Finally, in the morning of March 13, 2018, ofo announced that he had received 8 of Alibaba's lead..66 billion new round of financing, and this is the last round of financing from ofo, has been half a year. In the past six months, ofo was once broken up by funds and needed to borrow money by way of a mortgage bicycle.
Why does this happen? We have re opened the financing history of ofo and related research, hoping to find an answer.
Tens of millions of businesses have become billions of dollars
In 2015, Davy, the founder of ofo, got an angel wheel investment in Shanghai hunting capital with a endorsement of the good background of Peking University, at that time ofo aimed at the riding tourism market.
Davy wanted to ride the travel market in the form of a ride, with 1 million angel investment, Davy and his team set up a number of cycling routes, and at the same time, to promote the product, and once in a subsidized way to promote, but soon the first money was exhausted, and the next round of financing was slow, ofo The account was at one time of only 400 yuan.
Obviously, riding travel is not the real pain point of the user. In the second half of 2015, Davy's cognition began to change, ” the bike was the real pain point for the users. “
Then, ofo began to switch to the shared bike, and encouraged the students to share the car with the C2C business.
In 2016, Luo Bin, the Jinsha River venture partner, saw ofo in the University of Peking University. At that time, Luo Bin was only calculating a A share account, 25 million college students nationwide, if there were 10% people riding once a day, 1 yuan each time, then the net profit of 1 years was also tens of millions, A shares listed completely without problem.
On the same day, Luo Bin called ofo and offered to meet second days for a chat, and on the second day, Zhu Xiaohu was in Beijing, and Luo Bin and Zhu Xiaohu, together with David, made the tens of millions of business in 2 years of business in 2 years.
Take 5 rounds of financing in one year and introduce hidden dangers
Unlike the business of college students, Davy at that time gave Zhu Xiaohu an account, ” if all the passengers who came down from the subway were using ofo bikes for a short distance, there might be hundreds of millions of times, a market ten times bigger than a taxi. “
It was this business model that made Zhu Xiaohu decide to invest ofo1000 million yuan at the time, and the project was valued at $10 million. After Zhu Xiaohu's endorsement, ofo entered the pace of crazy financing.
In January 2016, the A round, Jinsha River venture capital investment, Donghong road and investment 25 million.
In August 2016, A+ round, real fund and angel investor Wang Gang jointly provided A+ round financing.
In September 2016, the B round completed the Jingwei collar investment, Jinsha River, hunting capital and tens of millions of dollars in financing.
Until September 2016, the whole ofo was in the hands of this group of college students, even though they had gone from the campus to the society, with the rival of the motorist, but everyone had not seen the ” the real potential of the single car &ldquo.
After the financing of the A+ round, the market began to spread a voice, if &rdquo, to share the single car ” whether it would turn the chess game directly, while the ofo rival, mania, was also frantically financing in 2016, while ofo had signed the B round TS for second weeks at the warp and latitude office, and Tencent dropped it.
The stealth pressure of the drop, and the Tencent investment competitor, let ofo have to choose a giant with a truly strategic support, and at this time, there are only two options in front of Davy to accept or accept Ali.
And when the board is almost always acquaintances, it is obvious that it is the best choice to rely on trickle drops. At the same time, in the summer of 2016, the drops that had just defeated Uber obviously didn't have the energy to share the bike, but as the last kilometre, the drop obviously wouldn't refuse.
Soon in October 2016, the drop collar invested C1 round and added investment in March 2017, and as a strategic investment, it got ofo's board of directors and became the largest shareholder only second to Davy.
This is also a foreshadowing for the hidden dangers of the future: ofo is the idea that ofo is unable to move the dripping cake and can only share the bicycle in an honest way. At the same time, with the history of annexation express, we must see that ofo and the two have been merged.
But drops missed the ambition of a more than 20 year old Davy.
Young people's ambitions and underrated shared bicycle margins
After a drop of ofo, it quickly dropped 3 executives to ofo to assist ofo in managing the three parts of the market, strategy, and finance, and the whole investor relationship began to become subtle.
I want ofo to do a good job of a single car, slowly accept the assistance of another giant and merge with the Moore, and the young people of ofo obviously don't think so, because it may be the closest to them.
At this time, there have been news rumours that Mori began to share the car, and the business story of the whole shared bike has become completely different, and Mori is the biggest shareholder of ofo, at the same time, in the case of the Tencent, it has become a strategic product of WeChat payment, WeChat small program, and Tencent. It was Ali's cake.
At this time, ofo is just an icon in the dripping car.
Soon, the media broke out news “ distributed to share bicycle companies ofThe three executives of o have been “ start off for ” As a result of：
The contradiction between &ldquo, ofo and the top executives is mainly concentrated at the board level, and their senior managers differ greatly in their specific strategic deployment. On the same day, Davy was furious, and he would directly push Fu Qiang, the senior vice president of ofo, out of the office. ”
At the same time, the difficulties of ofo are not only the same. With the coming of winter, the number of bicycles is reduced. In April, it opened the credit free deposit of sesame, and the capital began to crisis.
Introduction of Ali, credit free pressure, capital chain pressure
In April 2017, in ofo and the honeymoon period, ofo drew up Ali, the ant gold clothing strategic investment ofo, brought the endorsement of the platform, but also the access to sesame credit, users can avoid deposit riding.
This move, though praised by users at that time, brought great pressure to the capital chain.
From the open speech of Davy in mid 2017, Davy said that in 2017 ofo's plan was to launch 20 million single cars, but then because of a series of problems such as regulation and other problems, it might lead to a reduction in the amount of delivery, and if the total amount of 10 million vehicles, 600 yuan and one car cost, the cost of ofo was 6 billion, according to Tencent technology. Previously disclosed monthly 4~5 billion wages and other maintenance costs, ofo accumulated 8 billion 500 million of the total financing in 2017, supporting the operation of the company is more difficult.
According to ofo, it has dropped 4 billion of the deposit for its users, and it has never reduced the deposit, only the cash reserves of the deposit, which is far more than ofo.
At the same time, with the arrival of winter, the number of shared bicycles to further reduce orders, dropping as the largest shareholder, not only did not continue to support, instead of doing the sharing of their own cars.
Finally, in January 2018, ofo's burst capital chain was about to break, and the news of a mortgage bike.
Zhu Xiaohu quit, Ali comprehensive entry, trickling into the final variables.
At the same time as the news that ofo was about to break, ofo's loyal Zhu Xiao tiger chose to leave the field, and according to the media, Zhu Xiaohu's shares were sold to the Alibaba. Zhu Xiaohu valued $3 billion and sold ofo shares to Alibaba and didi. Meanwhile, Ali won the seat of the board of directors and the veto power of one vote in Zhu Xiaohu's hands.
In March 14th, ofo announced that Ali led E2-1 round financing 8.66 billion, after the completion of this round of financing, Ali has become the second largest external shareholder after ofo.
Ofo seems to be dead and dead, but there are still huge problems in reality. As long as the drop still holds ofo, then the future ofo can only do a single car, and the consequences of only doing a single car are for drop, ofo is always a part of the trip, at the same time, they hatch a single car project, lower the threat of ofo, and for Ali, of O is just a tool to fight down the defensive line and promote sesame credit.
Today, this outcome may be doomed when ofo receives a drop in investment. Remember, after a drop of ofo, many media wrote, "&ldquo"; Davy is a very kind of person who has the same magic power. ” but in the end, people with the same character may be friends, but they can't be married.