M&A Thesis

扎根現在,引領未來
扎根现在,引领未来
the deepest root becomes
the ancestor of the future

 


Investment Thesis: Long-game investors identify & partner with game-changing serial disruption innovators. Adding Ancestor Root Innovations to portfolios. And then introducing each disruption and each of its spin-offs to their desired timetable. Across all markets. Across all patent and trademark and data regimes. At all desired price-points. From earliest adopters to the latest laggards. Over years and decades and centuries.

Zuxian’s Unique Value Proposition: David Huer is one of the innovators, identifying deeply disruptive game-changers = the solutions that become ancestors of the future.

Making them ready for investors wanting that rarest of opportunities – faster and simultaneously long-scalable routes to ROI – by adding IP to one of their Series A, B, or C positions, or a Buy & Never-Sell long-game investment, or…


WHY #1? The ‘business implications of accurate early prediction are huge’:

  • Change-fearing short-play incumbents want to anticipate and block changes or remove threats.
  • Change-fearing long-players aim to kill innovations, to slow them down to decades or more. This is the bureaucracy of an organization (private, public, or hybrid). If private, these ones kill their company’s own future to protect the seemingly safe today.
  • Change-embracing long-play investors aim to dominate the anticipated new market fundamentals, post-shift, but still have to navigate a tangle of threats.
  • Even large players require capital, maneuvering time, patience, and a deft hand to execute future dominance positioning strategies across the depth and breadth of gameplay.

WHY #2? The old R&D system used in Western countries is glacially slow. Created by already aging Industrial Age players to block swift innovation. Which might have made sense, before instantaneous communications’ nets and remote private business data hacking developed in parallel.

But it is a millstone, ignoring the hard modern reality of swift global technical change. It blocks private incentive to innovate. And you can see the fearful attempts of taxpayer-owned universities setting up political alliances – parasitically trying to kill or slow down rapid change to protect what has been a rich slow gravy train.

But it is too late: the Tsunami is here. A tsunami of their own making. Computing and M/L and Ai. Used by legions of skilled engineers and scientists and technicians with the skills, knowledge and tools to execute disruptive innovation – without subsidizing all the layers of bureaucratic waste and slowness that cuts into the personal ROI of every innovator, investor, and acquirer.

WHY #3? Many “new” Tech Incubators feed the old way. Many insist on equity to support startups that need to be built, staffed, assetted, amortized, taxed, and tax credited.  I question the value.

All this extra cost cuts the spread opportunities of investors, long-game acquirers and disruption founders. Adding wasteful cost and feeding hangers-on. Cutting into our wallets and ROI.

And startups step into this mix, embarking on an extraordinary search for capital. Navigating through thickets of potentially risky advisors and demanders. Innovating to survive but rarely possessing access to smart money, secure communications, trusted advisors, early customers, partners and supporters.

The Zuxian Model: There is a better business.

Find & partner with “ancestral root” innovators.

Qualify and purchase solutions from the innovations’ pipeline.

Cut bureaucratic R&D dead weight out of the middle.

Take later market share early.

Use intelligence and capital capacity to purchase control – years before slowpoke laggards timidly step forth to start comprehending the spin-offs of the ancestor root opportunity.

Are you an ARI Innovator? Are you an M&A Investor Bridge Builder?