Shen Beipeng told Zhang Yida that Blackshirt Capital would take advantage of the additional issuance of shares by Yimin Netgold to cash out a part of it.

Zhang Yida understands this, after all, there is no banquet in the world.

Venture capital accompanies entrepreneurs all the way to start their business, for this last minute.

If it weren't for the fact that the United States has imposed great restrictions on major shareholders, he would also want to cash out a large amount of money.

"Yida, Yimin Loan is about to IPO, why do you want to cash out?"

Shen Beipeng thought about it for a long time, but still asked the question that had been hidden in his heart for a long time.

"Let's consider two things, one is that it is difficult for major shareholders to cash out after the listing of the US stocks, and the other is that all kinds of domestic mutual money chaos makes me a little uneasy.

When starting a business in China, the most feared thing is policy fluctuations. ”

Shen Beipeng nodded, this was similar to the reason he had imagined.

But he always felt that things were not so simple, but Zhang Yida was reluctant to say more, and he didn't bother to ask.

In the early morning of December 12, Beijing time, Yimin Netgold submitted FormF-1 documents to the U.S. Securities and Exchange Commission on Monday, saying that it plans to issue an additional 15.5 million American depositary shares, representing 77.5 million ordinary shares.

According to the filing, Yimin Netfinance will provide 9.3 million American Depositary Shares in this transaction, and the selling shareholders will provide 6.2 million American Depositary Shares, with each American Depositary Shares representing 5 Class A ordinary shares.

Yimin Netfinance will not receive any income from the sale of ADSs by the selling shareholders.

Yimin Netfinance expects that after deducting commissions and issuance expenses, if the underwriters do not exercise the over-allotment option, the company will receive US$435.2 million in net cash through additional issuance;

If the over-allotment option is exercised, $500.4 million in net cash would be obtained.

Yimin intends to use the net cash proceeds from the additional offering for general corporate purposes, which may include business expansion in Southeast Asia, capital expenditure, fintech research and development, sales and marketing, business development, working capital and other general and administrative matters.

Investment banks Goldman Sachs, Morgan Stanley, CICC, and Bank of America Merrill Lynch acted as joint underwriters for the additional issuance of Yimin Netgold.

The documents also show that Blackshirt Capital is the selling shareholder of the additional issuance of Yimin Net Gold.

Prior to the additional issuance, Blackshirt Capital held 80 million Class A ordinary shares of Yimin Netgold, accounting for 6.82% of the total share capital, and 1.3% of the voting rights;

After the additional issuance, the company's holdings will be reduced to 49 million shares, representing 3.92% of the total share capital, as well as 0.74% of the voting rights.

……

Tang Lin, CEO of Yiyin Loan, was very surprised when he saw this financial news.

Yimin Network Finance wants to raise another $500 million?

Counting the more than $800 million raised in the IPO and the more than $400 million raised before the IPO, the total amount raised in the last two years is almost $2 billion.

What are you doing with so much money? Isn't Yimin Netfinance profitable? Looking at the financial report, the net profit in the third quarter exceeded $100 million.

Tang Lin felt a lot of pressure, if so much money was invested in the Chinese market, Yiyin Loan would not want to catch up with the other party.

He felt that one of the most wrong decisions he had made was to let Yiyin Loan go public late, and now the limelight and market attention have all been stolen by Yimin Netfinance.

Yiyin Loan was established a year earlier than Yimin Net Finance, but it was overtaken by others.

However, the mobile Internet was not developed in the first two years, and although Yiyin Loan was established one year earlier, it did not occupy much of a first-mover advantage.

The annual turnover of 13 years is only 200 million yuan, and Yimin Netfinance has quickly completed the surpassing of the scale of Yiyin Loan after receiving the blessing of Ruixiang's traffic.

Speaking of which, Ruixiang is still "raised" by Yiyin Loan, which makes him feel even more uncomfortable.

Yiyin Loan expects that the loan matching scale in 16 years will be 20 billion yuan, and the net profit will be about 1.1 billion yuan.

This volume is only more than twice as bad as Yimin Wangjin, but the market value is 5 times worse.

The biggest problem is the bad debt rate and customer acquisition costs.

The bad debt rate of the four types of borrowers of Yiyin Loan was 5.1%-8.2%, and then they were defrauded of more than 80 million yuan in loans last quarter.

Yiyin Loan's risk control leakage is like a sieve, so the stock price has not been able to rise.

The cost of customer acquisition is also frighteningly high, with more than 1.5 billion yuan spent on marketing expenses spent on borrowers and lenders acquiring customers a year, and it continues to rise.

He also wants to learn from Yimin Internet Finance, focusing on products with an annualized interest rate of less than 24% to attract high-quality borrowers.

However, the cost of customer acquisition, capital cost, and risk control technology determine that this road will not work.

The cost of capital is more than a dozen points, plus the bad debt rate of five, six, seven or eight points, which is almost 20 points.

If you add in the sales expenses, employee salaries, and the annual interest rate of the loan, it is absolutely impossible to make a profit if it does not reach 30% or 40%.

If you can introduce bank funds like Yimin Netfinance, and reduce the yield of P2P products to less than 10%, you can also try to make loan products with an annualized interest rate of less than 24%.

He has carefully studied the various operating data and financial reports of Yimin Netfinance, and has well controlled the cost of customer acquisition and the bad debt rate.

Despite this, the net profit margin of Yimin Netfinance is still not as high as that of Yiyin Loan, which is only in the early 20%, while Yiyin Loan is above 35%.

He sometimes laughs at Zhang Yida, he is too idealistic.

As long as Yimin Netfinance adjusts the product interest rate to 36%, even if the overdue rate triples, the profit will be twice as much as it is now.

Tang Lin also heard that Yiminbank had begun to produce results in Southeast Asia, which made him also move the idea of expanding in Southeast Asia.

Last year, he felt that the time was a little premature. Looking at it now, I don't think I even have to drink the soup anymore.

After making up his mind, Tang Lin decided to rely on the old man again one day to chat with Zhang Yida and get some useful information.

……

On the same day, the press conference was held as scheduled, and dozens of reporters surrounded the headquarters of Loanshell, vying to report.

At the meeting, Lendingbei announced: stop collecting collection fees from overdue debtors, and the platform will only charge 5% of the principal and interest payable to debtors who are overdue for more than 7 days as a transaction service fee, and the rate will no longer increase with the increase in overdue days.

What was the original overdue management fee?

From the next day after the overdue, the overdue management fee shall be paid to the borrower according to the standard of "the total outstanding principal and interest as of the date ×0.1%/day";

On the 16th day of overdue, an additional special overdue management fee shall be paid according to the calculation of "the sum of the outstanding principal, interest, penalty interest and the basic overdue management fee ×20%";

On the 76th day overdue, this percentage rises to 30%.

Some people have calculated that even the most basic overdue management fee is converted into an annual interest rate of 10/10,000 per day, which has reached 36.5%.

According to the provisions of the Supreme People's Court on private lending, the annual interest rate of less than 24% belongs to the judicial protection zone;

If the annual interest rate is between 24% and 36%, it belongs to the natural debt zone;

If it exceeds 36%, it is an invalid zone and is not protected by law.

Many borrowers shouted directly on the Internet, just because the overdue management fee of the borrower was too high, so they couldn't afford to pay back.

In addition, LendingBay also announced that it would ban users under the age of 22 and divest its collection business to create a pure C2C business model.

And to become one of the most compliant P2P platforms in the P2P industry.

After Hu Gang and Wang Xiaojie finished their work, there was bad news from Hantai Fund.

"Investment and Ronghui have removed all equity fund products of Hantai Fund!"

"What does that mean?"

Wang Xiaojie sneered, glanced at his partner and said, "You still don't understand, he's venting his dissatisfaction!"

"What is he dissatisfied with? Or is it because of last year's fixed increase? Isn't it all done like this? Compliant and legal!"

The clay man also had three points of anger, and Hu Gang was also a little angry. The CFO of the fund company on the front foot came to point fingers, and the product cooperation was cut off on the back foot.

Is H&Q Group shameless?

As a large group with a total market capitalization of more than $15 billion, the volume is not much worse than the inflated valuation, right?

"This little fellow really can't tolerate a grain of sand in his eyes!"

Huang Xiaojie sneered, and said, "Say, how to deal with it?"

"Since he doesn't show mercy, then we don't have to show him mercy. ”

Hu Gang looked at his partner, "How about you say we bought back the shares?"

"Will he be willing?" Wang Xiaojie didn't believe that Zhang Yida would quit so easily.

Hu Gang said again: "It's simple, it's okay not to withdraw shares, we will suspend the cooperation with Coin Treasure." ”

"Damn, you're crazy!"

Huang Xiaojie's eyes glared at the boss, "Do you know how big the change treasure is now, and how important it is to Hantai Fund?"

Among the 113 public offerings in China, our Hantai Fund has been established for less than three years, and it can rank 14th in terms of management scale.

Excluding the 200 billion small change treasure money market fund, the total scale of our other funds is less than 20 billion, and I am afraid that we have to rank in the seventy or eighty.

In the first three quarters of this year, the revenue of 1.079 billion yuan contributed 945 million yuan, accounting for 87.6% of the company's total revenue;

The net profit in the first three quarters was 280 million yuan, and the change treasure contributed 262 million yuan, accounting for 93.8% of the company's net profit. ”

"It's important to us, but isn't it important to Ruixiang?"

Hu Gang said with a smile: "Without change, the activity of investment and financing users will drop by at least half."

For Ruixiang, making money through Coin Treasure is secondary, and the most important thing is to promote users through it.

Think about it, what would happen if Alibei didn't have change?"

"Yes, money market funds also make hard-earned money.

There are no subscription and redemption fees, and the annual rates of management fees, custody fees, and sales service fees are 0.3%, 0.08%, and 0.25% respectively, adding up to only 0.63%.

Even if 2000 billion is put for a year, it is only a billion in revenue. ”

Huang Xiaojie said: "But if you can achieve the scale of nearly one trillion yuan of Yue Bao, the profit is still not small." A net profit of one or two billion a year is by no means a problem. ”

"Do you really want to force him to stop the cooperation with Coin Treasure?" Huang Xiaojie asked again.

"It's all angry talk, but that kid is so annoying, it's good to scare him.

If you don't do this, you simply don't take us as a major shareholder seriously. ”

Hu Gang thought of the net profit of hundreds of millions of dollars a year, and he was indeed a little reluctant to stop the cooperation with Coin Bao.

"That's right, we'll try him out as well. ”

Huang Xiaojie complained, "Isn't it good for everyone to divide the sphere of influence and make money happily together?