Hollywood Hunter

Chapter 340 Blockbuster's Problem

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Rockefeller Center in Midtown Manhattan.

It was April 9, and after a week in Paris, Simon and Janet flew back to New York yesterday and started working again today.

The headquarters of Cersei Capital was not located in the downtown area where financial companies gather, but in the 1230 Rockefeller Center building, with three subsidiaries occupying one floor each.

Compared to work, Janet pays more attention to their lives.

Therefore, unless necessary, the woman only plans to work three days a week for each of the three subsidiaries. And, even during working hours, he lives in Los Angeles with Simon most of the time.

Wall Street is full of workaholics of all kinds, but there's never been a shortage of people like Janet who can accomplish a lot with little work.

In the process of acquiring the Blackstone Financial Management Company under the Blackstone Group a few days ago, Simon discovered that John Sreber, the head of the real estate investment department of the Blackstone Group, only worked 40 days a year, but he could get 20% of the equity of the partnership subsidiary. , and lives in Chicago, far from New York.

In fact, it is very simple. To achieve this kind of hands-off work, the most important thing is to choose the right team.

This is what Janet has been doing for the two months leading up to the wedding.

The team of Cersei Fund Management has undergone a year-long polishing and screening, and this is the most reassuring one. Leon Black and Lawrence Fink, the heads of both Apollo Management and Black Rock Asset Management teams, have Simon's prophetic edge and are also very reliable.

The large conference room at Cersei Capital headquarters.

The meeting on the new quarterly investment plan of the Lawrence Fink team lasted for two and a half hours, and it was almost noon when it was over.

Simon sat next to Janet the whole time, patiently watching over the meeting.

Lawrence Fink is very much looking forward to Simon expressing some of his own opinions during the meeting. However, the behind-the-scenes boss who should have a bigger voice than his wife has always kept silent, which makes Lawrence Fink feel unpredictable. . Sometimes I feel that Simon may not know much about the asset management industry, and occasionally I feel that this may be the case, but Fink dare not despise a young man who has made a fortune for himself in just over three years.

In reality, Simon was just trying to make himself a hands-off shopkeeper as much as possible.

There was also a meeting with the Apollo Management team in the afternoon. Everyone left the conference room and went to a restaurant in the building for dinner. In the corridor, the elevator had just opened, and just happened to see Wayne Huyzanga, chairman of Blockbuster. And Leon Black was also in the elevator.

Everyone said hello and cooperated with each other.

During the chat, Simon learned that Wayne Huyzanga came this time for the acquisition of Blockbuster some time ago.

After Blockbuster completed its IPO, in order to stimulate the company's stock price, it soon announced an acquisition of the Baltimore-based Errol Company on the east coast.

Originally, the acquisition had already negotiated a $40 million offer.

However, a few days ago, Nancy Brill found something inappropriate when looking at Errol's financial information, and hired the newly established Apollo Management Company team to re-examine the acquisition. M\u0026A consulting, which is also the business of the Apollo Management Company team, the largest M\u0026A consulting case in the hands of Leon Black, which happens to be the acquisition of mca initiated by Daenerys Entertainment.

Speaking of the future, after taking on this not-so-big task, Leon Black's team soon discovered a hidden debt of more than $8 million under Errol's company.

The purchase price of $40 million was originally a bit high relative to Errol's scale and liabilities.

After the additional hidden debt came to light, Blockbuster stopped the acquisition and started renegotiating with Errol's management team.

Video tape chain is a capital-intensive industry. Although Errol's scale cannot be compared with Blockbuster, it has expanded to 250 chain stores. During the expansion process, it also relies heavily on loans. If the deal collapses, Errol, which is far from having an advantage of scale, is likely to go bankrupt.

Therefore, the final transaction price is expected to be lowered to 30 million US dollars.

Back in Los Angeles, Nancy Brill also spoke to Simon about it.

However, Nancy pointed the finger at Wayne Huyzanga.

If she hadn't revisited the acquisition at the last minute, Blockbuster probably wouldn't have found the problem and end up taking the additional losses. This was clearly a mistake by the chairman and CEO of Wayne Huyzanga.

After the Blockbuster IPO, Daenerys Entertainment, which held 35% of the shares, basically had control of the company because the shares of founders such as Wayne Huyzanga were further diluted. Nancy was dissatisfied with Wayne Huyzanga's ability very early on, and taking advantage of this opportunity, she proposed to choose a new CEO for Blockbuster, dividing Huyzanga's power into two.

"Blockbuster's core operating philosophy is to continuously improve efficiency and reduce costs while expanding, so as to gain stronger competitiveness in the same industry. I agree that you want to find a new CEO. However, Blockbuster has just ipo, I don’t want internal instability, you communicate with Huey Zanga on this point. In addition, the new CEO cannot change the business strategy arbitrarily against Blockbuster’s operating philosophy.”

Daenerys Studios in Malibu

Inside.

The various teams of Daenerys Entertainment will be stationed in about next month. Simon came here in the morning to check the decoration effect that has been basically completed, and Nancy also rushed over from Santa Monica.

"Of course I understand that this is also what I am dissatisfied with Wayne." Nancy nodded and said, "He can't see what Blockbuster should do next, and he discussed with me last time that he wants to buy a cable company. TV operators, try the cable TV field, Blockbuster has not achieved the ultimate in the video tape chain, and now the development of cable TV is simply messed up.”

Simon and Nancy walked along the corridor from the administrative area to the next-level office area, and said, "If Daenerys Entertainment is trying to expand into the cable TV field, do you think it's a good idea?"

Nancy asked, "Cable station or cable operator?"

Cable TV stations and cable operators are obviously two concepts. However, because of the liberalization of media control with the government in the past few years, many cable TV operators have also set foot in the TV station business, such as Time Warner, which is responsible for cable TV operations such as Warner Cable and HBO.

Getting involved in content and channels at the same time is obviously the best way to avoid being strangled, but it can also easily distract the management team.

In this regard, the development of the original time and space to the later Disney and Time Warner are two typical representatives.

Disney focuses on content and has never been involved in channel operations. Its espn is indeed the most expensive basic cable station in the cable TV station field. Time Warner is involved in both channels and content. Both cnn and hbo are very successful, but these two businesses are acquired. Moreover, although Warner Cable has occupied a large market share, it has never been able to compete with Comcast and others. Compete against competitors.

Simon heard Nancy's question and said directly: "TV station."

"Nice idea," Nancy nodded, "However, no extra action is required, as long as we take down the mca, we can have our own cable network."

Simon smiled and didn't have much response to Nancy's casual point about Daenerys Entertainment's acquisition of mca, and asked: "Why do you oppose Blockbuster's involvement in cable TV, but agree with Daenerys Entertainment's expansion in this area? ?"

Nancy was a little dissatisfied with Simon's examination school. Is there any need to ask such a simple question, she just said: "Because there is no complementarity between the video tape chain and the cable TV business."

Strictly speaking, the video and cable industries are still competing with each other.

Blockbuster's involvement in the cable TV business will not in turn promote the development of the videotape chain, but will distract the attention of Blockbuster's management team.

However, this is not a problem for Daenerys Entertainment.

The horizontal integration of media groups has always been a major trend in this field, and getting involved in cable TV can maximize the content advantages of Daenerys Entertainment.

Speaking of which, regarding the "Beverly Wife" series, after Daenerys Entertainment insisted on not making any concessions, cbs has confirmed that it will give up the renewal.

According to the original agreement, unless CBS voluntarily gave up, Daenerys Entertainment could not sell this reality show to other TV networks.

Now, Daenerys Entertainment has completely taken back control of the project.

cbs is also 'fearless'. The viewing data of "The Beverly Wife" is not very good. The interests of several major TV networks in terms of content providers are actually one. Cbs thinks that it has given up on this project, abc, nbc Neither will take over with Fox, and Daenerys Entertainment will at best sell the series to the next-level basic cable station, which obviously means lower prices.

However, it is obviously impossible for cbs to see Simon's specific plans.

As long as the acquisition of mca can be completed and "Beverly Wife" transferred to the usa TV network under mca, it may not be able to get the income of the public TV network, but it can further expand the wife series, build a brand, and increase The value of the usa TV network itself, this can be said to serve multiple purposes.

Malibu Studios is very close to Dumei Point. Simon strolled in the studio until noon, then returned directly to his home on the west side of Dumei Point for dinner. He also casually invited Nancy. Bank refused.

Back home, Janet was not alone in the villa, Catherine also rushed over, and the two women were bringing their lunch into the dining room.

"Shocking Point" is about to start filming here in Los Angeles, and Catherine will be here soon.

Catherine was also invited to the wedding last month, but it was too busy at the time, and Simon didn't have the chance to get along with women.

After all, it is impossible to go back to the past, everyone sat down in the restaurant, but still had a very strange sense of harmony.

After chatting a few words about "Thriller", Simon asked the woman, "How are you thinking about that project, "The Endless Flower"?"

Catherine helped everyone with the mushroom soup, nodded slightly, and said, "It's a very good script."

Simon smiled and said, "Would you take it or not?"

Janet also said to Catherine at this time: "Kate, let's take it, I think we can still act together."

Simon couldn't help looking at the two women, and suddenly found that the two women were a bit like the original Susan Sarandon and Geena Davis, so he looked at Jenny and said, "You know what I'm doing what?"

Janet rolled her eyes at Simon: "I've read the script, of course I know."

Simon was curious: "When did you watch it?"

"You care when I watch it."

"

Well, but this is a story about two women rebelling against patriarchy. Do you think it's appropriate for the two of you to act? "

"certainly."

"And then someone thinks I'm abusing you."

Catherine put a bowl of cream of mushroom soup in front of Simon, and said angrily, "It's fine if you mistreat Jenny, why did you pull me up?"

"It's okay to abuse me, Kate, I didn't expect you to be so vicious, you're Snow White's stepmother."

Simon picked up the spoon and took a sip of mushroom soup, nodded with a smile: "Yes, Snow White and stepmother, very good play."

Catherine obviously didn't react.

Janet picked up a piece of bread and threw it over: "Little bastard."

Catherine was puzzled for a moment, and then glared over, but there was a little more blush on her face.

Simon cheekily pretended that he didn't say anything just now, and said, "So, Kate, this project is completely prepared for you. Think about it, desert yellow sand, two women driving down the cliff, how powerful it is."

Janet said, "Why did the two of them have to die in the end?"

"Isn't death their best place to belong? Or, do you want them to end up in a sieve like Spielberg's Rampage?"

"I mean, why can't it be two women who beat the police to pieces and then escaped to Mexico together?" Janet retorted dissatisfiedly, and finally snorted, "So, this is still a movie after all. A movie dominated by your macho ideology. I guess if it were two men, they would have gone into Mexico like 'heroes' and regained their freedom after slaughtering them all."

Listening to the heroic words that Janet deliberately bit down, Simon thought for a while, and said, "It seems that this shot is not bad."

"Um?"

Simon smiled and looked at Janet and said, "You know, I'm a feminist."

"Ah, I'm still a male chauvinist."

"So, we are a very well matched couple."

Simon smiled and turned to look at Catherine again.

Catherine smeared caviar on the bread slowly, and said: "I also think Jenny's proposal is very good, let Louise and Selma finally escape into Mexico, instead of rushing off the cliff. Why do women have to make mistakes? die."

"Only death is more impactful"

"Humph, macho!"

Simon thought for a while and said, "In this case, some plots will need to be revised."

Catherine said lightly: "I just have time."

Simon added: "Also, the box office may not be too good."

Janet said, "Where do you need more money?"

"I don't mind too much."

"I'll hit you."

Simon smiled and avoided Janet's little claws, and reluctantly made a compromise: "Well, at least, with this arrangement, maybe another sequel can be made."

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