Shenzhen Leaguer Co., Ltd. Class A · SZSE:002243
Shenzhen Leaguer Co., Ltd. Class A — ChinaWeb — Pitch Deck (November 2005)
45 slides from Shenzhen Leaguer Co., Ltd. Class A's pitch deck, November 2005
Slide 1: ChinaWeb Ltd
ChinaWeb Ltd November 2005
Slide 2: Table of Contents
Table of Contents Section I - Executive Summary Section II - Business Overview Section III - Market Analysis Section IV - Business Strategy Section V - Company Information Section VI - Financing Plan and Use of Proceeds Section VII - Investment Thesis Section VIII - Contact Information Page 1
Slide 3: Executive Summary
Section I Executive Summary Page 2
Slide 4: Executive Summary
Executive Summary We are the leading online community focusing on information, life style and social networking related services for China’s fast growing middle-class. The Company derives its revenue from the following sources: Membership fee Service fee Advertising The Company intends t
Slide 5: Business Overview
Section II Business Overview Page 4
Slide 6: Business Model
Business Model Wireless Network Internet (SMS, MMS, WAP, IVR (Broad Band, Narrow Band, Service Platform Page 5
Slide 7: Key Points of the Company Business Model
Key Points of the Company Business Model Services Information Services: Provides our user’s with relevant business, finance and wealth management related information through our Personal Portal, Blog, Photo Album, RSS, Social Bookmark and other products and services. Life Style Services: Provi
Slide 8: Key Points of the Company Business Model
Key Points of the Company Business Model Services (cont’d) Social Networking Services: Provides our user’s with services such as “Circle of Friends”, instant messaging (IM), emails, and multimedia mobile services which enable friends, business partners and/or other individuals to more effectivel
Slide 9: Key Points of the Company Business Model
Key Points of the Company Business Model Platform The Company’s primary focus has been on building an online community which addresses our target clients’ full range of information requirements (i.e. information acquisition, personal wealth management, life style and social networking) all offer
Slide 10: Key Points of Hexun Business Model
Key Points of Hexun Business Model Our Clients According to iResearch analysis, the profile of the Service Platform Company’s average client in terms of age, income, education level, and consumption power are much higher than other Chinese Internet portals. Characteristics of Hexun’s Individual Cl
Slide 11: Revenue Sources
Revenue Sources ChinaWeb Advertising Service Fee •Traditional Ads •Advisory Services •Tag oriented Ads Membership Fee •Professional Services •Ad alliances •Social Services •VIP Platinum Members •Strategic Partners •VIP Gold Members •Information and advisory subscribers Page 10
Slide 12: Revenue Sources
Revenue Sources Advertising Traditional Ads: Includes banner and button advertisements from the Company's institutional clients. Tag Oriented Ads: With user-defined Tags now integrated into all services of the online platform, this new form of advertising will allow advertising clients to targ
Slide 13: Revenue Sources
Revenue Sources Membership Fee Fixed-rate fee (a subscription fee) charged for periodical, pre-packed information or services. The Company's current sources include community services such as VIP membership and information services such as those paid by financial information subscribers and ad
Slide 14: Revenue Sources
Revenue Sources Service Fee Collected for personalized services without fixed-time frame (“pay for play”) charge. Includes payment for advisory services, Mobile Value Added Services (MVAS), personalized social networking services (such as “Circle of Friends” and special on-line event organizin
Slide 15: Business Model
Business Model Advantages of the enhanced business model: Clients’ self-generated contents and services are very cost effective. An enormous amount of content and services found in our personal portals are self-generated by the client, thereby reducing the expense of in-house information develop
Slide 16: Business Model
Business Model Advantages of the enhanced business model (cont’d): Our unique client base is critical for the Company ‘s success. Our core clients have been accumulated from the financial community through our old business model as the largest financial portal in the PRC. Therefore, the Company’
Slide 17: Business Model
Business Model Advantages of the enhanced business model (cont’d): Leverage off our “branding” reputation, expertise and revenue sources from our previous activity. Given the Company’s traditional strength in financial information and investment advisory services, the Company is uniquely able to
Slide 18: Market Analysis
Section III Market Analysis Page 17
Slide 19: China Internet Market
China Internet Market China is the world’s fastest growing economy and the Internet is its fastest growing industry. China has more consumers than any other country, and the Internet may reach more Chinese consumers than any other business. The China Internet Network Information Center (CNNIC) r
Slide 20: China Internet Market
China Internet Market China is world’s second-largest Internet market with 103 million users. 10300 10000 9400 8700 7950 8000 6800 5910 6000 4580 4000 3370 2650 2250 2000 1600 890 400 62 117 210 0 .10 .7 .1 .7 .1 .7 .1 .7 .1 .7 .1 .7 .1 .7 .1 .7 98 99 99 00 00 01 01 02 02 03 03 04 04 05 05 97 (Uni
Slide 21: Fast Growing middle-class
Fast Growing middle-class According to a research conducted by Chinese Academy of Social Sciences in 2004, the number of middle-class persons, with monthly income above RMB 2,500 is approximately 156 million. Further, a CNNIC survey in June 2005 found that 9.4 million middle-class individuals are
Slide 22: Competitive Landscape
Competitive Landscape Hexun is well positioned against competition Page 21
Slide 23: Business Strategy
Section IV Business Strategy Page 22
Slide 24: Vision Statement
Vision Statement To become the one-stop online solution for China’s fast growing middle-class by providing information, life style and social networking related services through Web 2.0 technologies. Page 23
Slide 25: Operating Strategy
Operating Strategy Increase revenues by integrating existing and new products and services into a seamless online community to better serve our clients’ requirements, as well as to improve their quality of life. Develop and exploit new products and services to extend revenue sources and generate
Slide 26: Service/Product Strategy
Service/Product Strategy Integrating information, life style and social networking services into personal portals which better utilize the interactive features of Internet. Combine online and wireless services such as wireless Blog and online Blog to allow user’s to access the same products and
Slide 27: Competitive Strategy
Competitive Strategy Effectively and accurately anticipate clients’ needs and constantly strive for win-win relationships Attract more targeted clients through diversified and highly personalized products and services Enhance core competence and brand recognition through online and offline mar
Slide 28: Company Information
Section V Company Information Page 27
Slide 29: Shareholding Structure
Shareholding Structure SEEC Information Talisman Capital SCMP Westnet Softbank Other (BVI) & affiliates (BVI) Shareholders 53.79% 13.45% 10.14% 8.94% 5% 8.68% ChinaWeb Ltd. (Bermuda) Four Directors of Loan & Pledge SEEC InfoTech Hexun Informedia ChinaWeb 80% 20% Hexun Online Service & License Hexun
Slide 30: Organization Structure
Organization Structure Page 29
Slide 31: Company History
Company History As the first and largest online financial information and service provider in China, the Company has achieved a solid leadership position in its targeted market. While maintaining its market advantage in online financial information and investment advisory services, the Company c
Slide 32: Company History
Company History The original conception of the web (So called Web 1.0) comprised static HTML pages with information selected by editors of the Internet information provider or webpage operator. Web 2.0 is an interactive social networking community based on Personal Portal Platform (PPP). The i
Slide 33: Company History
Company History Over the last year, we have effectively migrated our business to Web 2.0 with great success: MySpace: First established by providing music download services, MySpace’s core user group shares a common interest in music and gradually evolved itself to a fully functional interactive
Slide 34: Company History
Company History Hexun became a Ministry of Information Industry licensed Hexun became telecom value-added the first website to service provider. It also acquire an acquired exclusive Hexun InfoTech investment online content publishing established in advisory license rights from several print Beijing
Slide 35: Management Team
Management Team Wang Boming, Chairman Mr. Wang is founder and CEO of SEEC Holdings and Chairman of ChinaWeb. He is also a Director of the Securities Association of China, Director of the Government Bond Association of China, and the Editor-in-Chief of Caijing Magazine and Securities Market Weekly.
Slide 36: Management Team
Management Team Mr. Zhang Zhifang, Director and CEO Mr. Zhang is a founder and Managing Director of SEEC Holdings, and Director and CEO of ChinaWeb. Mr. Zhang was Executive Director of the STAQ system, which is an OTC market following the model of NASDAQ. Mr. Zhang served as an advisor to Fairfiel
Slide 37: Management Team
Management Team Ms. Wang Li, Director and CFO Ms. Wang is a founder and Managing Director of SEEC Holdings, and Director and CFO of ChinaWeb. Previously, Ms. Wang was Executive Vice President of CITIC Industrial Bank. As one of the earliest financial product trading professionals in China, she has
Slide 38: Management Team
Management Team Mr. Chen Jianfeng, Vice President and COO of Hexun InfoTech Mr. Chen has served as Vice President of Hexun InfoTech since 2003. Mr. Chen was SVP and General Manager of Netease (Beijing) and executive assistant to CEO and Marketing Director of Sohu.com. Mr. Chen holds a master degre
Slide 39: Financing Plan and Use of Proceeds
Section VI Financing Plan and Use of Proceeds Page 38
Slide 40: Financing Plan and Use of Proceeds
Financing Plan and Use of Proceeds Funding objectives US$ 10 million Use of proceeds Working capital Product research and development Potential acquisitions Sales and marketing Page 39
Slide 41: Investment Thesis
Section VII Investment Thesis Page 40
Slide 42: Investment Thesis
Investment Thesis High growing addressable market with scalability High growth of China’s internet market Explosive growth of personal wealth and the fast expansion of China’s middle-class. Well established brand recognition Hexun is the best known and most frequently visited financial inf
Slide 43: Investment Thesis
Investment Thesis Experienced management team ChinaWeb’s senior management is a seasoned team with combined IT and Internet management experience of over 40 years. At the same time, they are flexible enough to stay ahead of evolving Internet trends and to transform it into revenue. Clear path
Slide 44: Contact Information
Section VIII Contact Information Page 43
Slide 45: Contact Information
Contact Information ChinaWeb Ltd. 11/F, Prime Tower, 22 Chao Yang Men Wai Dajie, Beijing 100020, P.R.China Michelle Liu Tel: +86 10 8565 0061 Fax: +86 10 6588 5004 E-mail: mliu@seec.com.cn Peng Cen Tel: +86 10 8565 0067 E-mail: penncen@seec.com.cn Yuqing Wang Tel: +86 10 8565 0068 E-mail: wyq@hexun.