dkrc Chapter 320: Let's have a good talk with them
Chapter 320: Let's have a good talk with them
Shortly after Nan Hui returned to Shanghai.
Zhang Gaolei made Huang Xiaochuan's fifteenth call of the month. The frequent calls were all because of the newly launched Gaze13 version.
Last Christmas, Gaze13 browser was released by Gaze, the latest version of the browser that improved upon the shortcomings of the previous three versions.
According to statistics, as of December 31, 1993, the Gaze browser had reached three million users, which was an astonishing number. It should be noted that in 1993, the number of internet users in the entire United States was less than six million. Now, more than half of them were using the Gaze browser, which shocked Goldman Sachs. They did not expect Gaze to develop so quickly.
All of this is thanks to two factors: the founder's advanced technological concepts and ample R&D funding. Behind the impressive number of three million users is the fact that Gaze burned through more than five million US dollars.
At this rate of spending, the money invested by Goldman Sachs and Hong Kong's Changhong will be used up in a few months, and they will need to find investors again (to launch a Series A funding round). However, this time there are plenty of people willing to give money to Gaze. It is obvious that if things continue to develop like this, Gaze's financial prospects are very promising.
Therefore, Goldman Sachs has been the most proactive this time, having repeatedly stated at the meeting that it would lead the Series A funding round and plans to list Gaze on Nasdaq within this year. Goldman Sachs has the experience and resources to help Gaze go public on Nasdaq, which is where Goldman Sachs is far superior to Hong Kong Changhong Investment.
If the IPO is successful, this will be Goldman Sachs' fastest return on investment in its history.
However, many subtle things happened during this period, and these things, when accumulated, may have affected the founder's shares.
So Zhang Gaolei got anxious, because this concerned the distribution of a huge sum of money in the future.
"Xiao Chuan, things are not looking good right now. Catherine was suddenly transferred by Goldman Sachs yesterday. You know, she's been following this project from the beginning until now. I suspect Goldman Sachs is up to something. Also, Darwin and Trevor had a big fight yesterday."
"Xiao Chuan, you'd better come to the United States. Some things will definitely have different results depending on whether you are here or not. You can't always direct remotely. Sending someone else won't work. This time you have to come."
Huang Xiaochuan asked, "Old Zhang, when do you estimate the Series A funding round will start?"
"We estimate that the company's current funds can last until May, from March or April."
After considering the matter in his mind, Huang Xiaochuan made a decision.
"Okay then! Send me a few blank invitation letters later so I can apply for a visa."
"I'll send it to you right away." Zhang Gaolei wished Huang Xiaochuan could appear in front of him immediately.
After hanging up the phone, Huang Xiaochuan picked up his teacup, took a sip of tea, and his mind raced.
Huang Xiaochuan can now piece together the general situation.
Goldman Sachs was indeed trying to pull some tricks, otherwise they wouldn't have moved Zhang Yun away at this critical juncture. Zhang Yun's relationship with Zhang Gaolei was no secret, and Changhong Investment was also brought in by Zhang Gaolei. The relationship between these three parties was obvious.
Moreover, Huang Xiaochuan and Zhang Gaolei now hold more than 40% of the shares combined. Under normal circumstances, after several rounds of investment and equity dilution, although Zhang Gaolei's shares will be diluted, Changhong Co., Ltd. has the right to co-invest. In this case, most of the final profits will go to these two.
If it were just Zhang Gaolei, Goldman Sachs wouldn't care at all, since several rounds of investment would dilute Zhang Gaolei's shareholding to a negligible level. However, the problem lies with Changhong Investment. The investment agreement clearly stated in black and white that regardless of the number of rounds, as long as Changhong Investment could afford the money, it would have the right to co-invest. Naturally, Goldman Sachs was unhappy about this.
Therefore, Goldman Sachs must have bribed one of Darwin and Trevor, and wanted to win them both over. It seems that Trevor is the one who has been won over by Goldman Sachs.
The objective is clear: the technology was developed by Trevor and Darwin. The goal is to win them over and force Zhang Gaolei and Huang Xiaochuan to make concessions in the Series A round and subsequent rounds, thereby diluting their shares. Huang Xiaochuan estimates that the shares of Hong Kong Changhong Investment will be diluted to below 15%, and Zhang Gaolei's shares will be diluted to single digits.
The diluted shares will undoubtedly be divided up by Goldman Sachs and other venture capital firms it has brought in. Trevor's promise may simply be to minimize or completely dilute his shares.
The Gaze browser was developed by Trevor and Darwin, so by winning them over, they could use their departure from the company as leverage to force Huang Xiaochuan and Zhang Gaolei to make concessions. However, Goldman Sachs has only achieved part of its goal so far, and Darwin has probably not agreed yet.
Interesting, Huang Xiaochuan almost laughed!
People come and go for profit; the ancients were right.
After roughly guessing what had happened, Huang Xiaochuan took the initiative to call Zhang Yun, and this time she answered the phone herself.
Recognizing that it was Huang Xiaochuan calling, Zhang Yun teased, "What's so special about today that you would think to call me?"
Huang Xiaochuan didn't intend to waste time talking to Zhang Yun on the phone. He asked directly, "I heard from Lao Zhang that Goldman Sachs transferred you?"
Zhang Yun replied without a trace of emotion, "Yes! It was a normal work adjustment. The company saw that I was very capable, so they gave me a new project."
"hehe!"
"What are you laughing at? I feel there's a lot more to your laughter than meets the eye; it sounds like you're being malicious and treacherous."
Huang Xiaochuan was somewhat displeased. What kind of person is this? I made a kind phone call to comfort you, and you shut me up?
"Teacher Zhang, will you have no friends if you talk like that?"
"Please call me by my English name. And again, I am no longer your teacher."
Hearing this, Huang Xiaochuan laughed again, and he thought of that "why is one day?" joke again.
"Is my name ridiculous?"
"Okay, okay, Catherine!" Huang Xiaochuan thought it was better not to joke about the teacher.
Zhang Yun hadn't forgotten the debt Huang Xiaochuan owed her.
"You still owe me a trip to Fifth Avenue. When are you going to make that promise?"
At this moment, Huang Xiaochuan said to Zhang Yun, "I estimate that I will go to the United States in March."
Zhang Yun paused for a moment without speaking, then asked on the phone, "Is it about Gaze's participation in the Series A funding round?"
From Zhang Yun's reaction and tone of voice, Huang Xiaochuan already knew he had guessed correctly; Goldman Sachs was indeed going to pull some tricks.
Huang Xiaochuan joked, "That's just one of the reasons I went to America. I think the most important thing is to accompany Ms. Catherine to Fifth Avenue. To be honest, I've never been to Fifth Avenue before, so I'll take you there to see what a rich man's den of extravagance looks like."
Zhang Yun pursed her lips; this kid was still pretending to be stupid in front of her.
"Don't blame me for not warning you, you'd better come early and have a good talk with Trevor and Darwin. That's all I can tell you."
"Catherine, thank you!" Huang Xiaochuan's gratitude came from the bottom of his heart.