Nine city or start privatization: CEO Zhu Overseas contact with a number of investment row PE

Yesterday, "The first financial daily" reporter exclusively learned that China's online game developers and operators in the Nineth City (hereinafter referred to as "nine City") Chairman and CEO Zhu is meeting overseas with a number of investment banks and private equity, the aim is to seek substantial financial support. According to reliable sources, the funds raised by Zhu will likely be used to drive the privatization process in nine cities. This will be the Grand group, the media, and another outgoing plan from the U.S. stock market to retire from the Chinese concept stocks company. Although nine cities declined to respond to the process of privatization of the city of Kowloon, the reporter was informed by the authorities that Zhu was stepping up funding for the privatization programme in nine cities. The fund will be composed of nine city shareholders, private consortia and bankers, Zhu himself to raise a large amount of funds to ensure their own in the "New Nine city," a major shareholder status. According to the public information, subject to the loss of "World of Warcraft" agent and the lack of commercial operation of competitive products, Zhu's nine cities have been 14 consecutive quarterly losses last August, the two most important products "Firefall" and "Planet Edge 2" is still in the test phase of the online, It is expected to enter the commercial operation phase in 2013. At present, the nine city's latest stock price of 2.79 U.S. dollars, the market value of more than 80 million U.S. dollars, about 400 million yuan, and at the peak, the nine city shares have exceeded 20 U.S. dollars. Zhu at this time to start the nine-city privatization process, it is aimed at the current nine city stock price downturn, the low market value of the status quo, and the nine city's two heavyweight products "Firefall" and "Planet Marginal 2" has not contributed to revenue. However, "Firefall", produced by Red5, currently carries out beta tests in North America, which sold 23 million of dollars last year in the Southeast Asian market, with nine city companies having an absolute holding power over RED5, which is expected to operate commercially in North America in 2013. "Planet 2", produced online by Sony Entertainment, a nine-city agent, is currently completing two Tests in the Chinese market and is expected to operate commercially in the second quarter of 2013. In addition, it is rumored that the nine-city self-developed products "Legend of Miracles" are also scheduled to be launched in 2013. An analyst told reporters that after the nine cities also announced a 10 million dollar share repurchase plan, the reason for the launch of the Zhu at this time to consider the privatization of nine cities, may also represent him to the nine city of these three games more optimistic about it. However, to deal with the problems that may arise in the privatization process, Zhu and its partners will still need to raise a lot of money, and Zhu may need to raise more cash from personal investment channels, in addition to finding powerful consortia overseas and China. There are indications that Zhu may need to make a decision to raise the money: from Shanghai Shenhua, its personal best known investment project. Shanghai Shenhua's complicated equity relationship not only involves Zhu a lot of energy, but also drags down his own business investment plan. In 2012, Zhu disclosed the contradictions between him and the remaining many shareholders of Shanghai Shenhua team concerning controlling rights. Because Shenhua owns two world-class stars, this equity dispute has been the focus of the global media. But the battle for a vigorous stake is still in the ground. The analyst also told reporters that Shanghai Shenhua complex relationship may also drag on the implementation of Zhu Privatization program, therefore, Zhu may be in Shenhua investment to take "Big hero broken Wrist" to obtain its best interests in the field of commercial investment. Public data show that from 2013 onwards, Zhu has begun to compress its investment margin in Shanghai Shenhua.