651 LinkedIn (Part I)
Zhou Shi's family trust finally placed 100% of the shares of Fengyun Culture and Sports Company, 30% of the shares of Qirui Automobile, and 5% of the shares of Disney after continuing to invest some funds to acquire, and a small amount of less than 800 million US dollars in real estate, antiques, wealth management products and some cash, such as the Yanjing courtyard house and all the antiques he acquired were transferred to his family fund. After getting rid of all the debt, Zhou Shi still has less than $1.5 billion in cash and cash equivalents.
"Buy all this money for stocks!" Zhou Shi quickly made a decision, the future inflation was too strong, and it would be of little use for him to keep the cash for the time being. After the Guo Meimei incident a few months ago, no one persuaded Zhou Shi to donate, besides, Zhou Shi still has the big burden of Yahoo, no one is sure whether Yahoo Brain will succeed, Zhou Shi's promise of 10 billion US dollars is not a joke, if it is said within the company, forget it, but he said it in front of the media, if he can't fulfill his promise, he will lose credibility in both countries. It can be said that until Yahoo Brain succeeds, his moral risk will be minimal.
"This is a selection of more than a dozen companies, mainly involved in the TMT industry, consumer products and biomedicine. "Zhou Shi's head of finance
"You tell me what these companies do" Zhou Shi wanted to learn more about the decision.
"Okay, this is Texas Instruments, an old analog, semiconductor, digital signal processing company......"
"Wait, what is this company you just talked about?" Zhou Shi listened as if he had heard a very familiar company.
"Adobe, they are a well-known multimedia production software company, or a provider of digital media and online marketing solutions. It has well-known products such as Adobe Photoshop and Adobe FlashPlayer, but because the price of the products is too high, the sales volume and the company's profit are declining. The expert said
MD, this company, thinking about the metamorphosis of PS, Zhou Shi couldn't help but shudder, knowing how to be a little miscellaneous, but the consequences of not being proficient are very serious, especially some women who love beauty but don't have good hardware...... However, Zhou Shi, who has been using the special version of PS, once learned about this company curiously, obviously few people bought it, why it hasn't gone out of business yet, and the result was beyond his expectations. This company is not only alive and well, but also a SaaS company whose profitability is increasing year by year, and its final market value seems to have rushed to 100 billion US dollars.
"What is its current market value?"
"I see, according to yesterday's quote it was 12 billion dollars" expert
"I'm going to buy 9.9 percent of it. Zhou Shi quickly decided, as for how to buy, this is not the key.
"Mr. Zhou, you are too aggressive, and the market is not optimistic about the future of Oldobie!"
"That's why I can buy shares at a cheap price, and then enter the board of directors of the company to change the company!"
"Ah, are they still saved?" the expert asked involuntarily
"There should be a rescue, but it depends on my communication with their board, and if they are willing to change, I think their future will be good. "Zhou Shi
"Well, since Mr. Zhou has decided so, the rest will be left to us!" Expert, for a company that is not favored by the market, it is already a very lucky thing to have a legend like Zhou Shi take over.
After Time Holdings took over NetSuite, it has carried out many acquisitions and integrations under the auspices of Pichai, including mergers with MySQL and orkday, and now has a market value of more than $5 billion for companies with a global market value of more than $100 billion, as for revenue, there is nothing to say, $350 million in revenue in half a year, but the loss has also widened a lot. However, there are still many bullish voices in the market, and the SaaS industry is now receiving great expectations, especially NetSuite, as a SaaS company that benchmarks Oracle, the market has given a lot of attention. Unshackled, NetSuite is at full capacity, and years of technology accumulation have brought rapid development.
Odobi is also such a company, which was previously limited to the traditional development model of the software industry, and once transformed into a SaaS company, it will immediately have great development. There are not many companies with a market value of 100 billion dollars, and by the end of 2018 there were only 53 companies in the world. Among them, there are many Chinese state-owned enterprises and energy companies, which shows how difficult it is to become a company with a market value of 100 billion dollars.
Although he doesn't know how Odobi rose, he still knows that Shantanu Narayan, who is also an Indian, has more Indian elites in high positions than Chinese in Silicon Valley, and the reason for this is worth pondering. Is it true that the Chinese are not good at management and are only good at being bosses?
The two discussed some details, such as the price, compared to the possible increase in value in the future, plus Odobi's current predicament, there is really no need to worry about it.
"By the way, Mr. Zhou, I almost forgot, you can't use this money at will!" When the expert was about to leave, he suddenly saw a document.
"What's wrong?" Zhou Shi
"I don't know, but this document shows that there are other uses for this money, and you can see if there is anything left behind!" expert
Zhou Shi took the document and looked at it, and suddenly remembered, he was really busy and dizzy during this time, and he almost forgot about such an important matter.
"You go and do some preliminary preparation work according to the current amount of funds, and we will contact you in a few days. Zhou Shi sent his financial experts away, and then contacted Yahoo's top management to hold an impromptu meeting.
It turned out that at the same time as the merger of YELP and Yahoo, there was a company that was barely counted as his investment and was ready to go public, and he had no idea when he first invested, but finally saw the valuation range of the company's listing, and decided to be extravagant, and tried to contact several important investors in this company, but he didn't expect to hit it off, and the matter was quickly determined.
"It's time to start the process of acquiring LinkedIn!" Zhou Shi said bluntly
"Oh! what, buy LinkedIn, when was this decided!"
"It was approved by the board of directors before you came, but for the sake of a smooth merger with Yelp, we chose to put it on hold for the time being!" Zhou Shi, this kind of large acquisition is certainly impossible to bypass the major shareholders, but fortunately, the desire for social networking made them agree to this slightly high price.
"What price?" Chen Shouzong heard that the matter was already on the list after hearing the approval of the board of directors, and it was useless for him to object.
"Five billion dollars, at least fifty percent of which is cash!" Zhou Shi
"Such a high price! What kind of business is this, is it worth it?" said Chen Shouzong
"It's worth it, and if it goes public, their market capitalization will be even higher!" said Morse, the CFO
Yes, in the previous life, Microsoft acquired LinkedIn for $26 billion in cash, and now it is $5 billion, and the minimum is only $2.5 billion in cash, so why not?