Rebirth of Business Domination of the Two Worlds

Chapter 139 The $5.5 Million Investment
On Facebook, in the VIP meeting room, many shareholders are discussing about Momo's investment in shares.

"I agree, he bet on us, and I also want to bet on this kid's future, maybe he is a big help for our future development." Sheryl K, the chief operating officer and director of the company, was the first to raise her hand to agree.

"I also agree that this is an opportunity to re-enter the Chinese market. If he becomes more famous, we will do a lot less advertising, and the cost alone will be paid back."

"I disagree. I heard that Huaxia is an official market. His family has no official status in the country. If you want to choose someone with political status, there are quite a few Huaxia investment institutions that have invested in us." Co-founder and chief executive Executive Jan disagrees.

"Jan, you seem to have forgotten his other identity. He plays the piano very well. His level is comparable to that of a piano master. In the future, he may surpass his country's Lang Lang. You should know Lang Lang. What do you think of his international status?" Zha When Keberg found Momo's information and met him personally, he felt that it had a great influence on him, so he decided to accept the shareholding. What his partner Jan said was unreasonable, but he still made a pertinent evaluation.
"Furthermore, the political family's status is very unstable, if one day it collapses, we will be implicated instead.

The Huaxia version of Facebook was blocked mainly because the content involved political reasons. Even with the help of their country’s leaders, if the content did not improve, it would still be blocked. Of course, I don’t deny that it might be better if there is an official relationship. "

Zuckerberg is confident that he is very good, but when he meets a young man who is even more enchanting, he is still a child, and he has to admire him.

They announced in August that the acquisition of FriendFeed would also require funds, and the company they wanted to acquire would also require a large sum of money. If they waited longer, the required funds would be doubled, and Facebook would also miss a good opportunity for development.

Facebook has always been operating at a loss. Its main source of profit is the advertising business. Users are the basis of profitability. At present, it also needs a lot of funds to develop and grab users.

There are only a few shareholders of Facebook, most of them support it, and a few people oppose it. Finally, Momo agreed to invest in Facebook. The next step is to discuss the amount of funds that the company still needs. The specific price needs to be negotiated by both parties. It is hard to say whether the final financing will be successful .

At 9:12 am on September [-], Zuckerberg re-appointed with Momo's negotiating team. The two teams conducted cooperative negotiations, but there was a dispute over valuation and shareholding.

Facebook was attended by VP, General Counsel Stretch, CFO David, Chief Product, Co-Founder, CEO Jan and Zuckerberg himself.

The rest of the Facebook team finally saw Mo Mo's sharp language.

Sitting gracefully, Mo Mo said neither humble nor overbearing: "Mr. Zuckerberg, Facebook has not yet created benefits, and it will take at least five years.

So, I disagree with the $150 billion valuation, at most $105 billion.In addition, 2% of the transferred shares is too little, and it is useless to me.I also emphasized that I will not interfere with your decision-making. "

"In May, DST increased its capital by US$5 million, with a total value of US$2 at that time. This is the growth data of Facebook users in the past three months, so we believe that Facebook's total value of US$100 billion is unfounded. "Facebook's team, the vice president in charge of negotiations, and the general counsel Stretch spoke with the data.

Both Zuckerberg and CEO Jan are technically born and not good at negotiating.

Mo Mo only scanned the data, and the system also analyzed it for him, and defended according to the systematic analysis: "Mr. Stretch, 100 billion US dollars is already overestimated.

Although users are the standard of evaluation, your business is single and the transformation has not been completed. If we let our team evaluate, Facebook is now valued at 90 billion US dollars, no profit, and saying anything is too much.

Moreover, the user development speed of Juyou.com is no worse than that of Facebook. There is only one dating website, and there is no such thing as a second. "

The teams of the two sides went back and forth, and the negotiations on the first morning did not reach a conclusion.

That afternoon, Mo Mo and others intentionally visited the Silicon Valley branch of Myspace, a competitor of Facebook. Zuckerberg and others were a little anxious after learning about it, and asked Mo Mo's team to continue the negotiation the next day.

The bottom line of the Facebook negotiating team is no less than 105 billion US dollars, and the bottom line of Mo Mo's valuation is no higher than 120 billion US dollars.Facebook also knew that the first offer of $150 billion was inflated.

Business negotiations are like a battlefield. After several twists and turns, the two parties finally agreed that the total value of Facebook is 110 billion US dollars, and the capital increase is 5.5 million US dollars, accounting for 5% of the shares. The investor is not allowed to withdraw its capital within three years.

Momo itself has 3.55 million euros in foreign exchange. In September 2009, it was equivalent to 9 million U.S. dollars, a difference of 5.15 million U.S. dollars.

The jadeite he auctioned some time ago earned 4.2 million yuan, and the insufficient part can be applied for foreign exchange, or part of the shares can be mortgaged to the Bank of America to apply for a loan, and there is no need to worry about the 3500 million US dollars owed.

Moreover, if the investment is entered into the account, the two parties agree that part of the funds can be delivered first, and the other part of the funds can be paid within half a year, as long as it does not affect the operation of Facebook.

If Momo fails to pay the remaining balance within half a year, it will be a huge breach of contract penalty and part of the shares will be taken back.

Every three months, Party A’s Facebook network pays the investment income of Party B’s investor once. Equity investment in the form of capital increase is paid in the form of dividends. Momo’s capital increase belongs to this form; investment in the form of debt (borrowing money), the return on investment is return in the form of interest.

A few days later, Momo applied for foreign exchange approval, prepared the funds, and completed the verification procedures for capital verification (capital verification is not only to prove the authenticity of funds, but also to prevent Party B from money laundering and other illegal funds). September 9 is the official delivery date .

The company is not listed, so there is no such thing as a newspaper statement, but Facebook still held a signing ceremony and invited local media to witness.

The completion of the delivery means that Mo Mo got 5% of the equity. During the media interview, Mo Mo happily answered the reporter's questions.

Facebook officials did not want to let go of this publicity opportunity. The official website announced it on the same day, and recorded a video of both parties signing and Mo Mo shaking hands with Zuckerberg.

"Wonder Boy invested 5.5 million US dollars in Facebook, so he is the new Emerald King!"

"The youngest billionaire in the world, self-made, is actually a 13-year-old boy!"

……

These things will not only be reported by the American media, but also domestic media will reprint them one after another.

The domestic media did not expect that there would be wealthy businessmen investing abroad, and the comments were mixed, mostly criticisms.

On the bad side of Mo Mo, it is said that Mo Mo is a traitor who subsidizes the development of foreigners, but some critics don't even know who Mo Mo is.

According to domestic reports, in 2009, an investment of several hundred million dollars was considered big news, and it was still dominated by 13-year-olds.American netizens find it miraculous that a teenager can earn more than a billion dollars.

Mo Mo did not expect that his reputation would soar by millions.

Especially people related to Mo Mo, such as his piano teacher Li Songwen and his colleagues, are particularly envious of Li Songwen having a talented and wealthy student;

Several bigwigs in Greentown Province, where Mo Mo is located, all pay attention to local rich people, and they were shocked by the unexpected introspection of a talent;
Rich people from Hong Kong and Macau were also shocked when they learned that a teenager from mainland China had invested hundreds of millions of dollars in Facebook. At first they thought it was some red family.

On September 9, Mo Mo returned to Shenzhen City, and his father directly transferred back to the imperial capital.

(End of this chapter)