This time, five companies including Ukom, MakerFang, Jiuzhouxing, Yixing Media and Kunpeng Technology were arranged for backdoor listings in the first half of the year. In addition, Jiuzhou Blue Arrow, which is undergoing restructuring, and Ruihe Pharmaceutical and ATL Technology, which have been successfully listed, were arranged. , Yixing Video and Weibo.
The number of listed subsidiaries of Qunxingxing will officially exceed ten in the first half of this year.
But at this moment, Fang Hong looked at the beautiful assistant who was making a memo and ordered in an orderly manner: "In the first half of the year, five companies, Kunpeng Technology and Yixing Media, will be completed. The main task of the listing plan in the second half of the year is Xingyu Technology. Although it will be completed in the second half of the year, We have achieved the listing mission goal, but now we must start actively promoting it.”
Xingyu Technology is about to go public, and this company will become a real super giant.
The valuations of the first five or even ten subsidiaries at the time of listing were not at the tail end of Xingyu Technology’s valuation.
As the largest smartphone manufacturer in China, it is far ahead of its peers and can be said to be at the peak of its debut.
At present, the company has released two generations of smartphones, S1 and S2, both of which have been a great success. By this summer, S3 will also be highly anticipated by the industry and users.
Moreover, Apple, which is already under the leadership of Pan Ke, will enter the Greater China market this year. However, Xingyu Technology has successfully established the brand awareness of its S series flagship products in the past two years and also has its own basic foundation. The market is no longer afraid of this competitor.
The most important thing is that Xingyu Technology is not alone. There is support from Qunxing Capital behind it. For example, if someone wants to blackmail Xingyu Technology from public opinion, Weibo will limit the flow and suppress it, and Yixing Media Group will also provide appropriate help. Public opinion will definitely help.
It can be seen that the game here is not a single company or a single industry, but a comprehensive and systematic game.
This is naturally inseparable from Fang Hong's continuous layout over the years. Without Qunxing Capital, why would companies like Weibo and Yixing Media risk offending people to help you?
If Xingyu Technology wants to go public, it must go through the normal IPO application process because it has met all the requirements of the approval system, especially this year, it has met the requirements for indicators such as turnover and profit.
Therefore, if Xingyu Technology wants to go public, it will definitely not take the backdoor route.
In fact, Xingyu Technology's listing plan has been on the agenda since last year. Now that Fang Hong says this, it must be accelerated.
Tian Jiayi made a memo, then looked up at Fang Hong and asked: "How much capital will Xingyu Technology's IPO raise? How many times the price-earnings ratio is given?"
After hearing this, Fang Hong asked: "Has the company's performance last year been released? What is the revenue and net profit?"
Tian Jiayi nodded and replied: "Well, it just came out last week. The annual turnover in 2011 was 143.185 billion yuan, a year-on-year increase of +54.65%. The net profit was 15.653 billion, a year-on-year increase of +15.09%. Last year's full-year net profit margin was 14.69%. This year it dropped to 10.93%."
The absolute number of net profits increased by about 2 billion compared with last year, but the net profit rate dropped to 10.93%. This is because Xingyu Technology has increased its investment in research and development year after year.
Qin Feng spent almost all the money he earned on technology research and development. He wanted to develop new technologies to maintain the competitiveness of his products. At the same time, the confidential Plan B was still promoting domestic alternatives, especially in the field of chips and semiconductors, which were extremely expensive. The place.
The entire company is investing in new technologies in R&D. It can be said that the money it makes now is not enough to burn if it does not restrain itself. This time it applies for an IPO to raise a large amount of funds for R&D investment.
Xingyu Technology has invested so much, so it is natural that the results will be achieved.
The third-generation smartphone product S3 flagship to be released this summer will include a brand-new technology, which is fingerprint recognition technology. Currently, no smartphone has this technology.
In Fang Hong’s previous life, it was the newly released iPhone 5S phone released by Apple in 2013 that was equipped with Touch ID for fingerprint recognition for the first time. It was called the “killer” feature on the iPhone 5S phone and was also the first mobile phone in the world to use biometric fingerprint recognition. Identify security functions, and since then the development of biometric technology has begun to develop rapidly.
But in this world, it is obviously Xingyu Technology’s third-generation product S3 that will lead the trend.
But at this moment, Fang Hong thought about it and said to himself: "The net profit is 15.6 billion, so let's give it a PE price-earnings ratio of 45 times for the IPO."
Hearing this, Tian Jiayi couldn't help but be surprised: "A price-to-earnings ratio of 45 times? This is 10 times more than the current price-to-earnings ratio of 35 times given by the market. Isn't it a bit too high..."
Tian Jiayi said that it was too high. It did not mean that the valuation of Xingyu Technology itself was too high. What she wanted to express was whether the current situation of the A-share market could bear it.
At present, the capital market gives Xingyu Technology a price-to-earnings ratio of 35 times, which corresponds to a terrifying valuation of 546 billion. In fact, although the valuation of this company in the capital market is increasing, the extent of the increase is more conservative than last year. Some.
The reason is that Apple will enter the Greater China market this year. Previously, no other domestic smartphone manufacturers could compete. Xingyu Technology was almost alone in the mainland market.
But something has changed this year. Apple is coming, which is also regarded by industry insiders as Xingyu Technology’s biggest competitor.
Xingyu Technology will face competition from Apple this year.
Therefore, the valuation given by the capital market to Xingyu Technology is not as "unrestrained" as last year. If we want to see the results of the first round of confrontation between these two major domestic and foreign smartphone manufacturers, the valuation given is also conservative.
If Fang Hong wants to set a price-to-earnings ratio of 45 times for Xingyu Technology's IPO, the corresponding market capitalization will be an exaggerated 704.385 billion yuan. It is an absolute super giant. If it is equal to the issuance market capitalization, it will rank first in the A-share market in terms of market capitalization. At the sixth position, the first five companies are Zhong Petroleum and the four major banks.
After a while, Tian Jiayi couldn't help but said: "If the issuance market value exceeds 700 billion, the premium space in the secondary market will not be high. This is not in line with the ultra-high premium strategy of the ten companies in front of us in the secondary market."
The issuance market value is over 700 billion, and there is definitely not much room for premiums in the secondary market. The total market value of companies like Ukom, which has increased tenfold in the secondary market, is only 55 billion.
If Xingyu Technology wants to increase tenfold in the secondary market, it will have to exceed a market value of 7 trillion. You don’t need to think about it to know that this is absolutely impossible. Even if it doubles, it will be very difficult. If it doubles, it will also reach 1.4 As many as trillions.
Fang Hong said: "Most of the previous companies were 'market-dream rates' and focused on pursuing dreams, so many people didn't believe it and couldn't understand it, so they did it. But Xingyu Technology is a good company that everyone knows Of course, a company with unlimited potential cannot do that, and it cannot take advantage of foreign capital, let alone do such stupid things as stretching its neck to let foreign capital harvest it.”
Although there is currently no talk of northbound funds, there is no sign of Northbound Stock Connect.
However, there is a kind of operation called "agency holding" and "hidden holding". Qunxing Capital can do this in the peripheral market, and foreign capital can also do this in Big A. There are many ways to achieve "curve entry into the market."
Fang Hong could accept the ten companies in front even if there were foreign capital "curved entry into the market". After all, they were not large in size and did not enter much, because they were too high and too hasty, and even if you take a step back, it would not be possible. It had such a huge impact that Yixing Video increased 37 times, and its market value was only 60 billion.
But Xingyu Technology is different. With such a giant size, the valuation is too low, and those foreign investors who "curve into the market" will go crazy to buy the bottom. By then, the profit capital will be hundreds of billions, and the market will be smashed later. The rhythm of the earth-shattering world?
If you want to protect the market and stabilize it, you have to pay a huge price, and you will have to bleed a lot.
Therefore, Xingyu Technology must give a high valuation and cannot have too much room for premium in the secondary market.
…
(Ps: Ask for a double monthly pass for the new book "Rise Starts with Finance". For those who haven't collected it yet, please help me collect it and read it~~)
(End of chapter)
