In June, the heat was unbearable.

After two months, hundreds of due diligence personnel finally reviewed all the business revenues, product data, and even contract terms of Ruixiang and Zhonghe, clearing the obstacles before the merger.

Although it is not as hard as moving bricks on the construction site, it is not easy to go anywhere, and each has its own tired method.

Bao Fan is fortunately bald, otherwise he would have lost a lot of hair.

Ruixiang and Zhonghe have dozens of application products, and the number of users is either tens of millions or hundreds of millions.

The business also covers more than 100 countries, and there are research institutes and offices overseas.

There are even more companies with shares, there are dozens of unicorn companies alone, and there are hundreds of other start-up companies with tens of millions or hundreds of valuations.

In addition to Bao Fan's Huaxing Capital, three other well-known due diligence agencies were involved.

The four parties worked together to make a big doxxing of Ruixiang and Zhonghe.

Including scientific research achievements, laboratory technical personnel...... Various assets were evaluated.

Although he often works overtime until late at night, Bao Fan's enthusiasm has not diminished at all.

After all, not everyone has the opportunity to participate in the largest merger and acquisition in the history of China's Internet.

Huaxing Capital is about to enter the Hong Kong Stock Exchange, and it also needs this kind of awesome merger and acquisition case to increase its value.

The M&A teams of Ruixiang and Zhonghe reviewed each other's due diligence reports and reviewed them one by one.

After confirming that everything was okay, the shareholder representatives of the two companies officially opened the final negotiations.

"Ruixiang's $100 billion valuation is indeed a bit outrageous. ”

Lu Qi participated in the negotiations on behalf of Zhonghe Group as the CEO of Zhonghe Group, and his views were supported by a group of shareholders sitting next to him.

"Last year, it was only 66.6 billion, and it has risen by 50% in less than a year?"

"This year's finance is not good, and Ruixiang's business will be hit hard if it doesn't do well, so it's good if the valuation is not lowered, and you still want to have a valuation of $100 billion?"

"Come on, Ruixiang is not the first in various fields, and our Zhonghe short video is the first in the world. ”

......

A large number of shareholders refuted and criticized, and Lin Zhenyang was not angry.

"Ruixiang had more than 50 billion yuan in revenue last year, and more than 3 billion US dollars in scientific research expenditure and technology investment, even so, we are still profitable. ”

Lin Zhenyang smiled and asked Zhongyi and all shareholders: "What about Zhonghe? Did it have more than 50 billion yuan in revenue last year? What is the loss number?"

Rui Xiang looked at all this with a smile to the shareholders here, and gave Lin Zhenyang a look of appreciation.

Lin Zhenyang is not like Zhang Yida, he has no shares in Zhonghe, and he is in the same camp as their group of shareholders, so he was also selected as the main representative of the negotiation team.

"Current revenues and earnings are not indicative of the future. ”

Lu Qi was very calm, and said with a smile: "Take Doushi as an example, a year ago, our monthly revenue was 3-400 million yuan, and now it has increased 10 times, and the monthly revenue exceeds 4 billion."

Speaking of Pindodo, it is expected that this year's GMV will not be less than 500 billion, and next year's GMV will not be less than 1 trillion, and the number of active buyers will exceed that of Goudong within this year.

It is known as the most successful product in China's overseas market, and the first software application with hundreds of millions of active users in the West.

In the gaming sector, we defeated Penguin and NetEase head-on to defend our position as the world's No. 1 chicken game.

Other sectors of big entertainment, such as long videos, music, and movies, have also achieved good results.

From the perspective of business imagination, Zhonghe Group's valuation should not be less than $150 billion. ”

"$150 billion?"

The shareholders on Ruixiang's side froze for a moment, and then a strong opposition erupted.

"Crazy about money, right? Who gave you confidence?"

"The loss is so bad, and if you can't raise capital, it's a dead end. ”

"If Zhonghe is valued at $150 billion, then Ruixiang is valued at $200 billion, and after the merger, we can catch up with Ahri and Penguins. Haha!"

......

Anyway, the shareholders on both sides have been talking about it, and the scene is like a vegetable market.

When it comes to mergers and acquisitions at the level of 100 billion US dollars, the shares of a point are all billion US dollars.

In the face of such great interests, all cultivation and decency were thrown aside.

The shareholders on both sides do not give in to each other, and both want to strive for more favorable terms for the merger.

The higher the valuation, the higher the proportion of shares in the new group, and no one is willing to give in easily.

From day to night, there has been no big breakthrough, and the situation has been deadlocked.

Bao Fan reported the situation to Zhang Yida, who was on vacation in Australia.

Zhang Yida was rarely idle, and out of suspicion, he did not participate in the negotiations between the two companies.

Because he was worried that he would not see a live kangaroo next year, he came to Australia with Zhao Erya.

Later, I will go to Paris to see Notre-Dame, and I am also worried that I will not be able to see it if I go late.

"Rui Xiang $100 billion valuation? Zhonghe $150 billion valuation?"

Zhang Yida felt that compared with these shareholders, he still seemed too sincere.

"If I continue to talk about this, I'm afraid I'll have to spend the New Year in Australia. ”

Bao Fan laughed, "It's not so exaggerated, the price is all over the sky, let's pay it back when you land!"

With such a large transaction, it is certainly impossible to reach a consensus in a short period of time. ”

"It's really not good, only to bet on each other, and betting is the best way to resolve valuation differences. ”

Bao Fan pondered for a while, and then said: "My advice to Ruixiang is a profit bet, and the advice to Ruixiang is a revenue bet......"

Zhang Yida listened to Bao Fan say all his own thoughts, and said after a while: "It is best to let both parties participate in the revenue betting, one makes a slight profit, and the other loses a lot, what is the meaning of the profit bet?"

Bao Fan has a headache, the people who are Ruixiang are not easy to fool, the key is to say it yourself, people are willing to listen!

However, since Zhang Yida has spoken, thinking about the qualifications of underwriters, no matter how difficult it is, he can only do it.

......

Just when Ruixiang and Zhonghe were negotiating, Leech Financial announced the completion of a $11 billion Pre-IPO round of financing, with a post-investment valuation of up to $122.222 billion.

The huge financing of $11 billion not only set a new record for a single round of global Internet financing, but also allowed Leech Financial to surpass Uber, which was valued at $120 billion, and won the crown of the world's most valuable unicorn.

As soon as the news came out, countless netizens were hotly discussed.

Some people joke that "BAT" has become an "ATM", and others believe that when Leech Financial goes public, it is expected to break Ahri's record of $25 billion set by the New York Stock Exchange in 2014 for the world's largest IPO in history.

Stimulated by this news, Rui Xiang negotiated more aggressively.

"Leech Financial Services is only valued at $122.2 billion, why is Ruixiang worth $100 billion?"

Bao Zheyu does not think that Ruixiang can be compared with Leech Gold Service, not to mention anything else, in terms of mobile payment market share in Chinese mainland, Mobao Pay is only half of Alibei, much lower than WeChat Pay, and can only rank third.