Chapter 597
Hongmeng System, 8 million
greedy!
Madness!
This was the thought that everyone had after hearing the valuation given by Wang Donglai.
A 15 percent stake would cost 300 billion.
This means that Galaxy Technology’s valuation has reached two trillion.
This valuation is already the highest in the country.
Even the listed Taotian Group does not have such a high valuation.
Although many of Galaxy Technology’s technologies are indeed powerful and promising, this valuation is still too outrageous.
What's more, it happened just a few days ago.
The State-owned Assets Supervision and Administration Commission of Tang City and Qin Province only needed to invest 30 billion yuan to acquire 9% of the shares.
As a result, just a few days later, in their hands, it became 300 billion in exchange for 15% of the shares.
Outrageous!
In other words, the money just invested by the State-owned Assets Supervision and Administration Commission of Tang City and Qin Province has multiplied several times within a few days.
In the eyes of everyone, this means that they are not taken seriously at all.
They were treated as suckers.
So, someone stood up immediately.
"Mr. Wang, are you serious?"
"15% of the shares, asking price 300 billion, how did your company set the price? I'm curious."
"Also, I heard a piece of news before that the State-owned Assets Supervision and Administration Commission of Tang City and Qin Province only invested 30 billion yuan and took away 9% of the shares. Why has your company's market value increased so much in just a few days?"
The meeting room was silent, and everyone was waiting for Wang Donglai's reply.
Wang Donglai actually anticipated the current situation and it was not a surprise.
"I'll give you a brief answer."
"15% of the shares, raising 300 billion, this price was negotiated, and I think it is appropriate."
"I think the market value of Galaxy Technology Group can reach 2 trillion, or even more."
"Finally, the reason why Tangdu City and Qin Province's State-owned Assets Supervision and Administration Commission exchanged 30 billion for 9% of the shares may not be made clear. This 9% of the shares are not entirely the group's shares. Some of them are the shares of the branch company."
"The SASAC's investment is only a financial investment and does not involve the company's operations."
"And the 15 percent of shares we are releasing this time will be normal shares with voting rights."
"I also understand that everyone doesn't quite understand and can't quite accept the valuation I offered."
"But have you ever thought about it seriously?"
"Just the Changqing Liquid product alone can generate huge profits. Based on per capita usage, each family needs five or six barrels of shampoo a year. Based on our pricing, plus the population with hair loss and potential customers, the sales brought by this market is more than 50 billion. And this is only in China. Foreign markets have not yet been included in the statistics."
"As for the profits, it is a commercial secret, so I won't tell you."
“Not to mention contact lenses, which are still a product with a huge market and extremely high profits.”
"These two products alone are enough to support a market value of 300 billion."
"Douyin, Neihan, Toutiao, and Pinyidao, these four Internet products, if calculated based on the PE valuation method of Internet companies, are roughly worth 700 to 800 billion yuan."
"In addition, there are technologies such as semi-solid batteries and space rocket engines, as well as the patents and technologies accumulated by the group."
"To be honest, a valuation of 2 trillion is not high at all."
"Artificial intelligence technology will serve as a strong core and will become the core of the core in the future, affecting everyone's life in all aspects, from smart homes to smart devices."
"It's currently valued at two trillion, but after a while, it may not be this high."
"If you still think this valuation is a bit high, then I'm sorry."
Wang Donglai's tone was calm, and he was not affected at all.
in fact.
Everyone had calmed down long ago.
Is Galaxy Technology’s valuation of 2 trillion yuan high?
high!
But this valuation is not made up at random.
Galaxy Technology does have a lot of market-leading things and does have the confidence to do so.
However, the reason why everyone behaved this way was very simple.
That's because if they were to invest based on a valuation of two trillion, the price they would have to pay would be too high.
Also, the profit margins are too low.
Even if Galaxy Technology's market value doubled, they would only double their profits.
However, everyone is well aware of the difficulty of increasing from 2 trillion to 4 trillion.
"Does Galaxy Technology have plans to go public?"
Suddenly, someone in the crowd asked this question.
Wang Dong took a look and said, "If conditions permit, I might go public."
“But even if it is listed, it will not go to Nasdaq!”
"I need to explain this in advance!"
This answer caused a commotion among the people below.
If it cannot be listed, how can we easily sell it and find someone to take over if the market value is pushed up?
When Wang Donglai gave this answer, many people below had already decided not to invest.
Not only was it because Galaxy Technology’s asking price was too high, but also because of what Wang Donglai showed, it made them feel uneasy.
In the field of biomedicine, 30 billion yuan will be invested in three years, and in the field of aerospace rockets, 50 billion yuan will be invested in three years.
Such a plan is really too radical.
Give them a feeling that money is not money.
Some smaller investors naturally will not and dare not take such a big risk.
However, no one chose to leave at this time.
Everyone wants to see how things will develop next.
"Mr. Wang, have you ever considered whether the development plan you just proposed is too radical?"
“Is it really necessary to invest so much money in just three years?”
"How can Mr. Wang ensure that all the money is spent effectively? How can he supervise it?"
"In business, investment must yield returns."
"After investing so much in three years, when do you think we can get it back?"
"And how can it be recovered?"
"Douyin is not yet the top player in the domestic short video market. There are also Kuaishou and Penguin's Weishi eyeing it. Everyone knows that Internet companies are an industry where the strong take all."
"i's temporary lead may not last forever. What is the moat of your company's products?"
"Mr. Wang's development plan just now didn't seem to mention the plans for these Internet products. I want to ask, did he forget to mention it or does he have no plans?"
"Mr. Wang, as an investor, I think these questions need to be answered accurately."
The Red-robed Leader stepped forward at this time and asked these questions calmly.
"Yes, 300 billion spent in three years, this is too much." "Not to mention such a radical development plan, even the listing will not be on NASDAQ. Will it go to Hong Kong? It can't be in the mainland, right?"
"To be honest, I have never seen anything like this before. In the first large-scale financing, they valued themselves at 2 trillion yuan. Even listed companies don't have this kind of valuation."
"If Galaxy Technology expands overseas, it may be able to support this valuation, but it's a pity..."
"You guys can vote if you want. I won't vote anyway. The risk is too great!"
"Indeed, if you invest too little, there will be no effect, but if you want to see an effect, you have to invest too much money."
"I want to see how many companies dare to invest!"
"It's hard to say. I think this round of financing is not going to go smoothly. It might even go to waste."
Everyone was talking about it, and none of them were optimistic about Galaxy Technology's financing this time.
Wang Donglai on the stage actually heard the discussions as well.
"Thank you very much for attending. This concludes my speech. Please enjoy the buffet that we have prepared for you."
"If you are interested in investing, you can contact me later."
Wang Donglai announced the end of the speech with a smile.
……
"Boss Ma, I didn't expect you to come too. How do you feel?"
In the cafeteria, Jack Ma walked up to Xiao Ma Ge and spoke with a glass of wine in hand.
"With such a big commotion, of course I want to come and see it. It's rare to see such outstanding young people."
Xiao Ma Ge smiled and said perfunctorily.
"I thought Mr. Ma was planning to come over and acquire Douyin?"
Jack Ma said this casually, and immediately changed the subject, saying, "Galaxy Technology is indeed a dark horse. It has only been established for a few years, but it has already created such a miracle. Considering Academician Wang's age, it really makes people look forward to where the future development limit of Galaxy Technology will be!"
Xiao Ma's eyes flashed behind his glasses, and he smiled and said, "Talented people emerge in every generation, and each leads the trend for hundreds of years. The emergence of young people like Mr. Wang just proves that our economic situation is good and there is still a lot of room for development."
"Oh, so you mean you are going to invest some money?" Jack Ma asked.
"I do have this idea, but it's hard for me to convince the board of directors with a valuation of 2 trillion. Besides, they may not accept my investment."
"After all, the times are different now. It has enough confidence to reject some investments."
Xiao Ma Ge said calmly.
"I wanted to invest some money before, but was rejected. At that time, I knew that the development of Galaxy Technology would not be too bad, and the fact was just as I expected, but I didn't expect it to develop so fast."
"It seems that this time we are all here to watch the fun."
Jack Ma laughed at himself and talked about the previous investment rejection.
"In fact, I think it's right to refuse. After all, Galaxy Technology still has Pinyidao. If you are allowed to invest, how will Pinyidao develop?"
"Just like Weishi and Douyin, they are competitors in the market. If we acquire shares, some things will become difficult to do."
"Boss Ma, don't you agree?"
Xiao Ma Ge said with a smile.
……
the other side.
Wang Donglai is chatting with the boatman.
"I want to invest in Galaxy Technology, but I don't have that much cash. How about using BYD's shares?"
The boatman stated his conditions directly without any hesitation.
After hearing the conditions offered by the boatman, Wang Donglai only thought for a second and nodded in agreement.
"How about I exchange 4% of BYD's shares for 1% of your shares?"
Wang Donglai shook his head, held up a finger, and said, "I don't want your 4% of the shares. I only want 3%, but you have to agree to another condition."
"What conditions? Tell me!" the boatman asked calmly.
In fact, in the eyes of Brother Chuanfu, Internet products such as Douyin and Neihan are valuable, but not very important.
What he values more is the R&D capabilities of Galaxy Technology.
Lithium-sulfur battery, semi-solid battery, evergreen liquid, space rocket engine...
All these are enough to demonstrate Galaxy Technology's R&D capabilities.
If BYD holds shares in Galaxy Technology, it will be of great benefit to its future development.
So, when listening to Wang Donglai's introduction in the audience, the boatman had made a decision in his mind.
However, when he heard that Wang Donglai was not going to accept the 4% stake he had offered, but instead lowered it a bit, he immediately became confused.
"I have always been willing to achieve mutual benefit and win-win results with my partners. I hope we can develop together."
"Three percent of the shares is enough in my opinion."
"However, I hope that your company's car system will be connected to our Hongmeng system next year."
Wang Donglai stated his conditions without any hesitation.
"This is impossible!"
"If we rashly replace the car system with a new one, it will make our users uncomfortable and will also affect our sales, which is quite risky!"
The boatman refused without thinking.
"The car system is just an accessory. I believe Mr. Wang also knows that we are jointly experimenting with Tang City on intelligent driving. If the technology matures, the car companies that adopt our car system will get priority."
"We don't build cars, we are just a technology supplier."
"You can think about it seriously."
After Wang Dong finished speaking, he waited quietly for the boatman's reply.
Frowning and thinking for a while, the boatman said, "If that's the case, then I have another idea."
"I will still exchange BYD's 4% shares for Galaxy Technology's 1% shares. In addition, we will sign a strategic cooperation agreement to share and support some technologies."
"We can provide assistance in terms of vehicle computer systems and intelligent driving, but correspondingly, we also need you to provide technical support."
Hearing what the boatman said, Wang Donglai did not hesitate and immediately nodded and agreed.
"Okay, happy cooperation!"
"Happy cooperation!"
The two hands were clasped together and they smiled at each other.
In the following time, except for the boatman.
Wang Donglai met with many people in his office.
There are Lei Jun, Ren Lao, the Red Leader, Pony Ma, Jack Ma, Shen Peng and others.
I reached cooperation agreements with some people, but parted ways with others unhappily.
As for the target of 300 billion set by Wang Donglai, it was not achieved.
In the end, only the financing target of 80 billion was achieved.
It is worth mentioning that the 80 billion yuan was raised based on the market value of 2 trillion yuan, and not many shares were released.
In the outside world, this financing conference has already caused a huge response. (End of this chapter)