Niu Qiangdong immediately thought of Chen Xuejiao, who had proactively offered to invest in his company before he left. Although the deal with the other investment firm had fallen through, his own company still desperately needed funding to stay afloat.

Niu Qiangdong quickly found Chen Xuejiao's business card and dialed the number on it.

"Mr. Niu, have you signed the contract already?" Chen Xuejiao's voice came through, tinged with a knowing smile, as if she had anticipated his call.

"Miss Chen, it's just as you predicted. The other party backed out and now wants to lower Qiangdong Company's valuation. I'd like to know, what is your company's valuation of my company?" Niu Qiangdong asked directly.

"I know that when you were about to sign, they offered a valuation of 45 million US dollars, correct? But just now, they tried to push it down to 30 million US dollars," Chen Xuejiao said casually.

"How do you know that? Such detailed information is absolutely confidential before any official announcement or a formally signed contract," Niu Qiangdong asked, shocked.

Was this news intentionally leaked by the investment company? Perhaps their goal was to deter other companies from investing, or to ensure that no other valuation would exceed theirs.

He knew that once this news got out, any other investment companies interested in Qiangdong Company would offer a low valuation, definitely not exceeding 45 million US dollars.

And a valuation of 45 million US dollars was something Niu Qiangdong would only accept as a last resort.

"As for how I know these things, I'm afraid I can't disclose that to you, Mr. Niu. Our boss greatly admires you. He knows how difficult your entrepreneurial journey has been, and he knows you are a responsible, committed, and trustworthy boss. Therefore, our valuation for Qiangdong Company is a minimum of 50 million US dollars," Chen Xuejiao said over the phone.

"And that's just the lowest tier. Our valuation depends on how much you need us to invest, Mr. Niu, and how many shares you're willing to offer.

"The more investment you need, the better. The more shares you offer, the higher our valuation of Qiangdong Company will be.

"For 10 percent of the shares, our valuation is only 50 million US dollars. If you offer 20 percent, the valuation becomes 75 million US dollars. If you offer approximately 25 percent, we can raise it to 100 million US dollars.

"If you offer 30 percent, we can raise the valuation directly to 200 million US dollars. Any more than that would be pointless to discuss, as I imagine Mr. Niu wouldn't be willing to part with too many shares."

The more Niu Qiangdong listened, the more excited he became. With such attractive terms, what was there to hesitate about?

Even with an offer of only 20 percent of the shares, the valuation rose to 75 million US dollars. While this was still a fair distance from his initial target of 200 million US dollars, it was significantly more than the 45 million US dollars he had been prepared to settle for.

If he offered 30 percent, the valuation would instantly shoot up to 200 million US dollars. His company would receive a 60-million-dollar investment, which was more than enough to weather this harsh winter and even accelerate its development.

Although Niu Qiangdong had initially planned to offer at most 20 percent of his company's shares for fundraising, who could have foreseen the situation changing so swiftly?

With a 20 percent stake, the valuation would be 75 million US dollars, netting the company 15 million US dollars in funds. This was certainly enough to survive, but the company's growth would inevitably slow.

Moreover, with the financial crisis escalating, no one knew when it would end. If the economy didn't recover soon, and that 15 million US dollars ran out, raising more funds would be even harder.

The most prudent approach was to offer 30 percent of the shares to obtain 60 million US dollars in development funds. This would ensure the company could endure at least two years of hardship, or even longer, without the risk of bankruptcy.

With both sides in agreement, they naturally arranged to meet for detailed negotiations as soon as possible.

Chen Xuejiao was even generous enough to advance three million US dollars as bridge financing to keep the company afloat.

By the time of the formal negotiations, Niu Qiangdong had gained a deeper understanding of Hong Kong Hualong Investment.

He also finally learned that Hong Kong Hualong Investment was the sole investor in Anjing Online Supermarket and the largest investor in Hua Xing Technology.

Although Anjing Online Supermarket got off to a late start, launching only in 2006, its growth had been incredibly rapid and impressive.

It took only three months to cover Shenzhen City. Then, as if injected with vitality, it covered the most economically developed cities in Guangdong Province in the same amount of time.

Later, it launched in major cities nationwide, blossoming everywhere. Anjing Online Supermarket's rapid development was fueled by strong financial backing; it seemed they never had to worry about funds.

His own Qiangdong Company, though established earlier, had not grown as quickly. All previous development funds were self-generated, forcing a slow, arduous, step-by-step progress.

Without external financial support, growth depended entirely on the company's profits, which were constantly reinvested. In the beginning, Niu Qiangdong had no understanding of venture capital or financing at all.

Niu Qiangdong also wanted to accelerate his company's development, but his first thought was always to borrow money by seeking bank loans and mortgaging the company.

However, banks were not keen on lending to a company like Qiangdong Company. Internet startups were considered far too risky, a gamble the banks were unwilling to take.

Wasn't it better to invest that money in real estate development instead?

In truth, the risk wasn't the main issue. What mattered was that the bank leaders who approved loans received generous kickbacks from the real estate developers they funded.

It was said that some developers would stop at nothing to secure loans. They not only provided extravagant wining, dining, and entertainment, but some were even willing to give the facilitating bank leaders a 30% kickback from the development funds.

Lending to an internet startup like Qiangdong Company was not only risky, but it also offered no perks to the bank leaders. Naturally, no banks were willing to lend to such enterprises.

Before the formal negotiations began, Niu Qiangdong asked Chen Xuejiao, "According to my understanding, although Anjing Online Supermarket has some minor shareholders, it's essentially an independent investment of your company, and the same goes for Hua Xing Technology."

"Is there a problem with that, Mr. Niu?" Chen Xuejiao asked, nodding.

This wasn't much of a secret; anyone with the inclination to investigate could easily find this information.

"Logically, as Qiangdong Company grows, our biggest competitor, aside from Taobao, will be Anjing Online Supermarket. In fact, Anjing will be our most direct competitor, since our business models are nearly identical—we both pursue a self-operated growth strategy and build our own logistics systems," Niu Qiangdong continued.

"By investing in us, your company is essentially creating a formidable rival for your own Anjing Online Supermarket. Aren't you worried that if Qiangdong Company grows too large, it might eventually surpass Anjing Online Supermarket, damage your interests, or even defeat it?"

"What's there to worry about? Our boss isn't so narrow-minded," Chen Xuejiao said with a smile. "Even without Qiangdong Company, other competitors would emerge. And even if our two companies must eventually compete, shouldn't we both focus on growing first before worrying about that?

"Besides, before we compete with each other, the strongest competitor we should be facing together isn't each other, but Taobao.

"Competition drives mutual development, and it helps create the market. As the number of internet users grows, the market itself will get bigger and bigger.

"Our company is very optimistic about the future of the internet economy. That's why we've invested not only in Anjing Online Supermarket but are also about to invest in your Qiangdong Company. We are willing to invest in even more internet startups. Given the chance, we would even invest in Taobao.

"If Anjing Online Supermarket is eliminated from the market because it can't compete, goes bankrupt, or is acquired by a rival, that's just normal market behavior.

"If you have the capability, Mr. Niu, you could make Qiangdong Company strong enough to surpass Anjing Online Supermarket and eventually acquire it. I believe our boss would be very pleased and wouldn't see anything wrong with you doing so.

"It's not just us who are optimistic about the internet economy's future. Many others are too, which means there will only be more startups, and the competition will become increasingly fierce.

"Some internet startups will grow strong, while many others won't last long and will have to close their doors."

"So you're saying your investment in Qiangdong Company is just one among many you've backed?" Niu Qiangdong asked. "That whether we ultimately succeed or fail, your company won't take it to heart and will simply accept the outcome?"

"You could understand it that way," Chen Xuejiao explained. "But our boss holds you in very high regard. If possible, he would have preferred to acquire Qiangdong Company directly, merge it with Anjing Online Supermarket, and have you serve as the CEO of the merged company.

"However, our boss also said you probably wouldn't agree.

"As it stands, Anjing Online Supermarket is much larger than Qiangdong Company. Having your company acquire Anjing is unrealistic; Anjing's employees certainly wouldn't accept it.

"So, the boss is really looking forward to your performance. He hopes you can make Qiangdong Company bigger and stronger as quickly as possible and complete the acquisition of Anjing Online Supermarket.

"Is there anything else you want to ask, Mr. Niu?"

Niu Qiangdong steadied his emotions. "Thank you for your boss's special consideration. I will do my best to ensure his investment yields the best possible return.

"However, I am curious about one thing. If I were willing to offer 40 percent of the shares, how high would your company raise the valuation?"

"Forty percent? Are you sure?" Chen Xuejiao asked, a hint of surprise in her voice.

"I'm just curious," Niu Qiangdong said with a smile.

After a moment of silence, Chen Xuejiao said, "Five hundred million US dollars..."

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