My 1999

Although Duffield was old, his thinking was very quick. He immediately caught the flaw in Xu Liang's words and continued:

"Mr. Xu, you have also admitted this. Working days are an unsettling factor for Oracle and PeopleSoft.

If our unstable factor continues to develop, we may become a spoiler and make Oracle's 10 billion US dollars wasted! "

"I don't deny that Workday poses a certain threat to PeopleSoft."

Xu Liang looked into Duffield's eyes and said very sincerely.

"Because Oracle's acquisition this time is obviously not satisfactory. It acquired the company's assets, but let go of its most valuable asset - talent."

Hearing Xu Liang's comments about Oracle's acquisition, Duffield couldn't help but smile.

“Because it is a hostile takeover, Oracle is destined to be unable to satisfactorily take over everything from PeopleSoft.

Everything that leaks out from the fingers will flow to the working day, including talents, customers, etc. "

Xu Liang waved his hand.

"We no longer need to argue about the threat this company poses to Oracle, what I want now is an answer.

Please tell me, how do you deal with Oracle's suppression?

This question is important and forms the basis of financing negotiations. "

Dudufield's expression also became solemn.

"Oracle and PeopleSoft cannot monopolize the entire market. We are negotiating with several large companies. If we win them, it will serve as a bellwether."

Duffield asked Bousri to bring a few stacks of documents and handed them to Xu Liang. They were all intended cooperation agreements.

Xu Liang looked through it carefully and could only say that Duffield's industry prestige was indeed high. The company had only been established for a few months and it had already pried away PeopleSoft's major customers.

No wonder Larry Ellison is so crazy. He really wants to let people's 10 billion US dollars be wasted and buy an empty shell.

but.

I like.

Despite the inner turmoil, Xu Liang remained calm on the surface.

Although he was determined to cause trouble for Ellison, every penny of his own money must generate enough value.

"This kind of relationship-based business is destined to be unsustainable in the long term. If we want to attract more small and medium-sized customers, the focus must be on the product itself."

Xu Liang gently put the file back on the desktop and said calmly.

"Yes, so we recently organized a meeting with technical backbones to discuss and prepare for a major upgrade of PeopleSoft's original human resources management software to solve the original shortcomings or flaws in one fell swoop."

Duffield shrugged, "At that time, customers will know which company's products to choose."

At this time, the concept of cloud computing has not yet become popular, and Workday Company is obviously not thinking in this direction, or is already working in this direction without knowing it.

Xu Liang didn't want to go out and encourage it now, not to mention that the investment matter hadn't been discussed yet, so it wasn't his turn to point fingers.

After asking a few more questions, Duffield gave the answers one by one.

"Okay, let's talk about valuation."

Duffield was delighted, this was exactly what he wanted.

"I heard from Sequoia that you plan to raise $10 million at a post-money valuation of $200 million?"

Duffield said seriously: "Yes, a few months ago, when the company was first founded, Bousri, Greylock, and I invested a total of US$15 million. At that time, the company was valued at US$100 million."

Hearing this, Xu Liang couldn't help but smile.

The world is as dark as crows. No matter how good your words are, in the end it’s all about the word ‘money’.

"Working Day was established in March, less than half a year ago, and the product has not been officially launched on the market. The valuation will not double, right?

Moreover, Workday’s Series A financing does not have the support of actual products, and founders join in. It is more similar to seed round and angel round financing, right? "

Dudufield looked calm, "Human resources software is a tens-billion-dollar industry, and the market potential has been verified by PeopleSoft.

It is no exaggeration to say that Workday currently has 70 engineers, plus Bhusri and I’s industry experience, this can be valued at US$100 million.

Coupled with the current semi-finished software, I think there is no problem at all with a valuation of 200 million US dollars. "

Xu Liang knows that no matter how harmonious the conversation with the founder is, no entrepreneur is willing to give in easily when it comes to issues such as valuation and equity dilution ratio.

After pondering for a while.

"Mr. Duffield, do you know Hongmeng?"

"Of course, this is another masterpiece of Mr. Xu, a world-class Internet giant."

“In addition to Hongmeng, I also own China’s largest food and beverage company ‘Master Kong’, the largest education and training institution ‘New Dream’, and the largest commercial real estate company ‘Taihua’.

Moreover, Hanhua also owns equity interests in dozens of Huaxia companies.

If Hanhua becomes a shareholder of ‘Working Day’, we can give priority to using your human resources management software.

The exemplary role of many leading companies will, I believe, greatly promote your development in China and even Asia as a whole. "

Duffield was instantly moved.

He is well aware of the influence of Hanhua and Hongmeng. If everything goes as Xu Liang said, they will not only get many big customers.

In the future, if there are examples of Hanhua and Hongmeng, it will be easier to promote them.

"Mr. Xu, I can make a concession and raise US$20 million at a post-money valuation of US$200 million; but the conditions you mentioned before must be solidified in the contract."

Xu Liang smiled and shook his head.

"20 million U.S. dollars, 20% of the shares, plus the conditions I mentioned before, this is my final offer, please consider it carefully."

After saying that, he picked up the tea on the table and tasted it slowly.

Duffield and Bushri looked at each other.

The latter said: "Mr. Xu, we need to think about it."

Putting down the tea cup, Xu Liang smiled and nodded before standing up.

"Then I'll take my leave first."

——

"Mr. Xu, New Dream will be launched in Xiangjiang in three days. Mr. Teng Huaming asked you if you will attend the launch ceremony of New Dream?"

Lu Hui came over and said.

Xu Liang patted his head, "I have been so busy during this period that I forgot about this matter. You told him that I will attend on time."

Lu Hui nodded.

"Show me the prospectus of New Dream."

Lu Hui opened the folder and handed over a thick document.

Take it and take a look.

In the 11 months since 2004, it has generated revenue of 3.95 billion Chinese dollars and net profit of 780 million Chinese dollars.

The estimated annual revenue is 4.5 billion Chinese dollars and the net profit is 1.2 billion Chinese dollars.

New Dream has total assets of 3.78 billion Chinese dollars, 1.32 billion long-term liabilities, and 470 million cash and cash equivalents.

The brokers are Merrill Lynch and CITIC.

Based on 25 times net profit, the valuation is 30 billion Chinese dollars.

The total share capital is 1 billion shares at HK$3.3 per share. 100 million shares were issued and HK$3.3 billion was raised.

The current equity structure of New Dream is IDG 3.1% and Yingke 2%.

After Ideal Education was integrated into New Dream, their holdings were basically reduced by about half.

In addition, there is still 15% in the option pool, and the remaining 79.9% of the equity is in the hands of Xu Liang.

In this listing, Yingke and IDG cashed out half of their shares, while Xu Liang had no intention of cashing out.

The foundation for the new dream has been laid, but its value is far from its peak.

Xu Liang is not short of money, so of course he will not sell his shares at this time.

In addition, New Dream, as an education group comparable to New Oriental in China, started late, but with the support of a world-class rich man, it has developed rapidly.

It is also favored by many investment institutions.

After several months of roadshows, subscription funds exceeded HK$21.9 billion, which was 6.6 times the amount raised.

Very good.

The next day, Xu Liang took the Kunpeng back to Xiangjiang.

After attending the listing ceremony of New Dream, he stayed with Qiao Yuhui and Zhang Junning for a few days, and after explaining that Xia Changsheng would continue to acquire Unocal's equity and bonds, as well as U.S. real estate subprime loans, he returned to the United States.

It took a total of one week.

During this week, Duffield called him every day, and the content of the calls basically revolved around "working day" investments.

After a week of tension, both sides finally took a step back.

At a pre-money valuation of US$120 million, Hanhua Capital Mars 2 Fund invested US$25 million in Workday, accounting for 16.7% of the shares.

Sequoia Capital followed with an investment of US$5 million, accounting for 3.3% of the shares.

Duffield originally did not want to dilute so much equity, but Xu Liang made certain concessions on the valuation, so he thought about it and agreed.

Xu Liang is generally satisfied with this result.

Of course, it’s not that he didn’t want to continue to enlarge the valuation, or like Ali, give the voting rights represented by half of the equity to Duffield.

in exchange for more equity in the ‘Working Day’ company.

But although Duffield was moved, he finally refused.

They currently have sufficient funds to support the software until it is launched.

After the software is launched on the market, if it succeeds, the valuation will skyrocket; if it fails, everything will return to zero.

Although you can get more funds in hand and try it a second time.

But Duffield has his own idea. If it really fails, he will retire completely. Anyway, he has enough money in his hands for retirement.

——

"Mr. Xu, happy to cooperate."

“A pleasure to work with.”

Xu Liang shook hands with Duffield, and the two parties formally signed a contract.

Of course, that includes Sequoia Capital.

A simple luncheon was held. After everyone had their meal, Xu Liang left.

But Michael Moretz followed suit.

After more than a week of buffering, the reporters gathered around Hanhua Capital also dispersed.

After all, the world is so big and there are so many news every day. There are new hot spots that have already surpassed Xu Liang.

Come to the Hanhua Capital office.

After both parties sit down.

"I didn't expect Mr. Xu to be so optimistic about Workday Company."

He looked at the man opposite him with an inquiring look in his eyes.

Xu Liang didn't understand what he was thinking, so he smiled.

"It's a rare opportunity to put eye drops on that idiot Ellison. Of course I will support it."

He looked deeply at Xu Liang. Although Moritz believed that this was certainly not the whole reason, he did not intend to invest too much in the 'working day'.

He is not very optimistic about this company.

If Xu Liang hadn't invested so much at once, Sequoia would have given up investing.