why equity investment industry is a gold mine? Why did the magic industry can succeed? Qing branch group founder, chairman and CEO, with island adjacent said Gavin ni, example is 20 myth buster. When the janitor guy when he claimed in equity investment industry for 15 years, the 15 years he had witnessed the runescape magic, also in the endless wealth, gold mining together to hear him tell the story in the field of investment.
the investment community
before I’m old data, today I want to tell them something more.
every day because I want to see entrepreneurs, investors, or government officials, warden, also have the mayor, sometimes also have a village head, feel the temperature of the current national economy from various fields. Everyone know economy is not very good, especially about GDP growth this year a lot of pressure, of course, to see our leaders, and still very optimistic, everyone think this year’s target is 7.5%, can be controlled.
7.6%, 7.8%, in today’s market, in fact, most vibrant, let’s be pleased or the entrepreneurs, these run in investment in every region of the people. today we in the equity investment is a wonderful industry, is a huge gold mine, and within the industry, each person has a chance of success, of course, also have the chance of failure, will be some story behind me, is why I say this is a magical industry, and why is it a big gold mine, why do you say everyone has a chance to succeed.
we actually is not a small industry, the industry in 1999 and 2000 when we in the industry, the VC in Beijing could only gather together 1 table, less than 20 people, that is the most active of VC in China. At that time every day to watch project, a project we whip-round can gather together. At that time the industry is very small, investment would be 200 million a year, now a year can be hundreds of billions, raised 400 billion a year, the industry has developed into a big industry, now we can be the capital of 2 trillion, while I was tiny compared to the bank, but the money is put into industrial, cast to entrepreneurs, even died also was a glorious death. So the industry, both entrepreneurs and investors, I think is a newbest.
why this industry is a gold mine? Why did the magic industry can succeed? I now some story, to tell the story of investment field.
made rich industry of China’s most active
said, keeping one’s first listed on the new three board recently dominant, industry vibration, the vibration, a PE company suddenly “take off all lay naked in front of the national people’s”, many people doubt that keeping one can succeed? Don’t even know who keeping into is not successful, I also don’t know. But keeping one from 7 years, since its establishment to today into a lets everybody is either jealous, or hate, of course, some people love it, such a company. Anyway, keeping these years has its story.
look at both high and low, 05, ’06 sequoia into China, at that time is shen and sail two, then sail away, in the industry are also suspected of sequoia can succeed? Sail away with shen sequoia can into the world? But half the active companies today has something to do with redwood, every two companies listed in the U.S. there’s a basic related to sequoia.
to tell IDG, it entered China in 93, 20 years, chief Hugo shong learn media, as a reporter, is thorough study of the robot. But you don’t know, said the IDG a few big and silly, when tencent is small to sell it. IDG in 2005, the management of funds in a 200 million, IDG tube now, of course, 50, 6 billion. Like CDH management 1, $2006 in 200 million, less than 10 years of time has been increased by a factor of 100, the who says we slow the growth of the industry is the industry? Our industry is growing rapidly.
co-win is the sum of the zheng huang total founded, in 2006 as the first limited partnership in China, everybody suspect a be a lawyer who can make a success of PE? At that time also with suspicion. After 78 time, co-win in shenzhen, in China’s currency market is also a PE funds.
total GGV, gold is based in the United States, GGV is actually a UN forces, their team has a Canadian, American, Singapore, mainland China, etc., after a few years later, now is the most active market GGV China.
look at the DCM, output per person in China most of the funds invest in China only have five or six people, 58 city earned $500 million, investment in China’s successful fundraising and a string, 51, renren and so on, they are personal, 5, 6, the highest per capita output in China, several hundred people more hurt than DCM five or six people in China. RMB funds in China, how much can earn 1 billion a project, all funds to add a piece of China, there are several earn 1 billion on a project?
of course, there are many famous companies, such as morning, it has been very successful, inside this success story has a lot of, I not speak.
so I said everyone is likely to be successful, a journalist, do a lawyer, when a lot of foreign language teachers can succeed, have a plenty of stem revolution began in 93, have a plenty of 07 began to dry revolution, including the first two years before the sea of alibaba’s CEO out of funds, are now doing very well, so let’s the industry’s innovation.
those who have not seen startups
take a look at the other side of entrepreneurs, entrepreneurs have more magical story. American CEO Mr Wang, we handle in tsinghua entrepreneurship competition, 15 years ago, he is responsible for put up posters to us, because he is young, tsinghua university freshman at level 97, he is now doing the beauty of the group is the best group.
gather beauty is superior, in 2009, when ms Chen seek me, want to understand China’s VC, was a prick silk, but today the people born in 83, only 31 years old, founded the company listed in the United States, worth more than many traditional listed companies.
we see next week will be listed in 9158, the founder of zhejiang jinhua people, graduated from Shanghai jiaotong university, looks like a farmer, he ripped the Internet shows completion of the China’s largest online KTV, listed in Hong Kong next week, heard that the stock is now a ticket is hard to find, a lot of people want to go to subscribe for their shares.
to lei jun of millet, lei jun did millet, many people opposed to 90% of the VC doubt lei jun of millet can be successful? The investment of them said to me: we don’t want to vote for millet, but in the face. But who said today we was wise, said millet is my vote. So the millet was , lei jun now, of course, is also our angel will spiritual leader, lei jun says we are positive to see.
jingdong’s story is very much also, jingdong 08 to financing, find shen, also looked for IDG, no one was valued at $50 million, in the end they investor capital of China today to find the old colleague before, the father of the Hong Kong red chip leung left some money, and jingdong $30 billion today. so jingdong has not seen, liu also once, but the jingdong successfully.
of course are sought after by the media, officials sought after by the government, we in the industry of every guest, how many magazine cover of a mundane, although still alive today, but just barely alive.
look at other industries, icahn ambassador, when Zhang Ligang out business, very not easy to do Internet companies to raise money, then combine Shanghai aikang ambassador, so later became a medical company, what the core technology for medical checks? But today icahn made into China’s largest medical company, had a lot of investors and don’t watch the icahn, so icahn refinancing when they sell the shares. We also good, very silly, with Zhang Ligang from 7 years up to now have to sell, not a penny to the valuation of listed companies $1 billion today, I think the future is easy to become a $2 billion, $3 billion of the company.
again for example, a Vipshop Vipshop is founded by the cheung kong graduate school of a band of brothers, the classmate say they have a Internet company, but no one understand the Internet, they then caught an entrepreneur in hangzhou, is to do the Internet, the entrepreneur named wu bin made in hangzhou, threw 5 million, actually is listed, actually from the time they are listed for the stock as no one into a magical company, become a market capitalisation of more than $10 billion, the company, we in hangzhou the brothers do a series of the company, to earn some money, but did not earn a lot of money, but the brothers in 5 million, into a $500 million up to now.
in the end I want to tell a story, a few days before I go to the central party school, because we have a classmate is expected to be promoted, and two of his students, one is called Mr. Dai, in those days is disobedient students in their school, failed in the exam was later left school, Mr. Dai last year became the highest return on investment of investors, he is a after 80. Another is after 80, we were voted for him, the company in mobile phone games and Internet games is a very successful company.
to tell a younger. We changsha with chief Hugo shong speech, ten years ago we also some gas, chief Hugo shong also be someone, but the most applauded after 90 is a student, the man called guo, they do call face of company. About such a thing, I want to say that now we are entrepreneurial, our VC, the PE, we actually do whether the industry investment, no matter you are to do business, whether you’re after 80 or 80 after all have a great opportunity, many have not promising company have succeeded. So today we to doubt some funds, suspect that some companies, likely they will be successful, a lot of people are successful in suspected.
I would like to our industry, IDG, redwood, up to morning, these do better fund, the most important thing is to stick to it. the industry also need luck, of course, we always have some good CARDS, the industry will see who we can seize the good CARDS, like China caught liu, a project to make thousands of times, she will be good, so can catch some fish to luck.
to return to this industry, we say so many opportunities, so magic, such a huge gold mine, what people are likely to be successful. What is the real problem we are facing this industry? We assume that the industry is now like a casino in Macao, we now have over 2 m company, quit the company just 3000, so what we need now is to go to inventory, to gastric lavage, digest our stock of these companies, this is the biggest challenge we face.
the CSRC they very firmly, but we really need more to the listed company, the industry you want to 100, a year and one year we will throw 2000 companies, securities market open this window is too small, not enough people to breathe, not enough people to have a meal, so it’s really need the IPO market more smoothly. And, of course, we can’t just rely on to the CSRC, the CSRC lead a lot of pressure, stocks fall doesn’t matter, we company IPO late late. However, if the stock fell violently, their job might be.
but we are good in recent 2 years the m&a market is very active, since this year I saw at least 50 companies’s chairman, chairman of the board of directors or control 95% of the people all want to merger, acquisition and reorganization. So here, I have called for these listed companies in ningbo, you how to connect the VC and PE investment company, you bought it, ningbo good business if you want to listing, does not rule out to sell to the listed company or backdoor listings, I think now the market is very active.
a lot of people say it is a pity that no tencent, it is a pity that no cast jingdong, and so on. No relationship, our industry will always be a great company, there would always be a successful entrepreneur, there would always be under a very high rate of return of angel investors, I don’t think this is the industry – the magic of the magic industry. So today you come to ningbo, also hope that this magical story, can appear in ningbo so good soil above.