Chapter 861 ITC Compass

Lin Weimin said he wanted to investigate Aitexin, but of course he was just pretending. Their Guowenshe was not a serious venture capital company, and they didn't even have any Internet-related talent reserves. If they went to investigate, they would be completely in the dark. Wouldn't it be embarrassing if they couldn't even understand what others were introducing?

However, one has to pretend to be presentable, so Lin Weimin specially called Lei Jun over to help save the situation.

Aitexin's office is located in the Everbright Building, which is located on West Chang'an Avenue and is one of the earliest office buildings built in China.

Aitexin is a very small company. After entering and passing the front desk, the most eye-catching thing is the writing board in the office that is filled with project implementation procedures. It is densely drawn, and the clearest of which are three Chinese characters for "compass".

Lin Weimin asked Zhang Chaoyang with great interest: "Is this the column that your website is about to launch?"

"Yes. It's coming soon. This month."

Talking about the company's upcoming column, Zhang Chaoyang's face showed some confidence.

Lin Weimin came today with Lei Jun alone. Zhang Chaoyang was responsible for introducing the current situation of Atixin Company to the two of them. The two of them whispered from time to time after listening.

After looking at the situation of the entire company, Zhang Chaoyang invited Lin Weimin and Lei Jun to his office.

Lei Jun said frankly: "Mr. Zhang, I think your Aitexin website is too primitive. Apart from a few shared databases, there is only a little content left from cooperation with others."

Long before coming here, Lin Weimin told Lei Jun the mission of his trip, which was to find fault, and find fault hard.

When doing business, how can you bargain if you don’t find fault?

Lei Jun's speech was simple, but every word was sharp and hit the point.

Although Atexin already has its own website, there is nothing that can reflect its own technological advantages and product potential. Even the server and database are shared with ISI.

In terms of website content, there are only some simple content collaborations with "Fine Shopping Guide" and "Novel Monthly", and the rest are just a bunch of links, which are unremarkable.

Lei Jun's words made Zhang Chaoyang very unhappy, but there was nothing wrong with what Lei Jun said. He could only make a few excuses and then look at Lin Weimin, placing his hopes on him.

"Chaoyang, I don't know much about technology, but your company's current products do look a bit crude, and you still need to work harder!"

"I admit this. But you just saw our cyberspace. This month it will become the 'ITC Compass'. It will realize the concepts of navigation and search, and will definitely bring a large number of users to our ITC in the future."

When Lin Weimin heard this, his face became calm and he remained silent. Zhang Chaoyang became very nervous when he saw this.

"Chaoyang, what's your valuation for Aitexin? How much do you plan to ask for?"

After hesitating for a long time, Lin Weimin finally spoke. Zhang Chaoyang seemed to be listening to heavenly music, and an expression of uncontrollable joy appeared on his face.

He tried to control himself and said carefully: "The valuation is 3 million US dollars, and we can sell 20% of the shares."

20% of 3 million is 600,000 dollars, equivalent to nearly 5 million yuan.

The boy looks timid, but he has a really big appetite!

Lin Weimin didn't say anything. He looked at Zhang Chaoyang and then at Lei Jun. Lei Jun immediately knew that he had to work.

"Mr. Zhang, forgive me for being blunt. Although I don't know much about venture capital, Mr. Lin told me that your company's first round of angel investment raised 225,000 US dollars, and the investor took 30% of the shares, with a valuation of 750,000 US dollars.

We have also seen your company's development achievements this year. Do you think it is worth a valuation of 3 million?"

Lei Jun's words were bluntly polite. He came here today to play the good guy.

Of course, Zhang Chaoyang also knows that Atexin is not worth 3 million US dollars now, but when doing business, you have to ask for a high price and pay it back in the end.

Seeing Lei Jun's tough attitude and Lin Weimin's silence, he softened his tone.

"Then what is your opinion, Mr. Lin..."

Before Lin Weimin could speak, Lei Jun said, "Mr. Zhang, your company took the initiative to invite Mr. Lin. Shouldn't you take the initiative to show your sincerity in cooperation?"

Zhang Chaoyang saw that Lin Weimin was hesitant to express his opinion and Lei Jun was pressing him. He hesitated and said, "Then the 2.6 million rice knife."

Without waiting for Lin Weimin to express his opinion, Lei Jun shook his head and said, "800,000 Midao."

When Zhang Chaoyang heard this number, he almost jumped up, "No, no, 800,000 is too low."

…

The two men argued for a long time, but Lei Jun refused to give in. Zhang Chaoyang felt anxious and helpless.

He couldn't help but look at Lin Weimin, and said with a pleading look in his eyes: "Teacher Lin, we are very sincere in cooperating..."

Seeing that the situation was almost ready, Lin Weimin said, "Let's do this. Based on the 1.5 million valuation, we want 30% of the shares."

Lin Weimin suddenly raised the valuation from 800,000 US dollars to 1.5 million US dollars, and Zhang Chaoyang was naturally happy.

But asking for 30% of the shares all at once was a bit beyond his expectations.

If he takes out this 30% stake, his stake will be diluted to only 49%.

Lin Weimin seemed to see through his thoughts and said calmly: "Running a company is like making a cake. If the plate is not big enough, there will be no prospects. Besides, our Guowen Society doesn't know those investors in the United States."

His words made Zhang Chaoyang feel relieved. Zhang Chaoyang gritted his teeth and said, "1.5 million Midao valuation, 25% shares."

When Lin Weimin looked at him, Zhang Chaoyang felt a huge pressure, but he still maintained his expression, appearing confident and calm.

"good!"

After a moment, a decision was made.

Zhang Chaoyang couldn't help but feel overjoyed, and the energy he had just built up suddenly dissipated.

He stood up impatiently and extended his hand to Lin Weimin, "Teacher Lin, thank you for your trust in Atexin."

Lin Weimin stood up and gently held Zhang Chaoyang's hand.

"I don't trust Aitexin, but I trust you, Zhang Chaoyang. Chaoyang, please don't let me down."

Lin Weimin's words were earnest and sincere, revealing a deep appreciation.

Hearing this, Zhang Chaoyang felt a warm current in his heart, and his eyes were firm, "Teacher Lin, please rest assured, I will never let you down."

Lin Weimin nodded, "Well, I believe you!"

After coming out of Atixin, Lin Weimin said to Lei Jun: "Thank you for your hard work this time!"

"Teacher Lin, you are too polite. This time I have really broadened my horizons. I have only heard of venture capital before, but I have never participated in it."

Lin Weimin smiled and said, "We can't say this is formal."

"Guowenshe's investment in Aitexin is a pioneer in China. Other institutions and state-owned enterprises don't have the courage to do this."

This is not a compliment from Lei Jun, but comes from his heart.

If the current state-owned enterprises in China could have the vision and pattern of Mr. Lin and Guowen Publishing House, they would not have developed to the point where reform is necessary.

After returning to the Guowen Society, Lin Weimin called Lao Zhou and Lao Cheng to his office.

Hold a big meeting to handle small things; hold a small meeting to handle big things.

Lao Zhou and Lao Cheng listened quietly and consciously to Lin Weimin's report on the results of his visit to the Everbright Building today.

Lin Weimin had already discussed this with the two men beforehand, and this meeting was just to discuss the final negotiation results.

When he heard that they were going to use "375,000 RMB in exchange for 25% of Aitexin's shares", Lao Cheng couldn't help but ask, "From what you said, their company is so big, and all their assets added up are less than 300,000 RMB, so they are worth 1.5 million RMB?"

"In the Internet industry, physical assets are not important. What is important are people, thoughts and ideas," said Lin Weimin.

Old Cheng said, "I don't care what I love my dad. 375,000 rice knives is converted into RMB, which is 3 million. You should think carefully."

"It's just 3 million. Look at your character. I don't even bother to say anything to you." Lin Weimin despised Comrade Lao Cheng's pettiness.

Lao Zhou at the side also agreed, "That's right. You need to change your bad habits. We made 100 million from one movie, Hero. Are you still short of this little money? To do big things, you need to have a vision!"

Old Cheng threw the contempt he received from Lin Weimin to Old Zhou, "You are the only one who has such a vision? Do you know what the Internet is?"

Old Zhou chuckled, "I don't understand, but Weimin does."

Old Cheng despised him even more.

"Okay, okay, you two stop arguing." Lin Weimin advised, "Investing in Aitexin is our Guowen Society's attempt to test the waters in the Internet. The development of the Internet and computers will definitely be an important industrial direction in the future and will have a profound impact on the real economy. Of course, this is just my personal opinion. Three million yuan is not a lot, just consider it as planting a flag in the Internet field."

Old Cheng muttered, "I didn't say I disagree."

"Yes, yes, I understand. You are considering the price!"

Old Cheng has been calculating carefully all his life. Although Guowenshe has become a big company now, he still hasn't adapted to the times. Lin Weimin fully understands this.

After the meeting of the three giants, the investment in Aitexin was finalized.

Of course, the conference still has to be held symbolically.

What if there is someone ignorant enough to disagree?

Unfortunately, facts have proved that the decision of the Big Three was extremely wise and was unanimously supported by many comrades.

The next thing was simple. Lin Weimin signed the investment agreement on behalf of Guowen Society, transferred the money, and finally made the industrial and commercial changes.

It only took two days for Guowen Press to become the second largest shareholder of Yanjing Aitexin Information Technology Co., Ltd.

After the second round of financing, Atsun's current equity structure is 52.5% owned by founder Zhang Chaoyang, 25% owned by Guowen Press, and 22.5% owned by foreign investors including Professor Edward Robert and Professor Negroponte.

If Zhang Chaoyang wants to introduce new investors, he must obtain the consent of shareholders such as Professor Edward Robert and Professor Negroponte.

No matter how difficult it was for Zhang Chaoyang to get money from them when he was raising funds, they were Zhang Chaoyang's mentors after all, and their cooperation was indispensable for financing.

It was not difficult to convince several American investors. When the two invested in Aitexin, the valuation of this un-established company was only US$750,000.

Now, after a year, the valuation has become 1.5 million US dollars, which means that the value of the shares held by the two has doubled. They are very satisfied with this result.

After all, this year, Atsun did not produce any convincing results.

The fact that there are still people willing to invest at this critical juncture only proves that this investor, like them at the beginning, has set his sights on Zhang Chaoyang as a person and the huge potential of the Chinese market.

The matter of Guowenshe investing in ITC was settled, and ITC had sufficient supplies. Zhang Chaoyang confidently renamed the original cyberspace of their website to "ITC Compass" and prepared for its official launch.

(End of this chapter)