Investment funds will only focus on market leaders, regardless of the industry. Back then, Framedia was the only company within the industry that occupied the five markets of Beijing, Shanghai, Shenzhen, Guangzhou and Wuhan. It had an annual turnover of 40 million yuan, ranking first in the industry. Our belief in the in-elevator advertising industry helped us to make the investment decision. Tan Zhi, the then managing director of Hina, and later chairman of Framedia, played a major role in this series of operations, including the Framedia integration and stock transfer to Focus Media.

How does Hina become involved in the management of an invested company?

Together with IDG, we invested 15 million yuan in Framedia, a 43-percent stake. Hina normally holds over 20 percent of the shares in the invested company and is actively involved in its future development.

When financing, how can businesses raise more money and what benefits can a financial advisor offer?

Financial estimations, various pricing methods, international common practice and the latest industry information are all a financial advisor needs to know. Based on the above information, we can estimate and calculate the actual shares in the company.

When I sold AIMnet, the company I founded, I did make some cash but missed out entirely on shares. As a financial advisor, Hina tries to assist its clients to maximize benefits in every way possible. When Framedia was acquired by Focus Media, investors of Framedia, including Hina and IDG, held 15 percent of Focus Media in shares. Focus Media's share price has currently risen to $70 per share, which means our investment has grown to $400 million.

In which transactions was Hina involved in 2006? How much money was involved? Does Hina have any selection criteria to become a financial advisor for businesses? What specific services can Hina provide for business M&As?

Hina advised on 16 or 17 cases in 2006, valued at $500 million. The average return was 7 percent.

Hina selects businesses with at least $10 million in capital. After all, each project demands a large amount of work. Occasionally we select a project with small investment, but only under the condition that they have promising industry prospects. It is OK if we do not make money in the beginning. We can grow with the company and continue to follow up in the later stage of the company.

Hina knows many strategic investors around the world, has service experience in various industries and is able to provide many financial services. These include helping businesses with financing, cross-border M&As on behalf of Chinese businesses, and M&As in China on behalf of foreign companies.

You once mentioned that Hina wants to become the Chinese Goldman Sachs. How do you plan to achieve this goal?

Domestic investment banks currently include CICC (China International Capital Corp. Ltd.) and CITIC. But, in terms of the number of transactions and staff, and transaction volume, Hina should be the largest among the internationally operating Chinese investment banks. Soon we will announce a number of new transactions: Firstly, we will represent a public U.S. company and secondly, we will acquire overseas businesses on behalf of a large Chinese company. These cases are at the signing stage. Currently, Hina's largest client has a market value of $100 billion. We are more than capable of completing large international business M&As.

I believe that becoming the premier China-focused cross-border investment banking firm is the most practical goal for Hina. Goldman Sachs is our model.

After Hina invested in Framedia, through a series of acquisitions, Framedia's market share and turnover dramatically increased. How did Hina make this happen?

During the acquisition process, the financial advisor's role is especially important. After investing in Framedia, Hina helped Framedia integrate eight influential in-elevator advertising media companies, including Brilliant Media, Xin Cheng Si Hai, Tuojia Media and Ray Network, increasing Framedia's market share to 90 percent in the major cities from 10 percent, and increasing its profit by 40 percent. Framedia naturally became number one in the market.