Twenty years of cold chain

When Hu Shutong attended his first financing meeting after the New Year, a strange atmosphere filled the meeting room.

Normally, if people are willing to continue talking, the atmosphere should become more and more harmonious, but today it seems rather cold, and some people who always have smiles on their faces have also put them away. This time, Guan Wentao did not participate, but only sent an assistant.

Hu Shutong was also quite different from usual. He sat there with bright eyes, his eyebrows neither sharp nor flat, one hand flipping through the almost curled-up materials, and the other hand pressing on the armrest of the chair.

After several rounds of negotiations, Hu Shutong had already anticipated that as long as Tongxing lowered its price slightly, the financing would be finalized. He had also made such preparations before this round of negotiations, believing that "the time was ripe." This step was like a stepping stone, and finally, they had reached the final hurdle.

The other party has already set their sights on this critical point, and now, investing in Tongxing's Series A round is almost a certainty. Although this round of financing was short, the frequency of negotiations is unusual in the industry, and it has generated considerable buzz within the circle. There's an unwritten rule in the industry that more rounds of negotiations often mean a higher degree of agreement. Undeniably, Tongxing Delivery has been quietly enhanced in this process, and if it were to take a step back and seek venture capital, it would open up many opportunities.

Whether Hu Shutong had emphasized this point or his mind had suddenly become more agile, he suddenly realized that he should forget about the so-called timing. For example, if Tongxing reduced its price by 100 million, it would mean losing 20 to 30 million in cargo, and the loss of more than a dozen micro-warehouses; if it reduced its price by 200 million, it would lose 400 refrigerated trucks.

More importantly, why did Tongxing lower its price at this time? Its refusal to budge stems from strong operational confidence; the other party has been negotiating this far, valuing the current prospects. Especially at this time, it's crucial to move beyond haggling; the more determined they are to maintain their position, the more it demonstrates ultimate confidence!

Hu Shutong quickly switched places with the company. Imagine someone with a reputation in the industry applying for a senior management position at Tongxing and offering an annual salary of several million. Tongxing thought it was too expensive and communicated with them several times. During this process, the other party showcased their advantages from different angles each time.

The current situation is exactly the same for both Tongxing and the other party, and they share the same mindset.

So, Hu Shutong, with a resolute gaze, explained his position, declaring his final commitment. He had spoken of the future countless times, but now he remained silent. A year had passed, and he seemed to have transformed from calm to powerful, radiating an aura of confidence in people. He no longer spoke of delivery services, but instead, in less than three minutes, he talked about everything from Niujia Town to Datong in Qingning.

This was also the closing statement for this round of financing. Regardless of the outcome, Hu Shutong will never step into the door of this meeting room again.

Convincing Mammoth Logistics isn't particularly rewarding; the real significance of this funding round lies in securing funding from the other two companies. Only with their participation does Tongxing Delivery truly enter the funding arena; otherwise, it becomes a targeted investment, or even just friends and family contributing capital.

Businesses need to follow the long-term path. The situation in Series A funding makes it easier to judge Series B funding, which further highlights the necessity of three-way joint ventures.

Tongxing Delivery's Series A valuation was ultimately 29 billion yuan, initiated by Mammoth Fund, with Oak Fund and Yunchao Fund participating. The three companies invested 8 million yuan, holding a total of 27% of the shares, with Mammoth holding 13% and the other two holding 7% each.

Aside from securing funding, Hu Shutong paid no further attention to anything else. He drove towards Tongxing. For the entire journey, a thousand kilometers, Hu Shutong gripped the steering wheel tightly, not out of tension or nervousness, but out of a sense of having settled things and made his decision.

Perhaps it's not just this, perhaps it's all in the future. Let's not compare it to the darkest times, let's just talk about the brightest days, and the brightest days can be even brighter.

However, when he got out of the car, he put on a normal smile, just like before, as if Mr. Hu was just on a business trip.

The people at Tongxing don't need to know where the 8 million yuan came from, but they are very clear about what it means. Neither Tongxing Phase I nor Yuncheng Phase I and II have ever received such a large amount of financial support. Tongxing's tank is full, and its future mileage is naturally even more anticipated.

The most direct impact of this incident was that the separation of Tongxing Delivery became smoother, and all the previous cautious observation and even private doubts about the delivery brand disappeared.

After personnel adjustments and various preparations, Tongxing Delivery was officially launched in April. This launch was more of a ceremonial event, including witnessing the event with investors and releasing a formal press release within the industry.

In fact, Tongxing Delivery's earliest traceability can be traced back almost a year. It evolved from an initial idea into a comprehensive and meticulous plan covering technology, layout, and operations. This was a result of painstaking and thorough consideration. Subsequently, the plan was implemented in advance. After the injection of funds, Yang Chenghai operated at full capacity, fully coordinating reliable suppliers with whom he had cooperated for many years. The basic infrastructure was refined day by day.

By April, Tongxing Delivery had already started construction, essentially transforming from a pre-sale property into a nearly completed one. As for the companies that partnered with Tongxing Delivery, Hu Shutong had no shortage of dealings with these people over the years. The meat industry was highly competitive, and Sanhe had long been aiming for "meat to every household," while Qingning Dairy was much the same, only with a louder slogan.

From them, we can see the demand of business owners for third-party logistics, fresh food delivery, and urban delivery. Their brand power craves execution and they are more eager to seek high-quality third parties to strengthen their competitiveness.

Competition is everywhere, including in the delivery industry. Therefore, Tongxing Delivery didn't plan on pilot programs from the beginning, but instead simultaneously established a network in multiple cities across the province. This strong complementary relationship, this clear market reality, and this robust initial layout were the powerful initial impetus, the competitive advantage we possess as delivery providers!

However, for some people, the inability to sleep at all is not just a thorn in their side, it's like a big piece of bread stuck in their neck!

……

I've loved cold chain logistics for twenty years.