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Hollywood Hunter - Chapter 805

Published at 26th of October 2021 08:55:41 AM


Chapter 805: 805

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During this long air journey, Simon's Boeing 767 car is equivalent to his air office.

When the private plane set out from Melbourne and was about to arrive in Kiev, the capital of Ukraine, Simon was still having a video conference with Denny Morris, the head of new world cinema in Los Angeles. The topic content was "counter intelligence 3", which was once again sold unexpectedly.

With the film's big sales, some Hollywood media also picked out Simon's serious "mistakes" in the film's pay negotiations.

According to the sharing contract signed with the three creators, based on the original base salary, according to the final domestic box office of the film of US $200 million, plus other channels, Denise entertainment has to pay up to US $50 million of Omni channel dividend for the three creators, which has exceeded the production cost of the film of US $40 million.

In contrast, Michael Myers' initial offer was only $15 million in Hollywood top salary and 10% of the global box office net profit share, and the other two creators only asked for about half of his fixed salary. With the current box office results and dividends, the total expenditure will not exceed $35 million.

Now, with the base salary, Denise entertainment will pay the three creators a total of $70 million.

It's doubled.

Michael Myers is expected to receive a total salary of $33 million.

It's an obvious mistake.

Simon, of course, will not be affected by this argument.

The 30% Omni channel net profit of the three main creators is divided into US $50 million, which actually means that Denise entertainment can obtain a net profit of more than US $160 million from this project.

It's still big.

This is a profit distribution model that Simon can accept. It's much better than Warner's work for Mel Gibson and others.

What's more, compared with the total revenue of nearly 500 million US dollars brought by the trilogy of fight against smart stars, the 70 million US dollars of main creative expenditure this time is nothing, just as Simon gave a big bonus to the three people's total series. Simon is far less obedient to the stars than other studios. To be exact, he is very harsh. No matter how big a star is, he can no longer be a demon in front of danielis entertainment as he used to be.

However, harshness is not mean, and Simon has never been a boss who wants to run horses and doesn't feed them.

At the beginning of the project, Simon had corresponding considerations.

First of all, 30% is the highest percentage Simon has always been able to accept, whether it's box office share, Omni channel share or other messy share models.

Secondly, the adoption of sharing mode can stimulate the initiative of the main creators.

This is the most important point.

In the past, why did Michael Bay completely get rid of the transformers series? It's not the commercial director's incompetence, but Paramount's obedience and the explosion. Beth can get a huge salary without taking any risks for the series.

Anyway, how to play can make a lot of money, five in a row also really tired, then whatever.

The result is that paramount is ambitious to create a Transformers universe, because bombshell messed up "Transformers 5", and the whole plan just started and basically ended without any trouble. The next year's "Bumblebee" is not warm in the haze of "Transformers 5".

Simon was very surprised that Mike Myers was able to make the blockbuster blockbuster in the original space-time.

However, for the fourth plan put forward by Denny Morris, Simon did not hesitate to reject it directly.

It is also the cause of risk and cost.

The domestic box office of the third movie is expected to be 200 million, with a net profit of 160 million US dollars, which is 30 million lower than that of the second movie, while the domestic box office of the second movie is only 140 million US dollars.

One of the key is the rising cost and the main dividend.

If we continue to start the fourth movie, Simon will not be able to make another $10 million budget according to the rules of the first three movies. What's more, the three creators can no longer accept the salary and share standard of the third movie. Therefore, even if the fourth movie still keeps the box office level of the third movie, the revenue that danilisi entertainment can get will only increase Again, it's down a lot.

As for going beyond the third film, Simon has no extravagance.

All kinds of films have their own ceiling. With the phenomenal level of "hangover", there will only be one in decades.

If it wasn't for the birth of danielis entertainment, Kim Kerry would have won the first fixed film payment of $20 million in Hollywood history this year, and a more exaggerated 20 / 20 model would soon appear, with $20 million plus 20% of the global box office bonus.

Now, Simon has successfully locked in the top salary of Hollywood actors at $15 million.

Although there is no upper limit of 15% for the bonus, Simon's requirement is that the actor must share the risk with danielis entertainment, and never get the top salary and high share.There was no room for negotiation in Simon's tone, and Denny Morris had to give up.

Then he talked about that Mike Myers had a new idea for the play. It was a spoof of 007 series. Simon knew it was "ace spy" as soon as he heard it.

However, because the two sides are not very happy in the cooperation of the series, Mike Myers is indifferent to the contact of the new world film industry. Moreover, Mike Myers also plans to act as the producer of the project in person. In addition to the leading role and screenwriter, he directly offered a base salary of US $15 million plus 15% of the global box office bonus.

This time, 15% is no longer the total channel net profit sharing.

According to the box office results of "fight smart star 3", of course, we can get more from the net profit sharing of all channels. However, the box office bonus means that Mike Myers will keep his income from drought and flood, because this is to cut the cake directly from the global box office regardless of the cost of the studio.

Although it's not literally cut the cake from the global box office, but the studio gets 15% of the box office share, it still means that it doesn't need to bear any risk, and it can get the share income in a relatively short time, which is far from the long-term experience of Omni channel share.

With the box office results of the anti smart star trilogy, Mike Meyers really has the courage to shout out such an offer.

Simon won't accept it.

The starting salary of the original is US $15 million, which means that the cost of the first production of "ace spy" may reach US $40 million. Even if the box office of this series is still as good as Simon remembers, the profit margin of the studio will be very small.

So just skip.

Now the new world film industry does not lack such a project.

After Kim Kerry got Simon's understanding, the two sides have also been preparing "detective plane 2", which is only the third of the five movie contract between Kim Kerry and Denise. In addition, after the release of "Hongfan district" in February, Simon lost his creativity and let the new world film team complete Jack's "rush hour" series. And, it has successfully launched a larger scale of the evocation movie universe series.

These are enough for the new world film industry to develop beyond 2000.

Moreover, both the cost and the risk are much lower than the top salary plus share of the "ace spy" series that Mike Myers started with.

After the video conference with Denny Morris, the Boeing 767 is close to its destination.

Girl a knocked on the door and entered the front cabin study, reminding her boss to land in another ten minutes. Meanwhile, she also brought another document.

The team led by Chen Qing has just reached an acquisition agreement with scupper.

On the day Simon left New York, Chen Qing, who worked overtime all night, gave Simon a complete acquisition plan. Since Simon thinks that betting on the VCD industry can only make a quick profit, Chen Qing has also changed her original idea of wholly-owned acquisition of video decoder chip manufacturer scupper, and intends to only realize holding and keep the company listed, so that she can easily cash out and exit after a few years.

Moreover, even if we don't wholly own scupper, as long as we fully control the operation of this company, westero system can also maximize its own interests by controlling China's VCD industry.

Part of the acquisition, but also to minimize costs.

In fact, no one is a fool. As the only supplier of VCD video decoder chips at the present stage, scober can best understand that in the first quarter of the past, China's VCD market grew rapidly from less than 20000 units in 1994 to more than 100000 units in a single quarter.

Therefore, the company's original P / E ratio is very high, and with the wave of new technology, the stock price has been rising.

Such a company, for Wall Street, is actually impossible to be acquired.

Of course, it's not literally impossible.

However, if we want to do so, the cost will be much higher than we think, and the gain is not worth the loss.

At the beginning of April, scopper's market value reached 120 million US dollars. Simon thought that 200 million US dollars could be won. After all, it means 76 times of P / E ratio. Traditional enterprise mergers and acquisitions, and the offer price of more than 50 times of P / E ratio is already outrageous. However, because of the favorable situation in the Chinese market, even though the scale of the VCD Market is still very small, with the current popularity of new technology enterprises and the growth rate of China's VCD Market, Chen Qing's team judged that it might take more than 300 million US dollars to win the company in case of malicious acquisition.

300 million dollars, which is really not worth the loss.

With such a sum of money, westero system can cooperate with other electronic manufacturers, such as Sony of Japan, Philips of the Netherlands, etc. At that time, the cost of cooperative R & D may only cost one tenth of US $300 million, and only one year at most.

One year later, China's VCD industry just burst out.

However, by doing so, it will be difficult for westrow system to make further layout and control China's VCD industry to the greatest extent.

After the new plan was approved by Simon, Chen Qing and her team immediately took action.After all, scupper's plate is not big. In just one week, Chen Qing absorbed 5% of scupper's shares and acquired them completely in the name of an offshore fund seemingly unrelated to the westero system. Therefore, when this fund broke through 5% of its shares and reported to the SEC, neither Wall Street nor scupper paid much attention to it.

Until the next two weeks.

Chen Qing's team can be called fierce, and constantly in the secondary market strong absorption of SGB stock.

In just two weeks, scopper's share price soared 69%, and its market value exceeded the $200 million mark from $120 million at the beginning of the month. When everyone responded, Chen Qing had absorbed more than 21% of the shares of scopper in the open market at a cost of $31 million.

Then, a showdown.

And it's a pretty strong showdown.

Chen Qing's team was divided into several ways to contact several major shareholders of scupper and launch an offer to acquire some shares of the other party.

In fact, it's mainly Sequoia Capital in Silicon Valley and Texas Instruments in Texas.

Scupper was initially a peripheral company incubated by Texas Instruments, an American semiconductor giant. Subsequently, Sequoia Capital continuously participated in multiple rounds of financing before IPO, with an investment of more than $20 million.

In the IPO in March last year, scupper's shares were about 23%. However, with the continuous reduction of each shareholder after the end of the sales restriction period, the circulating shares in the secondary market have exceeded 30%. Recently, in the face of the strong absorption of Chen Qing's team, some people can't resist the temptation to cash out a lot.

As of the showdown, scupper's equity distribution was roughly 33% of Sequoia Capital and 19% of Texas Instruments. Chen Qing's team is the second largest shareholder of 21%. The remaining 27%, 11% are in the hands of another venture capital similar to Sequoia Capital, and the last 16% are in the hands of circulation market and management.

The contents of the showdown were also quite straightforward.

Chen Qing's team did not cover up the capital background of its own Westeros system and her optimistic attitude towards China's VCD industry, and directly presented a business plan to several major shareholders.

Two options.

Or, Sequoia, Deloitte and another 11% VC will sell half of their shares to westrow system according to the current share price, and give up the control of scupper. Then, westrow system will make efforts to develop China's VCD industry, and we will jointly control the market.

Or, Chen Qing's team will turn to Sony or Philips and other electronic manufacturers for cooperation with their own funds and solutions, and the two sides will become the most direct competitors. Scupper may have advantages. However, in front of Sony and other manufacturers who have mastered the DVD standard, these advantages are not obvious. The almost insurmountable gap between VCD and DVD is obvious.

The two sides haggled for three days.

In the end, the shareholders of scupper group chose to compromise, and the three major shareholders sold 32% of the shares to Chen Qing's team at a price of US $63 million. At the same time, Chen Qing's team also needed to provide an additional US $20 million low interest loan to scupper as the implementation fund of the follow-up plan.

While achieving 53% absolute control, Sequoia Capital founder don Valentine has also given up his previous position as chairman of scupper, and plans to put it in the charge of Emmanuel Brandt recommended by Chen Qing.

In the last ten minutes before the plane landed, Simon fastened his seat belt on his seat and quickly reviewed the final plan from San Francisco.

It's evening in Kiev.

Calculating the time difference, it's more than eight o'clock in the morning on the west coast of the United States.

Knowing what Chen Qing is waiting for, Simon leaves the airport, gets on the bus to rivney and directly asks the girl a to call San Francisco.

The plan was adopted.

It can be roughly imagined that with the arrival of working hours on the west coast, with the signing of the agreement and more insider exposure, scopper, a small company that was not very impressive, will definitely become the focus of heated discussion in the North American capital market in the next few days. In New York on the east coast, scopper's share price will go up to a higher level in the remaining trading hours today as the news spreads.




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