The headquarters of Paradise Online is in a building to the north of the Yuquan Campus of Zhejiang University by the West Lake. Paradise Online occupies half of the 12-story business building. Because the company is becoming more and more prosperous, Paradise Online has circled 130 plots of land in a prime location on the west side of the Zhejiang University campus next to the Huanglong Sports Center, and plans to build a comprehensive headquarters park in cooperation with the Greentown Group of Zhejiang Province.
The once famous Greentown is also a real estate company supported by the Westeros system in China.
In a blink of an eye, it is already June 7th.
Wednesday.
Simon visited Paradise Online with Lin Su in the afternoon.
"In terms of content strategy, we found that the information on the portal website was ultimately too simple and decentralized. Therefore, starting from last year, we focused on a plan to cultivate a series of specialized professional websites covering sports, software, military, and movies. , digital, finance, education, etc. Since the implementation of the plan, we have incubated 37 projects, of which 2 have average daily visits of over 10 million, 7 have over 1 million, and the others are basically more than 100,000. Overall, it is very successful. Next, our paradise portal will gradually tend to be a navigation portal, introducing traffic to various subdivided content projects, and no longer tend to self-produced content."
In the conference room.
Simon and Lin Su sat in the audience together, waiting for Paradise Online CEO Liao Chengyu to finish, and asked: "What is the equity structure of these projects?"
Liao Chengyu said: "The investment and shareholding model is basically adopted. This is to take into account the enthusiasm of the project team. Otherwise, it will be completely owned by us, which is no different from internal projects. I think it will be difficult to get rid of it. However, we are currently working on all projects. We maintain an absolute majority controlling stake of more than 50% and the exclusivity of all project website content. In this regard, even if the shareholding ratio is reduced to less than 50% in the future, because of the binding agreement, it will not change in the short term.”
Simon was noncommittal, and Lin Su beside him thought the man was dissatisfied, so he softly explained: "You said it yourself, we can't take all the benefits."
"That's not it," Simon shook his head: "The problem is content exclusivity. The traffic of Paradise Online is indeed very objective, but limiting these websites to one company will definitely hinder their development." He looked at the two of them respectively. Then he said: "You also know that I currently hold shares in several Internet companies in China, which can be regarded as one."
More than just holding shares
Liao Chengyu thought something in his heart, and argued with the big boss calmly: "Mr. Westeros, the problem is that we are no longer a company, but a competition. You are from the United States, and you must understand that competition can lead to success. Progress. Since it is competition, everyone must give priority to their own interests. Currently, everyone is running portal business, and the homogeneity is serious. It is difficult to say how many will survive to the end. We must maintain our competitiveness."
History has deviated to the extent that it is now, and it is difficult to say what is right and what is wrong. Or, whichever company succeeds in the future will be right.
Success or failure depends on the hero.
Simon thought to himself, nodded, and without saying anything else, motioned for Liao Chengyu to continue.
Liao Chengyu continued to introduce some projects currently being operated by Paradise Online, and finally put down the projector remote control and looked at the young tycoon sitting in the audience: "Mr. Westeros, one last thing, regarding Paradise Online's IPO, I started from last year I have already submitted two reports to the board of directors, but they were rejected both times. Can I ask why?”
This question did not surprise Simon, and he gave an answer directly without thinking about it: "Because Paradise Online is too profitable."
Liao Chengyu was obviously a little surprised: "Huh?"
Simon smiled with some unknown meaning: "I have been reading your Chinese newspapers in the past few days, and there is a very interesting news. The tycoon named Mou was sentenced to life imprisonment in the first trial a few days ago."
Liao Chengyu is a smart man, and he understood the big boss's thinking after just a little thought.
I don’t want Paradise Online to stand out too much.
After all, once IPO, it means announcing financial reports. With the increasingly prosperous online game business, Paradise Online, like Jiangnan Interactive Entertainment in Suzhou, will both exceed one billion in revenue this year. From the data of the past five months, Look, it may even be close to 1.5 billion. Even if the team makes a series of investments that spread money widely, the net profit is not expected to be less than 300 million.
The level of huge profits from selling white powder.
In the case of an IPO, Paradise Online's valuation could reach US$1.1 billion even if calculated based on a more conservative price-to-earnings ratio of 30 times. In fact, if it is actually listed, with the current popularity of the new technology market, it will be easy to exceed the price-to-earnings ratio of 100 times. This is The market value is US$34 billion, equivalent to RMB 30 billion.
Not to mention anything else, with Liao Chengyu’s 3% personal shareholding in Paradise Online, he will become a billionaire in minutes.
Even though it is already 2000, billionaires are not that common in China.
In short, both companies and individuals will become leaders.
Thinking of this, Liao Chengyu hesitated a little, but still tried hard: "Mr. Westeros, I think it is more necessary for Paradise Online to conduct an IPO. I mean, conduct an IPO overseas, isn't it?"
"This is just one aspect," Simon shook his head again and said, "Also, on the other hand, given China's public opinion environment, online games have always been quite controversial in this country. Therefore, you need to do all the businesses just introduced. , making this company look more respectable. On the other hand, Nasdaq has been overheated and it will be difficult to hold on for too long. Now that the IPO process is started, once the bubble collapses during the listing, it will be catastrophic for this company . So, I need you to wait a few more years. By then, I believe China’s overall policy environment will be more open, and Paradise Online’s valuation will be more impressive.”
The big bosses all said this, so Liao Chengyu could only give up the idea.
After chatting about some company matters, and seeing that it was almost time, Simon took Lin Su and left together.
When they came downstairs, Lin Su got into a Mercedes-Benz luxury car with the man. When the car started, he hesitated for a moment and said, "I always feel that Simon, you still have some prejudice against China?"
"Um?"
"About the Paradise Online IPO," Lin Su said, and explained: "Of course I'm not doing it for more money, but I mean, you don't need to be so cautious. We have been constantly improving the protection of private companies. "
Simon caught a word and said with a smile: "We?"
Lin Su reacted, felt a little guilty, and then raised her chest slightly: "Yes, us. I am Chinese."
The woman tried to look confident, but Simon didn't deliberately mention that she had changed her nationality. Speaking of which, she and Chen Qing should have retained their Chinese nationalities. On the surface, China does not recognize dual nationality, but in fact, there are many similar situations. He just smiled, took the woman's little hand and rubbed it, and said, "Okay, if you think I am biased, I apologize to you and promise to adjust."