The Millennium Semiconductor Survival Guide.

Chapter 40 IPOs
"That's the acquisition of CEOcity."

Unlike the sudden rise of Riot Games, CEOcity was established in 1995 and is divided into sections according to regions.

There are six of them, the Colosseum, Hollywood, Rodeo Row, Sunset Boulevard, Wall Street and West Hollywood.

Users can build their own homepages in different regions, and later CEOcity added new regions, including Silicon Valley, Capitol Hill, Paris and so on.

You can understand CEOcity as a combination of virtual real estate, Qzone and Sina blog.

In 1997 CEOcity had more than 100 million personal homepages.

Abel showed a stunned expression: "CEOcity?

The price of CEOcity is more expensive than Riot Games. "

At this time, CEOcity was the most visited website in the world after Yahoo and American Online. After listing in 98, the stock price per share soared from US$17 to more than US$100.

Jerry Yang nodded and said, "I understand that only the acquisition of CEOcity can change Yahoo's image.

We are still the most successful Internet company, showing Yahoo's strength through mergers and acquisitions, and at the same time letting Yahoo's image quickly get rid of this negative incident.

We need bigger news to cover previous news.

So we need to issue additional shares to raise funds to acquire CEOcity, or Riot Games. "

In fact, it was the Internet bubble period at this time. CEOcity had a net loss of 1998 million US dollars in the first quarter of 800, which belonged to Internet companies that had users but did not find a profit model.

Of course, most of the Internet companies on Nasdaq are not profitable.

"Abel, I need your support."

With the help of Riot Games' battle with Yahoo, users all over the world are aware of the existence of the Riot Electronics Community, and Zhou Xin knows that the time is ripe.

So I started to contact the heads of major investment banks.

He doesn't mind taking Riot Games operations public.

For him, before the Internet bubble burst, it is undoubtedly the short-term profit maximization to put Riot Games on the market.

Even if Zhou Xin is confident in making Riot Games into Steam, he won't put all his energy on it.If you miss this window, if you want to get high prices again, you have to wait until around 2005.

The Internet is only a way to grab capital, and success on the Internet does not directly help change the status quo of Huaguo's semiconductor industry.

"Newman, Goldman Sachs has a wealth of experience raising IPO funds, and it is not an exaggeration to say that we have the most extensive experience in raising IPO funds in the entire American.

Last year, more than half of the IPO funds raised were contracted by Goldman Sachs.

Even in the year with the most IPO extensions last year, Goldman Sachs had less than 192 of the more than 20 extensions.

No matter from which point of view, we are a better choice than Morgan and Merrill Lynch. "

Jerry Carr was very excited when Zhou Xin contacted him through Bill Gates.

Goldman Sachs has a very clear evaluation and analysis of Riot Games. All analysts believe that this is an excellent company, and it is the company with the most potential among the companies that are not listed in the entire Internet industry.

It is also the cake coveted by the entire capital market.

Especially after the war between Yahoo and Riot Games, they further believe that Riot Games is a unique unicorn.

The brand has been established, and a large number of past video games have begun to be published through Riot Games, and the profitability is obvious.

Zhou Xin just made a phone call with him, and Jerry Carr flew directly from New York to Los Angeles to meet Zhou Xin.

Goldman Sachs has many vice presidents, and vice presidents are just a title, which is a long way from the real power within Goldman Sachs.

Simply put, Goldman Sachs currently has hundreds of vice presidents, but only nine members of the management committee.

In other words, except for the CEO, only by entering the management committee can it be said that you can really squeeze into the management of Goldman Sachs.

Jerry Carr is a senior vice president within Goldman Sachs. He is very close to entering the management committee. The IPO contractor of Riot Games, as long as he does it well, can be the most effective proof of his ability.

When Zhou Xin heard this, he thought that no matter in the past or present, whether Wall Street or Shen Hai's Lujiazui, these financial practitioners have similar faces.

Where the interests are, there they are.

"But you are also the most expensive, aren't you?"

Jerry Carr smiled happily, "Newman, what you said is a recognition of Goldman Sachs.

High-quality services naturally require expensive prices.

Last year, American had a total of 396 IPO projects, raising a total of $50 billion.

Among them, Goldman Sachs only intervened in 26 of them.

But the IPOs Goldman Sachs participated in raised an average of 127%.

Goldman Sachs was the best-performing brokerage in American's IPO project last year, far exceeding other IPO contractors.

The excellent performance of Goldman Sachs' IPO project also means that more and more funds will trust Goldman Sachs and are willing to participate in Goldman Sachs' IPO project.

For example, when Merrill Lynch came to do this IPO project, their valuation of Riot Games could only reach 20 billion US dollars.

But Goldman Sachs can do $30 billion, and there is no shortage of investors to participate in fundraising.

Moreover, recently Fed Chairman Greenspan just announced that he will raise interest rates on the 15th of this month, and the entire capital market will experience a tightening of credit and capital.

Cutting interest rates will have a direct impact on the IPO, and Goldman Sachs is definitely your best choice. "

Jerry Carr is full of confidence in Goldman Sachs.

Zhou Xin's first reaction after hearing this was that Goldman Sachs was indeed the best choice purely as an IPO contractor.

"how long it takes?"

"6-9 months, the longest will not exceed 9 months.

With the qualifications of Riot Games, there is no need to worry about being rejected.

At most, the review time is longer.

In addition, I need to remind you that it is also a problem that many Chinese who have just come to American may encounter. If you do not pay attention to this point, it will bring you very big troubles in the future.

Even affect our IPO process.

That is taxation.

American needs to declare the tax by itself, you must find a special accounting firm to help you with the tax, and you must not be lucky.

Although you pay more, if you don’t pay later, you will definitely suffer greater losses. "

This is what Jerry Carr said from the bottom of his heart. When he works on Wall Street, he often sees foreigners who do not pay taxes after making money from investments, and face the consequences of going to jail to pay taxes and fines.

Especially Huaguo people have companies with a valuation of more than one billion US dollars. Once you are arrested for tax payment, it is hard to say what will happen after you come out.

Zhou Xin suddenly realized that he knew that American was extremely strict in tax management, and he had paid taxes in accordance with the requirements before, but after he reached his wealth, he really needed a professional organization to help him with tax matters.

Because professionals can help you sort out a plan with the least tax.

(End of this chapter)