Deep Space Company needs a handy weapon, and at this time, BenQ Dentsu can only be regarded as a semi-finished product with good raw materials. To turn this semi-finished product into a sharp sword, it requires proper management and a lot of financial support.
In Jimmy's view, although they have more than one billion US dollars in cash, it may not be enough to burn it.
However, he is not particularly worried, because no matter how urgent the acquisition and development of BenQ Dentsu is, it will not happen in a day or two. In a few months, his company will cash out more than one billion US dollars from Amazon.
Yu Dong and Jimmy have similar ideas. They both believe that selling stocks can stabilize the company's capital chain and provide sufficient food for the acquisition of BenQ Dentsu.
But everything in the world has the possibility of accidents. Jimmy and Yu Dong have always made good plans, but this time they made a mistake.
On the night after the movie theme day ended, and a new day had just begun in the United States, a bond analyst named Ravi from Lehman Brothers sent a financial analysis report to his clients.
In this 27-page report, Ravi said that Amazon's balance sheet is fragile, its working capital management is poor, and its operating cash flow is significantly negative. He believes that Amazon's debt is extremely fragile and is deteriorating, and he strongly recommends investment.
investors avoid investing in their convertible bonds.
Ravi even came to a radical conclusion, saying that Amazon will burn through all its cash within a year because Amazon's business model fundamentally does not work.
In his report, he cited a large amount of data. In fact, Amazon has borrowed heavily since 1999.
In February 1999, Amazon issued convertible bonds worth US$1.25 billion, and this year it has just begun to issue more than US$600 million in convertible bonds.
Looking at it this way, what Ravi said seems to be an ironclad fact.
When most people see Ravi's report, their impression of Amazon is that the company burns money too fast, but is unable to obtain positive cash flow quickly. It is a black hole of funds.
Finally, Ravi also mentioned Deep Space, Amazon’s largest shareholder. He pointed out that the reason why Deep Space has been selling off its stocks in the past year is precisely because they have long seen clearly that Amazon’s future is worrying.
, want to get out as soon as possible.
Ravi made a detailed table of the stocks and shares that Deep Sky Company sold during this period. He analyzed that Deep Sky Company was very careful in its transactions in order not to cause panic in the market. This was also a sign of lack of confidence in Amazon.
At the same time, he also pointed out that the financial situation of Deep Space Company is very healthy. Without any debt, it has at least one billion US dollars in cash on hand. Moreover, after a few months, several projects of Deep Space Company began to withdraw from the market.
Funding, their company's cash may reach three billion US dollars.
What is the concept of a company holding three billion US dollars in cash? Even if you are not engaged in finance, you know what this means.
And it is such a company that is not short of money at all, but it keeps selling Amazon's shares. From this look, it is easy to guess the intention.
Analyst Ravi is unknown, but Lehman Brothers is famous, and no one will easily ignore the financial analysis reports issued by their company.
Therefore, in just one day, Ravi's report detonated the capital market.
On that day, the prices of two convertible bonds issued by Amazon fell by 15 percent, and the stock price fell by nearly 20 points.
In one day, Amazon's market value dropped by $2.8 billion.
The next day, the game theme day of the Deep Space Park officially began. The tourists did not know that the U.S. capital market thousands of miles away had been disrupted by an analysis report, and they were still immersed in the lively atmosphere.
But the senior executives of Deep Space gathered in Yudong's office, all of them frowning.
Jimmy and the others had anticipated the Internet bubble before, but they didn't expect it to come so quickly. Even Yu Dong didn't expect it. He thought it would take a few months.
More importantly, Amazon was the first to bear the brunt, which immediately disrupted Deep Space Company's plan. They originally wanted to cash out another billion US dollars on Amazon, but now it seems that this matter cannot be carried out.
If it were other times, it would be okay if they couldn't continue to cash out, and they wouldn't lose anything anyway, but now is the critical moment for them to acquire BenQ Dentsu.
Lack of money is one aspect. In this situation, will Acer's attitude towards this merger change?
After all, in the eyes of outsiders, more than one-third of the US$2.8 billion evaporated by Amazon in one day was from Deep Space. In conversion, the assets of Deep Space Company fell by US$7.8 billion in this day.
"This is just the beginning, and the situation will get worse later on." Jimmy tapped his fingers on the table. "The wind direction of the capital market changes quickly. It is a human characteristic to follow risks and avoid risks."
Jiang Jie said: "Mr. Ji, boss, should we also write a report to say good things to Amazon and stabilize the situation first?"
Heliang waved his hands and said, "It's useless. Our announcement at this time is not convincing at all. To say the least, even if investors really believe our words and the company's stock is stable, then we can't sell it.
Are you selling the stock? If you continue to sell, isn't it like a slap in the face? If you don't sell, what's the use of stabilizing the stock price for us? If the stock is not sold, it is just a pile of waste paper.
High prices or low prices are of no use. As for Amazon's current situation, the stock decline has no essential impact on them, and they have already burned almost all the money they burned in the early stage."
"How could there be no impact? Amazon has now reached alliances with some retailers, and these companies will definitely encounter difficulties in subsequent financing. Once Amazon's sales fail to meet expectations in the next year-end shopping season, it will definitely be hit hard.
." Jimmy analyzed Amazon's prospects. These were all things he had expected before, but the time point was much earlier.
This chapter is not finished yet, please click on the next page to continue reading the exciting content! In fact, this matter is also related to the Deep Space Company itself. Their cash-out is like a catalyst, which suddenly amplifies the original problem.
If Deep Space had not been cashing out, Ravi's analysis report would have been greatly reduced in persuasiveness, and its market influence would certainly not have been so great.
Yu Dong leaned back and said in a calm voice: "Actually, there are not many problems we have to solve now. The main problem is the acquisition of BenQ Dentsu."
"Yes, we have plans for the decline of Amazon's stock." Jimmy nodded, "If it hadn't been at this juncture, it would have had no impact on us."
Yu Dong smiled and said, "It's not a big problem. I still have some money on hand."
"boss……"
As soon as Jiang Jie spoke, Jimmy smiled and waved to Dong, "I have other plans for your money, so you don't have to use it on this. If you are short of money, there are many ways to solve it. Our company will start filming "Men in Black" next year
2》.”
"The investment in "Men in Black 2" is definitely not low, so isn't our financial pressure even greater?"
But Yiliang understood what Jimmy meant. He smiled and said, "Mr. Ji probably wants to sell the investment share of the movie in advance. It will be some time before the movie starts shooting, so we will collect the money before then. But in this way
, we need to release a lot of investment shares."
Transferring the investment share itself is a way to share risks and increase publicity channels. Generally speaking, if the company is optimistic about the box office of the movie, even if the investment share is transferred, it will not be too much.
But now that Deep Space wants money, it will definitely not work if the investment share released is too small.
In addition, investors will also weigh if they collect money too early. After all, the investment return time is too long, and others are not willing to do so.
"Release it slowly, don't rush it, and we have more plans on hand than just this one. We need to sell all the shares of these movies in advance and get through the difficulties during this period first. Our company has always wanted to speed up
The progress is to increase the number of movies produced every year, but we have been making small efforts before without substantial progress, so we might as well take advantage of this opportunity to increase the number."
Yu Dong nodded. Jimmy had indeed said this before. There were too many plans on their hands. If they did not release their investment share, their company would not be able to complete it with their own investment, which would greatly affect the operation of IP.
.
Moreover, Deep Space Company does not actually rely on movie box office to make money. After all, the movie box office is only so much every year. No matter how many movies Deep Space Company produces, the total global box office is just that big. Even if it can be raised, it will not be raised too much.
There are only so many total ticket warehouses. No matter how good the development of Deep Space is, and no matter how awesome it is in the future, it is impossible to cover all the box office. It is better to increase the number. Even if the box office makes less money, you can still seize a large number of movies as soon as possible.
copyright.
The main profits of Deep Space Company in the future will definitely be from the DVD and online broadcast of movies, so early deployment is definitely a good thing for them.
"Okay, let's just deal with it like this for now. If there are any problems, we'll discuss it." Yu Dong opened his mouth to set the tone.
Several other people nodded, and Jiang Jie suddenly asked, "Will this incident affect our Deep Space Tribe and Dongdong?"
Jimmy smiled very easily: "It won't have any impact. Lehman Brothers issued a financial analysis report, which mainly affected the investment market. However, the Deep Space Computer has not been listed on the market, and there is no demand for bank loans. Investors
It doesn't matter how low the confidence in us is, our core is still our users, and the rest has nothing to do with us. And those users cannot choose to abandon our products because of a financial report."
"Mr. Ji, it actually has an influence." Yuliang took over, "It's just a good influence. After the Amazon incident comes out, a large number of Internet companies and technology companies will definitely be implicated. America Online is currently busy
With the acquisition of Time Warner, their merger and acquisition process will definitely be affected. At this time, AOL will definitely have no intention of competing with us. We can not only stabilize the tribal market, but also take the opportunity to seize the instant messaging market.
, it’s time for Dongdong to be fully launched in the United States.”
"Indeed, now is our opportunity." Jimmy touched his chin, then narrowed his eyes and smiled: "In this way, we will announce the news tonight. In order to celebrate the company's annual meeting and the upcoming full launch of Dongdong in the United States, Deep Space is preparing to send five
Ten thousand Dongdong monthly members will receive another one million Starry Sky Cards, each of which contains 100,000 points."
Jiang Jie exclaimed, "This is a lot of money."
A one-month membership of the global version of Dongdong only costs US$1.99, and sometimes there are discounts. Fifty thousand Dongdong members cost less than US$100,000 at most, which is naturally a drop in the bucket for the Deep Space Company.
Moreover, the cost of membership is very low for deep space companies. It doesn’t cost much, and it can also promote services.
But 100,000 Starry Sky Cards with 100,000 Deep Sky Points stored in them have a total of 100 billion points.
If the value of Deep Space Points can be controlled to be similar to that in China, 100 billion points will be equivalent to about one billion RMB. Even if these points will eventually return to the hands of Deep Space Company, they will still spend hundreds of millions of RMB.
Deep Space is now a big company, and a few hundred million yuan may not sound like a lot, but just to celebrate the annual meeting, it has to spend so much money, and it is indeed a bit big.
Seeing Jiang Jie's surprised look, Jimmy smiled and said: "Xiaojie, you have to expand the layout a little bit. If you want to promote our Star Card in the United States, you can't do it slowly. It's best to do something direct. One
A card with 100,000 points, which is equivalent to 1,000 RMB, is given to them for free. Who would refuse? After these one million people get the card, they will realize the wonderful use of this card. A few hundred million RMB can be exchanged for one million points.
Card users don’t lose at all. Besides, we don’t need to take out these hundreds of millions of yuan at once. The lottery will take time. It will take time for these people to spend all the points after getting the card. When they finish spending, the bookstores and
It will take some time for other partners to settle with us."
In fact, Jiang Jie also knew what Jimmy said, but his thinking just didn't change. He always felt that giving away 100 billion points was too much.
Yu Dong said with a smile, "Spending some money at this time is also to deal with Amazon's situation. Many people are waiting for our response, so we will give them a response to let them know that Amazon's situation has no impact on our company at all.
Only in this way, we will not be at a disadvantage when negotiating with Acer to acquire BenQ. If we operate well, the hundreds of millions of yuan spent can be saved by Acer."
Jimmy squinted his eyes and said, "Sure enough, you still understand me best. At this time, it is more important to let them see how good our life is. I will go to Mohan to talk to him as soon as possible.
Bind Battle.net and Star Card together so that Star Card users can directly use points to purchase games in Battle.net, so that as much of the money as possible can flow into Blizzard's pockets."
Chapter completed!