Reaching the age of thirty, my income randomly doubled-Chapter 873 - 662 Transfer and Acquisition

The main reasons for Fei Yangyang’s financial losses are twofold.

One is the high wages for employees, and the other is primarily due to market factors.

In its early days, the emergence of food delivery apps did indeed help solve some of the customer flow issues in the restaurant industry.

But over time, especially after these food delivery apps went through a phase of capital expansion, integration, and eventually monopolization.

The springtime for the restaurant industry essentially came to an end.

No matter how large a restaurant is, they all discovered a shocking truth: the big restaurant next door could offer a three-person set meal—two meat dishes and one vegetable dish—for only seventy or eighty yuan.

The entire industry is caught in a frenzy of competition.

Fei Yangyang was initially built on its high cost-effectiveness, but now, with rents increasing, wages not decreasing, and coupled with the widely known three-year epidemic.

In four years, Chen Pingsheng personally bore losses exceeding two billion for this company.

It’s fair to say he has gone above and beyond, and his personal equity has risen from 5% to 30%.

However, Fei Yangyang’s market value is now only around six billion, the same as when it first went public.

The entire restaurant industry, apart from Haidilao, which commands high customer spending due to its special services.

Other major enterprises are almost all facing the same issue: severe financial losses.

What Chen Pingsheng needs to do now is find a new buyer for Fei Yangyang. Upon hearing the news that Tengying Group was selling Fei Yangyang, Gao Hu, along with Chang Fu, immediately reached out.

He spoke earnestly, hoping to gain another opportunity to take charge of Fei Yangyang.

As for selling it to Gao Hu, no matter how much he desires it, he does not have the resources. After all, Fei Yangyang’s market value is what it is, and there are still over a thousand directly operated stores.

Even if the valuation goes lower, this is as far as it falls.

Chang Fu said, "Old Chen, Fei Yangyang was built up through hard work by both you and Gao Hu. After all these years, if he sincerely wants to take it back, you might as well give him a chance."

"Let’s be clear about the account between brothers first."

Chen Pingsheng replied, "You’re fully aware of Fei Yangyang’s net losses these past years. Although I’m overwhelmed and can’t manage it anymore, if Gao Hu wants to take over, he has to at least prepare four or five billion in working capital to make it happen. Otherwise, how will he cover the deficits?"

It’s a very practical issue. If a company is losing money and its boss can’t come up with the cash, there will definitely be major troubles.

If employees go unpaid for more than three months, they will certainly cause disruptions.

Fei Yangyang has remained stable primarily because it had enough funds to fill these gaps.

But Gao Hu doesn’t have that money, so how can he take over Fei Yangyang?

It’s impossible for him to subsidize four or five billion annually for this; such expectations are unrealistic for any boss.

Chang Fu thought about it and realized this was indeed Gao Hu’s biggest challenge. Clearly, Chen Pingsheng no longer wants to spend money on propping up Fei Yangyang.

His method is simple: package Fei Yangyang for sale to other restaurant giants.

Meanwhile, Gao Hu is considering an independent contracting arrangement, running the business at his own risk. Given the current circumstances, this approach isn’t entirely out of the question.

The key issue is that he cannot cover the losses.

If he doesn’t have seven or eight billion in cash on hand, even the best relationships won’t make it possible.

Even Chang Fu, who does have money, couldn’t afford to pledge such an amount to guarantee Gao Hu.

His wife, Yang Qian, would certainly not agree to that.

For Gao Hu, various regrets come rushing in. The pinnacle of his life was definitely not his current status as an internet celebrity streamer.

It was during the moment Fei Yangyang went public, when he became the brightest star in the restaurant industry.

This wasn’t just financial freedom; it was a kind of emotional sentiment a man could never forget.

Unfortunately, the opportunity was missed, and once missed, it’s gone.

No money means no money; no matter how much he desires to take back Fei Yangyang, it simply isn’t going to happen.

Chen Pingsheng continues as before, looking for buyers, or rather, collaborators.

The buyers can choose to acquire the company entirely or purchase significant equity stakes.

To fully acquire such a publicly listed company is no easy feat; it requires exceptional strength.

While Chen Pingsheng has yet to find a suitable buyer for Fei Yangyang, Old Wang called again.

Wanda Business Management’s third attempt at going public has failed, and with this failure, Old Wang must repay the raised bet-on financing with equivalent interest.

This was clearly stipulated in the funding agreement long ago.

If the listing had succeeded, everyone would have been happy, but in the case of failure, Old Wang has to bear the consequences for all the capital stakeholders.

In a starkly realistic situation, Old Wang has, without question, failed this time.

The once magnificent billionaire has started to show signs of weariness, and his son has even settled into a quieter life.

Though legends of him may persist throughout the Jianghu, he will not be the most dazzling figure anymore.

An era of a legendary entrepreneur is formally exiting the stage of history.

Meanwhile, Wanda, the world’s most renowned urban complex, is destined to seek a new owner. freeweɓnovel.cøm

Currently, there aren’t many people in the country capable of directly offering a bid of 120 billion and having the liquidity ready at any moment.

Wanda Business Management still operates around 500 locations domestically, and its highest valuation once reached 500 billion.

But now, it’s down to just 120 billion—the exact price offered by Old Wang.

Chen Pingsheng, along with his company’s financial team, legal department, and secretary group, traveled to Wanda Business Management’s headquarters to engage in acquisition negotiations.

This time, the equity that Old Wang gave up was approximately 60%, which means he relinquished his controlling stake.

The entire Tengying Group’s financial team, legal team, and secretary group were all deeply involved in the process.