“If no one else will invest, I will!” Feng Zhiyao said with shining eyes, “Brother Feng’s company is definitely not a problem.”
Hahahaha!
Lu Feng smiled and said, "That would be the best, our cooperation would be seamless."
"I'll call a few managers over to ask about the current valuation of the semiconductor market." Feng Zhiyao stood up and went out the door to his office to have someone find the relevant managers.
A moment later, two men in their thirties, both wearing glasses, came in. They introduced themselves, saying they were both graduates of top American universities with semiconductor majors and were now mainly working on listing such companies.
“This one’s surname is Cai, and this one’s surname is Zheng!” Feng Zhiyao said to the two men, “President Lu of Jufeng Capital, the largest semiconductor R&D company in mainland China.”
Lu Feng shook hands with the two men and then briefly explained the company's situation. When they heard that the main business was in mainland China and that the company was unable to open up markets internationally, the joy on their faces diminished considerably.
"Mr. Lu, it's like this. The global semiconductor industry has already experienced a period of frenzied expansion and is currently in an overheated phase. Not to mention the financing market, many people in the stock market are already preparing to short semiconductors." Manager Cai said to Lu Feng, "Looking at the current market, the overall valuation of the semiconductor market is not high, but looking at the performance expectations for the next five years, the valuation of listed semiconductor companies is very high!"
"Moreover, your company's market share is too small. Currently, the largest market share is in the personal computer sector, and the competition for semiconductor market share in the mobile phone sector is even more intense. In such an environment, it is indeed very difficult for a second-tier semiconductor company to break through the encirclement!"
Manager Zheng glanced at Feng Zhiyao and said with a forced smile, "The semiconductor sector isn't very valuable, but the banking and food industries are high-quality assets. Most importantly, the semiconductor sector is currently in an awkward phase, and I agree with President Cai's assessment."
"What about the valuation?" Feng Zhiyao asked.
“This…” General Manager Zheng glanced at General Manager Cai with some difficulty.
"Go ahead and say it, what are you afraid of?" Feng Zhiyao said, frowning slightly.
“I believe that HK$5 billion is the highest valuation that Hong Kong investors can accept, and most companies cannot accept this valuation. A reasonable valuation would be HK$3 billion!”
Lu Feng frowned upon hearing the valuation. It seemed that the overall market was like this, and coupled with the fact that some local capital had a magical, outdated impression of the mainland, it would definitely be difficult to raise funds at a high valuation.
After the two left, Feng Zhiyao excitedly said that he could invest. He didn't know anything about semiconductors, but he knew Lu Feng. Investing is about investing in people, and there are very few entrepreneurs like Lu Feng in the world.
Feng Zhiyao took Lu Feng on another tour of the company. The overall development is stable now. The number of listed companies in Hong Kong is decreasing. They have expanded into overseas markets. Speaking of a stock at the end of last year, which Sun Hung Kai helped issue, they made HK$2 billion in ten days. It was the biggest deal in the past two years.
Listening to these words, Lu Feng knew in his heart that finance was the money-printing machine, but the most basic thing to have a money-printing machine was a license. Even with a license, you might not make money. You also needed connections. With a large network, everyone would give you face, making it much easier to inflate the price of newly listed stocks.
Su Yourong is definitely someone who understands this very well.
In the evening, the two had dinner together. Feng Zhiyao was quite open in front of Lu Feng, but Lu Feng could also sense that there were some things he would no longer say to him.
Zhenkun comes to the company less often now. His son has joined as a junior manager, which can be considered a kind of succession. In the evening, Zhenkun came to the company and heard that Lu Feng had arrived. He went to ask Manager Cai a few questions.
"The two of them went out to eat. Mr. Lu wanted to raise funds and came over to ask, but the semiconductor industry isn't doing too well right now!" Mr. Cai replied.
Zhenkun thought for a moment, then picked up the phone and called Zhang Wantu, who had attended the banquet the night before. After asking around, he learned that Lu Feng had been there for over a week.
"Don't reach out to me indiscriminately!" Zhenkun sighed.
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