Reborn as a tycoon in Hong Kong

The 19th is another Saturday.

Lin Baicheng took Maori Haruko to the golf course to play with Wade Thomas, Phil Smith and Logan Rockefeller.

Lin Baicheng's skills have improved, but they are definitely not comparable to the three of them. However, these people are not playing for professional competitions, so as long as their skills are not too bad, they can get by.

Today's game was organized by Wade Thomas, so Lin Baicheng guessed that Wade Thomas might have something to tell him.

After everyone played golf for a while, they decided to take a rest.

Wade Thomas said to Lin Baicheng: "Alan, there is something I want to discuss with you."

"What's up?"

Lin Baicheng guessed that Wade Thomas had something to tell him, so he invited him to play golf.

"You guys chat, Logan and I will go over there."

Phil Smith said something and went to the other side not far away to rest with Logan Rockefeller.

Maori Haruko did not leave, she had no need to leave.

Wade Thomas did not ask Maori Haruko to leave. After Phil Smith and the others left, he said: "Alan, I want to talk to you about the listing of Galaxy Games. But don't worry, no matter what you do, Such a decision will not affect the listing of Galaxy Games Company, you can rest assured."

"It seems like the matter is not a big deal? Tell me."

Lin Baicheng raised his eyebrows when he heard this and motioned for Wade Thomas to speak.

Wade Thomas said: "After our evaluation at Goldman Sachs, Galaxy Games will conduct a roadshow listing inquiry at a stock price of US$13, with a total share capital of 200 million shares and a total market value of US$2.6 billion. A public offering of 20% of the shares, which is 4,000 Ten thousand shares.”

"I already know all this."

Lin Baicheng nodded. After Goldman Sachs completed its evaluation of Galaxy Games, Lin Baicheng knew this.

As for the listed market value of Galaxy Games, Lin Baicheng is neither satisfied nor dissatisfied. He can only say that it is acceptable.

In 1977, Galaxy Game Company's profit was about US$150 million, and in 1978 it was US$300 million. The growth rate reached 100%, which can be said to be very strong.

But the problem is that Goldman Sachs and the evaluation agency do not believe that Galaxy Games will be able to achieve high growth in profits every year for several years or even more in the future. The uncertainty of game products may cause Galaxy Games to suffer a certain year. A loss occurred, so the valuation of Galaxy Games' listing was naturally affected.

However, just looking at the current performance report of Galaxy Game Company, the performance report is very good and the performance is explosive. Therefore, it is impossible to give a too low price-earnings ratio. Therefore, after comprehensive consideration, a valuation of US$2.6 billion is given. Goldman Sachs believes that this valuation should be able to be market acceptance.

Of course, it is currently uncertain whether it will be accepted by the market and whether the market will be over-subscribed. Therefore, the valuation of US$2.6 billion is only the price during the listing road show inquiry.

If the market does not recognize it, then the stock price can only be lowered, otherwise Lin Baicheng can only choose to give up listing Galaxy Games, and the related fees paid to Goldman Sachs will be wasted; on the other hand, if it is oversubscribed by the market, then $13 is not a listing The price may be 14 US dollars or higher by then, so that Galaxy Games can raise more funds.

That's right, although all the shares before the company's listing were in Lin Baicheng's hands, the funds raised from the public offering of shares did not belong to Lin Baicheng, but to Galaxy Games. These funds could not be used by Lin Baicheng personally.

However, six months after the company goes public, Lin Baicheng, the major shareholder, can reduce his shareholding and exchange the shares for cash.

Wade Thomas nodded and continued: "Alan, almost all of the shares of Galaxy Games are in your hands. Even if you lose 20% of the publicly issued shares, you still have nearly 80% of the shares of Galaxy Games. It’s too concentrated.”

"What I want to say is that before the company starts its road show, you can sell part of your shares, and the cash from the sold shares belongs to you personally."

"The institutions that buy these shares will become partners of Galaxy Games. If anything happens to Galaxy Games in the future, they can also come to them for help. More importantly, there are education funds, police retirement funds, social security funds and other institutions. By becoming a shareholder of Galaxy Games, you can raise the valuation of Galaxy Games and conduct a listing road show at a higher stock price, which is of great benefit to you."

"Thomas, tell me the truth, is there someone who wants to buy the shares of Galaxy Games in advance, or does Goldman Sachs think it is better to do so?"

Lin Baicheng asked aloud after hearing this, staring closely at Wade Thomas.

Wade Thomas pondered for a moment, but chose to tell the truth: "Alan, the listing of Galaxy Games cannot be hidden from others. Some institutions have made inquiries about Galaxy Games after learning about the revenue and profits of Galaxy Games in the past two years. The prospects are relatively promising, so I want to buy some shares before going public, and Goldman Sachs itself also wants to buy some shares in advance, so I sent me to talk to you."

The reason why Wade Thomas told the truth was because he valued his personal relationship with Lin Baicheng more.

"So at what price do you want to buy the shares of Galaxy Games Company? And how much do you want to buy?"

After Lin Baicheng thought for a while, he didn't refuse immediately, but asked. If the bid is not low, it's not that you can't sell some shares. After all, it will be almost a year until the company is lifted from the ban six months after it goes public, and no one knows what the stock price will be like.

"At least 10% of the shares, preferably 20% of the shares, too little will not be enough."

Wade Thomas mentioned the quantity, and then said: "As for the price, what do you think of a valuation of US$2 billion?"

"Two billion US dollars? That's about a 73% discount."

After hearing this, Lin Baicheng made the final calculation, and then said resolutely: "This price is too low. If it is this price, I don't think I need to consider it. I can reject you now, Thomas."

"Ellen, don't refuse in a hurry. You can discuss the price slowly, and you can also consider the specific number of shares to be given up slowly. This matter does not require you to make an immediate decision."

After hearing this, Wade Thomas immediately said that he still hoped to reach a conclusion with Lin Baicheng.

"What you said makes sense. I'll think about it in the next two days and give you an answer after I make a decision."

Lin Baicheng nodded. After thinking about it, no matter what decision he made, he would just tell Wade Thomas then.

This was not a trivial matter. Lin Baicheng decided to discuss it with a few assistants and listen to their opinions. There was no harm in it anyway.