Recast youth

Chapter 1287 The framework of the business empire has been established
Li Liang's doubts are not unreasonable.

According to the "Securities Act" of the United States, if a company that publicly raises funds is mainly engaged in investment, and the securities invested, reinvested or traded exceed 40% of the company's assets, it is deemed to be a public offering under the "Investment Company Act" Investment companies must register with the U.S. Securities Regulatory Commission, form a board of directors dominated by independent directors, and maintain high liquidity and low leverage of investment assets. Public funds in the United States all exist in the form of legal persons as investment companies.

Due to various factors such as taxation, management, and interest distribution, U.S. private equity funds generally adopt the form of limited partnerships. Compared with public funds regulated by the Investment Company Act, private equity funds can invest in low-liquidity assets and can also invest in external investments. Debt, these are the reasons why private equity funds have relatively high returns.

So when Yang Qingzhi said that Maple Leaf Capital could also IPO, Li Liang was a little confused.

Yang Qingzhi explained with a smile: "As long as we ensure that Maple Leaf Capital Theme is not recognized as a public investment fund company, first, we can reorganize the legal structure and move the original consolidated funds off the balance sheet. Second, in the prospectus It is emphasized that it will not touch the 40% securities investment red line. Third, the main raised funds will be used to acquire employee stockholdings and avoid being used for investment. This will not be recognized as a public investment company, and at the same time, the GP (General Partner) can be retained. The operating structure of GP (abbreviation, general partner) and LP (abbreviation of Limited Partner, limited partner, which can also be understood as investor), in order to enjoy tax benefits and retain GP's control over private equity fund investment decisions, and avoid "Investment" Supervision of the Company Law.”

"That's it."

Li Liang nodded.

When Chen Huang, who was originally indifferent, couldn't help but turn around and glance at Li Liang: "It's so complicated, do you understand?"

Li Liang shook his head: "I don't understand."

"Then what you said is true. I thought you understood."

Chen Huang said speechlessly that when he was in China, he knew a little about investment companies, but when he came here, he couldn't understand what Yang Qingzhi said at all, it was like listening to a book from heaven.

And I felt like sleeping after listening to it.

Li Liang chuckled and said: "I don't care about this anyway, I will just make money with you. It's okay if I don't understand. The important thing is that Brother Feng and Brother Yang understand."

"Haha, I bet you just want to be a train body." Chen Huang chuckled.

"That's right. After all, whether the train is fast or not depends entirely on the headband. It's already good to be a salty fish."

Then Li Liang said to Ye Feng: "Brother Feng, I will be responsible for making money with you. I will not care about other things, so as not to cause any trouble to you."

"Well, that's fine."

Ye Feng nodded. In fact, he didn't quite understand what Yang Qingzhi said. During these days on Wall Street, he understood the nature of public offerings and private placements. The so-called public offering, the listing of Lanshan Company means public offering, which means public offering.

Private equity means limited partners, and Maple Leaf Capital is currently in the nature of private equity.

As for the operation of listing a private equity company mentioned by Yang Qingzhi, Ye Feng did not understand it very well. However, as for the listing of a private equity company, it would be easily recognized as a public offering by the US Investment Company Act, and Ye Feng also made his own understanding.

It should be a company listed on the public offering. The funds raised belong to the public. Public offering explains this very well, but private equity is different. If you go public and raise public money for investment, then you will definitely be criticized. Considered to be a public offering listed company.

The taxes and operations of the two are also different.

As for how to specifically avoid being identified and how to operate, Ye Feng doesn't quite understand. After all, he has not even stepped into the investment banking field yet.

Arrived at the hotel.

Li Liang arranged the meal.

As for the entertainment after dinner, both Ye Feng and Yang Qingzhi declined. They went to Maple Inc., the company that Ye Feng founded last time he came to San Francisco. Ye Feng originally wanted to visit fcaebook, which was not too far away, so An hour or two away.

But thinking about Ye Feng, forget it. The development of fcaebook has not yet reached a shocking level, so Ye Feng feels that there is no point in the past. At most, it is just a polite chat with Zach and some senior executives.Moreover, at the beginning of the year, he sold everything and raised US$4 million to buy 40% of fcaebook's shares, just because he was optimistic about fcaebook's astonishing market value in a few years.

When fcaebook has a market value of US$5000 billion, he can choose to continue holding shares or cash out and leave.

When he arrived at Maple Inc., Yang Qingzhi was a little speechless. Basically no one was working in the company, they were just messing around. It was simply a company that could no longer be empty.

Who could have imagined that such a shell company would make an investment transaction of US$4 million at the beginning of the year?
After visiting.

Several people came to the square downstairs of the company, where there was a basketball court. Yang Qingzhi dispersed cigarettes for several people, and then said to Ye Feng: "You are going to use such a shell company to spend 4 million U.S. dollars to hold shares in fcaebook company?"

"There's no other way. I only thought of this way."

Ye Feng said helplessly. He had two deep-rooted reasons for doing this. First, fcaebook is a social networking company, and the US federal government has relatively strict control over social networking. If a Chinese company holds shares in fcaebook, maybe fcaebook will Being suppressed, Ye Feng would even be forced to trade the stock, so Ye Feng registered a company in the United States.

The second point is that Ye Feng also wants to invest the money that will appreciate in fcaebook company overseas. He can handle the money at will, instead of in China, where any transfer will be subject to supervision and restrictions.

Of course, Ye Feng also knew that he had registered a company in California, and the idea of ​​treating it as a local American company was a bit wishful thinking, because this could not be hidden from American government agencies.

Therefore, now that Yang Qingzhi is here, most of his worries can be solved. Because Yang Qingzhi is a pure Chinese-American, and with his reputation on Wall Street, having him serve as the CEO or even the legal person of Maple Inc. can avoid these potential problems. risks of.

two days.

Ye Feng and Yang Qingzhi completed the transfer of the rights and responsibilities of Maple Leaf Company in San Francisco. Now Yang Qingzhi has officially taken over the Maple Leaf Company in San Francisco. After all this is done, Ye Feng wants to return to China.

The next night.

Several people sat together to eat.

Ye Feng expressed his intention to return to China, and Yang Qingzhi was a little surprised: "So urgent? Why don't you come back to New York with me first, and then go back to China?"

Li Liang also said: "That's right, Brother Feng, it's rare for you to come to San Francisco. Stay for two more days and let me entertain you well."

"No, Chen Huang and I have been abroad for a while. We still have some things to deal with at home. We will return to Yanjing directly from San Francisco Airport tomorrow."

Ye Feng shook his head, then looked at Yang Qingzhi: "Brother Yang, do you have time to come back to China with me?"

Yang Qingzhi thought for a while and said: "I may not have much time. The company here is now a shell company. I have to recruit people as soon as possible to run the company. In addition, I have to find time to meet with the Hilton board of directors to discuss mergers and acquisitions. Time schedule It’s quite tight and I can’t arrange it.”

"Okay, let's wait until you're done with your recent work."

Ye Feng nodded. Anyway, the company is still about half a year away from being listed in New York. Yang Qingzhi is also quite busy now, so it is really difficult to add more burdens to him.

Thinking about it, Ye Feng could only give up.

In addition, there is another reason why Ye Feng is anxious to return to China, and that is that it is now the end of August, and his sister Ye Qing is about to start school. As an older brother, he must go back to help her with her enrollment.

I just don’t know how she is doing at Zhang Lan’s place.

(End of this chapter)