Chapter 1494 (2/2)
Steve Johnson hesitated for a moment, then smiled happily and said, ”OK, try it.”
Li Mu took out two panda cigarettes, handed him one, and lit one himself. Then he asked with a smile, ”Steve, do you have any good care to offer me a meeting in such a hurry?”Steve Johnson lit a cigarette, took a sip, tasted it a little, then spit out a white cigarette, smiled and said: ”to be honest, Sequoia has been holding a lot of cash just waiting for you to say hello, but you don't want to do another round of financing, I can't help it...”
Li Mu smiled quietly and said, ”Apple has already bought it. At this time, financing is no longer attractive to me.”
Steve Johnson said, ”so I'm not going to talk about financing this time. I want to talk about the IPO of Muye technology in the future with President Li.”
Li Mu raised his eyebrows and asked him, ”what do you want to talk to me about the IPO?”
Steve Johnson said with a smile, ”I mainly want to know the approximate time plan for the IPO of Muye technology.”
”After Google and Baidu IPO, Muye technology will launch its IPO plan,” said Li
Steve Johnson nodded and said with a smile, ”Li is really sophisticated. After the IPO of both companies, the valuation of Muye technology will further soar, which is indeed the best time.”
After flattering, Steve Johnson asked Li Mu with serious expression: ”Mr. Li, the internal of Muye technology should have started to prepare for IPO, right? Is it convenient to disclose the current progress? ”
Li Mu smiled and said: ”Steve, if you have any idea, you can say it directly. We are partners in how to say it. There is no need to go around.”
Steve Johnson hesitated for a moment and said: ”Mr. Li, actually for Sequoia and myself, would like to cooperate with you in depth on the IPO of Muye technology. We have estimated the future valuation of Muye technology. When Muye technology keeps the current growth rate unchanged, plus taking an additional 30% of Google's shares, Muye technology's IPO will raise funds It is likely to break through $20 billion and create the largest IPO in Nasdaq history, but all of this should be based on a mature, reliable and strong team of underwriters. ”
Li Mu nodded and understood Steve Johnson's motivation. What he wanted was the qualification of underwriter in the future IPO of Muye technology.
In the NASDAQ IPO, the first step is to submit for review. The second step is to find a suitable underwriter team, and then determine the valuation, number of shares to be issued and the price with the other party, and then the other party will sell the IPO shares to their major customers. Generally speaking, the shares issued by the US IPO will not be for retail investors, but the asset amount is more than US $1 million At the level of big customers, the stocks that can fall into the hands of retail investors in the IPO stage are generally junk stocks.
Sometimes, the failure of listing in the United States is not that the company does not meet the requirements of NASDAQ listing, but that the company is not satisfied with the price given by the underwriters. The former literary giant Shanda literature has launched the listing plan in the United States for many times, but repeatedly started and stranded, and finally gave up the overall sale of listing. The most important reason for the listing stranded is that it is related to underwriting There are differences in valuation.
Before an enterprise goes public, it will have two valuations: one is the valuation of the enterprise itself, and the other is the valuation of the capital market itself. This is no different from looking for a job and communicating with the employer about salary. If the enterprise's salary is lower than expected, most job seekers will refuse. If the job seeker's salary is higher than expected, most enterprises will refuse They will all refuse.
If an enterprise is going to be listed on Nasdaq, its own target valuation is US $1 billion. They hope to issue 10 million shares, US $10 per share and raise US $100 million, accounting for 10% of the total shares of the enterprise. However, the Underwriters feel that the prospect of the enterprise is not as good as they think. In the eyes of the Underwriters, the valuation of the enterprise can only be given to To $500 million, if other conditions remain unchanged, the corresponding price of $5 per share can be sold out. If the price is higher, it is difficult to sell all the IPO shares.
On this basis, if an enterprise accepts the underwriter's valuation, it can only raise 50 million US dollars with 10% of the shares, which is hard to accept. However, neither side is willing to give in on this issue, so this IPO can only be stranded due to huge differences.
Therefore, in the process of IPO, the role of the underwriter is very important. The strength of the underwriter should be sufficient, and the underwriter should recognize the value and Prospect of the customer enterprise. Although Muye technology has a high reputation in the world and the recognition degree of the capital market is also high, it needs a reliable underwriter to work together when it comes to IPO Cooperate and strive for the best interests for enterprises in the process of listing.
At any time for the seller, the best selling price is just close to the maximum accepted by the buyer, the same is true for Li Mu.
So Li Mu asked him, ”do you want to be an underwriter of Muye technology?”
Steve Johnson nodded his head at the moment, and said: ”Mr. Li, to be honest, with the IPO volume of Muye technology, I'm afraid any investment bank can't eat it by itself. In our estimation, at least three to six first-line investment banks are needed to form a underwriting team together. We hope that with our close cooperation with Muye technology, we can become Muye technology Technology IPO leader. ”