Chapter 188 Dazzling operation (seeking full order)
"How much do you think the current Huashang brand can reach its valuation after it goes public?" Wang Ye asked back.
"The valuation of clothing brand companies is suitable for calculation using the price-to-earnings ratio method. So how much does it expect to achieve the net profit of Huashang Business Unit this year and next year?" LISA did not ask about the profit this year, because just looking at this year, Huashang brand may be in losses, and it was during the period when the new brand expanded the market.
After a rough estimate in his mind, Wang Ye answered: "Just be more conservative. According to 3,000 terminal stores operating normally next year, the average annual sales of each store are calculated at 2.4 million, and the total sales are 7.2 billion. Excluding all expenses, the company's net profit can be controlled at more than 5%, which is about 360 million."
Don’t think that the net profit of 5% is very small. You should know that although the gross profit of clothing brand companies is very high, various expenses are also huge. So look at the financial statements of listed clothing brand companies, you will find that if the net profit can reach 5%, it is considered to have excellent performance and good cost control.
"Referring to the clothing brand companies that are now listed, the PE is generally 10-15. We calculate it based on PE12. Huashang's valuation is 4.32 billion," LISA quickly reported the answer, and there was no need to use a calculator.
More than 4 billion yuan does not seem to be a lot, but you should know how much money Liu Weiguo has invested since the establishment of the Huashang brand! Even though he has been investing heavily this year, the various expenses have not exceeded 300 million yuan.
In other words, once Liu Weiguo's investment of 300 million yuan is listed, it will soar to more than 4 billion yuan! This is the magic of the capital market. Of course, it is impossible for him to take over these 4 billion yuan alone, and he has to take out a lot of shares to share with relevant people.
"It's still too few, and the financial market has a relatively low valuation of such clothing brand companies, because of its high operating risks and uncertainty in performance! So let's assume that if Huashang Company can include a complete industrial chain of brand-design-production-sales. Compared with Internet companies, it means that it has its own ecological closed loop. Will the PE be higher when Huashang's valuation is so high?" Wang Ye expressed his thoughts.
"A complete industrial chain? If it can be done, the valuation will naturally be much higher, especially if you have its own sales channels, the profit margin will be much higher. PE can be raised to 20 times the price-to-earnings ratio!" LISA gave a positive answer without thinking.
"This is my plan. Since Huashang goes public, he must be able to become a celebrity stock in the clothing category on the stock market! Otherwise, he will lose the meaning of listing."
"But Huashang now has a brand and design. How to solve the production and sales links?" LISA still couldn't understand Wang Ye's all thoughts.
"In terms of production, have you forgotten Lihua?" Wang Ye reminded with a smile.
"Ah! Yes!" LISA suddenly woke up. Wang Ye owned 20% of Lihua shares, and according to the agreement, he could acquire a controlling stake. Did he have already begun to plan the listing of Huashang at that time?
"As for sales channels, most of the provinces and cities in Huashang are now large customers. I plan to win over those big customers to establish branches in various provinces. Of course, I and some stakeholders need to participate in the shares, and finally integrate branches in various places into Huashang!" Wang Ye gently put forward his entire plan.
As for Shi Guoqiang from Lihua, will the big agents from all over the world agree? The fools don’t agree! Who doesn’t know that going public is a feast? Now Wang Ye has sent the entry coupon to them, and they only need to pay a little price to get it. How could anyone not agree?
After combed Wang Ye’s entire plan from the beginning again, LISA couldn’t help but exclaim: “It’s such a genius idea and a perfect implementation plan!”
Once you know the plan, the next step is to calculate the required funds.
Lihua's side is relatively simple. The two parties have an agreement, and now they are just implementing the agreement in advance. And they are not worried that Shi Guoqiang will not agree. This is equivalent to Wang Ye giving him the opportunity to invest in a listed company in advance. If he is still reluctant, then he will be ungrateful.
Wang Ye plans to acquire 40% of Lihua shares, plus 20%, which is 60%. The funds needed for this part of the shares are 480 million.
In addition, the funds required by branches of each province cannot be obtained for the time being, because Wang Ye still needs to attract some stakeholders to participate and share the listing feast, such as Nie Dingwen, Si Xiangdong and others, and even Secretary Liu Hairongpang will also invest in some shares. It is impossible to avoid the benefits.
As for the Huashang brand, before listing, the company will also distribute shares. Under normal circumstances, 30% will be used for listing financing and 10% will be left as a share reward for middle and low-level employees. Wang Ye is equivalent to a hero who makes the company one hand. How could Liu Weiguo give up at least 15%-20% of the shares. This part of the shares also needs to be bought by Wang Ye, but the price will be much lower, and it may only cost about 100 million.
Adding together the capital needs of these three parts, a billion quota should be enough.
Moreover, through Wang Ye's series of dazzling share acquisitions and resource integration, LISA was surprised to find that Wang Ye had almost completed the holding!
Although the specific shareholding ratio cannot be calculated, you can find out by estimating it. You should know that the valuation of Lihua Factory is similar to the current Huashang brand, and the combined valuation of sales companies in various places will not be much lower than Huashang.
In these three major areas, Wang Ye can control the shares in Lihua; in terms of sales companies, Wang Ye will definitely sign a joint actor agreement with the participating stakeholders, which means he can also control the shares; in terms of Huashang, he can also obtain a lot of shares.
No matter how you look at it, the biggest shareholder is Wang Ye!
Will anyone dissatisfied with this result? LISA couldn't help but think.
After thinking about it, it seems that there is really nothing!
Shi Guoqiang of Lihua first obtained 720 million yuan in cash by selling 60% of his shares and obtained tickets to a listed company. Once his remaining 40% of his shares have taken stake in Huashang, the market value after listing may be far greater than the current overall market value of Lihua! How could he be unsatisfied?
The big agents and the stakeholders mentioned by Wang Ye will not be dissatisfied with it. Being able to participate means making a big profit. They will only be grateful to Wang Ye.
As for Liu Weiguo of Huamei International, this opportunity for listing was won by Wang Ye. This led to Liu Weiguo's investment of no more than 300 million yuan, which has increased several times in more than a year! Moreover, through Wang Ye's plan, the company's valuation will not be known how much it will soar.
On the one hand, there is a controlling stake in a small company, and on the other hand, the net worth has increased by more than ten times after listing!
Chapter completed!