Hollywood Hunter

Chapter 549: Reaching a Deal (Repair)

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From April 9th ​​to April 15th, the box office of "Fighting Wisdom Stars 2" in the first week and seven days reached 43.67 million US dollars, easily topping the single-week box office champion position.

Affected by the strong impact of "Anti Dou Zhi Duo Xing 2", "Legend of the Sand", which ranked second, only had a box office of 7.63 million US dollars in the first week.

New Line Pictures' highly anticipated "New Elf Street" ended up with a box-office figure of $5.31 million within seven days of its opening.

On April 16, a new week, three new films will be released in North American theaters again, namely "Boiling Point" by Warner Bros., "Bonnie and Joan" by MGM, and "Boundless Algae" by Goldman Pictures. ocean".

Warner's "Boiling Point" starring black movie star Wesley Snipes, with 1425 screens, is a typical police and gangster action movie.

MGM's "Bonnie and Joan" tells the story of a pair of brothers and sisters who met their true love respectively. The film starred Johnny Depp and opened with 861 screens.

Gaomen Pictures' "Boundless Sea of ​​Algae" is adapted from the novel of the same name, and it is also the prequel of the famous "Jane Eyre". The original novel tells the story of the mad woman in the attic in "Jane Eyre". The number of screens in the film is 505.

Because the setting of the heroine in the script of "Boundless Sea of ​​Algae" is a girl with a black and white skin tone, Simon personally chose a heroine, Catherine Zeta-Jones. 'Old Man Killer' replaced former Nicole Kidman and Tom Cruise in "Ambition" last year, and after a scandal, although "Ambition" was tepid at the box office, Zeta-Jones It's fame.

The effect of the film's internal preview in the early stage was good, so it was put on the Easter schedule.

After the opening of the three new films, "Boundless Sea of ​​Algae" really won the highest comprehensive media score of 8.2 points in the Easter schedule.

However, many people still pay more attention to the "Fighting Wisdom Stars 2" that opened last week. The box office trend of the next week will determine the final North American box office of these films.

A few years ago, the first week of the opening film exceeded 40 million US dollars, which is almost a seed player of 200 million domestic box office in North America. With the rise of saturated full-scale distribution, the box office in the first week is getting higher and higher, quickly squeezing the business of a movie. Potential, follow-up declines are often deep.

Even so, the $43.67 million in the first week of "Fight Against Wisdom 2" is still beyond many people's expectations. As long as the decline in the next week is not too bad, the film is even expected to surpass the first movie's total North American box office of $120 million.

In the end, from April 16 to April 22, the second-week box office of "Fighting Wisdom 2" dropped by 39%, and received another 26.61 million US dollars, continuing to maintain the first place in the weekly box office list.

In two weeks, the comedy film that Daenerys Entertainment had predicted a total box office of $60 million had already reached $70.28 million in North America. The decline in the next week is controlled within 40%, which means that the film's box office trend is quite good. The total domestic box office is expected to be between 130 million and 150 million US dollars, surpassing the first film's 120 million US dollars box office performance, and at the same time becoming Danielle. In 1993, Silk Entertainment was the first film with a domestic box office of over 100 million yuan.

When the box office was released the next week, although only two film contracts were signed with Mike Myers, the executives of New World Pictures began to discuss with the other party the feasibility of developing a third film.

Now that the film has successfully broken through the sequel slump curse of this type of comedy, Simon has no objection to continuing to develop the sequel, but only requires that the cost of the third film must be controlled within 40 million US dollars. As compensation, Simon agreed to a profit-sharing contract for a group of founders.

With two consecutive films breaking the 100 million mark, it stands to reason that the cost of the third sequel will double to $60 million. However, if $60 million was really needed, Simon would rather drop the project.

The budget cost is 60 million US dollars, and future announcements will require at least 20 million.

An $80 million project is already a blockbuster level, and considering that the overseas box office potential of the "Fighting Wisdom" series is very small, the domestic box office must reach $150 million to be able to make a return.

The second and third North American box office of "Ace Power Spy" both reached 200 million US dollars, but Simon has no such confidence in "Fighting Wisdom". 150 million US dollars is probably the limit of the domestic box office of this series.

Although things are not absolute, as the sequel here far exceeds the initial expectations, Simon is not planning to take risks.

The point is that Daenerys Entertainment has no shortage of other projects.

You must know that Jim Carrey's "Detective Plane" and "Freak in Disguise" have both been approved. This comedy star with a distinctive personal style is not only as popular at the local box office as Mike Myers, but also able to win Recognition in overseas markets.

After the first place, MGM's "Bonnie and Joan" relied on good word of mouth and earned $8.79 million in the first week, ranking second on the list. Factory expectations.

MGM thus quickly increased the film's response scale from 861 to 1,363 in its second week.

It followed at number three on Fox's "The Sands" chart. .

The baseball-themed youth film fell only 28 percent in its second week, taking in another $5.56 million.

If you only look at the number of declines, "Legend of the Sand" is even better than "Fighting Wisdom 2", of course, this is mainly because the opening box office volume is not high.

The accumulated box office in two weeks is 13.19 million US dollars, and the box office curve is very stable.

Odd is expected to gross between $20 million and $25 million in North America.

Warner Bros.' cop action film "Boiling Point" came in at No. 4 with $5.12 million in its opening week.

Considering that the production cost of "Boiling Point" is only 9 million US dollars, and the first week's revenue is 5.12 million US dollars, the total domestic box office is expected to be around 10 million US dollars, which basically meets Warner's expectations.

Gaomen Pictures ranked fifth on the list of "Boundless Sea of ​​Algae".

This literary drama adapted from a literary masterpiece relies on its excellent reputation and Gaomen Pictures' precise publicity strategy. In the first week, it relied on 505 screens to make $4.65 million, and the museum was close to $10,000.

Considering the generally lasting long-term nature of literary films, although "Boundless Sea of ​​Algae" only opened at $4.65 million in the first week, the total North American box office is very promising to exceed $15 million, or even hit the $20 million mark.

The production cost of the film was US$3 million, and the total project budget was only US$5 million, including the announcement.

With a box office forecast of 15 million to 20 million US dollars, Gaomen Pictures can achieve good profits just through local theater distribution.

New Line has high hopes for "New Ghost Street". After the first week was far below the expected box office of 5.31 million US dollars, although the box office drop in the second week remained at a decent 36%, it was destined to fail to bring this second-tier film company. To be too big a reversal.

The box office in the next week was 3.38 million US dollars, and the cumulative two-week box office was 8.69 million US dollars. The total box office is expected to be 12 million US dollars. The new line is distributed through overseas and subsequent video tapes and other channels, and it is not a problem to recover all the 17 million US dollars invested in the project. It's just that the new line obviously doesn't have enough time.

Shares in the 1986-listed studio have continued to tumble following the disappointing opening week of "New Elm Street."

When the box office is released in the next week, the stock price of Xinxian has dropped by 27% in half a month, and the market value is only 46 million US dollars. It has shrunk by more than 200 million US dollars from its peak in previous years. 75%. The total liabilities of the new line reached 72 million US dollars. After this heavy blow, it was completely insolvent at this time.

After unsuccessful attempts to find a buyer or debt restructuring, New Line founder Robert Shea formally filed for bankruptcy on April 23.

After Miramax, another studio that was supposed to be very dazzling in the 1990s announced its withdrawal from the Hollywood stage.

Aside from Simon, Hollywood doesn't have much sigh of relief for New Line's bankruptcy.

In the 1980s, driven by the support of the local government and the rise of the video tape industry, a large number of studios sprang up like mushrooms after a spring rain, and then disappeared one after another in the harsh federal economic environment these years. Compared with companies such as Canon Pictures and De Laurentiis Group, which were very active and ambitious at the beginning, except for the "Nightmare Street" series, the new line has not been too conspicuous in the industry.

Now, this company started from "Monster Street" and finally "Monster Street", like a reincarnation.

Even the more sensitive industry insiders have not been too aware of Daenerys Entertainment's continuous targeting of Miramax and New Line. After all, suppressing latecomers is basically what the seven major Hollywood companies are doing.

However, many people also realize that the competition in Hollywood has become more and more fierce, and it is becoming more and more unfriendly to second- and third-tier film companies that lack capital and channel resources.

Not only New Line, which has just filed for bankruptcy, but Orion Pictures, which had previously received financial support from Canada’s Seagram Group, can only be described as surviving in the last two years, completely no longer the scene of consecutive Oscar wins in the 1980s. Some other independent studios can only play small.

Established for more than 20 years, the most valuable thing in New Line is undoubtedly the library with hundreds of movie copyrights.

Danny Morris specifically mentioned this to Simon some time ago.

However, after consideration, Simon decided to let Blockbuster participate in the next new line asset auction.

After it was determined that Blockbuster would be quietly built into an independent media company similar to Netflix, in recent months, Blockbuster has quietly registered and established Blockbuster Entertainment, which is responsible for personally participating in investment in film projects.

Before that, Blockbuster had quietly bought the copyright of dozens of films that Miramax had accumulated over the years after bankruptcy for $13 million.

The price of the new line film library is obviously much higher than that of Miramax.

After all, it is only the "Monster Street" series. Whether it is video tapes or other channels or continuing to flop, it has good commercial potential. Moreover, compared with Miramax, most of which are only very incomplete partial areas or single-channel copyrights, the number of full copyright films in the new line film library is large.

The Blockbuster team made an assessment that it would take at least $60 million to acquire this part of the asset from many competitors who are interested in the new line film library.

The bankruptcy of New Line only occupies a small section in the more professional "Hollywood Reporter".

On April 26, the news that Goldman Sachs and Morgan Stanley officially signed a $1.5 billion capital injection agreement with Igret Corporation almost occupied a prominent position on the front pages of a series of mainstream studios in the following days.

After more than a month of negotiations, the $1.5 billion price has not changed, but the Westeros system has also made huge 'concessions'.

For the $1.5 billion in funds reached by the transaction, Westeros will no longer withdraw a cent, but will inject all the funds into the Igrit company's account in the form of additional financing, which will be used for the company's development in the next few years.

Corporate additional financing and shareholder selling

Stocks are two completely different operations.

One of the most important differences is that the latter is subject to capital gains tax, and the federal capital gains tax at this time is as high as 29%. In order to avoid paying huge capital gains taxes, Simon had no intention of drawing money from the equity transfer.

Many media have actually seen this, but they still admire Simon's decisiveness in giving up $1.5 billion in cash.

You know, this is $1.5 billion in cash after all.

At this stage, not even the billionaires on the Forbes list of the world's richest people can come up with $1.5 billion in cash in one go.

In addition to all the $1.5 billion injected into Igrete as financing, Westeros also agreed that Igreat will conduct an IPO within the next three years. At the same time, Goldman Sachs and Morgan Stanley also jointly obtained the underwriting rights of Igreit in the future.

After the deal was concluded, in addition to the heated discussion in the media, the most direct consequence was that the Nasdaq technology sector rose again.

A company like Igreit, which was only 4 years old, was valued at $15 billion, plus Cisco and AOL, and finally some hesitant investors began to participate in the operation of technology stocks one after another.

On the other hand, the acquisition of Christie's in Europe has also progressed smoothly.

Even though the British media called on the British government to strictly scrutinize to prevent such a long-established British iconic company like Christie's from falling into the hands of foreigners, in the end the British government did not act to obstruct it.

Certainly not without lawmakers trying to get more support to try.

It's just that Melisandre's company is backed by the Westeros system, and the Westeros system has always had a very good relationship with News Corp. News Corp, which controls a large number of media in the UK, is simply not something that one or two MPs can provoke.

Sophia took part in several opportunities in British political circles under the recommendation of News Corporation executives, and the acquisition of Christie's was successfully approved by the British authorities.

After the deal was concluded, Melisandre also publicly promised that Christie’s headquarters would still be located in London. Melisandre would not make too much reorganization of Christie’s in the short term, and would maintain this historic auction house for a long time. Implement the existing traditional corporate culture.

Britain is no longer the empire on which the sun never sets, and the sterling crisis in the past year has even more discredited this old empire.

Melisandre made such a statement, no matter what it was in private, but on the surface, the British media felt that they had retained some dignity and did not pursue this matter.

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