Chapter 1004 Opportunity Not to Be Missed
Yang Huan walked to the window of the private room and looked at the blue sky outside through the open window.
On the surface of the Solent, there are yachts floating, as well as passenger ships traveling between Southampton and the Isle of Wight, and even from all over the world. It looks very lively.
But at this moment, Master Huan had no intention of appreciating the beautiful scenery, but was frowning.
"Old Sun, do you mean that they only plan to sell a portion of their shares?"
Sun Yue nodded and said, "Fifty percent. In addition, they also requested that the name and logo remain unchanged."
"If nothing changes, then they still have the final say, right?" Yang Huan just laughed.
After all, it is still the style of a state-owned enterprise. Even the seller club is selling so arrogantly.
"Master Huan, they actually have a very clever plan."
"Oh?" Yang Huan turned around with interest.
"Over the past 20 years, Guo'en has always been the flag of Beijing. Beijing fans all support them and call themselves the imperial guards. Even under subtle influence, fans only know Guo'en and have forgotten Beijing."
When Yang Huan heard this, he immediately understood what Sun Yue meant.
Isn’t it?
This is simply making Guoen a business card of the capital!
Investing in this football club is such a great deal for Sino-Singapore Group. It is hard to imagine how much advertising fees they have saved. No, even if you run more advertisements or invest more resources, you may not be able to achieve this effect.
This is what Yang Huan mentioned to everyone before, the unique social attributes of football.
"So, their meaning is very clear. Anyway, they don't have to spend money, just 50%. If you want to manage it, we will let you manage it, but the name and the team logo cannot be changed. The more money you spend, the better Guoen's performance and the higher its popularity, the more beneficial it is for them."
Yang Huan couldn't help but laugh when he heard this. Ni Mei, isn't this what he did with Tottenham Hotspur? When Qatar's Prime Minister Hamad wanted to acquire Tottenham Hotspur, Yang Huan and Daniel Levy had an agreement with him. No matter how much they invested, their shareholding ratio would remain unchanged.
Judging from Tottenham Hotspur’s current valuation, the two made a fortune from this deal!
Of course, behind this, Daniel Levy's painstaking efforts and Yang Huan's behind-the-scenes planning are also crucial.
If it weren’t for the shares, Yang Huan wouldn’t bother to care!
"If anyone tells me that state-owned enterprises are not smart, I will be the first to fight him!" Yang laughed and cursed.
Sun Yue also laughed, this plan was indeed very sound.
"Master Huan, before I came here, I specially commissioned someone to do a survey. It is estimated that in the next three years, the average investment of the sixteen Chinese Super League teams will exceed one billion."
"Ten billion in three years?" Yang Huan couldn't help but be moved.
Even in RMB, it is a very astonishing number.
Sun Yue was talking about the average value, which means that the highest number is definitely higher and there should be no lowest number. According to the usual characteristics of football leagues, there are at least eight to ten clubs that have reached this number.
Damn, this has really become a money-burning league!
"So, Master Huan, agents like Mendes and Raiola are all very smart. They are all going to China. And Joorabchian has recently focused his main business on China. This market is too big!"
Who says it’s not?
Burning 1 billion in three years, that's really amazing!
No wonder even Sino-Singapore Group couldn’t stand it.
If they really burn it like this, the country will probably cause trouble for them!
"I've thought about it carefully. Sooner or later, we have to set up a football club. Otherwise, where will we put all the players from overseas and the players trained in major domestic youth training camps?"
This is also what Yang Huan had been considering from the very beginning.
Therefore, he registered a football club in Beijing, but only bought out the ownership of the players without participating in the games.
But according to the resources Yang Huan currently has, within three to five years, when the overseas players grow up, Yang Huan can form a Chinese Super League team anytime and anywhere, or acquire a Chinese Super League team and play in the league through a backdoor listing.
This was also Yang Huan’s plan and idea in the past, but now it seems that it is obviously not feasible.
Because the development is too fast and too rapid!
If it is true as Sun Yue said that all Chinese Super League teams will invest so much in the next three years, then when Yang Huan decides to make a move in three to five years, it will probably be difficult for him to buy a team he is satisfied with and play in the Chinese Super League through a backdoor listing.
According to Yang Huan's standards, it has to be at least a team from a first-tier city.
But the problem is that first-tier teams are too scarce now. Once capital comes in and hypes them up, their values skyrocket. It’s difficult to buy them again!
Well, if we don’t buy the team and form our own team to play in a lower-level league, we will have to endure another two or three years, and we may not be able to gain a foothold in the Chinese Super League because we will have to bear the risk of having our quality players poached.
In Yang Huan's eyes, the most precious thing is time.
The same amount of money invested now can at least guarantee that in three years, Yang Huan will have a team that is at least in the top group of the Chinese Super League.
But if we invest again three years later, it may be difficult to guarantee it.
Today's Chinese Super League seems to be standing on the cusp of the wind, and it can take off at any time and anywhere.
For Yang Huan, this opportunity is rare and will never come back!
"Old Sun, what do you think?" Yang Huan asked with concern.
"Guo'en is a very good choice!" Sun Yue said concisely.
Yang Huan nodded, "Tell me about it."
"This brand has a very high value. We have been involved in professional football for more than 20 years and have always been in the top group. In Beijing, the average attendance is close to 50,000, and the fan culture is quite strong."
"Although the fans in Beijing cursed Guo'en harshly, in fact, behind the curse is a deep emotion. They love this team and have a deep sense of identity in their bones, so they curse."
Yang Huan understood this.
It’s just like the fans nowadays scolding Manchester United, why?
If there is no emotion, who would bother to scold you and waste their breath!
It is because of love that I scold.
Of course, there are also some fans who are scolded for other reasons, but no matter what, the fact that people are scolding Guoen proves that Guoen has popularity and social influence, and that is enough.
"Given the current popularity of the Chinese Super League, it is expected that this momentum will continue in the next few years. As the reform of the football industry deepens, the entire market will become more and more standardized, and many problems that seem unsustainable now will be solved, such as the problem of team revenue growth."
Many people now doubt the survival ability of the Chinese Super League teams, believing that they rely more on the burning of money by big capital and consortiums to survive. Once the capital and consortiums are unwilling to invest anymore, the current momentum of the Chinese Super League will be difficult to maintain.
But is it really so in reality?
"In 2009, the Chinese Super League Company took on the responsibility of selling all the jersey sponsorships of all the teams to Nike without the support of the clubs. However, a few years have passed and the Chinese Super League is no longer the same as it was back then. When the contract expires, it is unlikely that Nike will be able to renew the contract."
"Nike's revenue in China only accounts for one-tenth of its global revenue, but its profit accounts for one-quarter of the global total. However, the investment it makes in sponsoring European teams is totally disproportionate to that in sponsoring Chinese Super League teams."
"It is foreseeable that in the foreseeable future, the jerseys worn by Chinese Super League teams will become a battlefield for fierce competition among many international brands such as Nike, Adidas, Puma and domestic brands."
Yang Huan understood what Sun Yue meant.
If we look at the present, the survival of the Chinese Super League teams is indeed very problematic and completely unsustainable.
But the problem is that the world is constantly moving forward.
When capital has been invested in the Chinese Super League for a few years and the entire market has been revitalized, income will follow.
A large number of sponsors like Nike and Adidas will flock in, and the income of the Chinese Super League teams will naturally increase. By then, will they still worry about the survival of the team?
As for wanting to make money from the team, please don’t!
Even in Europe where the football industry is so developed, it is difficult to make money from investing in football teams. Is it possible in the Chinese Super League?
In the foreseeable future, the Chinese Super League will become a battlefield for major capitals to compete, just like the current Premier League. What they care about is not whether it can make money, but whether it can bring them advertising effects.
It’s just like the Sino-Singapore Group’s investment in the Beijing Guo’en team.
For those big conglomerates, advertising does not mean making profits; what they care about is the effectiveness of the advertising.
If the same amount of money gets five points of attention if spent on TV, but eight points if spent on a football team, they will choose the latter without hesitation.
As for whether they can gain benefits from the latter, this is not what they consider at all.
Let me ask you, can Nike make back the money it spends sponsoring Southampton and Barcelona?
How is that possible?
But why do they still invest and spend every year?
This is because they focus on the advertising platform and effects rather than the revenue.
"Master Huan, there is another very important reason why I support the acquisition of Jingcheng Guoen. This team is very close to our corporate culture. Their popularity on Weibo and WeChat is more than 20 times that of the second-ranked Yangcheng Hengda."
"Beijing is a city with unique advantages. Guo'en is a very popular brand. In addition, Guo'en fans and domestic fans have been at loggerheads over the past few years. This is really the best time for us to enter the Chinese Super League!"
Yang Huan understood what Sun Yue meant, and he also understood that this was indeed a good opportunity.
He even couldn't help but imagine in his mind that if he really took over Beijing Guoan, he would immediately spend a lot of money, use his connections in Europe to hire a group of superstars who are semi-retired in Europe but are still more than capable of playing in the Chinese Super League and the Asian Champions League, and then find a reliable head coach and team.
With this team, plus the original lineup of Beijing Guoan, and the introduction of domestic reinforcements, are you still afraid of not being able to achieve results?
As for the investment, I'm afraid it may not be that high.
In particular, Yang Huan's team has accumulated considerable operational experience in Southampton, and with the support of Miracle Media, they are fully capable of maximizing the commercial value of the superstar.
Even more so, if we could get a piece of land in Beijing and build a new stadium, it would be simply...
"Old Sun, how much does Sino-Singapore Group want?" Yang Huan asked with concern.
When Sun Yue heard this, he immediately knew that Young Master Huan had already made up his mind, and quickly replied: "Fifty percent of the shares, 2 billion, the overall valuation, 4 billion!"
Yang Huan frowned at first, as if he thought the offer was too expensive, ridiculously expensive.
But gradually, Master Huan's frown smoothed out, and he said calmly, "Fuck it, if anyone tells me that the CEO of a state-owned enterprise is not smart again, I will definitely fight him!"
This is the second time Young Master Huan has said this.
Sun Yue chuckled, knowing that Master Huan understood.
When it comes to investing, you can’t just look at the present, nor can you compare it with the past; you have to look to the future.
According to national planning, China's sports industry is expected to reach 5 trillion yuan by 2025. What does this mean?
This means that the era of great development of the sports industry is coming!
So over the past year, major capitals have been pouring into the sports industry crazily. Doesn’t this speak volumes?
As the world's largest sport, football also has considerable influence in China. Investing in football clubs is just the right time to catch up with this trend.
"Worth it!" Yang Huan made the decision on the spot.
"But, Old Sun, I have a request."