Do not break, stand and break.
The Xinjiang that excels in innovation brought another shock to the investment circle on the financing rules.
Recently, some media reported that DJI has completed a new round of US$1 billion in financing through a 'bid financing' approach, with a valuation of US$15 billion. Xie Yudi, Director of Public Relations at DJI, interviewed by Zishijw today At the same time, he responded again and said that the government of Dajiang has never confirmed the financing and declined to comment on the report.
However, after combing the past financing experience of Dajiang, Capital Shijun also found its alternative style. For example, DJI will give full trust and unexpected returns to investors and friends close to itself, but at the same time, it will also show superior performance. The desire to control, and for those who are 'refused', even if they are eating, drinking and playing together, they may not be able to enter the eyes of Dajiang.
However, with dust and dust, and soil returning to earth, DJI will open up a new journey in the end. During this journey, in the face of the challenges of more and more competitors, how will Dajiang dismantle it and defend its own 'king's? Road's? Aloof as a major country, is struggling to meet or calmly take the exam?
Status: Strong Party A, Staged 'Bid Price' Financing Show
At the beginning of April, Dajiang’s new round of USD 1 billion equity financing was exposed. The maverick DJI adopted an unusual financing method, namely bidding financing, requiring investors to subscribe for a certain amount of equity while also actively bidding high The proportion of bonds, and bonds for 3 years outside the country without interest bonds, which means that investors need to invest in white money to Xinjiang without interest.
The report quoted an investor who participated in the financing as saying that Dajiang would use equity financing and bond financing to sell shares and sell about 1 billion shares.
This kind of financing method, like the tendering for suppliers, first appeared in the investment community, and it made many investors unbelievable. However, many investment institutions still flooded in and ended the first round of bidding on April 3. More than 100 investment institutions participated in financing bidding and each company paid 100,000 US dollars in guarantee. On April 5th, the bidding results were released, and the average Class D/B subscription ratio was 1.29:1, that is, the 10,000 USD B shares corresponded to 1.29. For $10,000 D debt, the subscription amount exceeds the planned financing by more than 30 times.
However, DJI may not be satisfied with this result. According to a piece of information obtained by the China Securities Journal, DJI thinks that the first round of bidding methods may have potential loopholes. That is, some investors may have problems due to opaque information. Knowing that other investors have the highest percentage of D/B subscriptions, most investors do not know. In order to repair this loophole, DJI adjusted the methodology in the second round of bidding.
On the afternoon of April 15, Dajiang announced the results of the second round of bidding. The average D/B share subscription ratio of up to US$500 million (capital of individual investment institutions) was 1.61:1. Based on the results, Dajiang After the investment, the valuation will reach 24 billion yuan. According to the debt ratio of 1.61, each 10,000 U.S. dollars invested in Dajiang shares should be lent at the same time to Dajiang for at least US$16,100 for at least 3 years. From the perspective of investment income, this The investment return rate of the round investment in Dajiang is not expected to be high, but in the opinion of Qi Shijun, the investment case of the famous “Unicorn” of DJI is equivalent to a gold coating for investment institutions. The brand premium obtained is much higher than the gains obtained, and it is not difficult for various investment institutions to rush into it.
The outcome of the third round of bidding was late. On April 23, Dajiang explained to the investment agency that it would give results within two weeks. On April 26, Dajiang began to inform investment institutions one-on-one. One has averaged the psychological price. Investors whose ratio of Class D/B subscription increased to 2:1 said: 'A very painful decision is equivalent to investing three yuan in the inside, only one dollar in stock, and I have never seen such a play.'
During this period, many investors entered the adjustment phase and were then deterred from bidding in order to abandon the bidding. Another investor who participated in the bidding stated that 'Dajiang does not have the spirit of contract and is not worth investing.' DJI has a strong position. The attitude of Party A has repeatedly challenged the patience of investors. According to the all-weather science and technology report, DJI never made a financial report for investors, and even the institutions that had invested in the previous rounds did not get it. 'The CFO will dictate the data in a financial report. Xinjiang is very tough, even if it is a partner with outstanding business contributions, there is no preferential treatment.
In the end, this major financing event lasted more than a month. The Tenth "First Line" report reported that the third round of financing results was finalized on May 7th. There are five or six companies in the lead, each at least 1 Billion U.S. dollars, and many small and medium-sized investment institutions received phone calls from Dajiang and contacted the original 100,000 U.S. dollar guarantee deposits. It could be described as a few happy parties. It is reported that the total scale of the current round amounts to 1 billion U.S. dollars, while large The valuation also reached 15 billion US dollars.
In response to the above-mentioned financing issues of Dajiang, DJI’s director of public relations, Xie Yudi, said in an interview with Zishijw that the government of Dajiang has never confirmed that such financing was available, and reports on outside financing issues are not Commented.
3. The media has been stunned, and DJI has chosen to act in a low-key manner.
Past: Dajiang's Financing 'Friend Circle'
“Wang Hao is a person who is very reluctant to be in control. His design of Dajiang is entirely a red-chip structure and he has never thought of listing. 'An informed person close to Dacchi Wang’s chairman Wang Hao said. This time it was again emphasized that in the past and present, Dajiang did not have an IPO plan.
Regardless of whether or not Dajiang really intends to go public, when the drama called Pre-IPO financing ended, the story of the early Xinjiang investment has gradually surfaced. Whether it is heroes and heroes, or rivers and lakes in distress and urgency, Dajiang’s Financing stories never lack legendaryness.
Yuanming Capital’s founding partner, Hu Minglie and Wang Hao, met each other when they were in school. When they chatted with old friends in 2011, they learned that the old classmates were doing drones. At that time, Dajiang had been established for five years. The unmanned aerial vehicle was seen by partner Li Yong of Yuanzhan Capital. As a hardcore fan of drones and other electronic products, Li Wei left a 'universal' evaluation after playing.
After that, Hu Minglie, who founded Yuanzhan Capital in 2011, became convinced. He invested in the A round in Dajiang at the end of 2012. During a media interview this year, the reporter asked about the most investment career in 7 years. When he was proud to have an investment, he did not hesitate to shout out the name of Dajiang. The 3-year value-added 150-fold return on investment was worthy of his foreign books in any case.
And Yuan Zhi Capital was also convinced by Dajiang’s drone products. It was Cui Wenli, founding partner of Maixing Investment. In 2011, the consumer market of drones was still a blank space. He accidentally saw the absence of DJI in an exhibition. The man-machine product was very surprising and was in line with its investment philosophy. With the opening of the financing window in 2013, Maixing Investment has also become one of the early investors in DJI.
At the end of 2006 before the end of 2006, when the newly established Dajiang was hit by a crisis, the family of Lu Wang and Lu Di invested 90,000 U.S. dollars to help Dajiang to tide over the difficulties. Later, Lu Di and Dajiang took charge of the financial work and held 16% of Xinjiang. The shares became one of the largest shareholders of DJI. According to Forbes, the 16% shares he holds will soon be worth US$1.6 billion. Today, the value is even more expensive. Similarly, Xie Jia is a middle school student of Wang Hao, who once sold. The house invested in Xinjiang, today he holds 14% of the value of the shares is also an astronomical figure.
Chivalrous Rouchang, with his liver and gallbladder, is not enough to describe his friends who were accompanied by Wang Xi and his friends. The trust Wang Min gave them had long been not comparable to the word money.
However, in Daji’s circle of friends, it was not open to all investors, and even “cleanliness” refused to lose a lot of investors. According to the head of a well-known venture capital organization, he revealed to the media that in 2010, he Following the attention of this unique drone company, in order to settle the country, the investment staff did not hesitate to accompany the high-level mountaineering and fishing in Dajiang, but in the end it was still out of stock.
According to Qi Shijun, Dajiang completed rounds of B and C rounds of financing in 2015. The investors included Sequoia Capital China, Yuanzhan Capital, and Maixing Investment, etc.. Among them, there is a small detail that is quite interesting. According to Hu Jinlie, Zhan Capital, Dajiang did not determine whether it would be a foreign-funded company or a domestic-funded company in 2012. Therefore, Yuanzhan Capital, which had made money in the past, has not been able to get shares. Until 2015, Dajiang took real The shareholder price was determined, and the investment of Maixing was the same as that of Yuanzhan Capital. At that time, Dazheng had shown a strong desire for control over its attitude towards capital.
The year of 2015 was the year with the most financing in Dajiang's history, and it was also a memorable year for drone products. On February 8 Wang Feng proposed a entertainment video for Zhang Ziyi with a drone delivery ring. It was precisely this year that the number of drone manufacturers in China began to grow explosively. 200 drone manufacturers entered and attracted a lot of capital to enter the bureau. According to incomplete statistics, 2015 In the year, China’s drone company’s total financing amounted to more than US$200 million, and the highest single financing amount was US$75 million in Dajiang. Shanghai’s Yuneec and Guangzhou’s Yihang Airlines each received US$60 million and US$42 million in capital, respectively.
The frantic influx of capital in 2015 made a great contribution to the drone market boom, and DJI is one of the most glittering ones. Nowadays, it has been nearly three years since the last financing, holding a billion dollars. The strategic financing of Dajiang will once again burn the drones.
Future: Divided Area Dramatic Competition
At the end of 2013, the news about DJI Innovation Year-end Awards blew up the Internet, and this relatively low-key company also entered the public eye. Since its establishment 12 years ago, it has become one of the three business cards in Shenzhen. Xinjiang, with a 1500 R&D team, has introduced a wide range of professional and advanced products, including well-known products such as Phantom and Mavicpro's convenient mini drones. It has taken a 70% stake in the global consumer-grade drone market. Above market share.
According to the prospective industry research institute's "Market demand forecast and investment strategic planning analysis report for China's drone industry in 2018-2023", its public statistics show that 2013-2017 Dajiang Technology's sales revenue has doubled, 2013 DJI’s sales revenue was only 820 million yuan, reaching 17.57 billion yuan in 2017. During this period, net profit jumped from 1.42 billion yuan to 4.3 billion yuan; in 2017, Dajiang’s consumer-grade drone business accounted for the revenue. 85% of the total revenue, market dominance can be called horror.
However, under the flourishing age, the crisis in Dajiang seems to have slipped in. According to IDC, the market size of global consumer and corporate drones is US$9 billion, and the average annual growth rate is expected to be about 30% over the next five years. Based on this projection, by 2023, the entire drone market will have a size of approximately US$33.41 billion. This sweeping number will allow Dajiang to gradually reach the ceiling of the market and expose its drone empire. In the Chinese market, the continuous improvement of the management of drones in recent years has also caused significant pressure on DJI’s business development in China, even causing its Chinese business revenue to decline.
However, Xie believes that there are many misunderstandings about the outside of the policy. In fact, the central government has always been scientifically managed, and all grass-roots groups who do not understand the situation, such as the security groups, have tried to avoid inconvenience. They have told the masses that they are banned from flying and strictly control it. Only let the outside world mistakenly believe that Dajiang suffered a policy bottleneck.
Jin Shijun learned that the "Provisional Regulations for the Management of Unmanned Aircraft Flight Management" promulgated at the end of January this year clearly stipulates that, except in restricted areas such as restricted air zones, airports, military divisions, and dangerous areas, the mini drones can be vacuumed without approval. In the airspace below 50 meters, light drones can fly in airspace under 120 meters vacuum. Xie said that the entire range of products of Dajiang are in the category of light and light, so there is no control problem.
Dajiang, known for its wolf spirit, intends to break the stalemate in which the drone market is gradually becoming saturated. In this billion-dollar financing document, it shows that Dajiang will exert its force in three major directions including: Medical Imaging AI Market Annual Market More than US$5 billion in scale; In education, the 3-year-old+tech curriculum has an annual market size of more than US$10 billion; Emerging industries include artificial intelligence and advanced manufacturing around vision, algorithms, image processing, integrated chip technology, robotics, and other related markets. At the same time, in the financing documents, DJI also revealed that among the two existing sectors, the drone sector (including consumer and industry-level) will achieve a cumulative market size of more than US$88 billion in 2017-2021, while the image The annual market size of the plate will reach more than US$15 billion.
Xie Xie revealed to Ji Shijun that currently Dajiang is in a leading position in the field of drone systems, handheld video systems, and robot education. DJI believes that the deepening of technology will bring new markets in itself and does not require complicated business. design.
In fact, with the consumer-grade drone market hitting the ceiling, DJI has long been eyeing the industry application market. 'The industry application of unmanned aerial vehicles has always been the direction of great Xinjiang. Dajiang and Microsoft have just reached a strategic cooperation through the open SDK, Expanded the commercial drone technology to the world's largest corporate developer community, and thus has the world's largest commercial drone developer ecosystem. ' Xie Yudi also believes that the industry application drone market obeys the information industry Rhythm, the actual outbreak may take 7-10 years, Dajiang will continue to develop in this area.
IResearch predicts that by 2025, the total domestic unmanned aerial vehicle market will reach 75 billion yuan, of which the industrial application of agricultural and forestry plant protection will be approximately 20 billion yuan, the security market will be approximately 15 billion yuan, and the electricity inspection will be approximately 5 billion yuan. According to Qi Shijun, Dajiang first focused its attention on the 20 billion yuan of agricultural and forestry plant protection and blue ocean markets. At the end of 2015, Dajiang released the first agricultural plant protection machine MG-1, and at the same time continued to launch new products in the past three years, trying to take Under this emerging market.
However, Everfly Technology, which was once completely suppressed by Dajiang and was almost on the line, has already had a first-mover advantage in this vertical field. In 2017, sales reached 300 million yuan, and DJI was left far behind. As a result, the anxious actions of Xinjiang are frequently used and the response measures taken are increasingly lacking in the bottom line. Dazheng President Luo Zhenhua even stood at the moral commanding heights and restrained Extreme Technologies from claiming that Dajiang should not consider profits in the agricultural industry, but should allow it to benefit Agriculture, benefiting plant protection teams and farmers who implement services.
At the beginning of 2018, the head of Dajiang sales team Andy Yuan sent instructions to the salesman to set up a “death squad” and implemented the first large-scale assault work in Dajiang’s history of consumer-level, industrial sales, and agricultural drone sales. Grab the channels of flying science and technology, at the same time provoke a price war, trying to put the opponent to death.
At the same time, Dajiang faced even greater challenges in the application market of more segments. For example, zero-degree intelligence control recently announced that it will shift its business operations to the reconnaissance planes used by security and inspection industries, while Airline will focus on unmanned personnel. With regard to aircraft and UAV logistics, DJI lacks the power to cope with it and has shown a certain amount of fatigue.
Nowadays, Dajiang, which has acquired sufficient ammunition, will have the energy to fight against the opponents in a variety of drone subdivisions. In 2018, we may see a more radical, more adventurous, more lone wolf spirit. Xinjiang, let us wait and see.