Chapter 534 (1/2)

He arrived in Berlin on February 10, and Simon didn't leave for Finland until the afternoon of February 12.

In two and a half days, in addition to supporting the opening ceremony of the Berlin Film Festival, Simon also discussed with Deutsche Telekom about the intention of cooperation in the Internet industry, and pocketed the provisional famous film industry that produced a series of classic films in the original time and space.

As for the contacts with the senior management of Constantine, BMW's covant family and even the senior management of the German government, they only initially established contacts, and did not immediately cooperate.

February 13th is Saturday.

Because of the adjustment of the original plan, Nokia management had to give up the weekend break to match Simon's schedule.

Just in the past 1992, relying on the global transformation of mobile communication from analog signal era to digital signal era, Nokia completed the layout of the second generation of digital communication technology ahead of time and realized a leap forward development.

According to the recent financial report, Nokia has achieved a total sales of 9.3 billion Finnish marks in 1992, which is equivalent to 1.47 billion US dollars at the exchange rate of 1:6.3 Finnish marks to US dollars in the past year. Compared with 1991, the turnover has increased by 67%.

Nokia mobile phones account for 56% of the total sales of fm9.3 billion, reaching fm5.2 billion.

This part of sales represents 3.76 million mobile phones.

In contrast, Motorola, which temporarily ranked first in the global mobile phone sales, only sold 4.39 million units in 1992.

In the original time line, Nokia kept up with Motorola in the first half of the 1990s. It was not until 1998 that it realized the anti super of Motorola, and then it completely left the old electronics giant behind.

This time, because of Simon's early layout, the gap between Nokia and Motorola was very small in 1992.

With the opening of the North American market to Nokia at the end of last year and the sales channel of Verizon Telecom owned by westero system, Nokia will be able to enter the North American market this year, which is the most difficult bone to chew, and fight hand to hand with Motorola. At the same time, in Europe, Nokia has a local advantage over Motorola.

In addition, Nokia's GSM technology is ahead of Motorola's, so it is no surprise that Nokia will be able to surpass Motorola in mobile phone sales this year.

Of course, it's only mobile phones. Motorola now has a deep foundation in many fields, such as computers and semiconductors. However, it is precisely because of this diversification that Motorola's rebound is not expected to be too fierce for Nokia's anti super in the mobile communication field. Therefore, it is impossible for the company to know how large a market they have missed.

You know, in 1992, there were only 13 million mobile phones sold in the world, but in the next five years, the number will exceed 100 million. Within ten years, Nokia alone will be able to sell more than 100 million mobile phone devices.

Compared with the rapid growth of receivables, Nokia's annual loss in 1992 was 380 million Finnish marks (equivalent to 60 million US dollars), but this is actually due to Simon's expansion oriented development strategy.

Simon bought Nokia for $200 million three years ago. In recent years, he continuously injected more than $300 million, totaling more than $500 million, in exchange for Nokia's revenue of $1.47 billion in 1992.

According to Nokia's $1.47 billion revenue scale and ultra-high annual growth rate, if it goes public, the company's market value is conservatively estimated to exceed $2 billion.

Westero holds 100% of Nokia's shares, with an investment of US $500 million and a market value of US $2 billion in three years. This rate of return is enough to make most investment funds envious.

Relying on the blood transfusions of danielis entertainment, cersei capital and other companies, the westrow system has always been rich. Even if Nokia still needs a large amount of additional funds in 1993, westero can fully afford it.

However, Nokia has now shown the edge of catching up with the old Motorola Company. Next, if the company wants to continue its rapid expansion, it needs to face more than simple business obstacles.

Whether it's European countries that are close to each other, or North America, which is already afraid of Europe on the other side of the ocean, aware of the rise of a communications giant that has little to do with itself, it's almost conceivable that Nokia may encounter almost instinctive pressure from other countries.

If you want to resolve this problem to the greatest extent, the simplest way is for Nokia to conduct IPO operation.

Through listing, Nokia shares will be sold to investors in Europe and North America, which has interests. If someone wants to suppress Nokia, they need to consider whether they are attacking the interests of their own investors.

For Simon, it is the best choice for Nokia to go public in North America.

However, as a company headquartered in Finland, most of its current business is in Europe. The most important issue for Nokia now is to consolidate its base in Europe.In this way, listing in Europe is the best choice.

Simon came to Finland to discuss the listing issue with Nokia's management team in person.

No matter its development speed or financial data, Nokia is the best IPO target for all major capital markets, so it is not a big problem to seek listing.

The key is the valuation of IPO and how much equity to sell.

For Simon, naturally, the less equity the better. However, if the number of shares issued is too small, the real purpose of this IPO may not be achieved. If the number of shares issued is too large, it is hard to avoid heartache.

After all, the IPO value of Nokia is only about $2 billion.

This kind of valuation is already very considerable in the eyes of many people, but Simon knows that in his memory, at the peak of the new technology wave around 2000, Nokia's market value was once close to $200 billion.

2 billion vs. 200 billion, giving up $100 million now may mean a Book loss of $10 billion in a few years.

What's more, Nokia doesn't need to borrow too much money because of the sufficient capital reserves of westrow system.

After a full day's consideration on Saturday, Simon finally decided to set the proportion of new shares to be issued at 20%.

With Nokia's valuation of about $2 billion at this time, issuing 20% new shares can raise $400 million. However, according to Simon's memory of Nokia's peak market value of $200 billion, this equity means $40 billion.

Of course, it can't be that way.

If Nokia continues to be fully privatized and does not tie its interests with the capital of European and American countries, then, under the pressure of all parties, Nokia may not be able to reach its peak.

Therefore, this 20% share is just the beginning.