I was reborn and stayed in school to lie down. I really don’t want to roll anymore!
Chapter 643: Restarting the Acquisition
"I invested 400 million last year, for a 20% stake."
"They developed a game in cooperation with NetEase last year, and the revenue was pretty good, so I invested in their angel round at this price."
"Brother Jiang, how much are you going to give?"
Lu Weiming is generous with money. He invested 400 million in the angel round of a company that cooperated with others to develop games.
But I was really lucky and invested in a company with great potential.
At this moment, he looked at Jiang Hao expectantly, as if he had found a treasure.
"Let's see how much budget they need to develop the game."
“I won’t invest based on any valuation, otherwise I’m afraid they will have to sell the entire company to me.”
Different corporate financings cannot be treated together.
Companies like Youke that he identifies with, especially those that developed Black Myth: Wukong as their main project.
Based on the project needs, Jiang Hao will at most have a controlling stake, but he will definitely guarantee a share for the founder, Mr. Feng, and his entire team.
Otherwise, as a founding team, who would be willing to continue working so hard on making games?
"Dong~dong~"
There was a sound of footsteps outside the door.
"Mr. Jiang, several representatives from Youke Company want to see you."
It was the lady at the front desk who came to inform him. If Jiang Hao hadn't informed her in the morning, most companies wouldn't even come to ask him if they didn't have an appointment.
"Let them in."
Soon, five people came into the office one after another, still wearing the same clothes they saw him in yesterday.
There were two people whose hair was a little frizzy, but they looked like people who often stayed up late.
After staying up all night, her complexion is still okay, and her dark circles are not as severe as Lu Weiming's.
"Boss Jiang, this is the plan we worked on overnight, please take a look."
"If you have any doubts or are not satisfied with something, we can continue to make changes today."
He took the slightly wrinkled project book handed to him.
Jiang Hao calmly handed the brewed tea to the other party cup by cup.
After staying up all night, it’s time to drink some tea to relax.
Looking through the project book, it contains an introduction to the main background of the game "Black Myth: Wukong".
Including chapters on expected development, there are 11 chapters in total.
The rest mainly include game engine adoption, technical solution adoption, animation group adoption and so on.
It's all about the technology needed for the overall project, as well as some budgets for standard funding for each module.
Lu Yuan quickly scanned the page until the last page, and only then did he see the total amount, a budget of 1.7 million RMB.
It is indeed a 3A masterpiece!
The initial investment is 1.7 million RMB, and this is just the budget set before development.
Jiang Hao said based on his experience that the additional budget for a game like this would definitely not be small.
I estimate that if we want to fully develop the product, including publicity costs, the budget will have to at least double.
But that’s all later, after all, the development time is tentatively scheduled to be 3 years.
The funds can definitely be obtained from the bank, and maybe there will be a next round of investors willing to provide funds. Jiang Hao will not interfere with these.
"This project is good. I'll invest in it."
Although he wrote some planning proposals, Jiang Hao actually only read them for a few minutes.
Most of the content is skipped. It is an investment with a plan in mind, and these so-called planning schemes are just icing on the cake.
Or it can be said to be a backup, so that if the requirements are not met in the future, there is something to bring up.
However, the faces of the people in front of him became more and more excited, and they drank most of the tea in the cups in one gulp.
There was a gleam of fire in each other's eyes.
"Let's talk about the financing plan."
"Let me give you two options!"
"According to normal financing, your angel round valuation is 2000 million RMB."
"For the A round, based on my current assessment, the maximum valuation I can offer is 1-1.5 million."
"Since I think highly of you, I will calculate it based on 1.5 million. I will take 25% of the shares, which means a total of 3750 million RMB."
This is considered a normal financing plan. In fact, it is almost impossible based on Youke’s current valuation of 1.5 million.
Even if it is a professional investment institution, it is difficult to give a valuation of 1 million, and those willing to make an offer are rare.
However, compared with the budget for game development, 3750 million, even if you include the cash flow that Red Tide will attract later, is unlikely to be enough for the development of Black Myth.
Mr. Feng had naturally considered this a long time ago. If he followed the normal financing plan, the pressure to advance the development of "Black Myth: Wukong" would be very great.
It is almost necessary to find the next investor who is optimistic about them and willing to invest money as soon as possible.
But this possibility is not high. There are really few companies in China willing to invest in 3A games.
"Mr. Jiang, what other financing plan do you prefer?"
Since they were given two options, it means that President Jiang has also considered this issue.
Now let's get straight to the point and find out the second option.
"The second option is that I will pay for the entire Black Myth: Wukong game. I will pay for the current 1.7 million budget, as well as any additional budget that is not outrageous."
"But I want 60% of the company's shares, and I will not participate in the company's decision-making. The contract stipulates that the decision-making power belongs to your founding team."
This plan is actually no longer just a Round A, it is equivalent to the company having been sold to Jiang Hao.
Mr. Feng’s team became one of the company’s major shareholders and of course retained the company’s decision-making power.
In essence, Jiang Hao is just the big investor who provides money to the company.
"If it's the second option, the contract will be signed today, and 100 million yuan will be transferred to your company account tomorrow."
"At the same time, you don't have to worry about the funding required for the development of the game Black Myth: Wukong. I will pay for it all."
Hesitation flashed across the faces of the team members, especially Mr. Feng, who was thinking a lot at this moment.
His eyes were fixed on his trembling right hand, and his expression seemed a little dull.
One is a 3750 million Series A financing, and game development is still very difficult.
One is equivalent to hundreds of millions of dollars in financing, but the company's shares have been acquired.
But for Jiang Hao, the conditions he offered were not harsh.
It even feels like a bit of a sucker. Not everyone has the courage to spend hundreds of millions to bet on such a team.
Moreover, once 60% of the shares are acquired, Mr. Feng’s team will still have 32% of the equity after the shares are diluted.
Compared with the shares of some companies after several rounds of financing, it is actually not small.
"Boss Jiang, let's go with the second plan!"
"But I need to specify in the contract that if the funding chain is broken in the middle of game development, your equity will need to be redistributed and discussed."
In the end, Mr. Feng chose the second option given by Jiang Hao from the perspective of developing the game he loved.
Jiang Hao had already prepared the contract, and the people on the opposite sides didn't even look at it carefully.
After paying attention to a few more key clauses, I signed the contract.
"Your team is currently in Shenzhou City, right?"
"Well, currently in Deep State."
"If you want to carry out development work in Songjiang City, I can sponsor you to have an office on the first floor in this building."
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