Article 092 VAM

Tencent is prepared for Wei Dongsheng's attitude.

Zeng Liqing negotiated with Wei Dongsheng on behalf of Tencent: "What about your opinion? ”

Wei Dongsheng said eloquently: "You know, I am very optimistic about Tencent. Even if I don't want a controlling stake or voting rights, I'm willing to value Tencent at 5 billion yuan. Instead of a conservative listing, you might as well let me buy out the 25% equity of the additional issue at the median price of HK$1.5 billion. ”

Zeng Liqing asked: "Spring and Autumn Company has 1.5 billion cash flow? ”

Wei Dongsheng decisively offered "Spring and Autumn of the Ten Kingdoms": "The sales of "Spring and Autumn of the Ten Kingdoms" in January were 142.59 million yuan, and the sales in February were 142.52 million yuan. What do you think? ”

Hearing the exaggerated monthly sales of "Spring and Autumn of the Ten Kingdoms", everyone unconsciously showed envy. In just two months of 2004, "Spring and Autumn of the Ten Kingdoms" has accumulated 2.8511 yuan in revenue, while Tencent's total annual revenue in 2003 was only 735 million yuan. If you simply compare revenue and profit margins, a "Spring and Autumn of the Ten Kingdoms" is worth two Tencents.

Tencent's founding team researched the online game market through personal relationships and learned that the old operator Shanda Network was also making a lot of money, with an estimated revenue of 250 million yuan in the first quarter of 2004, and NetEase, the owner of NetEase Bubble, which is a threat in the instant messaging market, is estimated to have an estimated revenue of 100 million yuan in the first quarter of 2004 by virtue of the accumulation of "Westward Journey 2" and the outstanding performance of "Fantasy Westward Journey".

Tencent's founding team couldn't help but sigh: "Online games are really profitable." ”

This is the era of online games.

Tencent, which lacks an online game business, is tantamount to walking with a limp.

Tencent's founding team is increasingly eager to cooperate with Spring and Autumn Network.

Although Tencent's founding team is eager to develop online games, it is impossible to sell a 25% stake to Wei Dongsheng. Zeng Liqing politely rejected Wei Dongsheng's proposal and continued to deduct cash: "Although "Spring and Autumn of the Ten Kingdoms" is a phenomenal online game, it has only been on the market for less than nine months after all, and Spring and Autumn Company should not be able to come up with so much cash for a while, right?" ”

In November 2003, the monthly sales of "Spring and Autumn of the Ten Kingdoms" exceeded 100 million yuan for the first time, and it was naturally impossible to accumulate 1.5 billion yuan of cash flow in just four months. Wei Dongsheng avoided talking about the shortcomings of the Spring and Autumn Company, and offered a common procrastination trick in business negotiations: "The Spring and Autumn of the Ten Kingdoms can bring 100 million profits every month, and in two or three years, you can raise 1.5 billion yuan in cash." ”

Zeng Liqing refused: "The purpose of Tencent's listing is to raise more than one billion funds as quickly as possible. In the past, we deeply understand the pain of lack of funds, and in order to gather more users, we must not set up barriers again and again to prevent new users from registering in order to relieve the pressure on the server. Tencent's profit in 2003 was 322 million yuan, and if we are willing to wait, we can raise 1.5 billion yuan in four or five years. If Tencent wants to develop rapidly and healthily, it must raise sufficient funds as soon as possible. I hope you understand. ”

Wei Dongsheng's request for 25% of the equity was just a negotiation technique, and he lowered his requirements in Zeng Liqing's tone: "I can understand Tencent's shortage of funds, but I can't accept equity dilution." ”

Zeng Liqing suddenly took out a copy and handed it to Wei Dongsheng: "We have another equity distribution plan." ”

Zeng Liqing's plan is as follows: the issuance of 25% more new shares, and the 7.2% equity held by the Spring and Autumn Company to be diluted to 5.4%, must be implemented, and there is no room for negotiation. However, if certain conditions are met, MIH and Tencent's founding team are willing to compensate and transfer the equity at the reserve price, increasing the shareholding ratio of Spring and Autumn to between 8% and 15%.

Wei Dongsheng finished reading it briefly and asked, "What does a certain condition mean ......?" ”

Zeng Liqing: "We hope to reach a strategic cooperation with Spring and Autumn Network in the field of online games. ”

Wei Dongsheng nodded: "I said a long time ago that Spring and Autumn Network has technology and experience, Tencent has the environment and traffic, and the cooperation between the two sides is a good thing that one plus one is greater than two." However, I also have the conditions that Tencent's online recharge system must introduce a third-party payment credit from Spring and Autumn. ”

Zeng Li Qing frowned when he heard this.

Ma Huateng, who was taciturn, took responsibility in time, and vetoed Wei Dongsheng's condition with a serious expression: "Tencent needs to have its own third-party payment." ”

Wei Dongsheng: "But, now, Tencent doesn't. ”

Ma Huateng: "There will always be." ”

Ma Huateng understands the role of third-party payment, and Wei Dongsheng also understands that Ma Huateng will not give up the third-party payment business, so he retreated and said: "At least, not now." ”

Ma Huateng is not proficient in debate, and simply repeats his opinion: "Tencent will always have it." ”

Wei Dongsheng: "Before Tencent launched its own third-party payment, it first supported credit treasure; After Tencent's technology matures, it will stop supporting credit treasure, so good? ”

Ma Huateng was stunned: "You are like this, there is no point." ”

Wei Dongsheng shook his head: "It's not that it's meaningless, but I think a product like Credit Treasure has its threshold." Credit treasure and Spring and Autumn safety housekeeper tightly fit, this is the only way to dare to shout out the slogan of "you dare to use, I dare to pay, the maximum compensation is unlimited", even so, credit treasure has a compensation bill every month. Tencent must have a long way to go if it wants to develop its own third-party payment, and these times are enough time for Xinbao to spread its influence. ”

A word of safety, Ma Huateng fell into thought.

Dozens of seconds later, Ma Huateng insisted on his opinion: "What the Spring and Autumn Security Steward can do, Tencent will definitely be able to do." ”

Ma Huateng immediately added: "However, before Tencent launches its own third-party payment, you can first access Chunqiu's credit treasure." ”

Wei Dongsheng was satisfied with Ma Huateng's concession: "Let's talk about the cooperation of the online game business, how are you going to cooperate?" ”

Ma Huateng returned to a state of silence, and Zeng Liqing continued to speak on behalf of Tencent: "We have two ideas for cooperation. First, Spring and Autumn Network dispatched a team to help Tencent jointly operate one to three online games, and we are willing to transfer 3.6% of the equity at a low price, that is, after the issuance of new shares, Spring and Autumn will hold 8% of the equity; Second, Spring and Autumn Software specializes in producing an online game, which is jointly operated by Spring and Autumn Network and Tencent, and we are willing to transfer 4.6% to 9.6% of the equity, and then decide the transfer price according to the situation. ”

Wei Dongsheng: "Depending on the situation, how should you treat it?" ”

Zeng Liqing did not say the detailed standard, and said with a smile: "The average number of players online or monthly sales is the standard, if you can average 100,000 people online, everything must be easy to say." ”

Wei Dongsheng: "The average daily online 100,000 yuan, calculated at 0.25 yuan per hour, is equivalent to daily sales of 600,000 yuan and monthly sales of 18 million yuan. Spring & Autumn Software has experience in making freemium games, so let's talk about heroes by monthly sales. If this new game launched by Spring and Autumn Network can reach a monthly sales of 18 million yuan, how much equity is Tencent willing to transfer to us at what price? ”

Zeng Liqing didn't expect Wei Dongsheng to directly lock in the highest standard, and was stunned: "Of course, it is the most favorable condition." ”

Wei Dongsheng: "To what extent is the discount?" ”

Zeng Li Qing pondered for a while and elaborated on the figures: "If the game is launched within one year, that is, before April 2005, and the monthly sales in 2005 or 2006 have reached 18 million yuan for six months, or the average monthly sales for the whole year reach 18 million yuan, we are willing to transfer 9.6% of the equity to Spring and Autumn for 50 million yuan." That is to say, after Tencent's listing, Spring and Autumn has a 15% stake. ”

With a valuation of 5 billion, 9.6% of the equity is 480 million.

With a previous valuation of 480 million yuan, Tencent was unwilling to transfer its equity, but at this time, Tencent was willing to transfer 9.6% of its equity for 50 million yuan.

Tencent's coveting of the online game business can be seen.

Tencent is not selling equity, but wants to pry open the door to online games.

The average monthly sales were 18 million yuan, and the annual sales were 216 million yuan, and the annual profit was between 60 million yuan and 90 million yuan after deducting the issuer's sales share, operating expenses and tax burden. Considering the longevity of online games, it is difficult for this game to balance the gap between 480 million yuan and 500 million yuan.

However, this cannot be done with accounts.

Looking back on 2003, except for the "Spring and Autumn of the Ten Kingdoms" and the legendary series and "Miracle MU", there are very few that have reached the peak of 18 million yuan in monthly sales. In 2003, the annual revenue of Huaguo's online game market was 17.22 yuan, deducting 633 million yuan from Shanda and 468 million yuan from Spring and Autumn Network, and the total revenue of the remaining online game manufacturers, including Ninth City, Guangtong Communication and NetEase, was only 621 million yuan. The average monthly sales of 18 million yuan is the annual sales of 216 million, think about the ratio of 216 million to 621 million, you can clearly understand what kind of online game the average monthly sales of 18 million yuan is.

In fact, Shanda Network hopes to replace "Legend of Blood" in "Legend World", and its current monthly sales are only more than 20 million yuan.

Looking at the online game industry from the perspective of 2003, it is able to operate an online game with a monthly sales of 18 million yuan, and it is at least the second tier of online game operators. With such a reputation and practical operating experience, Tencent can slowly pry open the door to online games and move towards healthy development like NetEase.

In Zeng Liqing's heart, online games with monthly sales of 18 million yuan are quite high-grade.

In order to avoid scaring Wei Dongsheng away, Zeng Li Qing immediately explained the cooperation conditions of other grades: "If this game reaches 10 million yuan in monthly sales......"

Wei Dongsheng very impolitely cut off Zeng Liqing's speech: "Needless to say, 10 million, if the online game produced by Spring and Autumn Software cannot exceed the monthly sales of 18 million yuan, the cooperation between Spring and Autumn and Tencent will lose its meaning." ”

Zeng Liqing smiled awkwardly.

It's too domineering, isn't it?

The sales of 18 million yuan are not visible.

Is this a natural phenomenon that treats the miracle of "Spring and Autumn of the Ten Kingdoms" as a natural phenomenon?

Wei Dongsheng ended the cooperation negotiation domineeringly: "Let's take the monthly sales of 18 million as the standard." However, how exactly is joint operation? Spring and Autumn Network has its own online games to operate, and online games are not Tencent's main business, and there will definitely be various contradictions in the future. In this way, Spring and Autumn and Tencent each invested 25 million yuan to register a new company, which is responsible for the targeted research and development and operation of new games. ”