Huaxing Capital Duyonbo: Mobile game size will eventually exceed the end of the tour

July 29 News, Huaxing Capital partner Duyonbo today in 2012 ChinaJoy on the scene to NetEase technology, the end of the investment risk is relatively large, long cycle, has not been the direction of investment and hot spots, the page to become a new focus on the object. Duyonbo that mobile games occupy most of the debris time, in the future, whether from the number or the amount of revenue to create, will be far more than the end of the tour company. In addition, Duyonbo that the current window of the U.S. listing is still not open, the U.S. market to restore confidence in the stock may take 18-24 months. The following is an interview record: Q: Dear friends, now we invite Mr. Duyonbo, the partner of Huaxing Capital, I know that you have just delivered a speech in which you are addressing the investment hotspot and the core value. I would like to ask ChinaJoy game show inside, all areas of the game, which is your optimistic investment philosophy? Duyonbo: From the perspective of the recent development of capital markets, in fact, from the business perspective is the same, we still put mobile games as investment direction and hotspot. Because from the traditional end of the tour manufacturers basically speaking, foreign also has a lot of listed companies, and do the end of the game to develop a relatively small number of users, itself from the perspective of development, investment is also relatively large, the cycle is also relatively long, now we are not the main focus of attention, the page tour company now developed in the Golden Age, A larger-scale page tour company has emerged, they are looking for a domestic or foreign listing, relative to the end of travel with smart devices, intelligent terminals, including mobile phones, pad of the universal intelligent terminals, the future will have 10 times times the speed of growth opportunities, I think now whether as a game company or investment company, Will take this as their focus and focus. NetEase technology: Huaxing In you said that the end of the tour, there is no need to watch, or next year? Duyonbo: End or move game? NetEase Technology: The client, is the mobile phone or pad game? Duyonbo: Traditionally we talk about PC-side tours, just now I talk about moving games, like mobile phones, pad smart devices, This side has helped a number of Chinese customers to complete some financing. For example, the fishing talent is a very popular game, we have helped it to complete a round of financing, the company called Touch Technology, now help them to melt the new round. Our other customers are happy, they are mobile game platform and portal, we also help them to complete new financing this year. Now there are a few other more optimistic customers, we are also helping them to continue to connect with the capital market. NetEase technology: This year will invest about a few such projects? Duyonbo: We are mainly for the game to provide financing and mergers and acquisitions services, I think from the game industry is always the focus of attention, chinajoy cooperation is almost 3, 4 years of time, every year in the game industry has 3, 4 cases. A little earlier. For example, at the beginning of last year, there was another company in the country, and Seventh Avenue was sold to a US-listed tour and so on. NetEase technology: You also mentioned that some of the PC sideGame growth is also slowing, mobile phone and pad end have a booming momentum, do you think there will be a trend to overtake? is the handset-side game and the pad side game more than the net play game or the big MMORPG game? Duyonbo: I say two, the first one you say will not exceed, I think it is certain, like each of us usually have a lot of spare time, when the car, and other people's time, maybe pick up the phone casually play, Angry Birds, fishing Tatsu people's game. So in terms of both quantity and eventual revenue generation, will be more than the traditional end of the company, of course, we also see another trend, there are many games from one out, has been cross-platform across the terminal, has not been completely differentiated from the end of the tour, the page or hand tour, one out on any platform can play, can be transferred on any device. NetEase technology: I think NetEase technology you have about the capital market, China from the beginning of last year is not a special boom, the first half of this year and the first half of next year, will there be some changes? Duyonbo: Objectively speaking, I am pessimistic, I think in the U.S. market stocks rebound or recovery still need a long time, There are two problems, one problem, China there are many companies listed in the United States, because of their integrity issues, financial problems, especially through the OTC version of the company listed by the shell, by everyone grabbed the handle and plait, so that the entire U.S. capital market, The trust of Chinese enterprises in the normative aspects of corporate regulation, plus last year's VIE structure incident, since last year, all Chinese companies listed in the United States, the price went down basically, many open market investors have lost money, this situation, we need a relatively long time to wait and see, If you have a stock coming out, company regulation is not a problem, we have confidence in the quality of the enterprise, the VIE will not bring significant risks, and have the benefit of making money, you are more profitable company, before the listing in this side, before earning before, before the market can be recovered, I think the future is very difficult. NetEase technology: How long do you think the recovery period will take? Duyonbo: I feel more pessimistic about it for 18-24 months. NetEase technology: 24 months so long time. I think you also know that there are some short institutions that keep shorting the Chinese concept stocks, including the nearest new Oriental, do you think that their bearish interest in Chinese companies will more affect Chinese companies in U.S. investors or global investors? Duyonbo: I think it's going to happen in the short term because there's a lot of stock on the stock market. , as an investor, I'm not necessarily a good one, should be no problem company I will buy, is also a good company I have other options, in the current market is not too clear situation, as ordinary investors can choose some wait and see, if a watch many people do not dare to buy, outside investors on the sidelines, The stock market, the fund will also wait and see, the whole listing window is difficult to open. NetEase Technology: You think now like last year on theCity was stranded company, or the first half of this year, I also heard that some companies, such as 91, wireless assistants, they want to start the first half of this year or the first half of next year to launch the IPO plan, these companies have influence? Will China have a successful IPO in the coming year? Duyonbo: We can observe, as I said before, I think it's a bit more pessimistic because there are a lot of Chinese companies that want to queue up in the U.S. In addition to China's economic obstacles, in turn, from another point of view, if some of the capital needs of some enterprises, would have thought of the United States to go public, now because the open market is not good, I think it may also turn back to the private market for financing. We have another customer named Shenzhou rental car, would have thought of the United States Exchange listing, later, when the market was not good at that time, we helped him to do 200 million U.S. dollars in private investment, in fact, you can also from the valuation, from the point of view of financing than listed financing or more, and sometimes in private PE, his judgment on the market, may be longer and more correct than the open market judgment. NetEase Technology: Huaxing Capital, is not a perilous peak huaxing ah, I would like to ask this capital fund-raising situation, it is more inclined to what aspect of financing? Duyonbo: The perilous peak huaxing positioning is an institutional angel investment, formerly a personal combat way, the perilous peak Hua is an institutional, a team of fighting way to do angel investment projects, The amount of their investment in general, from hundreds of thousands of to more than 1 million, within this range, is a relatively independent professional team to do. NetEase Technology: This investment fund is tending to be more small, will it be like you say, the more optimistic mobile internet, mobile phone or these startups? Duyonbo: They also put a lot of better companies on the mobile Internet. NetEase technology: Thank you very much for your acceptance of my interview, thank you! Duyonbo: Thank you!