0��67!6���ʪ��vhe|EŊp{ P d -1 V O | S Krd, you're having an interesting hand...... , tell me what you think?" Jiang Nanchun sat opposite Lin Feng and said with a smile.

"Yes, Xiaolin, I couldn't believe it when I saw this news, why did you suddenly think of privatizing Menglong?" Niu Gensheng, who was sitting on the side, also poked his head curiously and asked.

At this time, everyone's feeling is that no one has ever taken the initiative to delist the company in an effort to make the company public.

Lin Feng's move also caused a heated discussion in the CEO class.

Ma Yun whispered to Guo Guangchang, who was sitting next to him: "Guangchang, you are tight enough, Fosun participated in the privatization of Menglong, and you didn't have a good idea." ”

Guo Guangchang smiled shyly, he couldn't say that Lin Fengqian told him not to let Ma Yun know......

Li Dongsheng sat next to him, with a smile on his face that I had seen everything: "Rich, I have long felt that there is a bit of a problem with the separation of the two companies of Menglong and Fengxing, and the smartphone project that Fengxing is developing in the Silicon Valley Research Institute is very related to the many new businesses that Menglong is now acquiring, I think your purpose is to merge the two companies." ”

Lin Feng gave a thumbs up: "Sure enough, it's Brother Dong, and his vision is sharp." Yes, Fengxing will enter the field of smartphones next, and I hope to have time to ask you for advice. ”

TCL is the first batch of mobile phone manufacturers in China, and its TCL communication was listed in Hong Kong in 04.

Lin Feng really wanted to learn from Li Dongsheng.

TCL has experienced the glorious era of the first generation of domestic mobile phones before 03 years, but unfortunately because domestic mobile phone manufacturers do not have core technology, there is no continuous innovation ability, in Nokia's machine sea tactics and Samsung, which have core technology, in front of international manufacturers that are constantly upgrading, can not keep up with the pace. Since '05, it's been gradually declining.

Sometimes, the lessons of failure are more valuable than the lessons of success.

Li Dongsheng nodded and smiled, for him, he also hopes that TCL communication and Fengxing, an Internet company that is at the forefront of smart phone software research and development, may also be able to bring new vitality to TCL mobile phones......

Fu Chengyu smiled beside him: "Rich, you are playing a big game of chess!"

Lin Feng hurriedly humbled himself: "Where, where is it, I'm all making a small fuss, there's no way......"

…………

As soon as the news of Menglong's privatization came out, the domestic financial circles were also in an uproar!

At present, the vast majority of emerging technology companies will go public in the United States as the ultimate goal, and when they are working hard, Lin Feng actually wants to delist the company that is still performing well and has a market value of more than 2 billion US dollars!

What exactly does this "richest man" think?

At this time, Lin Feng was taking the CEO class course of Cheung Kong Graduate School of Business in the United States, and the major domestic media could not find him for an interview.

Menglong's PR director Xu Qian announced the news to the outside world, but it was completely official:

"The board of directors of the company has set up an independent special committee to study the privatization offer of Lin Feng, the major shareholder and chairman of the board of directors, and there is no new information to disclose to the public for the time being. ”

In the media, there have been many discussions from all sides, and many interpretations have been made on Lin Feng's privatization of Menglong.

I have to say that there are still discerning people, and some of these experts' commentaries basically guessed Lin Feng's intentions.

For example, Fang Xingdong, a well-known Internet commentator and founder of the blog network, published a blog post saying: "Lin Feng's privatization of Menglong, on the one hand, should be forced by the major adjustment of the domestic wireless value-added industry, and there are concerns about Menglong's future performance, and the new business for the mobile Internet has not improved for the time being. On the other hand, if Menglong merges with Fengxing after privatization, it will also clear the obstacles for the overall listing of Fengxing in the future. With Menglong's performance supplement, it will be popular to go public when the time comes, and it will be able to refinance astronomical funds, which will not be a loss. ”

Keso and Fang Xingdong have similar opinions: "The price of $28 is a 75% premium to the issue price of $16 at the time of listing, a 24.4% premium to the average closing price of $22.5 in the last 30 trading days, and a 28.4% premium to the average closing price of $21.8 in the last 10 trading days. I think the privatization of Menglong is for the sake of the popularity of the overall listing. ”

Basically, at this time, Lin Feng didn't care about being guessed by the outside world that he was going to merge Menglong and Fengxing and go public as a whole.

After the privatization offer was issued, Lin Feng was interviewed by ABC and CNN in Philadelphia.

He said: "The privatization of Menglong is because Menglong's main business, wireless value-added business, is affected by the overall impact of the industry, uncertainties and risks, and I think it is appropriate to privatize it at this time out of the consideration of being responsible to shareholders." ”

"After the privatization of Menglong, we can focus more on adjusting, transforming and upgrading our business, without considering performance pressure and other external interference, which will help us to plan our business for the future. ”

When asked why the privatization was priced at $28, Lin Feng responded:

"We raised more than $300 million when we went public, and now, three years later, we are going private for $1.6 billion, which looks like a loss-making business, and someone suggested that I could buy the stock back at a lower price. But that's not my style. I am always grateful to our colleagues who have been working hard and the shareholders who have always supported us. For their support and companionship over the past 3 years since its listing, I have decided to express my gratitude and respect with the utmost sincerity and in the fairest way possible. I hope that all shareholders must also be given a chance to choose. ”

When asked whether Lin Feng, as a leading company in China's Internet industry, would let Fengxing go public, Lin Feng also showed his words.

"Yes, after Menglong is privatized, it will merge with Fengxing, and after the merger, the new Fengxing Group will start the listing plan!"

After the interview aired in the United States, it generated a great deal of interest in the American capital markets.

For the privatization of Menglong, the majority of institutions are: sell it, the price is good.

JPMorgan Chase believes that for shareholders, the deal is largely unnecessary. Shareholders have the opportunity to profit from attractive premiums without taking on the different risks that come with new business strategies. The outlook for China's SP wireless value-added business has been bleak, and the declining stock prices of other SP companies have added a layer of fog to the prospects of the company, which is known as "China's No. 1 SP stock".

What they are more interested in is that after the privatization of Menglong, it merged Menglong's popular online, when will it be listed, and where will it be listed?

As more and more Chinese companies, especially Internet companies, have listed on the Nasdaq in recent years, and especially last year's Baidu IPO, which has made everyone crazy about the soaring stock price, US investment institutions have been greatly stimulated to increase their research on Chinese companies.

In China's Internet sector, the two most attractive companies to the U.S. capital market are Fengxing Online and Alibaba.

Alibaba's acquisition of Yahoo China and its $1 billion financing have made the U.S. market very bullish on it.

Fengxing, on the other hand, is the hegemon in China's social networking and gaming sector.

Together, Fengxing and its controlling company Tencent have more than 80% of China's social and instant messaging market share and are the number one leader in the online gaming sector.

According to estimates, after entering 2006, the quarterly revenue scale of Fengxing will be at least about 1 billion yuan, and the annual revenue scale is expected to exceed 4 billion, and because the main revenue comes from online games, the profit margin is extremely high. It is interesting to note that the Internet value-added service income brought by the FF open platform under Fengxing is rising strongly.

This can be seen from the financial report released by Tencent Holdings, a Hong Kong stock company, that the revenue from the FF platform has increased significantly.

In horizontal comparison, Alibaba, which is currently popular because of the acquisition of Yahoo China, has an annual revenue of only about 800 million yuan in B2B business (Taobao is still free).

Shanda Network is a star Chinese concept stock that has been dazzling on the NASDAQ in the past two years, and it has just announced its first-quarter financial report, with a revenue scale of only 300 million yuan.

As for Baidu, which created the myth of doubling its stock price when it went public last year, its revenue in the first quarter was only 135.6 million yuan......

What's more, if Menglong is privatized, it will merge with Fengxing.

Although China's industry adjustment is underway, Menglong's current revenue of about 500 million yuan per quarter is still relatively stable, so that the new Fengxing will be an Internet behemoth with an annual revenue of more than 6 billion yuan (770 million US dollars) and a profit of nearly 4 billion (510 million US dollars)!

The launch of such a company with an excellent revenue and profit model will be a feast for the entire capital market!

What's more, the popular listing has been expected by the capital market for several years!

However, the listing of Fengxing is still only in the plan, and the privatization of Menglong, which is currently underway, has attracted the attention of a large number of institutions.

It's a pity that Lin Feng cut through the chaos quickly this time, and did not seek extensive financing at all, but after delineating several institutions, he negotiated secretly and quickly reached a cooperation.

According to the privatization merger agreement subsequently announced by the board of directors of Menglong, the acquirer and major shareholder Lin Feng has established a company in Cayman called Funshion Group Holdings Limited, according to which Menglong Technology will merge with its subsidiary Funshion Acquisition Limited.

Prior to the merger, Menglong Technology was held by Lin Feng, Wang Hao, Li Dong and other public investors. Among them, some shares of Lin Feng and others will be automatically exchanged for shares of Funshion Group Holdings Limited (parent company), and other shares of Menglong Technology will be acquired at a price of US$9.33 per share (US$28 per ADR).

After the merger, Menglong Technology will become a wholly-owned subsidiary of Funshion Parent Limited (the acquiring company), which will be wholly owned by Funshion Group Holdings Limited (the parent company).

In other words, the acquiring company of the merger and acquisition entity is the entity of the privatization.

The equity composition of the merger and acquisition entity is composed of the privatization consortium.

Pursuant to the Equity Financing Commitment Letter, the investors provided a total financing of approximately US$1.02 billion to support the privatization based on their stake in Funshion Group Holdings Limite, the parent company. (China Merchants Capital and Bank of China Investment provided US$200 million each; Boyu Investment provided US$50 million, Fosun Group provided US$70 million, Maple Leaf Investment provided US$100 million; Sequoia Capital provided US$200 million, and JP Morgan provided US$200 million).

In addition, Lin Feng has also made debt financing, with a consortium consisting of HSBC in Hong Kong, China Development Bank Hong Kong Branch, Bank of China Hong Kong Branch, Citigroup, UBS and others to provide a loan of US$800 million to Funshion Acquisition Limited to support the privatization.

As a result, the amount of financing for the privatization of Menglong reached $1.82 billion.

Since privatization financing, replacement, and mergers and acquisitions are all carried out at a unified valuation, Lin Feng and others not only do not need to come up with their own money through debt financing in leveraged buyouts, but can also obtain a lot of income through equity replacement......