2003: Starting with Foreign Trade

Chapter 489 The Unexpected Series C Funding
"Haha, I was just about to discuss this with you guys. I need to ask you for some money before the New Year to get by."

The strategy is actually quite simple: it's all about throwing money at the problem. How you throw the money is one thing, but who you're throwing the money at is definitely another.

Kuang Ping was both amused and exasperated by Tan Jincheng's blunt way of asking for money, but on the other hand, he appreciated this straightforward attitude and felt more at ease.

Orange Technology is no longer the Orange Technology he first encountered; there are now a lot of companies wanting to throw money at it during its Series C funding round.

In terms of networking resources, Qiming Venture Partners is no match for Sequoia Capital and Tencent Capital; their only advantage is that they arrived earlier.

With the data improving, Series C funding is basically a precursor to an IPO. Who wouldn't want to get on board if given the chance? Although the valuation has increased significantly, this is already the most lucrative opportunity before the IPO.

For internet companies that manage to secure Series C funding, an IPO is almost a certainty. Although the costs are higher, it's practically a guaranteed profit investment.

"Okay, I'll call Mr. Shen and Mr. Ma to see if they can spare some time. Let's have a video conference first. Also, there's something very important I want to talk to you about."

"Is something very important? Is there a new investor?" From Kuang Ping's perspective, the most important thing he could think of was the new investor.

Tan Jincheng nodded: "You could say that, but this new investor is beneficial to you and to the entire Orange Technology. Don't worry, your interests will not be harmed, and you might even thank me."

"You bring in a new investor and I have to thank you?" Kuang Ping just couldn't understand this.

"Really, but you have to keep this a secret. It's not good for any of us if it gets out. I'll call them and ask them to make time for us to come over. We'll talk about it later."

Just like Wang Wei, Kuang Ping's first reaction to Tan Jincheng was that this guy was up to something again, based on his understanding of Tan Jincheng.

Why keep the introduction of a new investor a secret? There's absolutely no need for that. Any investment firm that dares to invest publicly is definitely not one with shady dealings.

Three months of promotional efforts weren't enough; they need to stir things up again?

Tan Jincheng ignored Kuang Ping's doubts and called Xiao Ma Ge and Shen Nanpeng to schedule a time. These two busy people had their schedules planned, and it was not certain that they would have time to cut in line at the last minute.

However, this is quite important. We don't know when we'll be able to get all four of us together again. It's just a video conference, which will only last for two hours at most. We should be able to squeeze it in.

Why not contact the investment manager at Tencent Investment instead of going directly to Pony Ma? Simply because he didn't trust him.

If it were a normal Series C funding round, they would definitely contact him. But since it involves poaching the CEO of Taobao, the information can only be kept at the highest level and known to a small number of people.

When Xiao Ma received Tan Jincheng's private call, he was also taken aback. He would definitely pay attention to the Series C financing, but why did the specific negotiations come to him?

"This investor needs to be kept secret for now, but he will definitely surprise you. I'll bring him on the video conference later. Remember to adjust the video quality and security level of your QQ video call."

To have a video conference with Pony Ma, you would naturally use QQ. Currently, this function is not available to ordinary QQ users, but in fact, various companies have developed it. Just like Dingding, Tencent also has its own online video conferencing system.

"Do we need to adjust the security level? Who could possibly be doing this? Is it a respectable person?" Little Ma suddenly thought of certain relatives or something, and felt a little uneasy, worried that the project might be ruined.

"Don't worry, it's definitely not what you're thinking. They're genuine professionals in the internet industry, and they're completely innocent."

"Why are you being so secretive in the internet industry? What? Could there be investors with a higher level than Mr. Shen and his team?"

"You'll find out soon enough. You can make your schedule. I'll contact Mr. Shen again. I'll hang up now."

In the domestic internet investment circle, Sequoia Capital China, although it has not been established for a very long time, is definitely among the top-tier companies. Currently, the only investors who are more popular than Shen Nanpeng are the two investors of Ali and Silicon Valley giants like Google.

It's worth mentioning that Google recently open-sourced the Android system, and Orange Technology's APP project team has now added Android system development projects in addition to the iOS system.

Among the major tech giants in the US, Google developed an open-source system, Apple developed a closed system, and Microsoft, the former king, also wanted to develop its own mobile operating system. However, due to a wrong decision, they fell behind at every step.

Between open source and closed systems, Microsoft chose the same closed system as Apple. However, Microsoft seems to have only seen Apple's success and failed to realize that Apple does both software and hardware.

A closed system without its own hardware is bound to fail. This is probably one of the reasons why Microsoft wanted to acquire Nokia in the future, trying to find a way to save the company by combining hardware.

The conversation with Shen Nanpeng was similar to that with Xiao Ma. Throughout the conversation, Tan Jincheng did not avoid Kuang Ping. However, just as Kuang Ping was looking forward to Tan Jincheng talking to this mysterious new investor, Tan Jincheng stopped.

"I'm not calling anymore, I'm texting instead!" Kuang Ping said, quite exasperated. "No, I'm already sitting in your office waiting for you. What else is there to hide? If you're really worried, have someone guard the door. I'm not going out today."

"No, it's not that. It's mainly because he has a lot of influence, so we still need to respect his ideas. If he agrees to let us have a video conference together, then you will naturally know. If you feel it's inconvenient, then the four of us can have a meeting temporarily to discuss the valuation and equity distribution issues."

Kuang Ping pursed his lips. The valuation of Orange Club could be easily calculated by referring to the existing valuation systems of Taobao, JD.com, and Vancl after two rounds of financing, as well as Orange Club's actual data.

As for the overall valuation of Orange Technology, it is also easy to calculate. The growth scale of the original Kaixin.com and Kaixin Farm can be calculated based on 7.6 million. The main thing is the distribution of shares.

"What is the new investor's shareholding percentage? Is it still 10%?" This was the only thing Kuang Ping cared about.

If diluted at this rate, his share will decrease from 12% to 10.8%. To maintain a 12% share, he would need to make up 1.2% of the valuation in cash. Cash is not much for them; it just depends on whether they are willing to do it.

"Hmm, ten percent of the shares," Tan Jincheng replied to Sun Tongyu's message, giving a perfunctory answer.

Sun Tongyu is not short of money. Since he is going to join Orange Products Club to play around, he should naturally get the largest share as a Series C investor, rather than saving a few percentage points of cash.

With his 2% stake in Ali, he could easily amass hundreds of millions in cash without even needing to reduce his holdings.

Kuang Ping nodded, just as he had thought. Since they had seized such a good opportunity, they certainly couldn't let it slip by.

"He agreed, but it will be a bit later. It just so happens that both Mr. Ma and Mr. Shen are busy this afternoon, so let's set the meeting time for 7 p.m., Mr. Kuang. Do you have any objections?"

Shen Nanpeng is not only busy right now, but he is also in a different time zone; he is not currently in China.

“I’m fine with that. Since you’ve come all this way to such a remote place, I was prepared to spend the whole day here. I already booked the hotel before I came,” Kuang Ping said with a shrug.

"That's enough. How can Beicang be more remote than my hometown? You even went to my hometown back then."

Having seen through his little trick, Kuang Ping wasn't embarrassed at all; that's right, he was just looking for an opportunity to use his charm on Tan Jincheng.

"Let's go, I'll take you to Orange Technology and Orange Products Club to see their facilities. Boss Kuang can also inspect his businesses and visit his employees."

Since we're just killing time anyway, and it's still early before 7 p.m., there's no point in two grown men sitting here chatting. Going down to check out the oranges is a better option.

"What do you mean? Is this a gesture of goodwill towards employees? Are you trying to fleece me?"

"Don't put it so harshly. Even when you visit a celebrity's film set, you have to bring some food and drinks. You're one of the owners of Orange, so it's reasonable for you to meet with your employees and buy them a cup of coffee, right?"

"Just like the rumors say, even a dog passing by will be patted on the shoulder."

Kuang Ping was also quite helpless: "Fine, fine, I'll have my assistant buy it for them. How many employees are there again?"

In the future, try to avoid contact with this guy. He's just an investor, and you can count the number of people in the entire Orange Technology workforce who recognize him on one hand. What kind of boss is he?
-
At seven o'clock, Sun Tongyu locked the study.

His wife went to Shanghai to participate in an Alipay promotion event. Even if she could get back, it wouldn't be until after 10 p.m. However, out of caution, he still locked the study.

It's really strange. Ever since contacting Tan Jincheng, Sun Tongyu feels like she's become neurotic and likes to play with mystery.

I wonder what kind of expressions the others will have when they see me?
Haha, it's quite interesting to think about. Mr. Tan's mysterious man trick must have really whetted the appetites of those people, right?

The moment the camera turned on, there were five other users besides himself. Three of them were in the same scene, clearly in the same office area. These were Tan Jincheng, Gu Qingqing, and Kuang Ping in Beicang.

"Holy crap! Mr. Sun? Did I connect the wrong thing?" Shen Nanpeng, on the other side of the ocean, blurted out in astonishment.

Kuang Ping was also dumbfounded, while Xiao Ma was somewhat dazed. Tan Jincheng told him that he was a professional in the Internet industry. He thought of several people, but they all seemed to be investors.

Sun Tongyu, CEO of Taobao, is indeed quite professional.

(End of this chapter)