Chapter 562 Tesla
“Let’s talk about your respective achievements. Junrui, let’s start with the Mars 2 Fund that you oversee.” Xu Liang said.
Lin Junrui nodded.
Take out a piece of information that has been prepared a long time ago.
"Mars 2 Capital has a management capital of US$50 million and holds equity in 19 companies. The largest shareholder is Exped Travel, with an equity share of 6.3%.
The entire fund is blocked for 21 months and will be unblocked in another three months.
After holding it for nearly two years, 19 companies have achieved very significant growth, among which Zappos is the fastest growing company.
Now it has become the largest vertical e-commerce company in the United States, accounting for 80% of the footwear e-commerce market, and its valuation has exceeded US$800 million.
Our investment has increased 57 times since two years ago.
In addition, Exped Travel has initiated the acquisition of Owl Travel Company, and the two parties have entered into substantive contact once the acquisition is completed. Expedia Travel will become the largest online travel company in the United States, with a valuation of more than $1.5 billion.
Skype, 15%.
Including the 5% owned by the incubator, Hanhua owns a total of 20% of Myspace.
These three companies were specially called by Xu Liang to ask him to invest. Among them, Maspace is a company produced by Hanhua Silicon Valley Incubator.
At present, it has attracted the attention of other top venture capital firms such as Kleiner Perkins Caufield & Byers, Sequoia Capital and so on.
Not worth spending any more money on. ”
But the mobile era is still very early.
Myspace, 15%
LinkedIn, 10%. "
"Old Chen, tell me about your Mars 5 Fund. "
"Five companies, if Expedia Travel can acquire Owl, it will be four companies. ”
“Fund No. 5 was established relatively late, and the assets of its companies have not yet been evaluated in detail. However, it is certain that most of the companies we invest in are developing well.
However, after entering the mobile era, This standard is somewhat inapplicable.
"Mars 5 Fund has raised US$180 million and has invested in 23 companies so far. Three companies have invested the most.
In particular, Skype, which Mr. Xu invested in, has exceeded 10 million users in less than a year since its establishment, and its valuation has increased sixteen times.
After all, companies like Yahoo, Amazon, and Tencent that can easily grow hundreds of times or thousands of times are rare, and winning one of them depends on luck.
After listening, Xu Liang understood.
After speaking, Chen Shijun looked at Xu Liang with reverence in his eyes, not just him, but everyone present.
OpenTable is now the largest online food ordering website in the western United States. Although it is not developing quickly, it has a bright future.
Cars.com, one of the largest online car websites in the United States.
From the establishment of Hanhua Silicon Valley Company to the present, Xu Liang has insisted on investing in only four or five companies, but each one has developed very fast.
Especially since the Mars 2 Fund has made sixteen times profit in two years, I don’t think anyone will refuse. "
Xu Liang nodded and said, "Tell me about the few companies you plan to keep. "
"Of all these companies, how many do you think you can continue to hold until they go public? "
Chen Shijun nodded, gave a copy of the information in his hand to Xu Lianghou and said loudly.
Zappos, the largest footwear website."
"According to our assessment and calculations, the book assets of the Mars 2 Fund have exceeded US$800 million."
Similar to AskJeeves, although the revenue is good, the entire search engine industry has been occupied by giants, and some of the remaining Although small companies are barely surviving, they have lost their potential and are not worthy of continued investment.
“So few?” Xu Liang was a little surprised.
There is actually no problem with this selection criterion. The Internet industry is inherently a head-first industry. The largest companies account for 70% or even 80% of the industry's profits, and the remaining four or five second-tier companies share the profits.
Moreover, we have anti-dilution clauses to ensure that Hanhua’s interests are not infringed. ”
Xu Liang nodded and turned to Chen Shijun.
Finally, AskJeeves’ business is not making much progress. The US search engine market is increasingly concentrated in the hands of Google and Yahoo, and the markets of other small companies are getting smaller and smaller, so I suggest that AskJeeves’ Sell the shares as soon as possible. "
There can be two or three top companies in an industry.
"Although the Mars 2 Fund has invested in 19 companies, after two years, the potential of some companies has been exhausted.
The companies Lin Junrui left behind were basically among the top five in the industry, and the others were eliminated by him.
Xu Liang nodded, "You are solely responsible for the management of the fund. I have no objection. How many assets are there in the entire fund now?"
"Exped Travel and Owl are both in the tourism sub-sector. Among the top five, the share is relatively large. Once combined, it will become the largest travel website in the United States and can be held forever.
Sixteen-fold growth in two years is already very good for a venture capital fund.
As well as answer.com, which we hold shares in, as a sports forum company, the user limit has been fixed, and the potential is there, but not much.
"If we raise funds again, we can." Inherit the current assets of Fund No. 2? "Xu Liang asked.
"I think there should be no problem. Thanks to Mr. Xu's successful investment in oil and soybeans, investors all over the United States are now very enthusiastic about our various funds under Hanhua.
It can be expected that Skype It will develop better and better.
With such a vision, he is worthy of the name of the golden hand.
Xu Liangliang enjoys the admiration of everyone. Therefore, being able to hit the target repeatedly is just relying on the memory of the past life.
Of course, after so many years, his memory has become a little blurry.
In order not to miss out on some good companies.
Every quarter, all major branches of Hanhua will compile a copy of the information on all newly registered start-up companies and send it to him.
With this information, once you see a familiar name, your vague memory will instantly become clear.
This is the reason why he can hit the ball repeatedly.
Of course, he is not without his failures.
After all, many names and memories are blurred.
But it doesn’t matter if you fail. How can venture capital fail?
It is normal for Xu Liang to have successes and failures.
What is truly admirable about him is that his success rate is much higher than others, and that is enough.
"Has all the US$180 million been invested?"
"Not yet, there is still US$52.7 million left so far."
Xu Liang nodded slightly, more than US$50 million is enough to cover this year. .
By the end of the year, the Mars 2 Fund will be able to raise funds again, take over the baton from the Mars 5 Fund, and continue to invest abroad.
The staggered investment of the two funds can ensure that Hanhua Silicon Valley Branch will not miss out on good investment targets due to lack of money.
As for China, the value of start-up companies is generally not very high. The valuation of a large-scale Internet company is only ten to twenty million US dollars.
One of Hongmeng’s funds exceeds US$100 million, and it will not be a problem for two years.
Two years later, a new fund will be raised, so one fund will be enough.
Finally, Xu Liang turned his attention to Duan Yongping.
The latter picked up the document in his hand and smiled without waiting for Xu Liang to speak.
"The amount raised by Jupiter 3 Fund is not much, only US$100 million.
Since this year, it has mainly invested in three companies.
Edmunds, Autotrader and ASOS e-commerce company.
The first two are automotive e-commerce companies, currently occupying the top two in the U.S. automotive category market. ASOS e-commerce company is an e-commerce platform focusing on fashion, which provides a variety of brands. Fashion clothing, shoes, accessories and other products
The current market value of the company is similar to Zappos.
Among the three companies, ASOS e-commerce company holds the largest shareholding at 12%, while the other two hold 7% and 8.5% respectively. Although the investment time is not long, thanks to the current environment where Internet stocks are popular, the investment of Jupiter 3 Fund has increased by 70%.
I believe they still have room for further growth. "
Xu Liang nodded and looked at Duan Yongping, who had a simple appearance and deep eyes. His investment style was different from what he knew in his previous life.
More radical and bolder.< br>
There is a high probability that you are more willing to take risks because you are not spending your own money.
“How much money is left on Jupiter 3?”
“With 46 million US dollars, we should be able to invest in two to three more companies.”
“You control the investment progress yourself. , if the investment is completed, a new fund will be established to continue raising funds.”
“Understood”
Xu Liang turned his head and slowly glanced at everyone.
“I am very satisfied with everyone’s efforts this year and the results achieved so far. By the end of the year, the company will give you a generous reward.
However, no matter how good the results are, , at this moment, he is already in the past tense.
I hope that in the coming time, you will avoid arrogance and impatience, be practical and conscientious, and continue to work hard for the company and your personal future.
Okay, that’s all I have to say
Do any of you still have questions? "
"Mr. Xu, you have been asking me to track the entrepreneurship and investment of PayPal insiders, but you rejected Tesla's investment last time? "Chen Shijun asked.
"Electric vehicles are far from mature now, and Tesla is not a good investment target. Xu Liang shook his head.
He knows better than anyone how brilliant Tesla’s future will be, but he also knows better than anyone that now is definitely not a good time to invest in Tesla.
< br>As a former successful entrepreneur, Tesla’s case is a classic case that will inevitably be mentioned in many business classes
Ordinary people think Tesla has a great future, but they fail to see that Tesla has suffered losses for almost 180 consecutive months from 2003 to 2019. Not to mention making no profit, Tesla has burned more than 10 billion in money. US dollars.
Especially in 2008, during the subprime mortgage crisis, Tesla’s cash flow was completely burned out.
Musk himself provided Tesla with a $40 million bridge loan, successfully helping it get through the trough.
Then Musk obtained a low-interest loan of US$465 million from the U.S. Department of Energy through his own connections, paving the way for a later listing.
In the four or five years since its listing, Tesla’s market value has hovered around tens of billions of dollars.
It was not until the Huaxia Factory was established in 2018 and Tesla truly made a profit that it laid the foundation for becoming a top enterprise with a market value of over one trillion US dollars.
So, there is no need to rush when investing in Tesla. 2008 is a good opportunity.
If it doesn't work in 2008, it would be good to delay it for another three or four years and acquire it from the secondary market.
The most unlucky thing is to invest now. It will take more than ten years to resist this bottomless pit and burn hundreds of millions of dollars. If there are many shares, it will even cost more than one billion.
Xu Liang will definitely not step in.
Seeing his refusal, Chen Shijun nodded and said nothing more.
"Old Chen, if you have the chance, get more equity in LinkedIn. Although Hoffman is a little fat, he is a good hand at running a business."
"Okay."
"Who has any questions?" Xu Liang continued to ask.
After everyone exchanged glances with each other, they shook their heads at the same time.
"Since everything is fine, let's disperse. ...By the way, Junrui, please stay for a while."
After everyone leaves.
“Take a look.”
Xu Liang handed over a piece of information.
Lin Junrui took it over curiously and took a look.
"Android company?"
He looked at the information curiously and found that this was a company that was just established in October this year, less than a month after registration.
But the founder of this company is the famous Andy Rubin.
Ordinary people may not know much about Andy Rubin, but in the geek circle, he is definitely a god-level figure.
Lin Junrui is a venture capital investor and is very concerned about these people with outstanding skills.
"Mr. Xu, do you mean to invest in this Android company?"
"No, what I want is an acquisition."
Xu Liang's tone was firm.
He pays most attention to two companies in the entire United States.
Android first, Facebook second.
The former is about Hongmeng’s ticket to the mobile Internet era, and the latter is the world’s largest Internet company after Google in twenty years, an opportunity to obtain thousands of times return on investment.
So, as soon as he heard about the emergence of Android Company, he couldn’t wait to come to Silicon Valley to acquire it.
As long as Android is acquired, it will not only make up for Hongmeng’s lack of scientific research capabilities and thin talents, but also eliminate opportunities for Google.
"You are personally responsible for this matter and report it directly to me. Remember to keep it confidential. I don't want too many people to know about this acquisition."
Looking at his serious expression, Lin Junrui also came up Heartbroken.
"I will deal with this matter as soon as possible."
Xu Liang nodded.
In fact, when it comes to acquiring Android companies, he prefers to do it himself.
But now he is so conspicuous that Larry Ellison, the Big Three of Google, and even the leaders of other technology companies are probably watching his every move.
Once he comes forward in person, he will attract countless people to pay attention to Android.
It will also give Android people the opportunity to raise prices.
No matter which one is the result he wants to see.
Stayed at Hanhua Silicon Valley Branch for two hours and left after having dinner together at noon.
——
Dingle bell….
Xu Liang glanced at the caller ID, thought for a moment and pressed the answer button.
"Xu Liang, it's me, Yang Zhiyuan."
"Brother Yang, why did you think of calling me?"
"We are friends. It's rare for you to come here Once in the United States, as a friend, isn’t it the right thing for me to show my friendship to the landlord?” Yang Zhiyuan said with a smile.
“Since Brother Yang has invited me, of course I have to give him the face. But I am a thin-skinned person who likes peace and quiet, so I shouldn’t call out to messy people.”
"That's no problem. Tonight is a game between the two of us, no outsiders."
Xu Liang agreed.
"I will send the address to your mobile phone right away. Just come over when you are done."
"Okay."
After hanging up the phone, it didn't take long. Xu Liang received the text message.
The address is indeed very detailed, not just the name, but also the street and how to get there.
"Mr. Xu, Yahoo is our competitor for acquiring MGM. Is it necessary to meet?" Lu Hui asked.
“I want to meet him just because we are rivals. Let’s listen to what he has to say.”
Xu Liang’s eyes became deep.
(End of this chapter)