Qing Shan Qu Zui
Chapter 787 President Li's Way of Investment
Jingzhou, Fuhui Capital.
Xue Zhebing arrived at the door of the meeting room, gently knocked, and entered.
"President Li, what's the matter that's so urgent?" Xue Zhebing sat on the sofa, still a little confused.
The weather was nice today, and Xue Zhebing was originally driving his convertible sports car for a spin in the suburbs when Li Shi called him over, seemingly with something urgent.
Xue Zhebing didn't ask much, and drove straight to the Fuhui Capital building.
Li Shi poured Xue Zhebing a cup of tea: "That money we were going to invest in Cold Noodles Girl, let's wait and see a bit longer. Don't invest it just yet!"
Xue Zhebing was taken aback, a little bewildered: "President Li, haven't we been researching this for a long time? Is there another change?"
Xue Zhebing had been following Li Shi to learn about investment, and Cold Noodles Girl had been the focus of their attention recently.
Before, Xue Zhebing and Li Shi had even made a special trip to the capital, went to the Cold Noodles Girl store to take a look, personally ate various dishes, and checked out the store's situation.
After that, Meng Chang began to accelerate the rate at which he was burning money, opening new stores and giving speeches, and with the crazy increase in exposure, Cold Noodles Girl's popularity grew higher and higher.
A few days ago, after repeated consideration, Li Shi finally decided to invest in Cold Noodles Girl.
On the one hand, it was because Cold Noodles Girl was indeed doing well, with good heat and media reviews, and the stores were also well-managed, seeming to be a high-quality investment project with no shortcomings;
On the other hand, it was because Li Shi guessed that Meng Chang's accelerated spending must have come from an investor, but given Meng Chang's personality, he didn't publicize it, which meant that the source of funds was likely from President Pei.
President Pei's two investments and Tengda's dispatch of a financial officer to Cold Noodles Girl greatly increased its reliability in Li Shi's eyes.
Therefore, Li Shi decided to invest a little after investigation. Although it wasn't early to enter the market at this time, it wasn't too late either, and it shouldn't be a problem to make a small profit.
Li Shi was a non-greedy investor. He pursued a small profit from each project, which would add up to a very considerable sum over time.
And Xue Zhebing naturally planned to follow Li Shi and symbolically invest two or three million, earning more or less didn't matter, as long as it wasn't a total loss, it would be a good investment experience.
Li Shi took a sip of tea and said to Xue Zhebing, "The situation has changed."
"According to the latest information, President Pei is selling his shares in Cold Noodles Girl, and selling a lot of them, not leaving a single one!"
"Moreover, the price offered by President Pei is significantly lower than Cold Noodles Girl's current valuation. He's selling it off cheap."
"This does confirm that President Pei made a follow-up investment in Cold Noodles Girl and holds quite a few shares, but now President Pei is selling his shares... it's a very dangerous signal!"
"We definitely can't go against President Pei."
Xue Zhebing was a little surprised: "Ah? President Pei's operation, I don't understand it. From investing, to follow-up investment, to withdrawal, isn't this move a bit too fast? Isn't it said that investment shouldn't look at the short term, but at the long term?"
Li Shi chuckled: "Investment shouldn't look at the short term, but at the long term, that's for ordinary people. Because ordinary people have limited information and can't predict the short term, so looking at the short term is like relying on luck."
"But, is President Pei an ordinary person?"
"President Pei can definitely see information that we can't see, and understand some inside information about Cold Noodles Girl. Whether it's investing or leaving, he must have made a well-thought-out decision after mastering enough information."
"At least this time, President Pei's sale of Cold Noodles Girl's shares is conveying a very clear message to us, that Cold Noodles Girl's shares are not suitable for long-term holding, and problems will even be exposed within a period of time!"
"Otherwise, why would President Pei be in such a hurry to sell?"
Xue Zhebing nodded: "Well, that makes sense! So how is the sale going now?"
Li Shi took a sip of tea and said slowly: "The transaction should have been completed. The time was very short, but the situation is quite complicated, and the investors' reactions vary."
"If it's someone like us who deeply believes in President Pei's investment myth, they definitely won't buy these shares to be the fall guy, but choose to wait and see for a while."
"But Cold Noodles Girl's stores are in the capital, and Meng Chang himself has been active in the capital. There are many investors in the capital who don't believe in President Pei as much as we do. They think Cold Noodles Girl is a good investment project, and this is a good opportunity to buy it at a low price."
"Of course, there are also many people who are questioning Cold Noodles Girl and decide to continue to wait and see."
"This is also Meng Chang reaping what he sows."
"When the Cold Noodles Girl brand was first established, he kept touting that this was a project invested in by Tengda's President Pei, because President Pei's projects have a very high success rate, so his forced association can give people the feeling that 'President Pei invested, so this project has a high success rate'."
"But Meng Chang probably didn't expect that President Pei would suddenly be so decisive and merciless in selling all of his shares."
"In this way, the content he promoted before has completely become the opposite effect. Those who gained attention through President Pei instantly backfired when President Pei withdrew. It can be said that he is hoist with his own petard."
"So, the situation has become confusing. Although President Pei sold it at a lower price, he still made a profit. On the contrary, Cold Noodles Girl's current situation is not optimistic."
Xue Zhebing nodded, and said with some emotion: "At first, I thought this was just an ordinary investment project, but now it seems, it's getting more and more exciting?"
Cold Noodles Girl had been developing well. If the script continued to develop like this, after a few more rounds of financing, it might quickly expand and become a wealth myth in Chinese fast food.
But no one expected that President Pei would suddenly make such a move when Cold Noodles Girl seemed to be in such a good situation.
Meng Chang had been trying to ride the coattails of Tengda's popularity, but now he's gotten into trouble.
But even so, there are still many investors in the capital who don't believe in President Pei's investment myth and think this is a good opportunity to enter at a low price.
Xue Zhebing asked again: "So, Meng Chang's current situation is not good?"
Li Shi nodded: "Very bad."
"President Pei sells all the shares he has in hand. Selling at a lower price can definitely find someone to take over, but the problem is that this money won't reach Meng Chang's hands."
"In other words, according to Cold Noodles Girl's current rate of burning money, Meng Chang still has to continue to find ways to get money."
"But the problem is: those who don't believe in President Pei and want to invest in Cold Noodles Girl will choose to buy shares from President Pei, because it's cheaper and more cost-effective; and those who believe in President Pei won't invest at this time."
"In other words... for a long time to come, no investors will directly hand money over to Meng Chang. Cold Noodles Girl may not be able to get financing, and there may be problems with liquidity."
"Of course, this is just my guess. If Meng Chang can really get money through other channels, then President Pei's withdrawal won't have much impact."
"If Cold Noodles Girl's stores have really achieved profitability, Meng Chang can also choose to tighten his belt and reduce expenses. As long as he doesn't spend so much on marketing, he should be able to hold on..."
Li Shi briefly explained the current situation to Xue Zhebing.
President Pei's sudden withdrawal will obviously cause a lot of trouble for Meng Chang, but as long as Cold Noodles Girl itself is strong enough, Meng Chang should still be able to hold on.
Xue Zhebing asked: "So, President Li, should we still invest or not? Since President Pei is not optimistic about Cold Noodles Girl, should we stop throwing money into it?"
Li Shi took a sip of tea and shook his head slightly: "President Pei sold all his shares, but that doesn't mean he won't re-enter."
"Do you remember the previous Xue Ba Kuai Lai App (Study God is Coming App)?"
"President Pei seemed to be leaving, selling his shares, but after the education group took over at a high price and the Xue Ba Kuai Lai App collapsed, President Pei made a strong re-entry, took over at a low price, and then completely transformed the Xue Ba Kuai Lai App..."
Xue Zhebing's eyes lit up: "President Li, are you saying that President Pei is likely to be bluffing? He might re-bottom out?"
Li Shi nodded: "I don't rule out the possibility of President Pei repeating his old tricks."
"If President Pei wants to re-enter after Cold Noodles Girl encounters a crisis, then following President Pei's follow-up investment is the best time!"
Xue Zhebing nodded suddenly: "President Li, I understand your investment strategy a bit..."
...
At the same time, Yu Meng Ventures.
He Desheng was reporting the current situation to Pei Qian.
"President Pei, we've found a suitable buyer for the shares of Cold Noodles Girl. The price after selling all of them is 15 million. Although the return on investment is not as high as before, after all, we sold them relatively quickly, so getting this price is still pretty good..."
Pei Qian almost spat out a mouthful of blood when he heard this.
You call this pretty good?
Invested 8 million and earned 15 million!
How many days has this Cold Noodles Girl been open? And it's already earned so much?
Fortunately, I ran fast. If I ran a little slower, wouldn't I have to earn even more in the future?
Although this sale was very rushed, and the price was suppressed a lot, Yu Meng Ventures invested too early and had a lot of shares, so even if they were in a hurry to sell and the price was suppressed, Pei Qian still felt a little unbearable.
Pei Qian felt his heart bleeding and asked, "What was Meng Chang's reaction?"
He Desheng thought for a while: "He didn't have any particularly strong reaction. He was still full of confidence and high-spirited in front of the investors. Otherwise, this transaction couldn't have been completed so smoothly."
Pei Qian nodded, as expected, Meng Chang was very confident in Cold Noodles Girl, it was right to withdraw quickly.
He Desheng asked: "President Pei, what about this money? Should we continue to invest it in the companies waiting for investment, according to the previous practice?"
Pei Qian sighed silently.
Yes, what should I do with this money?
Logically speaking, there are quite a few places to spend money now, but Pei Qian felt that his luck was really a bit bad.
"Wait a minute, let me think about it." Pei Qian looked at the date, "If there are no new developments by the end of the month, then continue to invest it in the companies that are queuing up behind Yu Meng Ventures."
He Desheng nodded: "Okay, President Pei."