The Birth of Shanghai's First Conglomerate

The school was closed the following day.

The four girls in the first year of high school each had their own way home, and a large number of parents' cars had arrived outside the school.

Chen Pingsheng himself still drives the Volkswagen Passat that he uses specifically to pick up women.

This isn't exactly low-key among all the parents' cars; it's almost too ordinary.

Shanghai is a city teeming with luxury cars; anyone with a decent income starts with a BMW, Mercedes-Benz, or Audi.

It's only because Big Paw didn't want people to know his true identity that he specially got such a Volkswagen Passat worth over two million yuan.

He's been quite busy lately, and after he's done with that, the most important thing is to pick up the kids and ask about their studies.

Let's see if they have any unresolved worries.

Chen An'an came out quite early, along with her two other roommates.

Chen Pingsheng immediately called out, "An'an... over here."

"Dad, why did you come alone?"

“Your mom went to a meeting, and I happen to be free today. Besides, what could be more important than picking up your daughter from school for the holidays?”

Chen An'an chuckled, overjoyed, "Dad, there's another girl in our dorm who really admires you."

"Really? Am I so charming that I can influence high school students?"

"I can't say how charismatic you are, but I'm sure there are many people in Jinshan who admire you."

After getting into the car, Chen An'an asked him again, "Dad, why are you in the news so often lately? Didn't you used to hate these things?"

"There are some special reasons, but it won't happen after this period of time."

He originally intended to leave directly, but then a domineering woman appeared in front of him. She hadn't picked up her child and blocked the car in front of him, refusing to let anyone leave.

If it weren't for the rule against honking in this area, given what that woman did, I'm afraid all the parents would have resorted to honking to vent their frustrations.

"Who's that woman? She's pretty domineering!"

"She is indeed domineering. Her daughter is our classmate, and she usually doesn't take other students seriously."

"That's it!"

Chen Pingsheng still obediently abided by the traffic rules. What could he do but sit in the car and wait when faced with such a domineering and unreasonable woman?
Those who went to negotiate with her were all scolded and turned away.

"Dad, do you think we should make a Douyin video for her and get her trending?"

"This is unnecessary, it seems a bit too harsh."

Despite saying that, Chen Pingsheng silently took out his phone, zoomed in on the scene in front of him, and took a very clear picture of the domineering woman blocking his way.

Some people are just so unreasonable; unless they encounter someone more superior than themselves, they simply don't care about what others think.

They don't care how much trouble they cause others; the woman in front of me was clearly that kind of person.

Among all those parents' cars, she was the only one who parked her car in the middle of the road.

The car is also very nice; it's a Rolls-Royce Ghost.

Chen Pingsheng had been waiting for almost twenty minutes after his daughter came out.

"Dad, why don't you drive your nice car next time? No one will dare to stop you like that."

"That's not necessarily true, but driving a luxury car can certainly help you avoid some of these minor troubles."

The father and daughter returned home, and Chen An'an, who had a few days off this time, could have some fun at home again.

Home is still the most comfortable place; it's a huge, super villa with everything you could want.

When Erpiya also came home, she followed her sister around asking if the pressure of high school studies was high.

Is it easy to get first place?

Chen An'an didn't want to talk to her, feeling it wasn't very interesting. The main reason was that Erpiya always thought that being second was harder than being first.

She herself is like that, but she, as the older sister, is not.

After Yanxi returned, Chen Pingsheng told her that he was going to Guangzhou to discuss the reorganization and merger of Tengying Entertainment and Tengye Media.

Another way to interpret this is that Tencent Media directly acquired Tencent Entertainment for 80 billion yuan.

Tencent Entertainment's profitability has been below expectations in recent years. Rather than dragging it out, it would be better to let Tencent Media complete the acquisition directly.

The next day.

He took his private jet to Guangzhou, along with his big kid.

His recent acquisition of Wanda Commercial Management has caused quite a stir, and it's time for him to reorganize his traditional businesses.

To the average person, Tencent Media is just a celebrity management company, while Tencent Entertainment is a super entertainment company that boasts half of the top celebrities in the entertainment industry.

Even if the two companies were to merge, it would be Tencent Entertainment that would acquire Tencent Media.

Because most people have a preconceived notion that celebrities are far superior to influencer agencies.

However, in the eyes of the capital market, Tencent Entertainment is currently no match for Tencent Media in terms of either scale or profitability.

It's worth noting that Tengyou Media not only has over 350,000 contracted guild anchors, but also at least 1,000 small internet celebrities with millions of followers.

Some are popular for a few days and then quickly fade away, while others can remain popular for several months.

An internet celebrity who can stay popular for a year must have their own core advantages.

For example, Li Ziqi, who was badly let down by her own company, has been on hiatus for so long, yet news about her still keeps popping up online.

This is what a true top streamer looks like.

In terms of profitability alone, Tencent Entertainment is now far behind Tencent Media.

If Tencent Media acquires Tencent Entertainment, it will be highly likely to help the company achieve a market value of 500 billion yuan.

It can also improve the high-end celebrity resources of the entire internet celebrity industry chain.

same.

For Tencent Entertainment, once this acquisition is completed, it means that the stars who previously received stock options can successfully cash out.

In the current market conditions, if no large capital comes out to acquire the company, the moment those celebrities sell their stock options, Tencent Entertainment's stock price will immediately plummet.

The stock market is so fragile these days, which is why not a single big star opposed this merger plan.

After all, Tengyou Media is also under Chen Pingsheng's control. This kind of left-hand to right-hand transaction not only allows celebrities with stock options to cash out smoothly.

It can also cause Tencent Media's stock price to soar, which can be described as killing two birds with one stone.

By the time Chen Pingsheng landed at the Guangzhou Baiyun headquarters, it was already 3 p.m.

Secretary Zhang Wanyi and a large group of company executives were already waiting here. In addition, a group of big stars from Tengying Entertainment, including Liu Yifei, Yang Mi, and Zhao Liying, were also waiting here.

This is no small business; it concerns the cashing out of their billions of dollars worth of equity, so naturally they are more eager than anyone else.

Currently, Tencent Media's market value is as high as 320 billion yuan, while Tencent Entertainment's is already below 80 billion yuan.

Chen Pingsheng already had a merger and acquisition plan before he came. He came to inform everyone and give everyone a heads-up.

The first step was to release a public announcement that Tencent Media would issue an additional 20% of its shares.

What do you mean?

For example, if Tencent Media previously owned 100% of the shares, this share issuance will increase that to 120%. Shareholders who do not contribute capital will experience some dilution of their equity.

Of course, once the acquisition is completed, the diluted equity will be completely negligible.

After Tencent Media completes this acquisition, its market value will rise to at least 400 billion.

The purpose of issuing new shares is to raise money; the objective is very clear.

Tencent Media will receive nearly 60 billion yuan in one go through this share issuance.

Of that, 450 billion was for buying back absolute control of Tencent Entertainment...51%.

And this money will flow into the hands of those who own shares in Tencent Entertainment.

For example, if Chen Pingsheng himself still has 10%, he can get 85 billion.

Zhao Liying also has 4.5%, which means she can also get around 40 billion.

Yang Mi owns 5%, Liu Yifei and Shen Teng who joined later, and Wu Jing and the others own less.

But even the lowest amount that can be cashed out is 1.5 to 1.6 billion.

The reason for pushing forward this merger and acquisition is that the ten-year period has come to an end, and the stock options held by everyone cannot just be a string of numbers. Chen Pingsheng must find the most suitable way for them to cash out.

After completing this cash-out, everyone will definitely achieve financial freedom, but it's not without conditions.

That means they will have to sign a new 15-year contract with Tencent Media, which is almost exactly the same as the previous one.

If everyone has just cashed out, they should immediately leave Tencent Entertainment.

That means that Tengyou Media only got back an empty shell.

It certainly wouldn't do something so stupid.

The biggest benefit of completing this acquisition is that it allows everyone to cash out in the best way possible.

With the change of major shareholder of Tengying Entertainment to Tengye Media, the company was able to stop its previous decline in the shortest possible time.

That is its ultimate meaning.

The capital market has always been like this: forming alliances and expanding through acquisitions has always been the fastest business model.

With Tengyou Media becoming the major shareholder of Tengying Entertainment, it's no longer a typical influencer economy company.

In addition, it also has a listed department store company and a listed apparel company.

In addition, Chen Pingsheng also plans to separate the cinema operation rights of Wanda Commercial Management and sell them to Tencent Media for no less than 3 billion yuan.

This allows it to complete its entertainment expansion and offline cinema expansion in one step.

It's fair to say that if his traditional listed companies were separated, given the current market conditions, they would face constant crises.

If they are combined in the best way, the previous ten small kings can be combined into three big kings.

The capital integration involved is undoubtedly very complex, but the final result is very optimistic.

As soon as the news of Tencent Entertainment's acquisition broke, its stock price rose for seven consecutive days in a week.

The upward trend is expected to continue for a long time. Tengyou Media also maintained a surge in its stock price within just a few days.

This is good news.

Capital integration is only the first step. The second step is to make good use of the advantages of short videos to reverse the continuous decline of the entertainment industry in recent years.

It would be impossible to merge two giant companies in less than a few months.

Chen Pingsheng did not participate in the subsequent integration; he only offered some reasonable suggestions.

For example, Tencent Entertainment can continue to operate independently, but when Tencent Media needs its resources, including the establishment of new project teams, Tencent Entertainment needs to provide unconditional support.

After all, the downturn in the entertainment industry is a fact, and short videos are now the youth economy.

Also.

Wanda Commercial Management's resources are also starting to be integrated here.

Once fully integrated, Tencent Media will undoubtedly become a newly emerging mega-unicorn group in China, spanning entertainment, short videos, department stores, and investment.

If possible, Chen Pingsheng even hoped to sell the entire Boiling Sheep franchise to Tencent Media.

However, its price of six billion is not much for Tencent Media.

The key issue is that even after the sale, there's no guarantee that Tengyou Media will be able to successfully turn the company around and make it profitable.

However, it's still worth a try. After all, the influencer resources there are abundant, and we can fully utilize these resources to transform Fei Yang Yang into a leading influencer restaurant once again.

Chen Pingsheng's first attempt was to release information to the public and see how the capital market would react.

If the stock price of Boiling Sheep surges after this news, it means the deal is feasible; if the stock price falls, it means the capital market is not optimistic about the acquisition.

Just three days after he released the news, the stock price of Boiling Sheep saw a significant increase.

It seems that the capital market is quite optimistic about the combination of internet celebrity economy and traditional catering.

Chen Pingsheng called Zhang Wanyi and told the two teams to negotiate on their own. He said that Fei Yangyang's stock price was already at rock bottom, and with Tengyou Media's current size, it could be said that the acquisition could be completed effortlessly.

The valuation was even given as eight billion.

Unlike its acquisition of Tencent Entertainment, Tencent Media is not simply acquiring a 51% controlling stake in Tencent Entertainment this time.

Instead, they directly invested 8 billion yuan to buy back all of Boiling Sheep's shares.

Given this stock price, they might as well announce delisting first.

Once the business is running well, we can reapply for listing.

Wanda did the same thing before, but unfortunately it failed. Now Tencent Media is doing the same thing, clearly believing that Boiling Sheep's market value is severely undervalued.

They will only reapply for listing after they have fully realized the integration of influencer economy and traditional catering.

It must be said that Zhang Wanyi had some confidence to take this step.

At their current level, they are no longer limited to simply improving business practices.

It's not a game of capital, but a much larger game of making huge profits through capital games.

This is far more sophisticated than simply making a regular profit in the traditional sense.

Tengyou Media had done this twice before, and both times it was undoubtedly very successful.

That's why it has a market value of over 300 billion today, and it's about to reach 400 billion.

After dealing with Boiling Sheep, Chen Pingsheng finally felt a small weight lifted off his shoulders.

Otherwise, subsidizing it with four or five hundred million yuan every year would be quite ridiculous.

Although this amount of money was not much to him, as a successful businessman, there was no reason for him to keep losing money.

Now that's settled, let them do whatever they want after selling it to Tencent Media.

Zhang Wanyi came up with a good idea: to divide the traditional catering business of Fei Yang Yang into small regional operating areas without changing the business model.

In these small business areas, we introduce big online celebrities to invest and share in the business. These big online celebrities have a lot of traffic. If you let them open their own stores, they will basically lose money nine out of ten times.

But if you ask them to drive traffic to the stores, they do an excellent job. (End of Chapter)