Chapter 128 Private Equity

From the birth of the company to the listing, the company has to go through a series of financing processes. Post-IPO, or initial public offering, refers to the process in which an enterprise issues additional shares to investors through the initial public offering of shares on the stock exchange, with a view to raising funds for the development of the enterprise. Generally, after listing, the company needs financing, and in most cases, it will be directly in the financial market, that is, the secondary market, directly to shareholders.

Before going public, from birth to listing, the main way for a company to raise funds is to receive 'venture capital', equity for money or some kind of strategic resources.

Venture capital is a relatively general term, and if it is subdivided, it can be called 'angel investment', 'venture capital', and 'PE' according to the current development and operation of the company, that is, private equity investment.

Among them, angel investment is the earliest, at this time the company has just begun to start, basically or the stage of losing money, investors with a small amount of money, can make the enterprise survive, can be exchanged for a large amount of equity in the company; obviously, once the company is successful in the future, the return on angel investment is huge, but again, the risk is also extremely high. Of the hundreds of angel investment projects, only one or two can be successful, and the investment amount is relatively small, generally at the million level.

After that, the process is venture capital in the conventional sense, at this time, the company has basically found its own direction, gained a foothold in the industry, has its own characteristics, and even began to make profits, but due to the lack of development funds, so the introduction of venture capital, generally known as the A round, B round, C round...... That's it.

At this time, although the enterprise has shown a good prospect, but the development of the enterprise is subject to many constraints, at this time, the investment, the risk is large, the return is also large, the amount of investment, in the tens of millions to billions.

Then the last step, which is the pre-IPO financing, is PE, which is often referred to as 'private equity investment'

At this time, the invested company has grown and is ready to go public, and it cannot be said that there is no risk, but compared with the first two, the risk is almost negligible.

At this time, the company is not lacking money, but strategic partnerships, in order to go to the company on a higher platform, the stock price rose to the highest after listing, many companies before listing, will introduce strong partners, PE for the company.

To put it bluntly, PE is here to share the cake.

In the more extreme case, some domestic companies do not fully have the ability to go public, while some PE companies have the ability to make them go public, so before listing, the two will marry and take what they need.

Zeye has a good performance and does not have the problem of not being able to go public, but it has also introduced two PEs as strategic allies for the development of the north and Shu in the future.

"Miss Mei, how much are you going to want?" asked Zhao Zejun.

"Not much, 6%. Mei Tingting said very calmly.

Zhao Zejun was silent for two or three seconds, and suddenly smiled, but a cold light flashed in his eyes, looked at Mei Tingting, and said word by word: "PE, it's completely here to share the cake, I want to ask, you Huiyuan, how can you be rich, at the juncture when Zeye is about to go public, the red mouth and white teeth are going to leave the future worth billions of shares?"

Although the price at which PE buys shares exceeds the angel investor and venture capital stage, it is also a very low price relative to the future listing price, and the future will be dozens or even hundreds of times more profitable.

If it can't bring qualitative changes to Zeye, Mei Tingting's request is to rob Zhao Zejun, shareholders and shareholders in the pockets of Zhao Zejun and shareholders, and snatch 6% of Zeye.

"Mr. Zhao, maybe you don't know much about Huiyuan Company. Mei Tingting had no stage fright, looked confident, and said: "Although Huiyuan is not famous, it has a strong background and ability, which can ensure the smooth listing of Zeye." ”

"Zeye went public smoothly, and I don't need anyone to assure me. Zhao Zejun waved his hand.

"Mr. Zhao, maybe I didn't make it clear. Mei Tingting smiled faintly: "In this way, let me say it in another way, receiving Huiyuan PE, Zeye can be listed smoothly." ”

Zhao Zejun's eyes flashed: "In other words, if I don't agree, Zeye will not be able to go public?"

That's your personal understanding. I think that without the participation of Huiyuan, the road to Zeye's listing may be hindered, and even if it is listed, it may encounter all kinds of troubles, after all, the financial secondary market is open and anyone can participate. What do you say?"

"I understand that this six percent equity is the protection fee. Zhao Zejun sneered.

"Mr. Zhao, why do you have to say it so ugly. At the end of the day, all we earn is the money of stockholders, you eat meat, we just drink some soup. ”

Mei Tingting pretended to look at the small watch, got up, and said: "Mr. Zhao, I still have something to do, go first, you can think about it first and then make a decision, by the way, if you don't know the origin of Huiyuan Company, you can ask a friend with senior qualifications in the financial circle, I think, you should have such a friend, their advice will make you more reasonable." ”

After speaking, his face was the same, and he turned away arrogantly.

"Wait a minute. Zhao Zejun suddenly spoke, and his tone was very light.

"Is there anything else? My phone number is on the business card, you can contact me directly if you figure it out. ”

"Wait. Zhao Zejun said.

"Oh, Mr. Zhao figured it out so quickly?" Mei Tingting laughed a little sarcastically: "Sure enough, I know the current affairs......"

Zhao Zejun slowly walked in front of Mei Tingting and looked at her condescendingly. Mei Tingting puffed up her chest, not having to let the other party's gaze at all, on the contrary, her eyes were full of provocation.

"Miss Mei, you probably forgot who you are. Zhao Zejun said word by word: "Huiyuan may have some ability, but you are just a dog, whether it is used to run errands or go to bed, a dog is a dog! Don't you like to let people guess, then you can also guess, if I am willing to take out the shares, the condition is to hand you over to me, how will your master choose? Or, I tell your master, because your attitude is too bad, I am not willing to take out the shares, guess how your master will treat you?"

Mei Tingting's expression changed, her lips were half open, and her expression stiffened on her face.

Zhao Zejun let out a cold snort in his nose, raised his hand, slowly helped her straighten her hair, and then patted her face gently.

"Remember who you are, and then leave in a gesture that matches who you are. ”

Mei Tingting's expression changed in an instant, but in the end she had to suppress her anger, gritted her teeth, bowed slightly, and said in a voice like a mosquito: "Mr. Zhao, I quit." ”

"Do you want to say that today's humiliation will be repaid tenfold in the future?" Zhao Zejun sneered.

"Don't dare. Mei Tingting's face sank as the bottom of a pot, and she turned around and left the office.

After she left, Zhao Zejun thought about it, took out his mobile phone and dialed Qiao Xinyun's number.

After sending an evil fire, he was in a slightly better mood, and now he has to figure out what the origin of this Huiyuan company that dares to come to ask for equity nakedly.