Chapter 105: Chapter 104: The Party Begins
Thinking of this, Principal Wang also shook his head helplessly.
"There’s nothing we can do. Now Panda TV is struggling to come up with 20 million, let alone 45 million. That’s just impossible."
Hearing this, Li Zhun couldn’t help but say, "Why not increase your stake and put some more money in? Are you saying you can’t spare that amount?"
Principal Wang shook his head again.
"It’s not that simple. I’m currently holding 40% of Panda, and even the management rights are almost gone. The capital that entered later won’t agree to me increasing my stake unilaterally.
If it were just that, it wouldn’t be an issue. We could invest together, but these bastards don’t want to spend any money. They only want to start a B+ round of financing. Now, Panda is already in a dead end. Internally it’s impossible to fund development, and externally no one is optimistic about it. At this rate, Panda will declare bankruptcy sooner or later."
When mentioning this, Principal Wang was nearly gnashing his teeth at those shareholders of Panda TV.
Gu Bai listening on the side, had already understood the gist of it.
Panda TV is already on the same path as in the last lifetime, with chaotic shares and rotten management. Continuing like this, bankruptcy is only a matter of time.
Thinking of this, Principal Wang looked at Gu Bai.
"Gu Bai, regarding the financing I mentioned to you last time, what are your thoughts? I heard this morning that Black Swan Capital is planning a huge investment. Interested in boarding my sinking ship?"
Gu Bai picked up the glass of wine on the table, not rushing to respond. Half a minute later, he slowly said, "Principal, honestly, I’m optimistic about the future of the live streaming industry, but as for your Panda TV, not at all."
"?"
Gu Bai didn’t hold back, speaking straightforwardly, "Although your Panda is still among the top three live streaming platforms, you should know that it’s only on the surface. Currently, Panda doesn’t stand a chance against Douyu and Huya.
And once Douyu and Huya successfully secure financing, how many of your top streamers do you think Panda can retain?"
This statement hit home for Principal Wang.
Any live streaming platform’s model relies on top streamers for traffic while small to medium streamers generate revenue. Without several leading streamers, the platform simply cannot sustain itself.
Gu Bai’s words weren’t unfounded. According to the development in the last lifetime, in a while, Douyu will complete its Series D financing. At the beginning of 2018, Panda’s top streamers will start jumping ship, including the now very popular Zou Erke, Zhou Shuyi, and others.
Principal Wang knew Gu Bai wouldn’t tell him this for no reason, staring directly at Gu Bai.
"Go ahead, what are your conditions for Black Swan to get involved?"
Gu Bai’s mouth curved upward into a slight smile, "It’s not about conditions. It’s the only way for Panda TV to survive."
"?"
"Kick out Qihoo 360, Yuan Stone Capital, and LeTV, and restructure the internal equity of Panda TV!"
Principal Wang: "Easier said than done. Their shares combined are almost equal to mine, and the remaining 20% are aligned with them, making it impossible."
"It’s simple to achieve. These companies’ initial capital isn’t deep. If you can introduce a new shareholder during the B+ round, then two parties holding more than 51% can achieve relative control, and restructuring the company isn’t hard."
Principal Wang squinted, glancing at Gu Bai’s face.
"Just tell me, how do I do it?"
"It’s easy for me to invest in Panda, but I need you to persuade them at the shareholders’ meeting to release 30% of the shares during the B+ round. Once our shares combined reach the 51% relative control, that’s the only way Panda can survive; otherwise, it’s a slow death."
"You know, that’s impossible. They can’t accept diluting out 30% of the shares at this financing stage."
"Then it depends on your efforts, Principal. This is my basic requirement for investment. If this isn’t met, I won’t throw away billions whimsically."
Principal Wang had many concerns.
Gu Bai was aware of the equity chaos issue. If restructuring could be done to regain control, he would certainly be eager.
But releasing 30% of the shares at once would directly dilute him from the largest shareholder to the second. Although he and Gu Bai are friends, in business, even blood brothers can’t be trusted. What could a friend’s relationship mean?
He feared that after driving out the wolves, he might bring in the predator, Gu Bai, instead.
Gu Bai understood Principal Wang’s concerns, but this was his condition. If not met, he’d rather seize opportunities with Douyu and Huya than flush money down the drain.
The atmosphere became silent for a moment.
A few minutes later, Gu Bai spoke again, "Alright, let’s talk about business later. Today we’re here to have fun, so let’s enjoy ourselves first!"
He then turned to Zhao Weiwei, "Brother Zhao, it’s about time. Bring in those influencers from the company."
Zhao Weiwei also nodded and made the call.
After eight in the evening, the first group arrived.
The three from dorm 404 came.
Deng Bo, Wen Cunming, and Lou Xun were dumbfounded upon seeing the people already seated and waiting.
Though Li Zhun and Zhao Weiwei are also top elites of Shanghai, they aren’t well-known, so the three didn’t recognize them.
Principal Wang was different. As a top-tier influencer, he had many titles: National Husband, Top Rich Second Generation, Entertainment Circle’s Disciplinary Committee, Influencer Conqueror.
They had accepted that Gu Bai was a rich second generation, but they didn’t expect him to hang out with the likes of Principal Wang.
Seeing the three, Gu Bai also smiled and introduced each other.
Principal Wang and Li Zhun greeted politely, not too warmly, but not cold either, respecting Gu Bai’s face.
As for Deng Bo and the others, they felt at ease, as it’s Gu Bai’s domain, and they, like Principal Wang, were guests.
Next came the influencers Zhao Weiwei called, who were the main attraction of tonight’s party.
The influencers were mostly women, with fewer men. Most notable ones under Xingnai Media were present, those absent simply weren’t qualified.
Leading them was the most popular among Xingnai Media now, the first conquest since Gu Bai’s rebirth, Little Sweet Luo Yaqian, walking at the front, smiling and greeting Gu Bai.
Gu Bai gave a faint smile in return.
As for the batch of influencers, Gu Bai didn’t know many, so he didn’t bother introducing them. Whoever’s interested could introduce themselves later.
The last group included Lu Wei, PDD, Zhou Shuyi — the newly signed top streamers.
The luxury house of over 600 square meters easily accommodated a party of dozens.
With everyone present, Gu Bai officially announced the start of the party!