The yellow booklet was what Su Cheng had read the longest, and the Internet company in it was also the company with the highest return on investment that he knew.
Before the Internet era, there had never been any company or industry that could generate such high value in such a short period of time. Not even the legendary silk business, spice business, or even colonial business and drug trade could do so. reach such heights.
Take Netscape as an example. When it went public in 1995, the Wall Street Journal commented: It took General Dynamics 43 years to reach a market value of US$2.7 billion, while Netscape only took one minute.
Even counting from the prototype design of Netscape, it only took 3 years. In the following three years, Netscape's market value doubled again, and it still has considerable potential.
This is a scene that is difficult to see in traditional industries. Even the once-new semiconductor industry and telecommunications industry cannot create such brilliance.
People in 1994 could not have predicted that the world would change like this.
Ji Runzhi is like the jackals of investment banks. They are optimistic about the new Internet industry, but they can never predict the booming development of the Internet industry.
The $2.7 billion Netscape seemed like a fantasy in 1994.
The question of whether Google, worth hundreds of billions of dollars, must die was still a fantasy in 1995.
However, Su Cheng rummaged through the dirty books and couldn't find names like Google, so he simply said: "I like Internet companies, especially search engines, like Yahoo. Every month from now on, you have to pay Can I do a detailed report on the company in this area?¡±
"No problem." Ji Runzhi smiled and said, "So, I can host this investment plan?"
"I will allocate funds to you on schedule." Su Cheng pondered for a moment, and then said: "I will send new financial personnel to Dahua to invest. On the one hand, you can set your own investment goals. On the other hand, you must Achieve the goals I set, and the goals of the company I asked to acquire are higher priorities."
"Understood, I believe in Director Su's vision." Ji Runzhi did not lie. Just the recent London futures trading has proved Su City's investment level.
Su Cheng nodded slowly, then picked up another loose-leaf book, and said as he read: "When acquiring these companies, you must pay attention. On the one hand, you must leave enough shares for the management to stimulate their initiative; on the other hand, you must Reduce legal disputes as much as possible. Especially the company I require to acquire must be clean, complete patents, complete company composition When exercising shares, special consideration must be given to the issue of profit distribution once the company is listed ¡¡±
"For entrepreneurial companies, disputes are often difficult to avoid. If you want to get clean and complete shares, you will definitely have to spend more money."
"Then spend more money." The earliest Netscape was worth tens of millions of dollars in 1994, and there were investors reasons for this. The so-called extra money spent on a company is rarely more than a million dollars.
"Okay." Ji Runzhi had no objection. Many large companies will have similar requirements. Generally speaking, larger companies have more documents to sign, and the cost of signing is often higher than that of small companies. However, in terms of average risk, large companies obviously control it very well. .
Ji Runzhi originally preferred signing more companies. After all, venture capital is an investment behavior that casts a wide net. However, he did not object to Su Cheng's request. In his opinion, this was also a good sign of the company's formalization.
After thinking for a moment, Ji Runzhi asked tentatively: "About the first company you saw"
"Netscape? What happened to it?"
¡°The patent itself seems to be incomplete.¡±
"Oh?" Su Cheng knew that even if Netscape was good, how could he know the details inside, so he couldn't help but focus.
"The designer of Netscape originally designed it in college, so the patents and the original browser were left in the university. The current Netscape is one that he went out on his own and rewrote. So, if someone takes the browser from the university After buying the patent of the device, it can also be developed on this basis. Of course, it is not easy, but it is still a loophole."
"Then buy it from the university." Su Cheng vaguely remembered that Netscape and Microsoft's IE were related. Now that I think about it, that's the reason.
Ji Runzhi coughed and said, "The University of Illinois has sold the patent to a company. I can ask about the price"
"If you can buy Netscape, then you can buy back the patents after all. If that doesn't work, buy that company as well. If you can't buy Netscape, then you need a license." Su Cheng made the decision quickly. .
Ji Run was stunned and said: "If we forcefully buy the patent, the cost will be much higher."
"How much higher?"
"One or two million dollars. Say less."
"Buy it." When Su Cheng saw Netscape, he was thinking of billions of dollars, and naturally he didn't care about one or two million dollars.
To put it bluntly, the profit margins of Internet companies are much higher than those of traditional energy companies. If you work hard to get an oil field, you may only earn billions of dollars, but an Internet company can be worth billions of dollars.
Of course, the profits from oil fields are quite stable, and using venture capital to obtain equity in Internet companies is not much higher than the probability of finding oil fields. From this point of view, the energy industry and the Internet industry have their own merits.
However, there is one great thing about energy companies that will be difficult for Internet companies to match in twenty or thirty years, and that is that their social and political influence is very extensive.
Whether it is a Chinese company like Dahua Industrial or a large oil supplier like Exxon, they can use various means to more or less affect the situation at the national and international political levels. It is very difficult for Internet companies to achieve this. Ordinary large-scale Internet companies don't even think about it. It will take ten years for the top Internet companies to get one-tenth or more One percent respect commensurate with one's wealth.
In terms of wealth stability and security, energy companies are also among the best. Slightly larger oil companies are basically companies that cannot go bankrupt in various countries. At least in one region, they are a pillar-like existence and can receive countless preferential treatment. Their relationship with other companies in the industry chain will naturally be Turn it into a corporate network to improve your security and stability.
??Historically, venture capital has encountered lawsuits and lawsuits.
Netscape¡¯s browser was almost destroyed by Microsoft¡¯s rogue tactics.
¡° However, if it is Dahua Industrial that acquires Netscape, with the current momentum of Pan Asia Fund and Dahua Industrial, it will not be easy to directly defeat Microsoft, but it will be easy to urge the U.S. Department of Justice and federal prosecutors.
Ji Runzhi is willing to join Dahua Industrial because he actually has similar considerations. If not, he might as well stay on Wall Street.
Seeing that Su Cheng was right, Ji Runzhi naturally kept this in mind, then pointed at the loose-leaf book in Su Cheng's hand and said: "This is a high-tech company of a certain scale, and the investment cost will be much higher, but The risk will be much lower, for example, Microsoft and Cisco, their value has increased hundreds of times, and everyone generally believes that there is still room, but it is hard to say how much more."
"If you have extra money, buy itwell, it's 1994, and you can invest one to two hundred million dollars in Microsoft." Su Cheng continued to flip through the book as he spoke. In 1994, Microsoft had not yet released window95, let alone the Genesis window98, so there was still a lot of room for growth. However, this kind of upside cannot be compared with that of venture capital companies. Moreover, it is easy to get controlling rights, or at least a high proportion of shares, by investing in startups. Companies like Microsoft and Cisco can only pay dividends at most. Whether it is utilization or impact, it is not as good as venture capital.
¡°However, Sioux City cannot throw away all the tens of billions of dollars it has on hand to small companies. In comparison, Microsoft in 1994 was still a good choice.
After that, what about Apple when Steve Jobs resigned, and Buffett¡¯s Berkshire when he just became the world¡¯s richest man? Companies such as Hathaway, Dell, which has just stopped its personal computer retail business, and Nokia, which has not yet shown its leadership style, are all on Sioux City's list.
Sioux City made a rough estimate. If he spent 10 billion U.S. dollars to complete these acquisitions, regardless of whether he left the Internet bubble before it burst in 2000, he would become a super rich man with assets of at least 10 trillion U.S. dollars, comparable to the entire Rockefeller family. ¡
And in 1995 and 1996, there will be more Internet companies on the scene, such as Amazon, such as eBay
As the boss of an oil company, Su Cheng's nerves have long been tempered to a great extent. He has no burden at all for 10 trillion US dollars. He only said: "Build a few offshore companies, acquire companies and stocks, and put them offshore." in the name of the company.¡±
¡°If an ordinary person or an ordinary company CEO received 10 trillion U.S. dollars, he would be so frightened that he would not be able to sleep.
For Su Cheng, who has just experienced insider trading, visited the former Soviet Union, and is still fighting in Central Asia, more funds will only make him stronger.
In the oil industry, there are so many companies with crude oil reserves of billions or tens of billions of barrels. Everyone will only sleep better because of the increase in reserves, and will not be complacent when reserves decrease.
Ji Runzhi thought Su Cheng built the offshore company to avoid taxes, so he happily agreed. no oneLike paying taxes, just like no one likes protection money.
Su Cheng had no intention of becoming a billionaire. He confirmed the list of investment companies and began to prepare for his return to China. At the same time, he continued to meet with representatives of companies interested in joining the Pan Asia Fund. He also took time out to accept media interviews. He had no intention of celebrating. .
Su Cheng himself measures his personal wealth based on China's foreign exchange reserves. He owned billions of dollars in 1990, tens of billions of dollars in 1994, and trillions of dollars in 2014. It doesn't seem like he has much. The difference, to put it mildly, is that if he had "only" trillions of dollars in 2014, the ratio of his assets to the country's foreign exchange reserves would still be smaller.
However, what Su Cheng deliberately failed to consider is that China¡¯s foreign exchange reserves in 1994 were not worth mentioning internationally, but in 2014 China was already the largest country in foreign exchange reserves.
Su Cheng just consciously hopes to pay more attention to the role that this money can play.
In terms of enjoyment, he could have retired two years ago, and Su Cheng would be more willing to use the money to support Dahua Industrial and Dahua Laboratories.
¡(To be continued. Please search Piaotian Literature, the novels will be better and updated faster!)