Global Monopoly of Technology

Wang Xin was very excited recently, because he received an important task from the company's top management, requiring at least 50% arbitrage in the Azure-5 futures market in Mexico within three months. The principal given to him by Shengfeng Capital is 20 billion. The U.S. dollar and the leverage ratio are at his own discretion. In short, Wang Xin and his team have full control.

This is the first time in his career that he has independently traded more than 100 billion yuan in a firm without leverage. It is not domestic, but on the international stage, facing the sharp-smelling wolves of Wall Street.

Wang Xin decided to go to Mexico in person and conduct a real deal there. Of course, he concealed his identity and went abroad in a low-key manner.

Today, Wang Xin is already a well-known trader in the industry. Many private equity bigwigs know that there is a trader named Wang Xin under Shengfeng Capital, so this trip must not be publicized. If the outside world knows about him Appeared in Mexico, and then the Azure-5 futures market over there suddenly appeared in a big house, and all fools knew that it was related to Shengfeng Capital.

At that time, no one will play, because Luo Sheng is behind Shengfeng Capital, and Luo Sheng is the founder of Azure Coast, and Azure-5 is the flagship product of Azure Coast.

Looking at this information, the answer from other players, including those on Wall Street, is: lose.

It's all about being disturbed.

...

At about the same time when Wang Xin led a delegation to attack, a strange thing happened in the U.S. stock market, which attracted a lot of attention. The world-renowned short agency Muddy Waters suddenly released Ansys, a leader and innovator in the global engineering simulation software industry. 's short report briefing.

How concise is the content?

This short-selling report from Muddy Waters pointed out that it is not optimistic that Ansys is about to usher in an inflection point and will go into recession.

That's it, gone!

At the same time, Muddy Waters pointed out that it will further release a detailed short-selling report.

When this short-selling report came out, other investors in the market were in a state of bewilderment, unable to judge the authenticity of this short-selling report, and it was more like a joke.

What's even more confusing is that Muddy Waters is playing for real, and it really spent $2 billion to short Ansys. At that time, the company's stock was $280.56 per share, with a total market value of $24.08 billion.

Jim Kassman, the head of the company, received the news quickly,

Kassman was also confused when he learned that the notorious Muddy Waters was shorting Ansys.

When I learned that this was the exact news, a thought popped into my mind: why?

Ansys has performed well. This year's Q3 financial report net profit was US$82.48 million, a year-on-year increase of 36.58%, and its operating income was US$280 million, a year-on-year increase of 12.86%. Its CFD software is the crown-level existence in the industry.

Why is your Muddy Water Company singing empty?

However, at this moment, other investments in the market have not followed up, and the operation of Muddy Waters is too confusing to understand at all.

Now they are waiting for his follow-up detailed short report, and during this time, the outside world has also begun to continuously analyze and interpret the basis for Muddy Waters shorting.

It was quickly dug up that Ansys has reached a definitive agreement to acquire OPTIS, a leading software provider in the fields of optics, human vision and physical visualization simulation, with the deal expected to fully close in the second quarter of 2018.

Industry insiders immediately tried to analyze whether Ansys' acquisition of the French company was related to short-selling in muddy waters. There are still risks in Ansys's acquisition, and market investors and industry insiders also analyzed some specific potential risks.

Including the risk that the Ansys and OPTIS businesses cannot be successfully combined or that the business combination will take too long and costs will be higher than expected; the risk of post-acquisition operating costs, customer churn, business interruption that exceeds expectations, overestimation of its ability to maintain growth and profitability to control costs The risk of the company's ability to combine products and services; the risk of uncertainty about the demand for the company's combined products and services; the risk that the combined product may not meet the expected sales volume; the uncertainty risk of quarterly performance fluctuations, etc.

It has to be said that Wall Street's analysis agencies are quite professional, and they are stunned to open up this series of possible risk issues.

There are indeed certain risks, but these are risks that Ansys can bear. In the long run, it is not a big problem, and it is not a reason to be bearish, so it is still not enough to explain the short-selling behavior of Muddy Waters.

If you can't understand it, then wait for the follow-up short report of Muddy Waters. Other investors choose to wait and see. After all, the risk of following the trend and shorting is too great, far greater than going long.

The outside world did not know that this was a premeditated insider trading. Lowell found a deal made by the founder of Muddy Waters and gave a non-public margin agreement. Muddy Waters made money at both ends, and there was no trade the truth.

There are no more than 20 people who know the truth, and at this moment, the management of Ansys has not realized the seriousness of the problem, and they have no idea that they have been jointly plotted by more than a dozen technology giants with a market value of hundreds of billions of dollars. .

...

The western hemisphere enters night, and the eastern hemisphere enters day.

In Luo Sheng's private office in the science and technology complex building, he is currently reading an international news report. It is news from the US stock market, and it is a short report by Muddy Waters against Ansys.

Luo Sheng closed the page without even reading the news content, and said, "Xiao Na, cooperate with Muddy Water to release the bad news."

This step is a very critical step and acts as a fuse.

After a while, Xiaona's response came: "The news has been posted on the Internet and has begun to spread."

Luo Sheng smiled comfortably: "Let's watch the fun next."

...

As time passed, a piece of news suddenly began to spread on the Internet. An engineer of the Côte d'Azur anonymously claimed on the Internet that the Côte d'Azur laboratory had made a revolutionary breakthrough in engineering simulation software, especially in computational fluid dynamics (CFD), In one fell swoop, it broke the monopoly of the three industry giants Ansys, Siemens and Dassault, filling the gap in the field of engineering simulation software for Huaguo.

The news spread wildly on the Internet, and then flew across the sea to North America on the other side of the Pacific Ocean.

The next day, Muddy Waters resolutely released the latest short-selling report, which echoed that of Zhizhi.

The report details the average annual investment of Côte d'Azur and Shengfeng Capital in industrial software of 1.472 billion US dollars in the past six years, while Huaguo's annual investment in industrial software was only about 100 million yuan. .

In the six years that Luo Sheng entered the market, regardless of exchange rate changes, Huaguo's annual investment in industrial software has directly increased by more than 90 times.

There is not a single word in Muddy Waters' short-selling report that mentions that Huaguo is madly spreading the news that the Cote d'Azur laboratory has made a breakthrough in engineering simulation software, but uses these data to analyze the general trend of technology. Major investments in industrial software are bound to drive rapid technological advancement.

And the name Luo Sheng, who does not know the name of the technology circle, who does not know the "Luo Sheng effect" and his ability to create miracles?

When U.S. stock investors saw the news at this time, there was only one thought in their minds: it's over, the future of Ansys is a darkness that can't reach out and see where the light is.

Being targeted by Luo Sheng, just look at how miserable the lithography giant ASML was back then.

On the same day, the US stock market opened Ansys' stock directly into a cliff-like dive. After getting these "real hammer" news, Ansys stockholders panic-sold, and more investors participated in the ranks of short-selling. Come.

As a result, Kong Fang, who had absolute strength, directly disarmed and surrendered to the powerless striker of the multi-party blasting hammer.

-15.23%

-28.62%

-42.22%

The corresponding real-time market value also swooped along the way.

$20.345 billion.

$17.131 billion.

$13.867 billion.

On the same day, the market value of Ansys plummeted from the highest point of 24 billion US dollars to 13.8 billion US dollars, evaporating more than 10 billion US dollars, and was almost halved.

The short side of the US stock market who is short of Ansys stock is enjoying the fruits of victory and revelling. There is no movement on the Cote d'Azur. Regarding the news released by the anonymous engineer, if it is false news, Cote d'Azur has not come out to refute the rumor, if it is true It didn't come out to confirm.

Let the bullet fly for a while.

Luo Sheng has set the tone for this matter. Cote d'Azur will never come out to make any evaluations in person, neither admit nor deny it, just treat it as if it never happened. Hang up high and do your own thing.

Luo Sheng doesn't do anything now, just sit and wait, waiting for the other party to present the CFD.

Although engineering simulation software has its own investment, it will take three to five years to catch up by itself. Now there are leading companies in the industry offering treasures, which means that the three to five years of catching up time and money are saved. Spend your time and capital on further research and development, and it won't take long for you to change from a chaser to a leader.

And Ansys, which did not provoke anyone, became a complete loser.

...