Chapter 620 Invitation
Framework Media has increased forty times in one year, not because of its significant increase in profits, but because of its successful integration of the entire mid-to-high-end residential print advertising market through mergers and acquisitions.
Chen Qiaoshan is very sure that Tan Zhi is a smart person and does not lack the ability to speculate.
He obviously had seen through this opportunity in front of him, otherwise he would not have gone to the trouble to come and discuss cooperation.
Since Tan Zhi was able to complete the integration in his previous life, it would be okay to continue to hold him responsible, but a 20% asking price is definitely impossible.
Chen Qiaoshan’s bottom line is very clear. Cooperation is OK, but the conditions must be re-discussed.
He didn't bother to go and talk too much. He took out the notes handwritten not long ago and said with a smile: "Mr. Tan, please take a look first. We will discuss what conditions are there later."
Tan Zhi didn't know what Chen Qiaoshan was thinking, so he had to take it silently. After only one glance, his eyes were filled with horror.
There are not many words on the paper, very short:
Integrate the market!
Overall listing? Cooperate with Focus Media? Cooperate with Juzhong?
Just these few short sentences made Tan Zhi’s plan clear. He smiled bitterly and misunderstood. Chen Qiaoshan was not very sleek in his work, but clearly had a sharp vision.
Ren Shi Tan Zhi was used to the storm, and at this time he felt a little embarrassed.
His plan is very simple. He first controls the industry leader of the framework media, and then quickly completes the integration of the industrial chain with the help of capital, which gives him the opportunity to wait for a price.
Taking advantage of the opportunity of Focus Media and Gathering to fight to death, we must first confirm the position of the third in the industry. When the eldest and second in the game decide the winner, we must not be able to get involved in the media business of mid-to-high-end residential buildings. If we want to expand the industry territory, we must sit down and talk calmly.
The plan is simple, but it is absolutely feasible.
After experiencing the troubles of 8848, Tan Zhi is not interested in listing. His ideas are very clear. Whether it is Focus Media or Gathering, whoever can afford the price will cooperate with him.
He had already persuaded Hanergy Investment and IDG Capital, but both of them were too conservative and had a low bid, so Qingshan Capital took the lead.
But he thought Chen Qiaoshan was young and wanted to take the opportunity to get a bargain, but he was beaten in person. Tan Zhi was a little unexpected. He understood that Chen Qiaoshan should have the intention to cooperate if he could hand over this note to him.
The trump card was lifted, so there was no need to cover it up. Tan Zhi was a bachelor and asked directly: "Mr. Chen, what are your requirements?"
Chen Qiaoshan shook his head, "I want to listen to your plan first?"
Tan Zhi just hesitated for a moment. It is useless to conceal it. He said: "It's very simple. First, get the controlling stake of Framework Media, and then Qingshan Capital provides advance funds. By adding new company shares in cash, it can complete the industry merger and acquisition in the shortest time in the shortest time, and then sell it to cash out."
Chen Qiaoshan knew that this should have been revealed. After pondering for a moment, he said, "I have a suggestion. I wonder if Mr. Tan is interested?"
Tan Zhi had no choice but to nod and respond: "I can't ask for cooperation with Qingshan Capital. What conditions does Mr. Chen have? Just say it."
Chen Qiaoshan said: "We normally control the framework, but we do not focus on the framework. Kangsheng Technology is integrated. Moreover, it is not as troublesome as equity and cash. We can directly conduct premium acquisitions." Chen Qiaoshan will not use equity for market share. Even a premium of twice or even three times is not worth mentioning compared to a profit of more than 40 times.
Tan Zhi was shocked. Premium acquisitions are indeed simpler than equity and cash mergers, but the pressure on funds has risen sharply.
With the current market situation, ten companies have controlled nearly 90% of the market share, and the value of this part will be over 100 million.
According to Tan Zhi's plan, if you have 50 million in cash and half of the equity of the new company, you can negotiate. If it is a premium acquisition, you may have to spend more than 200 million yuan to acquire it intact.
Tan Zhi was very suspicious that if Qingshan Capital could independently support the cash expenditure of more than 200 million yuan?
Even the wealthy IDG Capital has been delayed for a long time when facing the proposal of jointly bearing 50 million advances with Hanergy Investment, which has allowed Qingshan Capital to seize the opportunity.
Tan Zhi was very puzzled. Where did Chen Qiaoshan get the confidence and dared to take risks with 200 million yuan. He couldn't help but confirm again: "Mr. Chen, are you sure you want to acquire it at a premium?"
"Of course." Chen Qiaoshan did not hesitate at all.
Tan Zhi was silent. If he spent money, the merger and acquisition would naturally achieve twice the result with half the effort, but this greatly weakened the position of the dominant player.
Although he has a small fortune, it is really not worth mentioning compared to the 200 million yuan of funds.
Tan Zhi understood that if he really implemented it accordingly, he would seem a little insignificant in this plan. In the end, he asked a little unwillingly: "Mr. Chen, what can I do in your plan?"
Seeing that Tan Zhi's attitude finally softened, Chen Qiaoshan's face suddenly felt a little more smiling, "Mr. Tan, I hope you will take the lead in completing this industry integration."
"Let me take the lead?" Tan Zhi was very surprised. He just spent money. He couldn't understand why Chen Qiaoshan had his ideas on him.
"Mr. Tan, you are a senior in the industry. Whether it is 8848, UT Starkon or Microsoft's experience, they are all rare industry experience. If possible, I hope you can join Qingshan Capital, and we can talk about the salary again."
Chen Qiaoshan suddenly extended an olive branch. Without waiting for the other party to respond, he said: "This is just a suggestion. Whether you accept it or not, it will not affect this cooperation. If the project is completed, 5% of the new company's shares belong to you personally. What do you think of this condition?"
Chen Qiaoshan's offer price is not too high. Based on the final profit, it would be nearly 10 million US dollars. Although the price was a bit high, it had to be like this. If Tan Zhi could not be convinced, there might be endless troubles.
Once Tan Zhi decides to obstruct it, there will definitely be many twists and turns. Even if the integration is finally completed, the price will probably not be small.
Only by cooperation can we win-win, and Chen Qiaoshan still has this awareness.
It is also a good choice to bring Tan Zhi to Qingshan Capital. With his joining, it can be regarded as finding a stable source of project for Qingshan Capital. For example, veterans with complex backgrounds are no worse than veteran venture capital.
Facing Chen Qiaoshan's offer, Tan Zhi knew that he was moved.
Even if it is calculated based on a valuation of only 200 million yuan, 5% of the equity is worth 10 million yuan, which is much more than he earns to be a financial consultant for one or two years.
Brokers are also paying attention to the weather. The commission rebate is not so easy to get. Now that there are more and more venture capital investments, the industry is getting narrower and narrower, and it is reasonable to transform.
After thinking for a while, Tan Zhi finally made up his mind, "Mr. Chen, you can consider joining Qingshan Capital. Can we complete the framework project first?"
"Of course." Chen Qiaoshan naturally would not be unable to get along with the money. The framework is related to the income of 200 million US dollars. Now with Tan Zhi's participation, there is another layer of guarantee, so of course he cannot object.
After saying that, he got up first, stretched out his hand and said, "Mr. Tan, happy cooperation."
Although there were constant surprises, the ending was not too bad. Tan Zhi was generally satisfied with this result.
Chapter completed!