Chapter 661 Penguin
They came this time to report to Xu Liang about the listing of Penguin.
Took it and opened it and looked at it.
Penguin plans to issue 420 million new shares, equivalent to 25% of the equity.
The offer price per share is 2.77 to 3.7 Hong Kong dollars, which is approximately 11.1 to 14.9 times the expected price-earnings ratio in 2004, and the total amount of funds raised reaches 1.16 billion to 1.55 billion Hong Kong dollars.
After reading.
“You want to be listed on Nasdaq?”
“Yeah.”
“I am not opposed to Penguin being listed, but I am opposed to you being listed on Nasdaq. ."
"Mr. Xu..."
Xu Liang waved his hand to interrupt Zeng Liqing's words.
After Zeng Liqing and Bonima looked at each other, the latter said.
That’s what I’m saying, think about it. "
But the income generated by all these is not as good as the SP business.
" Please tell me. ”
Under the leadership of Bao Yueqiao, QQ Game Hall has surpassed Lianzhong and is second only to Sina Game Hall.
Xu Liang smiled faintly, "This year's CCTV March 15 Consumer Rights Protection Day, the three major telecom operators became the target of public criticism at the live broadcast party, and arbitrary charging by telecom companies was listed as the most hated business behavior. Its vote rate is second only to the skyrocketing housing prices.
Xu Liang nodded, “I oppose it for three main reasons.
Those who know Penguin best are always its hundreds of millions of users. Countless Chinese individual investors who want to invest in the stock market, their first choice must be a company they know well.
"Mr. Xu, we admit that what you said is very reasonable, but Xiangjiang does not allow dual-class share structures, and Penguin happens to have a dual-class share structure now."
When there are no major changes in the company, I rarely interfere with the operations of the subsidiaries.
Thirdly, listing in Xiangjiang will also bring about the possibility that as a red chip stock, it may return to the capital market of mainland China in the future.
Penguin is undoubtedly the best among them.
Xu Liang interrupted: "Don't refuse in a hurry. We have cooperated for so many years, and you should have a certain understanding of me.
"Mr. Xu..."
First, there is no comparable benchmark company in North America for Penguin's business model. All instant messaging tools in the United States, from ICQ to Yahoo Messenger to MSN, are not independent companies and have not found a profit model.
This is also the reason why they want to go public as soon as possible.
And I also got news that the authorities have made a decision to rectify the problem of arbitrary deductions by value-added service providers and the use of unhealthy information to lure users into subscribing.
What he said undoubtedly hit the biggest worry of Bonima, Zeng Liqing, and even the entire Penguins management.
As for the specific details, they can be discussed later. ”
Take advantage of the good times to raise some money so that you can survive the winter in the future.
And in theory, for a company based on serving mass users, the closer its listing location is to its local market, the more truly the company's value will be reflected.
Now you are going to tell proud Americans a story they have never heard before and ask them to pay for it. Do you think they will be willing?
Xu Liang’s picture shows a poor view.
Bo Nima and Zeng Liqing’s expressions changed, and they instinctively resisted.
Finally, shortly after its founding, Penguin promised options to early core employees. If you want to complete the purchase at a lower price before going public, you can only choose Xiangjiang.
New Dream is like this, Hongmeng is like this, Hanhua and Jianlibao are like this.
If in the United States, this would be regarded by the capital market as an ‘inappropriate behavior that reduces the company’s profits’, but in Hong Kong this approach is generally recognized.
Bo Nima and Zeng Liqing are a little moved, but after years of working in the business world, they are no longer the novices who easily trusted people.
Americans believe that all Internet innovation should first appear in Silicon Valley or Boston Route 6, and that the rest of the world is nothing more than a response to American innovation. This is Braudel So called 'world time'.
Therefore, even if the dual-class share structure is lifted, I will not shake your position. ”
“We can sign a supplementary agreement to agree on the rights and obligations of both parties in advance. For example, I can directly intervene in company management if Penguin's revenue drops by 10%. If this does not happen, I will only be responsible for strategic planning.
Penguin.com has a huge number of QQ users, and its traffic is no less than Sina, NetEase and Sohu.
“If you are willing to give up the dual-class share structure, I can help Penguin develop and enrich your revenue channels.”
“Listen to me first, and then consider whether it is okay. .”
Thanks to Xu Liang's guidance, QQ Space has developed very well and its value-added services have also been done well.
Second, Xiangjiang is closer to the company’s home market. Xiangjiang’s analysts and stock investors obviously know Penguin better than Americans.
The SP business accounts for 56% of Penguin’s revenue. If this revenue drops significantly, it will be a huge impact regardless of whether Penguin is listed or not. ”
Xu Liang didn’t think that he could make people compromise with a few words.
Once the SP business income drops, Penguin’s life will be difficult.
Xu Liang controls 63% of Penguin's equity through Hongyan and Hanhua. Once there is no restriction of the dual-class share structure, they will immediately lose control of the company.
Furthermore, I have so many companies, and I don’t have the energy to participate in daily management.
After Ponima pondered for a moment, "I would like to ask, in what aspect do you plan to help Penguin develop?"
"Of course it is games. QQ's young user base has a natural affinity with online games. The fit is good, and online games are also the hottest developing market in China," Xu Liang said directly.
Ponima had a hint of hesitation on his face.
Since making money in the SP business, Penguin has not considered online games, especially when Hongmeng and NetEase are leading the way.
In order to develop online games, Bonima personally went to the United States to visit the world's famous E3 video game exhibition, inspected the game industry in South Korea, and signed an agency contract with Imazic Company.
Represented the game "Triumph" developed by the other party. This was the most advanced 3D role-playing game at the time, a generation higher than the 2D "Legend".
The whole game screen is very gorgeous.
For any game fan or entrepreneur in the game industry, it is an irresistible temptation.
The same goes for penguins.
After spending money to win the agency rights, we conducted an internal test in May last year. With the huge traffic of QQ, we quickly recruited 200,000 players to sign up.
Unfortunately, they misjudged China’s market environment.
The 3D technology used in "Triumph" has very high requirements for computer configuration and network bandwidth.
Although the Penguin technical team has optimized the underlying program and server many times, it still cannot guarantee the smoothness of the game. The phenomenon of screen aliasing and mosaic has never been solved, making "Triumph" a useless product.
Penguin’s first attempt at the game ended in failure.
The lesson learned this time made Penguin no longer try large-scale online games for two years.
However, the high returns of the game make Penguin salivate, and it is the only one with enough potential to replace the SP business.
"Mr. Xu, I wonder what game you are talking about...?"
Xu Liang smiled.
"Boni, my game plan is not cheap."
We are all smart people, and no one will make a promise easily without a contract written in black and white.
"We need to discuss it."
Poney Madao.
"No problem. I will wait for you here tomorrow."
Xu Liang said simply.
"Then let's say goodbye first."
"Lu Hui, see them off for me."
"Please."
Watch them leave the office, then stand in front of the floor-to-ceiling windows and watch them drive away.
"Mr. Xu, I'm sending you away."
Lu Hui came back and said.
"Yeah."
Turn around and go back to the sofa to sit down.
"Aren't you curious why I support them so much?"
"I believe you must have your own considerations." Lu Hui said respectfully.
Xu Liang smiled and said, "Go and do your work."
After agreeing, Lu Hui turned and left.
Looking at Penguin’s financial report on his desk, Xu Liang breathed a sigh of relief.
Hanhua and Hongmeng are the pillars of the Xu family in the capital, so Jianlibao, no, it should be said that Master Kong and Penguin are the foundation of the Xu family in Xiangjiang.
Hongmeng has developed very well, and Penguin can’t be too bad either.
Moreover, after the equity penetration, Xu Liang’s shares in Hongmeng’s gaming business are only 64.46%, which is not much different from Penguin’s 63%.
One left hand and one right hand.
No matter where you invest your capital, the return will be the same.
——
“Boni, do you think we should agree to Xu Liang’s conditions?”
Zeng Liqing asked in the car back to the hotel.
“What do you think?”
“I tend to agree that Penguin is indeed not suitable for listing on Nasdaq. More importantly, the development of Hongmeng has proved that Xu Liang is good at online games. From a global perspective, both "Legend" and "Miracle MU" are top games popular throughout East Asia and Southeast Asia.
"Warcraft 3" is known as the most successful real-time strategy game in history.
With his guidance, our online game business will soon develop and replace the SP business and become the company's pillar business. "
"But I am worried that his joining will interfere too much in the company's management and affect Penguin's future development. "
"Bonnie, I think you are a little too worried. Judging from the development of Hongmeng Company, he rarely intervenes and spends more than half of the year abroad. Under such circumstances, it is impossible for him to intervene in the daily management of the company.
In terms of strategic decision-making, Hongmeng’s four-year development and the success of Yihaodian, Bing and other businesses have demonstrated the other party’s outstanding strategic capabilities.
Having such a person to help us can only be good for the development of Penguin. "
Bonima nodded, "Let's discuss it with Zhidong and the others after we go back. "
"Hmm. ”
——
The next day, Bonima and Zeng Liqing appeared in front of Xu Liang again.
"It seems you already have the answer."
After Zeng Liqing nodded, "We agree to change the dual-shareholding structure, but you are not allowed to intervene in Penguin unless Penguin's revenue drops by 30%. Daily management.
The scope of daily management is investment of less than 10 million US dollars, and the appointment of directors and below..."
The terms are very detailed, and it can be seen that they are used. Heartbroken.
After listening, Xu Liang said directly: "There are no problems with finances and personnel. But a 30% drop is too much, I will give you 15% leeway. In addition, I need a vote for Penguin's strategic decision-making Veto power.”
(End of this chapter)