Chapter 297: Sina's MBO
Wang Yan turned to look at Lin Feng, his eyes full of complex emotions.
Regarding what Lin Feng said before, Wang Yan also knew that Sina's shares are too scattered now. Even if Shanda and Microsoft did not successfully hold Sina, other companies will definitely jump out in the future.
So the best way is to solve the problem of Sina's shares dispersed, otherwise the calm current situation will be only temporary, and there will still be huge waves in the future.
Wang Yan said: "So, according to Mr. Lin's opinion, is there a way to solve the problem of our Sina company?"
Lin Feng reached out to pat Wang Yan's shoulder, then walked back to his seat.
"If there is no way, I wouldn't let Chairman Wang come here today, nor would I be arrogant and use a small company to discuss cooperation with a large company like Sina."
At this time, the others in the conference room focused their attention on Lin Feng, and even Zhao Qiang and Yuan Hua were no exception. They had never heard Lin Feng say what Lin Feng said before.
Lin Feng said: "If Sina acquires my small company, I am talking about a share acquisition, and there is no need for cash, and we are not short of money."
"Then the people on our side can naturally enter the management of Sina."
Hearing Lin Feng say this, Wang Yan's right hand placed under the table couldn't help but hold it tightly.
"Then the management of Sina Company initiates a manager acquisition agreement. Once our entire management can become the largest shareholder, then the control of the entire Sina Company can be firmly in our hands."
After hearing Lin Feng's explanation, Wang Yan quickly knew how Lin Feng's operation was implemented.
He also knows what Lin Feng said about the "management acquisition", but at present, none of the domestic Internet companies listed abroad have implemented such operations, and he doesn't know whether this is feasible.
"Even if we do this, others can learn from our methods and use multiple institutions' accounts to acquire our stocks. Don't forget that Mr. Shanda Chen is a good example."
Although Wang Yan was very moved by Lin Feng’s suggestions, he still mentioned the problem he was worried about.
The exchange in Country M stipulates that a single institution cannot hold more than 10% of the company's shares.
However, if we join forces with multiple institutions to do it, there will be no concerns in this regard. This is how Shanda Boss Chen acquired Sina's stocks. When they discovered it, the stocks in Boss Chen's hands reached more than 19%.
"I think Chairman Wang has met Jiangnan from Fenzhong Media."
Lin Feng picked up a bottle of mineral water in front of him and unscrewed the cap, then took a few sips, and Lin Feng felt thirsty after saying too much.
Putting down the water bottle in his hand, Lin Feng looked at Wang Yan and found that Wang Yan's face didn't look very good after hearing his words.
Wang Yan stared into Lin Feng's eyes and asked, "Mr. Lin has asked someone to investigate me, or you have bribed the people around me."
After saying that, Wang Yan turned his head and looked at the two subordinates sitting next to him.
Few people know about this incident he had come into contact with Fenzhong Media Jiangnan. If it was really someone around him who leaked the secret, the biggest possibility was the two right-hand assistants sitting next to him.
The sharp eyes of Wang Yan swept over, and the two men felt a lot of pressure, but they could not directly call for justice at Wang Yan. After all, it was not good to do this in front of outsiders.
At this time, both of them had the same idea in their minds. After the meeting was over, they immediately asked Wang Yan to explain this matter, regardless of their affairs, and they had never done anything to sorry to Wang Yan.
Lin Feng looked at Wang Yan and said with a smile: "Chairman Wang doesn't need to guess. I can know that there is naturally my source of information."
"Don't you know that my company also has cooperation with Fenzhong Media?"
Hearing Lin Feng's words, Wang Yan stared at Lin Feng wide, and then looked at Zhao Qiang again.
"It seems that Mr. Lin is already fully confident?"
The next day, Sina announced that they would acquire a media company through targeted share issuance. After the share issuance is over, the company will own one percent of Sina's shares.
As soon as the news came out, it caused an uproar in the Internet industry.
Based on Sina's recent closing price in Country M, Sina's market value is about US$1.5 billion, and one percent is US$15 million.
So many people began to investigate what the company was bought by Sina for $15 million, but the result was that many people were shocked.
Soon, the shareholders and business of this company were poached, but no matter how you look at it, this company with a profit of less than one million a month is not worth 15 million. The only highlight is that the shareholders of this company include the name of Lin Feng, the richest man.
However, there are many people who are duplicated in China. Just as everyone was speculating whether Lin Feng was the richest man, Lin Feng, someone immediately found out all the information about Zhao Qiang and Yuan Hua.
Zhao Qiang and Yuan Hua are both sophomores from Binhai University, and they are still very richest in the same class. So, the clues are already very obvious. Lin Feng must be the richest man Lin Feng.
Soon someone found out that the chairman of Sina Company, Wang Yan, brought people to Starry Sky Group not long ago. This time, all the clues were connected together. Everyone came to a conclusion that Sina Company was going to reach a cooperation with the richest man.
So at night, the stock market in M Country opened, Sina opened 10% higher, and then it rose sharply.
In just two days, Sina's stock price rose by 30%.
But on the third day, there was a news report that Sina CEO Cao Wei sold his shares and cashed out $50 million.
As soon as the news came out, Sina's stock price immediately plummeted by 10%.
At the same time, Starry Sky Group also announced that the group has not reached any cooperative relationship with Sina. As for the cooperation with Sina, it is Mr. Lin Feng’s personal investment and does not matter to Starry Sky Group.
Although Zhao Qiang's company also issued a statement that Mr. Lin Feng is only investing and does not participate in any management of the company.
So Sina's stock price began to fall. This time, not only did Sina's shareholders unable to sit still, but even the regulators in Country M began to investigate whether Sina's management was suspected of manipulating the stock price.
"Mr. Lin, as you expected, several shareholders came to the door and asked to withdraw."
Lin Feng held his cell phone and stood by the window and looked at the scene of the coast below.
"Mr. Wang, everything is done according to our plan, so let's start taking action."
It turned out that in the conference room that day, Lin Feng talked about his plan to Wang Yan.
First, we used this acquisition to hype Sina's popularity, and then let Cao Wei come forward to cash out some of the shares.
Of course, the cash out money is for the subsequent MBO (manager acquisition), so that you can give a reasonable reply to the regulators, and it is not considered manipulating Sina's stock price to obtain benefits.
Once the previous layout is completed, Sina's shareholders will definitely be dissatisfied with Wang Yan's doing this. They will definitely come out and ask Wang Yan to give an explanation. Once Wang Yan can't give a reasonable explanation, then these shareholders want to withdraw after all.
After all, few investors hope that the stock prices of the companies they invest in will fluctuate significantly every day. You can rise sharply, but you cannot fall sharply.
As expected, as Lin Feng planned, many foreign funds and institutions found Wang Yan to ask for an explanation, but Wang Yan did not give them any explanation at all. In the end, they threatened to withdraw, and Wang Yan naturally acquired the stocks they had.
Of course, the money was paid by Lin Feng, and then these shares will be under the name of Starry Sky Group.
As soon as several investment companies were launched, Wang Yan held a news meeting and announced that the entire management would raise $200 million to buy Sina's shares. These stocks will set up a Sina investment company to hold shares and will eventually hold 9% of Sina's shares, which does not exceed the ten percent red line stipulated by law.
Then Starry Sky Group announced that it had completed share transfer agreements with several Sina shareholders in the early stage, and currently holds 10% of Sina's shares, becoming the largest shareholder of Sina.
At this time, Sina's entire management still held 5% of Sina's shares.
In this way, the previously dispersed equity situation of Sina Company was completely over. Starry Sky Group, Sina Investment and Sina management combined to reach 24%, and it has firmly controlled the entire Sina Company.
"Brother Feng, we are really the senior executives of listed companies now, and I feel like I am dreaming now."
Zhao Qiang heard an excited voice on the other end of the phone, and Lin Feng also expressed his understanding of Zhao Qiang's mood.
Lin Feng found that when it started, Zhao Qiang had changed his name from "second" to "Brother Feng".
"Boss, now it's just the beginning, so don't be happy so early. When Sina's market value exceeds 10 billion in the future, it's not too late to be happy."
Zhao Qiang was a little unbelievable when he heard Lin Feng say that Sina's market value would exceed 10 billion.
"Brother Feng, are you saying true?"
"Sina's market value is only 1.5 billion now. Will it really exceed 10 billion?"
"Then should I ask my parents to buy some Sina stocks in advance? Then there will be several times the profit."
Lin Feng smiled and said, "If you have spare money at home, you can buy some Sina stocks, but you don't have to rush to buy them recently. In the next six months, Sina's stock price will start to fall, and you can buy them by the end of 2008."
"Ah! Why did Sina's stock price fall? Brother Feng, didn't you just say that its market value will exceed 10 billion?"
Lin Feng said: "Then I didn't say that I would make a breakthrough immediately. In 2008, the economy in M Country will be particularly sluggish. Do you think the listed Sina stocks over there can perform well?"
Chapter completed!