The coldness of daily excellent fresh in the capital market made Liang Changlin feel a biting chill.
Dingdong, a veteran who had served in the Second Artillery and other units for 12 years, missed the opportunity to become the first stock of China's fresh e-commerce because it was only a few days late, and had to land on the New York Stock Exchange on June 29. In the previous prospectus, Dingdong Plans to Issue 14 Million Shares and Raise $410 Million, but when it was about to go public, Liang Changlin directly cut three-quarters of it, leaving only 3.7 million shares, and the highest financing amount also fell to $109 million, equivalent to 10.5% of the two financings this year.
Whether it is because of the fear of poor stock price performance to reduce the scale of financing, or because the subscription is not very good to reduce the issuance, Purple Finance does not know, Dingdong buy vegetables is likely to become a copy of Luckin.
Exchanging huge subsidies for users is Lu Zhengyao's main magic weapon to build Luckin. As soon as Luckin was established, it invited Tang Wei and Zhang Zhen to serve as brand spokespersons, and at the same time played a promotional war, with the promotion plan of "buy two get one free, buy five get five free" and "2.8% off" and "50% off" and other large-scale coupons flying all over the sky.
In 2018, Luckin achieved revenue of 841 million yuan, but the net loss was as high as 1.619 billion yuan, which is equivalent to losing 18 yuan for every cup of coffee sold.
Dingdong seems to be more aggressive, in 2019-2020, the company's total revenue soared from 3.88 billion yuan to 11.34 billion yuan, but the cost is equally high, with a total loss of more than 5 billion yuan in two years. In the first quarter of this year, the company achieved revenue of 3.8 billion yuan, an increase of 46% year-on-year, but the net loss in the same period was refreshed from 250 million yuan to 1.39 billion yuan, a sharp increase of 465%, the net loss rate was as high as 36.4%, the speed of burning money increased greatly, but it failed to exchange for corresponding revenue growth, the future probability will be more miserable, and the money burned can hardly see the hope of recovery.
This gameplay may not have been a problem in previous years, and it may not be a problem on some small tracks. From Ali, Meituan, Didi to Pinduoduo, most of the major domestic Internet giants are taking the road of free or subsidy-monopoly-harvesting, but the life of Dingdong to buy vegetables is not very good, Liang Changlin took a detour in the early stage of entrepreneurship and wasted a lot of time, and by the time he reacted, the world has changed.
Since 2018, ali, JD.com, pinduoduo three traditional e-commerce players have also targeted fresh e-commerce, and have treated the fresh business as a strategic section. Despite the bombardment of a number of state media for the Internet to enter the community group buying, in March this year, Ali set up a mmc business group to increase the community group buying business, and even shouted out the slogan of no upper limit on investment.
At the same time, Meituan, Didi and other takeaway and travel Internet companies that originally had nothing to do with fresh e-commerce have also cut into fresh e-commerce from the perspective of local life, and launched Meituan grocery shopping and orange heart preferred respectively.
As of March 31, 2021, Ali's cash, cash equivalents and short-term investment amount was 473.6 billion yuan, and JD.com and Meituan's cash reserves were 138.8 billion yuan and 17.8 billion yuan.
As soon as the giant enters, it means that the dreams of small and medium-sized players such as Dingdong Buy Vegetables trying to grow into market segment overlords through rolling development are completely shattered. Through the prospectus of Dingdong to buy vegetables, you will find that liang Changlin spends most of the money in marketing, promotional subsidies account for a very high proportion, and the investment is difficult to transform into their own competitive barriers, consumers are often against the subsidies of Dingdong to buy vegetables, once there is no subsidy or Liang Changlin provides subsidies lower than other apps, these gods will soon turn to competitors without hesitation.
Compete for a penny to buy vegetables, who can play who can see at a glance, yesterday, Purple Finance and Economics also held a 3.99 yuan at the entrance of the community meituan in the activity of getting 15 eggs and two pounds of vegetables, people can't help but sigh that it is good to have money.
The reason why Liang Changlin also wants to go public at the expense of the financing amount is because he sees that the internal volume of the entire industry is intensifying, and hopes to find a new receiver before the patience of venture capital is about to be exhausted.
In fact, Dingdong Grocery Shopping itself is a tailor-made app for the market.
According to Tianyancha app, since May 2018, in more than four years, Dingdong has conducted a total of 10 rounds of financing, accumulating billions of dollars, including Nearly 20 investment institutions including Gaorong Capital, Star Capital, Sequoia Capital, CMC Capital, Qiming Venture Capital, Longhu Capital, DST Global, and SoftBank Vision Fund, however, there are only a few investors with industrial backgrounds.
In other words, these investment institutions have only one goal: to rack their brains to get Dingdong to buy vegetables on the market, and then cash out, because they have no possibility of grafting Dingdong groceries to their own resources.
In view of the very few shares issued this time, Purple Finance believes that the stock price of Dingdong Grocery May be repeated, but in general, it is expected to remain stable for a long time, after all, investors need time to seek an exit. However, it is worth noting that in June 2019, June 2020 and October 2020, the fair value of Dingdong Buy Vegetables' common stocks was $1.22, $4.24 and $4.60 per share, respectively, which was equivalent to ADR of $1.83, $6.36 and $6.90 per share, which means that there is a huge premium space in the current issue price of $23.50, and a sharp decline cannot be completely ruled out. (Part of the image from the Internet) #叮咚买菜ipo筹资目标缩减超70% #
【Purple Finance】 is a fresh and deep and temperature science and technology financial self-media, attention, forwarding is the longest expression of affection!