect evidence together! Fila, I must make them compensate for my huge losses this time."
Next, Ellis and the law firm quickly dispatched, and sure enough, they found many Fila sneakers using Tianzu sole technology on the market, which made them furious.
"How shameless!" Ellis cursed.
The lawyer nodded and said: "Next, we should go to the Fila store to collect evidence. As long as we get the evidence, we can sue and accuse Fila of illegal things in the media."
"Yes, let's go!"
However, they were disappointed!
Many Fila stores in the United States do not sell ‘Tianzu’ sole sneakers.
Ellis said unwillingly: "Miss, don't you sell sneakers with Tianzu soles here?"
The shopping guide was confused and said: "Tianzu, what is that? Our new models are all here, can you choose?"
Ellis and the lawyer were unwilling to give up and searched again, but still couldn't find it!
The lawyer tentatively said: "Could they be fake shoes?"
Ellis felt a chill in his heart and said: "I'm not sure, why don't we check the source of the sneakers again!"
"Well, I hope it's not the damn fake shoes, this is going to be difficult!"
"No, why are fake shoes more difficult to deal with!"
The lawyer said seriously: "Hundreds of millions of dollars of counterfeit shoes flow into the United States every year. Although our government is working hard to investigate and deal with it, the counterfeit shoe industry chain is too hidden. In addition, even if one batch is investigated and dealt with, there will be a new batch.
, so it is difficult to cure. Assuming that fake shoes focus on Tianzu technology, this will make those sports brands no longer willing to pay prices for Tianzu, because at the same price, fakes are obviously more cost-effective. Even, you should be able to see
, those fake shoes are not inferior to genuine ones in terms of quality or even style, so for those people with poor economic conditions, they would rather buy fake shoes.”
Ellis immediately asked: "Can't we stop it?"
The lawyer shook his head, and then said: "Unless you are willing to spend a lot of money to protect your rights, it will probably cost tens of millions of dollars, and it may not be able to cure this problem!"
Ellis was stunned and asked himself to get the money? He hadn't received the money yet!
........
Ellis and his lawyer came to Fila's headquarters together and met with President Thomas.
Thomas said happily: "I welcome Mr. Ellis to Fila's headquarters. I think you must hope to cooperate with us!"
Ellis shook his head, then took out a pair of fake Fila shoes and handed them to Thomas.
"Mr. Thomas, are these the sneakers you produce and sell?"
After Thomas took it and inspected it carefully, he said with a smile: "These are fake shoes! Although the workmanship is exquisite and the design is relatively fashionable and young, it uses the Tianzu patent, so it is definitely not produced and sold by us. However, these
People are really disgusting, they actually produce fake shoes of our brand, you should be damned!"
Ellis echoed: "They deserve to be damned for producing fake shoes, so you should call the police and find these people!"
Thomas was stunned for a moment, then quickly shook his head and said: "Mr. Ellis, even giants like Nike and Adidas have a large number of fake shoes, and we at Fila cannot avoid it. What's more, the cost of cracking down on counterfeiting is too high, and currently our company still has
I don’t have the energy to do this!”
Ellis said unwillingly: "They produce your fake shoes, are you indifferent?"
Thomas said: "We can only condemn them for the time being!"
Ellis added: "There are more and more fake shoes like this on the market, and you will be devastated!"
Thomas said: "No, Nike and Adidas are fine. The vast majority of Americans will still go to specialty stores to buy."
Ellis and the lawyer looked at each other. The president of Fila didn't seem angry at all, which surprised them. They originally wanted to join forces with Fila to uncover this fake group.
After leaving Fila, the lawyer said: "The fake Fila shoes on the market seem to only produce Tianzu soles and no other styles. Therefore, Fila and the others don't care, since they don't sell Tianzu sole technology anyway.
Fila shoes.”
Ellis nodded dejectedly. He had been upset by the fake shoes recently.
"Let's go talk to Adi again!"
........
The president of Adidas said directly when Ellis came again: "I'm sorry, Mr. Ellis, the board of directors has decided to abandon Tianzu sole technology, so we no longer have hope for negotiations."
Ellis quickly said: "I can lower the price!"
I thought Adi would agree, but the president of Adi shook his head and said: "Unless we continue to implement the previous treaty, we will not agree to other conditions. I know why Mr. Ellis is in a hurry to lower the price. It is because there is a large amount of demand in the market.
Tianzu fake shoes, so we have already anticipated the risks, plus the losses caused by us having completely removed Tianzu sports shoes from the shelves during this period, and many customers know that Fila bought Tianzu Technology...
.For these reasons, our board of directors has decided to develop it ourselves. Of course, if Mr. Ellis is willing to execute the previous contract, I will fight for Mr. Ellis."
Ellis angrily resigned, Adi was too bullying.
On the way, the lawyer said: "Adidas is worried about risks and takes the opportunity to lower the price. It is no longer the best buyer. On the contrary, Fila is very interested in Tianzu technology and is willing to give you 18% of the profit for each pair of Tianzu sneakers, which is quite good.
of!"
"However, Fila's sales are very poor, far behind Adidas and Nike!"
"Because of this, they are willing to give you a profit share. Moreover, Fila has a new owner and a new management, so they will definitely want to do something big. If Fila can return to its peak in 1997, then you can still do it every year
Earn tens of millions of dollars in share.”
Ellis felt a sudden pain in his heart. US$80 million turned into US$10 million. It was a huge difference between heaven and earth.
Of course, the price of 80 million is that he is blackmailing Adidas, which is impossible in itself, but Ellis is just unwilling to admit it.
.......
Fila Headquarters.
Ellis led his legal team to really negotiate with Thomas management.
Thomas was very tough at this time and said: "For every pair of 'Tianzu sole' sports shoes produced and sold, we can only pay a maximum of 18% of the net profit. This is non-negotiable. Of course, if Mr. Ellis chooses us
,has many benefits."
"First, we have spent huge sums of money to crack down on counterfeit Tianzu sneakers, and we will also take over the lawsuit with Adidas."
"Second, we at Fila are getting a new look. Next, we will spend huge sums of money to sign sports stars, and change the old-fashioned design and the impression of shareholders, making sports shoes more fashionable and youthful. I believe that we can return to the peak of Jiuqi soon.
, and further catch up with Aduan and Nike."
Ellis made a tentative counteroffer: "How about 20 percent profit?"
Thomas shook his head and said: "18% is our highest sincerity price. After all, we have taken a lot of risks. This crackdown on counterfeit shoes may involve transnational lawsuits and searching for evidence, which will waste huge financial resources and energy."
After a battle, Ellis had to bow his head because Nike disdained this technology, Adidas had completely given up, and other sports brands were not as good as the conditions offered by Fila.
In the end, Ellis and Fila reached a cooperation agreement, and Fila successfully obtained the "Tianzu" sole technology, saving several years of time, energy, and financial resources, and obtained the core sole technology of professional sports shoes in one fell swoop.
After signing the contract, Thomas couldn't help but admire his boss's strategy. The Chinese businessman was indeed familiar with Sun Tzu's Art of War.
In fact, without Fila's intervention, Tianzu Technology could only choose brands other than Nike and Adidas. Because Adidas has decided not to be controlled by others, it is impossible to sign a contract with Ellis, and Nike directly dislikes it.
The 'Tianzu patent' expires in 20 years, and there are still ten years left, so Fila directly signed the contract for ten years.
At this point, Ellis can't wait to sign for 11 years.
After Fila obtained the Tianzu patent, the fake Tianzu shoes on the American market soon disappeared. Ellis had doubts, but he couldn't say it out. He was now bound to Fila, so naturally he wouldn't