Chapter 744 - Tencent Interferes?
Chapter 744: Tencent Interferes?
Relying on the WeChat platform, Juduoduo started to develop like a fission through viral distribution. Like a virus outbreak, more and more users were dragged into Juduoduo’s platform.
The scariest thing was that the virus-style marketing could only last for a month or even a few days. After it was exposed, no one would believe it anymore.
However, Juduoduo was not like that. They relied on their self-developed marketing strategy, “Slash”. Thus, Juduoduo has become a new link between fourth- and fifth-tier consumers. More and more good friends were activated because of Juduoduo, and their ex-classmates and exes who had not contacted each other for ten thousand years started to send them mysterious links…
This made many people’s hearts skip a beat when they saw the message, but they did not know whether to laugh or cry.
Other than that, after the fourth and fifth tier consumers’ market which was sinking started to flourish, this virus-type marketing also started to spread in reverse to the first and second tier consumers as well.
In a daze, a giant e-commerce aircraft carrier actually seemed to be sailing…
The price for this was Juduoduo’s company’s expansion, added employees, upgraded servers, increased bandwidth and subsidies.
Thus, in just two months, the 63 million yuan that Su Yang had just invested was almost gone, which was the reason why Su Yang rushed over.
Of course, he did not want to ask Juduoduo’s founder, Huang Zheng, why he spent so much money so quickly. Instead, Su Yang planned to continue investing. ‘At the moment, every percent of Juduoduo’s share is going to be worth hundreds of millions of yuan in the future!’
With this thought in mind, Su Yang was sent to Juduoduo’s headquarters by Pan Zhaodi.
When Su Yang got out of his car and was about to enter Juduoduo’s headquarters, he heard a WeChat notification.
Hence, Su Yang took out his glass phone to take a look, it was from his little angel, Chu Xia. ‘The clouds today were really pretty, so I wanted to take a photo and show you. But, when I thought that you wouldn’t be able to see it, I suddenly felt that… The clouds don’t look so pretty anymore.’
Su Yang faintly smiled when he saw Chu Xia’s WeChat message.
Then, He pocketed his phone and walked into Juduoduo’s headquarters happily.
Compared to the last time he was there, the Juduoduo’s headquarters had greatly expanded. It used to be just one floor, but at that moment, it had three.
Su Yang then went to the front desk and was about to greet the receptionist when he saw Huang Zheng chatting with someone, a man in his forties. He was dressed in a suit and black leather shoes, his hair pulled back, it was obvious that he was an elite.
When Huang Zheng saw Su Yang, he stopped chatting with the man and greeted him with a smile. “Mr. Su, you’re here.”
Su Yang smiled and walked over. “This is?”
Before Huang Zheng could introduce him, the man sized Su Yang up from head to toe. He smiled confidently and took the initiative to extend his hand. “Hello, Mr. Su Yang. I’ve heard a lot about you. I’m Luo Wan from Tencent’s merger & acquisition (M&A) department.”
Hearing that person’s introduction, Su Yang’s gaze froze.
‘Tencent’s M&A department?
‘These people aren’t simple.
‘Why are they here?’
Tencent’s M&A department was part of the Tencent Group’s business development group, but it reported directly to the CEO of the company, making them the most mysterious department in Tencent.
There were about 20-30 employees in the department, but they all come from internationally renowned companies or well-known investment institutions such as Google, Microsoft, Beterlsmann, Matrix Partners and Morgan Stanley. On top of that, they all come from either Peking University or famous universities in China.
The investment scale of this department had exceeded 10 billion yuan at the beginning of last year. The investment projects were all about software, mobile apps, games, online tourism, finance, maps, e-commerce, and more than a dozen of other fields. The investment projects included Bilibili, Kuaishou, Huya, Zhihu, 58 Tongcheng, and other well-known companies and websites.
‘So, it seems like they’ve also noticed Juduoduo and are planning to make a strategic investment.’
Hence, Su Yang, who was mentally prepared, subconsciously treated them as a competitor. So, he smiled and reached out to shake her hand. “Nice to meet you, I’m Su Yang from Jiadian Group.”
Seeing that they had gotten to know each other after shaking hands, Huang Zheng smiled and said to Su Yang, “When I came out to pick Brother Luo up just now, I thought that you would be here soon, which I’m right.”
Su Yang smiled and said, “I hurried over the moment I heard that you were interested in being financed.”
Thus, the two of them chatted for a while before heading to Huang Zheng’s office with Luo Wan.
This was obviously a private investment meeting because there was no one else other than the three of them. Even the other managers of Juduoduo were not present.
Arriving at the office, Huang Zheng called his secretary over and asked her to pour three glasses of water before closing the office door.
However, he did not return to his own table. Instead, he led the two of them to the sofa and sat down. Then, he said to Su Yang, “Mr. Su, I’ve kept this matter a secret because it’s rather important. In fact, I didn’t even inform anyone in the company either.
“The reason I called you here this time is because there is a preliminary conclusion to the matter, so I plan to have you come with me to see what you think.”
Su Yang looked at Huang Zheng, trying to figure out what he meant.
Even though their relationship was not that close and they had not interacted much, Su Yang understood what Huang Zheng meant.
‘Huang Zheng is actually very hesitant about this investment. He wants to cooperate, but he isn’t satisfied with the other party’s conditions.
‘After all, Tencent is one of the two leading figures in the country. So, the temptation is too great, and very few people could reject their offer. Therefore, Huang Zheng is afraid that once this matter is made public, there would be people in the company management who would disagree with him.
‘Actually, it would be fine if it was just one or two lower-level people, but if there are enough people who get tempted or have enough power, then it’s very likely that Juduoduo, the newly developed aircraft carrier, would collapse.
‘After all, everyone has different bottom lines and prices.’
At the thought of this, Su Yang nodded. “I understand. So, can you tell me what the preliminary results are?”
Huang Zheng smiled awkwardly. “The preliminary result is that we will cooperate.”
Su Yang was speechless.
‘Does this mean that there is no agreement at all?
‘Was there a huge disagreement?
‘No wonder they dare not make it public. Even the management of the company didn’t dare to inform them of the progress and conditions.
‘So, such a huge disagreement could easily lead to trouble.’
Then, Luo Wan from Tencent’s M&A department said, “This is a good start. After all, both sides have acknowledged each other’s value, plus we have confirmed that both sides have an urgent need for this cooperation.”
Su Yang smiled. “I’m just trying to get some information.”
‘I’m just being polite, anyone who believes me is a fool…’
As Su Yang complained in his heart, he asked, “Then, what are your conditions?”
Huang Zheng said, “Tencent’s valuation of my company is about 3.5 billion yuan.”
Su Yang did some calculations in his head. ‘It’s about four times more than the previous round of financing. However, it’s not different by a lot.
Huang Zheng continued, “They want to invest about 5% to 10% of Juduoduo’s shares, and these shares have corresponding voting rights.”
Su Yang nodded his head silently. ‘After all, this is Tencent we are talking about, so they will want to have the corresponding voting rights for their investments. After all, they’ve always been domineering.
Huang Zheng said, “Also, they need a veto power, which means they can say no to the company’s decision.”
Su Yang’s pupils immediately constricted when he heard this.
‘Veto power.
‘This… Is something incredible.’
Generally speaking, there are two purposes for investors or investment companies…
Firstly, it’s to make money, which accounts for most of them. After all, if they have invested so much money but still can’t receive the corresponding returns for it, they’d be fools.
Secondly, for a strategic layout, complete the business chain, and close the industry.
Typically, only huge corporations or a part of large corporations would have such a plan for the second type of investment.
The one who does this commonly within China was BAT, who had invested a lot of money and entered various industries. However, they did not do it to earn money, but to plan ahead. Or… To disgust their opponents and prevent them from succeeding.
At times like this, the parent group needs to have a certain level of control over the company. For example… Veto power. Whether the company listens or not is another matter, but at least it cannot violate the parent company’s will.
Su Yang looked at Luo Wan. “Then, what can Tencent contribute in return?”
Luo Wan smiled and said, “We’re investing hundreds and millions of yuan. WeChat and QQ share links don’t have any restrictions, and there’s low price data traffic support from Tencent’s internal departments.”
Su Yang nodded slightly. ‘It’s more domineering, but… Reasonable.
‘Aside from the money, WeChat and QQ sharing links are very easily blocked by Tencent, causing viral marketing to be ineffective. So if there’s no limit, it’s very tempting.
‘Finally, it’s Tencent’s low price data traffic flow, which is even more attractive.
‘Generally speaking, every subsidiary company in the corporation is independent, so even if they all belong to the parent company, they have to use money to exchange for resources and data traffic.
‘For many companies, money isn’t a problem. The problem is when they can’t even buy it despite having money.
‘With the help of QQ and WeChat, Tencent’s system has terrifying data traffic. It’s something that countless companies in the country covet.
‘However, normally speaking, the data traffic is only limited to the internal departments. So, unless they’re part of Tencent or have paid a very high price, they won’t be able to buy the data traffic no matter how much money they have.
‘Hence, if I could get Juduoduo to buy this data traffic, not only would Juduoduo be able to surpass the other giants in terms of development, the cost would also be much lower than whatever it currently is.’
At the thought of this, Su Yang looked at Huang Zheng. He knew that Huang Zheng must be worried about his gains and losses because he had too many conflicts of interest and could not make up his mind. ‘It won’t be suitable for him to get other management to participate, so he’s called me over.’
So, on the following day, Su Yang started to test the bottom line of the two of them. He wanted to understand the thoughts of both parties and at the same time… Think about how to maximize his own benefits.
Soon, the day ended, and they did not even get to talk about it.
This was normal when it came to financing, so none of them felt pressured.
That night, Huang Zheng treated the two of them to dinner.
After eating and drinking to their heart’s content, Huang Zheng and Su Yang first sent Luo Wan away at the entrance of the restaurant. Then, the two of them stood by the street and chatted.
On this day, Huang Zheng was full of energy and confidence. Even at the dining table, he seemed to be under the effects of the [Three Days Without Sleep Halo] as he was very energetic. However, after Luo Wan left, he showed signs of fatigue in front of Su Yang.
Seeming a little drunk, he said to Su Yang, “Mr. Su, do you think I… I… I…”
He said ‘I…’ several times, but could not finish his sentence. It seemed as though everything was stuck in his throat, and in the end, it turned into a sigh.
Su Yang patted his shoulder and said, “I understand.
“Actually, I’ve never interacted with such a huge company before, so I can’t give you too much experience. But… I happen to have someone who has this experience under me. I’ll call him over tomorrow to discuss with you.
“As for now, you should go back and rest.”
Huang Zheng nodded. “Alright!”
After saying that, the two left.
After Su Yang drove back to the hotel with Pan Zhaodi, they both each booked a room and went upstairs.
After Su Yang returned to his room, he called Zhao Licheng to discuss this matter.
‘I remember that when Little Deeny was investigating Zhao Licheng, she mentioned that Xinli Education was an investment by Tencent, and it belonged to one of Tencent’s companies.
‘Therefore, Zhao Licheng should know a lot more about Tencent’s system and their M&A department.’
After explaining everything, Zhao Licheng was silent for a while before saying, “Mr. Su, we can’t give away the veto power. Too many companies have ended up in trouble because of this.
“Furthermore… Based on Tencent’s conditions which you have told me, Tencent values Juduoduo very much, but they also want to have some control over it.
“This isn’t a good sign.
“After all, it’s not the first time that the founder of a company has gotten kicked out of the game by Tencent after they grow big.”
Su Yang then asked, “What should we do then? Reject them outright?”
Zhao Licheng still objected. “That won’t do either. Mr. Su, I feel that this is a rare opportunity from Tencent. You’d better let Little Hus take a sniff and confirm the impact Tencent will have on the company’s future before making a decision.
“After all, with Tencent’s support and without Tencent’s support could very well end up in two different development paths.”
Su Yang felt that Zhao Licheng was right. Hence, he called Little Hus over and asked it to take a look at the effects if Tencent were to invest in Juduoduo.
As a result, Su Yang was hit with a cruel reality. Tencent would actually play a decisive role in Juduoduo’s future development.
Juduoduo, who had Tencent’s support, would become a tycoon with a market value of more than 300 billion yuan. However, without Tencent’s support, Juduoduo’s market value would shrink by two-thirds, leaving only about 100 billion yuan.
An extremely significant difference.
Thus, Su Yang felt frustrated as he felt like he was faced with problems by both sides. If Juduoduo accepted Tencent, they might get kicked out of the game in the future. On the contrary, if they did not accept Tencent, they would not even have a future.
‘What the f*ck is there left to play here!’
However, Zhao Licheng, who knew about this news, smiled and said, “Mr. Su, it’s fine. I already predicted this when I said it just now. After all, Juduoduo’s business model is too compatible with Wechats’.
“That’s why I guessed that Tencent would have a huge influence on Juduoduo.
“However, you don’t need to worry too much because there are still ways to deal with this.”
When Su Yang heard that, he asked curiously, “What’s the solution?”
Zhao Licheng said, “It’s not convenient to talk over the phone. I’ll go look for you tomorrow morning and we’ll talk about it then. Besides, I need to check the relevant information too.”
Even though Su Yang’s heart felt like it was being scratched by a cat due to his curiosity, he still managed to accept it reluctantly. ‘It’s just one night anyway. I’ll know tomorrow morning, so there’s no rush.’
With that thought in mind, Su Yang hung up the phone and laid on the bed, preparing to sleep.
However, perhaps because of Zhao Licheng’s riddles and his [Three Days Without Sleep Halo], Su Yang ended up tossing and turning in bed, unable to fall asleep.
‘What should I do when I have insomnia?
‘Start counting sheeps then…’
Hence, Su Yang laid on the bed with his eyes closed and started counting sheep.
‘One sheep, two sheep, three sheep…’
While Su Yang started counting sheeps, just when he felt that the little sheep were about to jump out and say that they had been counted, he gave up. ‘I don’t think I’ll be able to sleep tonight.’
At that thought, he sat up and decided to find something to do.
‘What should I do then?
‘I can’t just go out and find someone to fight for no reason, can I?
‘What should I do then?
‘Chat with Chu Xia?’
The thought of Chu Xia’s little cutie holding back her sleepiness and chatting with him with dark circles under her eyes made Su Yang feel bad.
Then, he pondered for a moment and thought… ‘Why don’t I check and see if there’s anything unfinished in the system?’
With that thought in mind, Su Yang turned on the system. He wanted to see if he had any unfinished missions, recipes, or items.
When he opened the system, Su Yang realized that he really had an Advanced Random Mission that he had not completed yet.