Kevinson definitely came to Changzhi with sincerity this time.
As one of the world's largest investment companies, IDG is also the oldest venture capital institution in the United States.
They have many classic investment examples.
Investing in penguins during their most difficult times is one of them.
When Changtian Technology encountered financial difficulties in its initial development, IDG extended an olive branch to Changtian Technology. It was also hailed as a classic example by the Western capital circle and recorded in textbooks.
IDG certainly knows what difficulties Changtian Technology is currently facing, and he will also give his own solutions.
Chen Xiao smiled and took a sip of tea.
His voice was very calm and gentle.
"Appreciate further details."
In Changzezhou in spring, the temperature is not too high.
But Chen Xiao likes to breathe fresh air, so the ventilation windows in the north and south of the office are opened.
But at this moment, no one felt the slightest chill, whether it was the senior management of Changtian Technology on Chen Xiao's side or the IDG team, and there was still some slight sweating behind their backs.
This demonstrates the intensity of the negotiations.
IDG's team is indeed very eager to complete this deal.
Kevinson took a deep breath and nodded to his assistant.
Zhuli immediately took out a document that was not too thick from his work bag.
This is IDG's plan.
Of course, the specific content of the plan must be far more than a few pages.
It's just that during negotiations, Kevinson's team condensed it into a few pages of bullet points.
Chen Xiao did not look at the specific plan, but handed it to Wang Xiang next to him.
This time Kevinson came over and expressed enough respect for Changtian Technology.
Therefore, the contract is bilingual in Chinese and English.
Wang Xiang just read the first page of the contract, and his expression suddenly changed.
Kevinson explained to Chen Xiao: "Mr. Chen, I don't know if you have dealt with the American market in the past."
"In key areas, namely energy, technology and finance, although the U.S. market promotes fair competition and openness to the outside world, in fact there are many invisible barriers."
Chen Xiao was very moved by what Kevinson said.
Of course, the United States will announce to the world that it is the freest and fairest market in the world. It also welcomes global investors to invest and welcomes global goods to the United States.
The reason why the United States says this is not because of how free or equal they are.
But the United States has absolute technological self-confidence. It knows that after overseas products or technologies come to the United States, they cannot compete with local capital and technology.
Whenever a company's products (mainly technological products) appear, the technical content exceeds that of local American companies, and all the so-called fairness and freedom claimed by the United States are invalid.
Kevinson carefully observed Chen Xiao's facial expression.
He saw Chen Xiao frown slightly and knew that Chen Xiao understood him very well. What did he mean by saying something?
Kevinson added: "Currently, your company is facing certain difficulties. The U.S. technology industry has taken measures to make it difficult for your company's hardware products to enter the U.S. market."
"I think this is just the first step, and there are likely to be tougher measures later."
"Mr. Chen." Kevinson also took a sip of tea and said, "Currently, Changtian Technology's hardware partners are mainly Apple and HTC."
"There is no need to mention Apple. It is originally an American technology company, and its main market is also in the United States."
"So Apple and Steve Jobs will definitely abide by some domestic agreements in the United States."
"They won't take any risk and lose the U.S. market."
"If the measures are tougher, Apple is likely to compromise."
Although Kevinson handed the agreement to Chen Xiao as soon as he came up, he did not just talk about the contents of the plan, but analyzed with Chen Xiao why Changtian Technology needed the plan.
Kevinson said: "Although HTC is a company based in Xia Guowan, the capital and market behind it are also in the United States."
"So I predict that there is no need to add any more pressure on the other side of the ocean, and HTC will definitely compromise before Apple."
"By that time, Changtian Technology's hardware will definitely not be able to enter the US market."
"The American market is the benchmark for the Western market."
"If the U.S. market rejects Changtian Technology's hardware products for reasons such as safety and technology, I believe many European countries will follow suit."
"And banning Changtian Technology's hardware is only the first step. Changtian Technology also has many products in the United States and Europe. After this incident, it will definitely suffer heavy losses."
After Kevinson said this, many senior executives of Changtian Technology glared at Kevinson.
Because they thought Kevinson was looking down on Changtian Technology when he said this.
No matter how you say it, Changtian Technology is a relatively powerful technology company in the world.
There are still many cards in hand.
It is absolutely impossible for the United States to be defeated just because it changes some policies on network security and terminal equipment.
Kevinson also saw that the senior management of Changtian Technology was unhappy with his statement, and he quickly continued:
"Changtian Technology is a very good company, and Changtian Technology also has many weapons in its hands to protect its own interests."
"But we won, but both sides suffered losses. I think such a victory is meaningless."
Kevinson meant what he said.
He said that he was referring to Changtian Technology, which was likely to use the critical care center in the United States as a threat to fight for its own interests.
If Changtian Technology does this, it is very likely that American capital will compromise.
But if you do, you are trading your life and money.
It will ruin the reputation of Changtian Technology, and will also make the medical community and ordinary people in the United States more suspicious of Changtian Technology.
This is detrimental to the long-term development of Changtian Technology.
Chen Xiao smiled and said, "Does Mr. Kevinson have a better answer?"
Kevinson nodded and said, "I have another plan, which is much better than a head-on confrontation."
"The plan I just gave is to immediately carry out equity reform on Changtian Technology."
"Changtian Technology is a Xia Guo Group company in a pure sense. This is really detrimental to the company's development and will also make Western consumers and investors suspicious."
"Any successful multinational company has a very stable and complete equity structure, unlike Changtian Technology, which is single."
"A great multinational company must give up its national positioning."
"Your headquarters can be in Xia Kingdom, and your CEO can be from Xia Kingdom."
"But the most important thing about a multinational company is not these, but its genetic structure."
"The so-called operating structure is actually the capital structure, and its capital structure must not be that of Xia Guo."
Kevinson gave Chen Xiao many examples.
For example, Samsung, Hyundai, which are very successful around the world, and even Toyota, which is becoming the world's number one car company.
More than 50% of Samsung's shareholding structure is overseas capital.
About 46.5% of Toyota Motor Corporation, which Japanese people are most proud of, is also controlled by foreign companies.
As for Ali, which has risen wildly recently, most of its equity is also in the hands of overseas capital.
Feng Yuan, the founder of Ali, only holds a small part of the equity.
Kevinson said very bluntly: "Whether the American market, especially American capital, accepts you does not depend on where your headquarters is or who the founder is, but whether your genes are in line with their interests."
"The suggestion I gave in the plan is to conduct a thorough reform of Changtian Technology's equity."
"I suggest that Changtian Technology should hand over at least 40% of its shares to Wall Street capital at the current market price, or at a certain premium."
After Kevinson said this, he looked at Chen Xiao nervously.
In fact, if a company goes from start-up to final listing, the step Kevinson mentioned will happen naturally.
Because Wall Street has a keen investment vision, the U.S. capital market is naturally attractive to entrepreneurial companies.
An entrepreneurial company may have handed over part of its equity to Western capital during its angel round.
(Usually in angel rounds, founders will lose 15% to 25% of their equity. After ABC’s turn to IPO, the founder’s equity may not even be 5%.)
After ABC's turn to the final IPO, Western capital may have already eaten away at more than 50% of the equity.
So the better you develop, the more beneficial it will be to Western capital.
Because they can make money just by lying down.
Chen Xiao's original financing method was completely different from that of common start-up companies on the market, and it also guaranteed the company's equity to the maximum extent.
It can be said that all the equity of Changtian Technology (except for the two listed subsidiaries) is in the hands of Chen Xiao personally.
Although the senior management of Changtian Technology owns certain stocks, these stocks are only stocks in the subsidiary's option pool, and they are only Class B shares with dividend rights, not Class A shares with decision-making rights.
"Demon Town Museum"
Changtian Technology’s capital funds are completely different from the capital funds favored by Wall Street.
This is the reason why Changtian Technology’s hardware is extremely powerful and even though its customers Apple and HTC Motorola like it very much, it is not favored by Wall Street after all.
Kevinson said: "The plan I gave is based on the current valuation of Changtian Technology on Wall Street. Our valuation is 1,000 billion dollars."
“My suggestion is that Changtian Technology should take out at least 40% of its shares.”
"With detailed data, we will make a detailed assessment. My personal suggestion is to raise no less than 40% of the equity. Of course, if you can raise more than 50% of the equity, that would be even better."
"Of course in return, we will have the power to help Changtian Technology be listed on Nasdaq."
40% equity.
Without any premium, the amount involved is also 400 billion yuan.
Such a terrible amount of funds cannot be afforded by relying solely on IDG.
IDG will transform into a capital broker, win over some Wall Street capital that has a good relationship with itself, and try every means to acquire this part of Changtian Technology's stocks.
Kevinson added: "Mr. Chen, if Changtian Technology is listed on Nasdaq in the name of the entire group, as the founder and shareholder, you will be able to cash out very reasonably."
"The benefits you can get are not just as simple as billions of dollars."
"And as long as Changtian Technology's genes (ownership structure) are reorganized, you will definitely be welcomed by Wall Street and American capital."
"Not only Changtian Technology's hardware products, but also your company's Yinghuo operating system and even some future revolutionary products can be sold unimpeded in the American market and the European market."
Kevinson spent almost an hour explaining to Chen Xiao the reasons why he formulated this plan and the specific contents of the plan.
After finishing speaking, he looked at Chen Xiao with a smile.
Chen Xiao has been able to reach this point because of his excellence.
Kevinson believes that Chen Xiao is also a very smart person.
In the face of personal gains and losses and so-called feelings in corporate development, you will definitely make the most correct choice.
in the eyes of capital.
The most worthless thing is the so-called feelings.
The least valuable thing is the so-called nationality.
Capital is the most emotionless.
You talk about country and emotion in front of capital, which will make those capitalists on Wall Street laugh.
What Kevinson said is very correct.
Each one is to the point.
This is why countless Xiaguo companies, especially Xiaguo's Internet and technology companies, are vying to be listed in the United States.
But Chen Xiao thinks that he is not an ordinary person.
He is born again.
I am very clear in my heart that a country’s technological initiative is much more important than so-called capital and profits.
From the moment of its birth, Changtian Technology was destined to not be an ordinary Internet or technology company.
It is a scientific research enterprise responsible for the development and progress of Xia Guo's science and technology.
Chen Xiao has expressed this at high-level meetings more than once.
Changtian Technology is first of all a scientific research company, and secondly a commercial company.
The company's commercial activities serve scientific research.
In other words, the money earned by the company is used for scientific research and helping the country break through high-precision technologies.
The value of Changtian Technology is not financing or making money, but scientific research breakthroughs.
Height determines vision.
Kevinson didn't stand at Chen Xiao's level, so he couldn't understand Chen Xiao's thoughts.
Wang Xiang handed Chen Xiao the investment plan that he had read repeatedly.
Unexpectedly, Chen Xiao still didn't look.
Chen Xiao smiled and put the plan aside and said, "Mr. Kevinson."
"Changtian Technology is very eager to share our advanced products with people around the world."
After Chen Xiao said this, Kevinson felt slightly excited in his heart.
He felt that this time he was worthy of his words, and the cooperation would be successful.
Unexpectedly, Chen Xiao changed his tone again and said: "But it is a pity that if consumers around the world cannot experience the advanced products of Changtian Technology due to their country's policies, we can only feel sorry and sorry for them. "
Chen Xiao finally said to Kevinson: "Changtian Technology does have a valuation, but Wall Street can't afford it, and I don't bother to sell it."
