Winning the new financial era

Chapter 563 Exploring New Directions

The 21-day offer period passed quickly, and Ruixiang accepted a total of 45.1% of the shares of independent shareholders.

In addition to the shares held by Retmond, Xie An, and Zhou Yongming, the Li Jiacheng family fund, it also accepted a total of 7.72% of the shares in the hands of retail investors.

The total shareholdings add up to 95.2%, and only 4.8% of the shares are still in the hands of some retail investors.

These retail investors do not want to accept the offer, mainly because the stock price has risen to more than 0.3 Hong Kong dollars, more than double the offer price of 0.15 Hong Kong dollars.

Whenever there is a tender offer or privatization in the market, there are people who are not afraid of death and come to arbitrage.

They are betting that the privatization of Digital Domain will not succeed, or that Rui Xiang, the major shareholder, deliberately does not allow the privatization to succeed.

In their view, Ruixiang's behavior is to absorb as many retail investors' shares as possible.

Then they may inject assets. If Ruixiang injects its own assets of 2000 billion US dollars, then they will make a lot of money.

So after the tender offer announcement was released, Digital Domain’s stock price went up all the way, and some people rushed in and bought shares at HK$0.3 or HK$0.4.

Now that Ruixiang’s shareholding ratio exceeds 90%, compulsory acquisition will be initiated, and the remaining shares of minority shareholders will be sold to Ruixiang at a price of HK$0.15 until Ruixiang’s shareholding ratio reaches 100%, completing the privatization and delisting procedures.

In the middle, there were two procedures of court hearing and extraordinary general meeting of shareholders.

Fortunately, there are not many retail investors who have been locked up for buying shares at high prices, and the number of negative votes did not exceed 10%.

It would be miserable if Digital Domain was registered in the Cayman Islands instead of Hong Kong. The latter also has a procedure of counting heads.

Many privatizations fall at this step. Retail investors do not have many voting rights, but there are many people.

There are still some procedures for delisting, but it is basically a foregone conclusion.

At this time, some financial experts and stock recommendation experts were dragged out by retail investors and flogged their corpses. They expressed their opinions as soon as Ruixiang issued the tender offer announcement.

They also put forward the mind-boggling point of view that "Sharp will go public through a backdoor".

Many people have been slapped in the face, thinking that Ruixiang will not really be privatized and delisted.

After all, a Hong Kong stock market shell has been fired from one to two billion yuan a few years ago to five to six billion yuan now.

Although Zhang Yida is rich and powerful, it is not possible for a few small targets to say no to it.

There is another basis to support this view. Zhang Yida has no A-share listed company and cannot make injections.

The most popular thing in the market in recent years is to delist from Hong Kong stocks and go to A-shares for arbitrage.

Because Hong Kong stocks are more mature and have low valuations, big A-shares are crazy.

After 360 delisted from the United States, Jiangnan Jieyue’s backdoor has doubled several times.

Digital Domain has a small market, and it is not cost-effective to backdoor the A-share listing, and it takes too long to wait in line for the listing.

It's not that Zhang Yida has never thought about injecting assets into Digital Domain, such as MCN, which is difficult to list.

But this shell is not very clean. The owner of the car was the son-in-law of a wealthy family back then, so he still has to avoid it.

Even if Ruixiang will be listed on the Hong Kong stock market in the future, it should not go too far.

On the New York Stock Exchange and Nasdaq, the three companies of Yimin Department fell miserably, and there were class actions every now and then.

There was no "financial fraud" revealed, otherwise his notoriety would have flown across the Pacific Ocean.

The delisting process is still going on, but the company's normal business has not stopped.

First of all, Lao Mouzi's crew "White-haired Soldiers in the Lonely City" reached a cooperation with Digital Domain, and the special effects production work will be handed over to the latter.

Of the production cost of 10 billion, 3 million will be spent on special effects, and 4 million will be spent on props and sets, and the starring salary is less than 3 million.

The film emperor Fu Dalong invited by the leading role is the one who plays Emperor Yang of Sui Dynasty, and this time he guards the frontier for Li Tang.

The acting skills are high-quality and cheap at the same time. Zhang Yida thinks this kind of actor is worth a shot.

It is said that he is not good at socializing, resulting in no filming, and the actor is reduced to deliver food.

Zhang Yida was curious, and asked Huang Xin if there was one named Fu Dalong among the 60 delivery riders.

It was only later that I found out that this was a rumour. Although he rarely plays, he still teaches students in the film and television academy.

In the crew, after listening to Zhang Yimou's feedback, Fu Dalong is also very serious. He learns from martial arts instructors, understands the life of the characters, and learns the etiquette of the Tang Dynasty. He treats acting as a career.

In addition, Douvision and Kuaishou will introduce Zeus, a 360-degree panoramic VR camera under Digital Domain, for small-scale live broadcast.

If the use effect is ideal, it will help promote it to major MCN institutions.

Station B, Himalaya, Daya Media and Digital Domain will also carry out a series of cooperation around virtual idols, and try to promote them in the form of animated short films and virtual singers.

The goal is to successfully create virtual idols like Luo Tianyi and Hatsune Miku.

3Glasses is a VR head-mounted display hardware manufacturing company under Digital Domain. In addition to using short videos such as Doushi and Kuaishou to help place advertisements, it is also included in Pinduoduo’s tens of billions of subsidy plans.

Sprawly is a VR content creation tool platform. Developers can use the tools of the platform to develop VR games, VR animations, and VR movies.

Zhang Yida's idea is to make it an app store, just like the relationship between Apple and the APP Store.

However, in order to realize this idea, the sales volume of hardware headsets must increase. In addition, it must attract a large number of developers to settle in, so that the VR application store has rich content, which requires the establishment of a large VR ecosystem.

Facebook spent $14 billion to acquire VR start-up Oculus in 20. With the help of Facebook, the latter has reached the top sales in the world and has its own VR application store.

Apple tax is a good thing, and now everyone is taught to be smart by it.

Microsoft, Sony, Samsung, and HTC are all making VR hardware and building their own VR content distribution platforms.

Even Steam, a game distribution platform, has opened up a VR zone where you can download VR games.

As far as Zhang Yida knows, Facebook, HTC, and Steam are opening up VR stores with each other to make the VR cake bigger.

This is also the current status quo. The market is still too small and needs to be cultivated.

However, there is also a problem, that is, the content and equipment are not compatible, and only two or three of the ten models may be compatible.

This is like the fact that Apple and Android are not interoperable, involving the underlying architecture and standards.

Digital Domain also has its own VR game team, which has developed many games.

Zhang Yida poached some VR game-related talents from Silicon Valley, and planned to hand over the VR version of "PUBG Mobile" to them.

As a game with IP effect, the VR version of PlayerUnknown's Battlegrounds has not been launched for a long time, and some companies rushed to launch VR games to eat chicken.

But Zhang Yida was not in a hurry, and let the other party run for a while.

In the short video that was very popular on DouTV in the previous life, a girl is wearing VR glasses, and the player swings the lightsaber in his hand according to the beat of the music to chop rhythmic blocks and dodge obstacles.

This game is called "Rhythm Space", which is a VR music game. The developer is Beat Games, a small Czech studio with only three people.

Sharp to the strategic investment department has sent people to the Czech Republic to negotiate mergers and acquisitions. In the future, the acquisition of VR content developers, especially small game studios, will become the norm.

Ruixiang is also evaluating internally and wants to explore: studio development-app store sales-short video, live broadcast display-equipment sales on e-commerce platforms-head display manufacturer manufacturing, such a commercial closed loop.

Digital Domain also has the last business segment, Digital Domain Space, also known as DD Space.

Establish offline VR experience centers with large-scale commercial complexes such as Wanda and Poly, and cooperate with Hengdian Cinemas and Poly International Cinemas to open VR theaters.

However, the number is not large at present, and it is still in the early stage of business exploration and has not formed a scale.

In addition, it also stood out from 14 companies and won the bid for the VR experience center of Beijing Daxing Airport.

According to Zhang Yida's work report, multiple digital entertainment experiences will be built in the future, including fantasy theater, fantasy space, fantasy theater, magical zoo, doomsday battlefield, X cube, etc.

It can be regarded as a cultural tourism project, the purpose is to create a unique digital paradise.

Zhang Yida didn't know if this business could make money, and Ruixiang had very little offline business, so he couldn't give much support.

However, the existence of this kind of experience center, in addition to promoting the brand and selling VR equipment, is also building the so-called "oasis" project.

Digital Domain is the special effects producer of "Ready Player One", and the virtual world inside is called Oasis.

Zhang Yida decided to wait and see, not in a hurry to invest more, but to see the acceptance of consumers in first-tier cities first.

Digital Domain spent a total of 39 billion Hong Kong dollars on mergers and acquisitions, saving a small target compared to the estimated figure.

The business seems to be very comprehensive, but Zhang Yida knows that some of them are proficient but not proficient.

In the past two years, I have been busy fighting in the fields of finance and e-commerce, thus ignoring this market.

At present, companies such as iQiyi, Zhuchang, and Penguin are all rushing to this track, and those engaged in content industries such as film and television and games are afraid of missing out.

Especially after the 5G license is issued next year, network bandwidth, network balance, and data delay will bring greater improvements.

We are all looking forward to what kind of energy will be injected into the industry by technological innovations such as 5G+VR and 5G+cloud games.

Because VR and cloud games are recognized as two areas that benefited from the early implementation of 5G.

The development of the two also complements each other. The introduction of VR/AR devices to cloud games will bring more innovative gameplay and brand-new gaming experiences.

(End of this chapter)