Chapter 223 Damo
The next day, Xu Liang chose a relatively private golf course to receive an important guest.
Bang.
The white golf ball flies into the distance in a graceful curve.
He is very strong and the ball flies far enough, but it is thousands of miles away from the hole.
"It seems that I am not suitable for this sport." Xu Liang said with a smile.
Lu Hui, who was wearing sportswear next to her, smiled and was about to speak when her cell phone rang in her pocket.
Pick it up and listen.
“Boss, we’ve arrived.”
“Go and greet us for me.”
"Okay."
Lu Hui got into the electric convertible next to her and left quickly.
It won’t be long before the electric car comes back.
Lu Hui led a middle-aged man with blond hair and blue eyes wearing a white T-shirt, gray trousers and sneakers over.
"Mr. Xu, this is Mr. Sherron Watkins, the person in charge of Morgan Stanley's Asia headquarters."
Xu Liang extended his right hand and said, "I'm glad you're here, Mr. Watkins."
"Mr. Xu is a well-known entrepreneurial elite in China. I am deeply honored to receive your invitation."< br>
The two shook hands and said a few polite words.
"How about a shot?" Xu Liang said with a smile.
“Of course.”
Lu Hui handed over a club.
The two walked to the grass and played golf.
As a newcomer to this sport for the first time, Xu Liang is of course not as good as Sherron Watkins, who often plays golf.
After a few rounds, I couldn’t help but shake my head.
“Forget it, I’d better not be embarrassed.”
He casually threw the club to Huo Gang next to him.
Sharon Watkins also handed the club to the secretary who came with him.
"Mr. Xu has played too little. If he had the chance to practice more, his level could easily surpass mine."
"Haha, Mr. Watkins is overrated."
< br>After a pause, Xu Liang changed his tone.
"Does Mr. Watkins know that Hongmeng International is seeking financing?"
"Of course. But unfortunately, Morgan Stanley did not receive an invitation from your company."
Xu Liang nodded, "We have no business cooperation with your company. In contrast, Goldman Sachs and we are also shareholders of Sina.com, and we are familiar with each other.
It's just that I didn't expect their eyes to be so intense. Short-sighted, and even more discouraged by the Nasdaq crisis, the valuation given to us is very low, so I plan to ask if your company is interested in our financing."
Sharon Watkins? Immediately said: "We are very interested in Hongmeng's financing."
Xu Liang smiled, "Your Excellency, don't rush to answer me, first listen to our Hongmeng conditions."
"Please speak."
"Hongmeng International wants to follow a price-earnings ratio of 35 times Financing."
Sharon Watkins was shocked, "No wonder Goldman Sachs is hesitant, this financing condition is indeed too high in the current environment."
But he also knows that, If you refuse, the opportunity will be lost.
Looking at Sherron Watkins who was deep in thought, Xu Liang did not disturb him.
If Morgan Stanley refuses this time, he will ask Merrill Lynch, Bear Stearns and Lehman Brothers.
However, he still prefers Morgan Stanley and Goldman Sachs, the five largest companies on Wall Street. These two companies have survived the subprime mortgage crisis and have the deepest relationship with the political and business circles in the United States.
In order to provide certain help for the development of Hongmeng International.
Time passed little by little.
"Mr. Xu, I can agree to your conditions, but you should also agree to me. In addition to this financing, Morgan Stanley will also become the lead underwriter of Hongmeng International's listing."
"Of course, no problem. . ”
According to his future plan for Hongmeng International, the company will definitely be listed on Nasdaq.
Let Morgan Stanley be the lead underwriter of the listing, which is beneficial to the company's development.
“I will contact the head office as soon as possible, within 24 hours at most, and I will definitely give you an accurate message.”
"Okay, I'm waiting for your answer."
After this brief meeting, Sherron Watkins hurried away.
In fact, only six hours later, Xu Liang received a reply from the other party.
The next day, Xu Liang asked Xie Wen to organize a new negotiation.
This time he attended in person.
"Mr. Xu, we meet again."
Wang Dawei took the initiative and walked over.
"Mr. Wang Dawei, I am very happy that you can be here today." Xu Liang said with a smile.
After the two sides shook hands.
“Hongmeng is a company that our MIH Group is very optimistic about, and it is our honor to participate in this investment.”
"You have made a very right choice. ... Please take a seat."
Soon, a middle-aged man in a black suit walked in.
"Mr. Xu, nice to meet you."
"Hello, Mr. Zhou. I see from you that Temasek is a very smart and far-sighted company. No wonder these It can develop so fast every year.”
Zhou Ping smiled, “We are indeed very optimistic about Hongmeng’s future development.”
"This is a win-win situation." After Xu Liang finished speaking, he made a gesture of invitation.
After Zhou Ping sat down on the chair, he nodded towards Wang Dawei opposite.
Immediately afterwards, a white man with a slightly stout figure, a smile on his face, and meticulously styled hair walked in.
Xu Liang greeted him.
"Mr. Jackson, welcome."
Peter Jackson smiled and said: "I have always heard that Mr. Xu founded the great Hongmeng very young. I have always had some doubts. Now that I see the real person, I know that Mr. Xu is better than Rumor has it that he is younger and better.”
“Jackson, I have always heard that 3i Group is the most visionary investment institution in Europe. Through this financing, I finally saw it...please. Sit down."
After Jackson sat down, he exchanged looks with Zhou Ping and Wang Dawei. Although the three of them betrayed Silva James' covenant, no one felt embarrassed.
Everyone in the mall is for profit, and there is no such thing as betrayal or betrayal.
But they were also a little curious, who else had made the same choice as them?
So they all looked at the door.
It didn’t take long, and finally someone came in again.
Seeing the coming person, the expressions of the three of them changed slightly.
“It’s him?!”
Wearing a black suit, her hair meticulously styled, and a smile on her face, Sherron Watkins walked in.
"Mr. Xu, we meet again."
"Next time I will wait until my golf skills are better and I will ask Mr. Watkins to play golf."
"I'm always waiting."
After the two shook hands.
"Please take a seat."
Seeing Xu Liang sitting at the head of the table, everyone understood that they were the representatives of the four parties participating in the negotiation today.
Looking slowly across the crowd, Xu Liangliang felt quite regretful.
In fact, he quite hopes that Park Jun-hee, the representative of Samsung Investment, can be here. After all, with Hongmeng’s business in South Korea, having a South Korean giant among its shareholders, especially a giant like Samsung, is beneficial to the company’s development.
But the other party was determined to follow Goldman Sachs, and even told Goldman Sachs about his private meeting. As a result, Xie Wen was called and ridiculed by Silva James.
He didn't bother to talk to the other party anymore.
After he binds Dalamo, if the Obamas want to move Hongmeng, they should also consider the opinions of American dads.
“Everyone, today is our official financing meeting of Hongmeng International. Those who can sit here are those who have accepted our Hongmeng conditions.
Regarding the next financing, we Hongmeng The specific plan is for Morgan Stanley to lead the investment and obtain 8% of the equity of Hongmeng International, with 3i Group, Temasek Company and MIH Group each holding 4%.”
Xu Liang said simply.
In this financing, money is secondary. The key is to find defenders for Hongmeng International’s subsequent development.
Among the four companies, the one with the greatest global influence is Morgan Stanley.
So, Xu Liang also gave the biggest benefit of this financing to Morgan Stanley.
Peter Jackson, Zhou Ping, and Wang Dawei are all smart people, and they also know the reason for Xu Liang’s choice.
And they also admit that Morgan Stanley does have an advantage over them.
Xu Liang waved, and Lu Hui put the financing documents into everyone's hands.
Wait until they finish reading.
"If there is no problem, everyone can sign."
"Mr. Xu, we have no objection to Morgan Stanley leading the investment, but are you giving less shares to 3i Group? Some, if possible, we want to get 6% or even more equity, and the price can be higher," said Peter Jackson.
Xu Liang shook his head.
Giving up 20% of the equity is enough at this stage.
There are four spanning institutions including Morgan Stanley, 3i Group, Temasek Corporation and MIH Group, which are enough to protect the development of Hongmeng International in the next one or two years.
When Hongmeng International grows to the point where it needs more investors, it will not be too late to start a second round of financing.
“I’m sorry, we only released 20% of the shares in Series A financing.”
No matter how high the price Peter Jackson gave, it would not be able to match the Series B financing.
Seeing his resolute attitude, Peter Jackson did not insist anymore.
After the contract is signed.
The shareholding of Hongmeng International has also changed.
The first is the 10% stake in Hongmeng Japan held by Masayoshi Son.
After Hongmeng went through organizational reform, Hongmeng Japan became a 100% owned subsidiary of Hongmeng International, so this part of its equity is also included in Hongmeng International.
According to the net profits of the five major subsidiaries during the A round of financing, the net profits of Hongmeng Japan accounted for almost 40% of the entire Hongmeng Japan.
This 10% becomes 4% of Hongmeng International.
After the Series A financing, this part of the equity was diluted again.
Based on Hongmeng International’s price-earnings ratio valuation of 35 times, Hongmeng is worth US$2.8 billion, and a 4% stake is worth US$112 million.
After Series A financing of US$560 million, Hongmeng International was valued at US$3.36 billion, and 4% of its share price was diluted to 3.3%.
In addition to Sun Zhengyi, Hongmeng International also has a small shareholder-Sun Haizhen.
When Naver was acquired, Sun Haizhen retained 3.94% of the shares.
The net profit of Hongmeng South Korea is about 30% of Hongmeng International, which is 1.8% after dilution.
After the Series A financing, Sun Haizhen’s equity was diluted again and became 1.5%.
So at this time, the equity structure of Hongmeng International is: SoftBank 3.3%, Sun Haizhen 1.5%, Morgan 8%, 3i Group, Temasek Company and MIH Group each 4%.
Xu Liang’s equity is diluted to 75.2%.
Xu Liang then proposed to set up a 10% option pool in Hongmeng International in order to attract talents and stabilize the company's development.
(End of this chapter)