Chapter 54 Crazy Investment

Chapter 54 Crazy Investment (Subscription Request)
"To be honest with you, Mr. Yang, things are indeed not going smoothly." Niu Qiangdong said a little embarrassedly.

"As for the development of Qiangdong Company, I won't hide it from Mr. Niu. I have been paying attention to it for a long time. I personally think that Qiangdong Company's business model and development prospects are good." Yang Hai nodded and said.

"I believe that under your leadership, Qiangdong Company will soon get out of its current predicament and grow rapidly."

"Since Mr. Niu has come to Huasheng Investment Company, he must be hoping to get financing from us."

"I prefer to be straightforward. Mr. Niu, what do you think your Qiangdong company should be valued at? How much do you think it is? I will definitely not bargain."

"But don't ask for too high a price, or you'll scare us."

Niu Qiangdong thought to himself, is this what you call not bargaining? You might as well bargain!

Since you don't bargain, I don't know what price to offer. If I offer too little, I'll be at a loss. If I offer too much, you won't invest.

Niu Qiangdong was thinking quickly in his mind, considering what price he should offer to find a more appropriate one.

He wanted Huasheng Investment Company to accept it, but at the same time he didn't want to suffer too much loss.

After the phone rang for a while, Niu Qiangdong said, "I won't hide it from Mr. Yang and Mr. Liang. When I talked to the people from Tiger Fund, I originally asked for a valuation of $6000 million, but in the end Tiger Fund negotiated it down to $4500 million. This price is actually far from my goal."

"But now there is a global financial crisis and our Qiangdong Company is in urgent need of funds to survive, so I had no choice but to bite the bullet and agree."

"But before the official signing, Tiger Fund temporarily lowered the valuation to $3000 million, and I rejected it."

"If Huasheng Capital is willing to invest in Qiangdong's company, the minimum valuation must be US$4500 million. It really can't be any lower."

Yang Hai was very satisfied with Niu Qiangdong's frank and honest style.

Yang Hai nodded and said, "Since Mr. Niu has been so frank, I will definitely not break my promise. I said I won't bargain, and I definitely won't bargain."

"Then let's use the $6000 million valuation you mentioned! So how much money does Mr. Niu want our Huasheng Investment Company to invest and what percentage of the shares does he want us to hold?"

"Mr. Yang! I said a valuation of 4500 million US dollars, not 6000 million US dollars." Niu Qiangdong was stunned when he heard this, but still couldn't help but remind him.

"I know! We at Huasheng Investment are a humane company. We are never willing to take advantage of others or add insult to injury. Since you asked for a market value of 6000 million US dollars at the beginning, I think you must have your own reasons." Yang Hai said with a smile.

"Although you finally agreed to Tiger Fund's valuation of $4500 million, you were forced to do so. You had no choice but to agree to the other party's conditions."

"If Huasheng Investment also invests in Qiangdong Company at a valuation of $4500 million, then what is the difference between us and Tiger Fund? We are both using power to pressure others. Even if we finally sign the investment contract and you get the investment at a valuation of $4500 million, I'm sure you won't feel happy about it."

"Thank you Mr. Yang for your understanding. Your Huasheng Investment is really great. It really surprised me. I should have come to your Huasheng Investment Company for investment a long time ago." Niu Qiangdong said excitedly after hearing what Yang Hai said.

During this period of time, he has suffered a lot from others. He has been looked down upon countless times and rejected rudely countless times.

But after arriving at Huasheng Investment Company, the company's attitude towards him really made him feel warm and comfortable.

"Mr. Niu is too polite, but I also have a small condition. I wonder if you can agree to it." Yang Hai said with a smile.

Yang Hai did not lower the other party's price, but instead raised the other party's valuation. Of course, he had his own reasons and purposes.

"Mr. Yang, please feel free to state any conditions you have. As long as I can agree to them, I will not refuse you." Niu Qiangdong said happily.

"My conditions are actually very simple. I just hope that we can strengthen our cooperation in the future. If Qiangdong Company needs financing again, I hope you can give priority to our Huasheng Investment Company." Yang Hai nodded and said.

"If possible, it would be best to include this clause in the contract. What do you think, Mr. Niu?"

Niu Qiangdong thought that there was nothing wrong with this condition. When he needed financing in the future, it would make no difference which investment company he went to.

Under the same conditions, it might be better to seek financing from Huasheng Investment Company.
Finally, after a period of negotiations between the two parties, Huasheng Investment Company invested 12 million US dollars in Qiangdong Company and acquired 20% of Qiangdong Company's shares.

However, with the subsequent rounds of financing of Qiangdong Company, if Huasheng Investment does not continue to invest, this 20% of shares will definitely be diluted again and again. It is unknown how many shares will be left when it is finally listed.

However, Huasheng Investment Company has the priority to invest, and will certainly follow up in the future. Not to mention increasing the proportion of shares, at least it will not allow it to be diluted. Yang Hai is not unaware of the performance of Qiangdong Company after its listing. At its peak, its market value reached more than 1200 billion US dollars.

If you invest 1200 million dollars now, even if you don't follow suit, you can still own more than 10% of the shares after Qiangdong's company goes public, no matter how much it shrinks! If you sell it at the highest market value, it will be worth more than 100 billion dollars. You can earn at least 1000 times, not 800 times!

This can be said to be an investment project that is sure to make money, and of course you have to follow up at all times.

As for Yu Gang and Niu Junling's No. 1 store, Yang Hai is not in a hurry for the time being. There will be plenty of opportunities to acquire it in the future and let Yu Gang and Niu Junling work for him honestly.

After arriving in Silicon Valley, USA, Li Ying quickly invested and established the US branch of Huasheng Investment.

Li Ying is very familiar with Silicon Valley in the United States, having worked and lived here for a long time.

As soon as Washington Institute’s U.S. branch was established, it took the initiative to invest in Internet startups by waving U.S. dollars in its hands.

According to the task assigned by Yang Hai, Li Ying took the initiative to find Mason, the founder of Groupon, the pioneer of group buying in the United States, and invested US$400 million in Groupon as an angel round investment.

Later, Li Ying found Zuckerberg, the founder of Facebook. At that time, Facebook was short of funds. In the second half of 2008, there was no company in the United States that was not short of money.

After some negotiations, Washington Investment's US branch finally invested US$3 million in Facebook, accounting for % of the shares.

In fact, last year, Microsoft Corporation of the United States also invested US$2.4 million in Facebook, but only held % of the shares.

But now due to the bad economic situation and the poor development of the Internet economy, the valuation of Facebook has also shrunk significantly.

To be honest, Li Ying was actually reluctant to invest in Facebook, mainly because the investment amount was relatively large and Li Ying felt it was not very cost-effective.

But this was an investment task assigned to her by Yang Hai, so even if she was unwilling and not very optimistic about this investment project, she had to complete it.

However, the fact that Li Ying was able to exchange a 3% stake in Facebook for an investment of US$ million gave Yang Hai an unexpected surprise.

In his plan, the valuation of Facebook should be over 2007 billion US dollars. He seemed to remember that the valuation in 150 was as high as billion US dollars.

He also remembered that Hong Kong's richest man, Li, also invested
Facebook invested a total of $4.5 million, but only holds % of Facebook's shares.

After Facebook went public, its peak market value was as high as 600 trillion US dollars. A 3% stake held by Washington Investment would be worth 200 billion US dollars, but now it has only invested million US dollars, a full -fold increase in value.

After Li Ying secured the investment from Facebook, she immediately rushed to Tesla and found Musk.

At this time, Musk was also trying desperately to find ways to raise funds and trying to attract investors, but with little success, as if everyone was out of money at that time.

Musk has emptied out his entire fortune, sold his house, and can barely pay the rent, but the company is still short of money! Short of money! Short of money!
At this time, Li Ying's arrival was undoubtedly a timely help to him. Musk was so excited that he wanted to hug Li Ying tightly.

But Li Ying refused his hug. Li Ying was a real Chinese. Although she did not reject such Western etiquette, she herself was very resistant to the hug from a strange man, especially a foreign man.

Although she knew that the other party did this without any ill intention, it was actually a very polite behavior.

But Li Ying doesn’t like it, she just doesn’t like it.

"Twenty percent of the shares and one hundred and twenty million US dollars." Li Ying stated his conditions straight to the point.

"Oh, this is impossible! Your condition is too harsh. The valuation of our Tesla company is at least 10 billion US dollars. It is no problem to hold 2% of the shares, but you have to invest at least million US dollars." Musk said loudly.

"Mr. Musk, you invited your friend to invest in the company before, and the other party only invested 7000 million US dollars, which means he owns % of the shares, right?" Li Ying said calmly.

"That was before. Now it's been more than half a year. It's normal for the valuation to increase!" Musk said cunningly.

"Mr. Musk is right. Under normal circumstances, after more than half a year, the company's valuation has increased. This is indeed normal." Li Ying nodded and said.

"But what is the current situation? The global financial crisis has broken out. The whole world and the United States are short of money. The market value of all listed companies has shrunk significantly. What reason do you have to think that the valuation of your company will increase?"

(End of this chapter)