Chapter 403 Delisting
“Lionsgate changes ownership!”
"Boxing Champion Link has successfully joined Lionsgate Pictures. How far can Lionsgate's film career go?"
"Harvey Weinstein and many other film company executives said that Lionsgate Pictures is on the countdown to bankruptcy."
After Link took over Lionsgate Pictures, hundreds of media outlets including the Los Angeles Times, The Hollywood Reporter, and USA Today made extensive reports on the matter.
More than 90% are not optimistic, and the remaining 10% are optimistic.
The mainstream media's view is that Link is a boxer and singer who knows nothing about managing a company or investing in film production.
Letting an outsider lead Lionsgate is bound to not end well.
Many media commented that Link made an extremely wrong decision in acquiring Lions Gate. This decision will not only cause his net worth to shrink significantly, but also cause Hollywood to lose a film production company with great potential.
As the media collectively looked down on Lionsgate Pictures, Lionsgate's stock price plummeted on the New York Stock Exchange, from a high of 10.2 U.S. dollars per share to 6.8 U.S. dollars. The market value fell to less than 600 million U.S. dollars, a 30% decrease from a month ago.
Faced with this situation, Lionsgate simply broke the pot and announced its delisting and restructuring on the New York Stock Exchange.
Link announced that he would acquire the remaining Lionsgate shares at a stock price of $7.2 within one month.
After this period, the company will no longer provide subsidies, and the shareholders must bear the losses themselves.
After the news that Lions Gate announced its delisting, it attracted a lot of attention in the entertainment industry and Wall Street.
A listed company announces its delisting, which has a very serious impact on the company and will cause the company to lose a stable source of funds. If Lionsgate Pictures wants to make movies and acquire other companies, it will not be able to obtain financial support from the stock market, which will also lead to The company's ability to resist risks has weakened.
Moodys, a well-known investment appraisal agency, has plummeted its assessment of Lionsgate Pictures, with its market value falling from US$600 million to US$520 million, which is only the value of Lionsgate's assets.
During Link's acquisition of Lions Gate, Lions Gate's highest market value reached 850 million.
After the acquisition was successful, it instantly dropped to 520 million, a shrinkage of nearly 40%. After deducting 180 million in liabilities, the marketable assets were only 340 million.
In the past period of time, Link spent more than 300 million in cash and 5.2% of Twitter shares to obtain 87.7% of Lions Gate shares. The transaction volume was close to 700 million. To recover the remaining 12.3% of the shares, he would have to pay about 85 million. US dollars.
According to this calculation, in just over a month, he lost nearly $300 million on Lionsgate Pictures.
It is rumored that he did this just to help his rumored girlfriend Jennifer Lawrence get a movie role.
"Loss of 300 million US dollars? Haha, not much. Link Baker is worth several billion, but 300 million is nothing."
Harvey chuckled while smoking a cigar.
"Harvey, I heard that this incident was caused by you. You made Link lose 300 million US dollars with just one sentence. It's really amazing."
Matt Damon laughed.
"Haha, don't say that. This matter has nothing to do with me. I just made a small suggestion to the crew of "The Hunger Games". Who knew Link would do such a stupid thing? Haha, young man, you care too much about face."
Harvey grinned with a smug smile, especially when he heard Matt Damon say that one of his words made Link lose 300 million US dollars. This feeling was very satisfying.
"Harvey, will you continue to fight with Link? Now that Link owns Lionsgate Pictures, its production and distribution capabilities are not inferior to those of Weinstein Pictures. It may be difficult to continue the fight."
Ben Affleck said.
Harvey smiled disdainfully, held his cigar and said, "Ben, do you think Link is qualified to fight with me? No, no, I don't think so.
Lionsgate's production and distribution capabilities are good, but it depends on who is in charge. It was good during the Feremei period, but Link was not. He can manage Lionsgate well as an outsider and produce competitive films. film project?
This is impossible.
If any outsider could make money by coming to Hollywood, it would have become a paradise for capital.
In fact, this is the graveyard of capital. Only those who understand the rules of film operation can make blockbuster movies.
Link definitely doesn't have that ability. "
Harvey waved his arms and said confidently.
Ben Affleck, Matt Damon and others nodded in agreement. To develop in Hollywood, money is not enough. You also need connections.
For example, Harvey now has a very good script in his hand and named which director and actor he wants to play it.
All he had to do was make a phone call to the director and actor's agency.
The agency will immediately cooperate with his work. No matter how busy the director and actors are, they will help adjust the schedule and make concessions on the salary.
The reason for this is also simple, because Harvey is an Oscar-making machine.
In the 100-year history of the Oscars, the films Harvey Weinstein participated in the production and distribution of have received more than 300 Oscar nominations, including four best actor, four best actress, fourteen best supporting actors and actresses, four best director, etc.
When artists under a brokerage company win film awards such as Oscars, their remuneration will increase significantly, and the brokerage company can also earn more from the artists.
Both parties are mutually beneficial, which is one of the reasons why major brokerage companies value Harvey.
For example, CAA, the largest agency in Hollywood, is a close ally with Harvey.
As a newbie, Link had no connections in Hollywood, no results, and no such treatment.
In addition to personal connections, there are also funds, publicity and distribution, the media industry, film critic circles, major film and television unions, the American Film Rating Board, film rating websites, etc., which all play a huge role in the film production and promotion process.
These are good for veteran filmmakers but bad for newcomers. This is why many billionaires wave their money and want to come to Hollywood to pick up girls and make a lot of money, but in the end they lose everything.
This is why many veteran filmmakers remained pessimistic after hearing that Link was at the helm of Lionsgate.
Because the longer you stay in Hollywood, the more you see and experience, and the more you can see the risks involved.
Regarding Link's actions, they could only lament that a newborn calf is not afraid of tigers.
"Catherine, did Link really buy Lionsgate?"
Emma Stone asked while sitting on the sofa at Palm Beach Studios headquarters, flipping through a magazine.
"Isn't it in the newspaper? Why are you asking me?"
Catherine flipped through the new script, listened to her words, and glanced up.
"I heard that Link spent $800 million to buy Lionsgate Pictures just for Jennifer. This is too exaggerated."
Emma Stone said incredulously.
"Not 800 million, but more than 700 million including stocks."
Catherine laughed.
"That's a lot. The news said that Link is a layman and doesn't understand movies. Lionsgate Pictures will definitely go bankrupt after being acquired by him. Once it goes bankrupt, all investments will be in vain. At 700 million US dollars, even Link will have to make money for a long time. of."
Emma Stone said with a shrug.
Catherine smiled slightly, and before Link prepared to acquire Lionsgate Pictures, he also found her, Mandy, and Ivaca for a meeting to ask their opinions.
She initially disapproved.
Link already owns a Palm Beach Pictures. If he wants to invest in movies, he can do it through Palm Beach Pictures. There is no need to acquire a large company with a market value of 6 to 7 billion. Link does not have the ability or the time.
But Link insisted, and she didn't say anything more.
Link is only 22 this year and is worth more than 2 billion. He earned all this money in just three years.
Even if I lose 700-800 million on this investment, it doesn't matter.
He is still young and a failure will be good for his future development.
"Is your movie finished?"
Catherine asked as she stood up.
"No, I just happened to pass by the company and came to see you. What new movie roles does the company have recently? It doesn't matter whether it's a leading role or a supporting role. I have three months of free time this year, so I can take on one or two more roles."
Emma Stone blinked her turquoise eyes and smiled.
"You can rest more in your spare time. You are now on the rise of your career. You should be cautious when choosing scripts, and don't accept every role."
Catherine asked her secretary to bring two cups of herbal tea and sat across from the sofa and said.
"I know that too, but I think it's always beneficial to take on a few more roles and practice."
Emma Stone said.
Catherine looked at her and smiled, and could guess what she was thinking.
She was originally the first sister in the Palm Bay agency. Last year, she became a hit with "Scandal Project" and her popularity was close to that of an A-list movie star. Now that she heard that Link bought Lionsgate Pictures for Jennifer Lawrence, she inevitably felt a sense of crisis.
Katherine knew what she was thinking but wouldn't tell her that Link didn't buy Lionsgate to flatter Jennifer Lawrence.
Emma and Jennifer are both artists under Palm Bay. The more competition among the company's actors, the harder they will work. Also, when employees compete with each other, the boss will be more relaxed in managing the company.
"There is a script here, it is a new movie by Joaquin Phoenix. They lacked investment and approached Link. Link did not refuse and handed over the investment to Palm Beach Pictures.
There are two or three supporting actresses in this script. Take a look for yourself and see if you are interested. By the way, the director of this movie is Paul Thomas Anderson. He has very strict requirements for actors. If you want to try it, can you? With the audition, it’s all about your own performance. "
Catherine took out a script for "The Master" from her desk and invested 23 million US dollars. It was originally planned to be filmed in 10 years, but during the filming process, it almost aborted due to financial problems.
The leading actor Joaquin Phoenix approached Link, and Link took over the project after seeing that the script was good.
"Okay, I will definitely prepare well."
Emma Stone happily took over the script. Originally, she only planned to come over and casually ask if there were any roles. Unexpectedly, she was so lucky that she just asked.
Emma Stone sat in the office for a while and left with the script.
Catherine continued to flip through the script on her desk.
These scripts are screened and recommended by the production department and screenwriting department. As long as they are approved by her, the next step will be to enter the investment and filming process, so this step is very critical.
She looked through eight scripts over and over again.
Thinking of Link's positioning of Palm Beach Pictures as a film with a production cost of less than 30 million and focusing on female themes, she selected a script from "Beasts of the Southern Wild", which is about a 6-year-old black girl, Little Corn. The story of living together with my father.
This script has no selling points compared to mainstream movies, but the storyline is touching enough, and the investment is not high, only 1.2 million US dollars.
Currently, the company has two movies in production and two more movies that have not yet been released. Funds are relatively tight and large-scale productions are not currently available.
She picked through several scripts and selected two relatively low-cost scripts. She took them to the production department for a meeting to discuss which one was more suitable for the company's next project.
——
Emma Stone took the script and returned to the Palm Bay agency not far from Palm Beach Pictures. She wanted to find an agent to contact the crew of "The Master" to inquire about film auditions, but she happened to meet Jennifer Lawrence in the aisle.
Jennifer wore a white T-shirt and denim shorts, showing off her big white legs and dressed low-key.
But in recent rumors in the industry, Jennifer's name appears very frequently, and gossip is everywhere. Some people even ask about gossip about her, an artist in the same company.
It's just that some time ago, Jennifer was filming on the set of "Silver Linings Playbook" and rarely came to the company. She wanted to find Jennifer to confirm some gossips but couldn't find anyone. She finally met her today and she must not let it go easily.
“Hey Jennifer, do you have a minute, how about stopping by my office for a cold drink?”
Emma Stone waved her hand and greeted warmly.
"Emma, what's the matter? I'm going to the club to practice archery later."
Jennifer Lawrence paused and asked.
"Are you preparing for the role of the heroine in The Hunger Games?"
Emma has read this novel. The character of the heroine Katniss is strong, brave, both civil and military, and a little cold in personality.
If it doesn’t suit my style, I would give it a try.
The Jennifer Lawrence in front of me is more suitable. She has baby fat cheeks and a cold face without smiling. She looks like the type of person who is soft on the outside but strong on the inside.
"Yes, the filming of this drama will start in June and the time is limited. I need to prepare in advance."
Jennifer said.
"Congratulations, The Hunger Games is a great show."
Emma smiled.
"Thanks!"
Jennifer forced a smile.
Emma Stone wanted to ask her about Link's acquisition of Lionsgate.
I just saw that she was in a low mood and had no desire to talk, and the relationship between the two was not good enough to joke casually.
She could only endure her curiosity and wave goodbye to Jennifer Lawrence, and went back to the office to read the new script to see if there was a chance to win another role.
Seeing Emma leave, Jennifer breathed a sigh of relief.
When she came to the company to sign an acting contract today, what she was most worried about was that she would be surrounded by people from the company, asking Link about acquiring Lionsgate Pictures for her.
In recent times, Link's acquisition of Lionsgate has been the biggest news in Hollywood, even more than the news that Schwarzenegger's nanny gave birth to an illegitimate child for him.
And she appeared in relevant news very frequently. When the entertainment tabloids mentioned Link's motivation for acquiring Lions Gate, they would also mention the conflict between Link and Harvey Weinstein, and the cause of the conflict was her.
There was news that Link was so angry that he spent $800 million to buy Lions Gate just to help her out.
He also said that Link, a playboy, would lose $800 million because of a woman’s blood.
These news brought her a lot of attention, and also put a lot of pressure on her. Last week, Link stayed at her place for the night, and she also advised Link to be cautious and not act impulsively.
Link said it didn't matter and asked her to prepare for the movie role in peace and not to worry about other things.
Jennifer didn't know how much of Link's acquisition of Lions Gate was for herself, but it was true that Link stood up for himself and prevented others from bullying him.
She was very touched. Link was gentle and considerate, and he kept his word. She felt safe around him. She was lucky to meet him.
"Jenny, why are you down so late? Are you being pestered for gossip?"
Cousin and executive broker Clawson asked while sitting in the car in front of the company.
"No, I met Emma Stone and had a chat."
Jennifer got into the car and blew on the air conditioner. In April, the weather in Los Angeles was getting hotter and hotter, and you would be sweating if you walked a little further.
"You have tried your best to appear in public as little as possible recently, or just like now, you have a cold face and an expression that you don't want to talk. If you dare to show a little bit of 'casual chat' emotions, those women will drown you with the rumors in the circle. ”
Clawson started the car and smiled.
Jennifer shrugged her shoulders nonchalantly and leaned on her seat with her rounded calves raised.
"If they want to ask, I have nothing to say. Link acquired Lionsgate Pictures just because of me. Even if not entirely, it was because of me. I'm not embarrassed to admit it."
"Are you quite proud?"
Ms. Clausen quipped.
"Of course, I think there will be many women who are envious of me in this matter."
Jennifer smiled slightly, took out the script and spread it on her lap.
"Yes, ordinary women will be very happy when they get a gift of one or two thousand dollars, but Link spent seven to eight hundred million dollars for you, which is indeed worthy of the envy of other women.
However, Link's approach is still too risky. He, an outsider, came to Hollywood to invest in a major production company. Now many people in the industry are discussing when Lionsgate will go bankrupt and want to see the jokes between you and Link. "
Ms Clausen said.
Jennifer recited the script silently. After hearing her words, she thought for a moment and said, "Don't worry, Link is not the kind of person who is easily impulsive. He also has his own purpose in buying Lions Gate. He used to do well in boxing and music." It’s very good, it will definitely not be too bad in the movie, I believe in him.”
Ms. Clauson looked at her through the rearview mirror, "You seem to be becoming more and more obsessed with Link now?"
Jennifer shrugged her shoulders, "Yes, I found that as long as I can accept Link's fickleness, he has all the advantages. He is handsome, strong, rich, and has a good character. He is now the chairman of a large independent production company. Whether it is physically, psychologically, or career, he can help me satisfy me.
I can't help but be obsessed with such a man. I believe that if I leave Link now, there will be thousands of women in Hollywood who will throw themselves on him and take my place."
Ms. Clausen heard her words and wanted to persuade her not to invest too much emotion in Link, but she didn't say it after thinking about it.
A man with such a strong charm like Link, I am afraid that any woman who has been with him for a long time will not be able to control her emotions and fall deeply in love with him.
Jennifer is just a girl in her early twenties. She doesn't regard Link as a belief now. It is very rational for her to say Link all the time.
In addition, as Jennifer said, Link is now the president of Lionsgate Films. There will be many benefits to staying with him. Leaving him is not a wise choice.
Dinglingling!
Jennifer's phone rang. She took it out and looked at it. She said it was Link, closed the car window, and spoke to Link in a gentle voice.
Ms. Clausen also consciously lowered the volume of the stereo to make Adele's singing more low and gentle.
Never mind, I'll find someone like you
Forget it, I'll find someone like you
I wish nothing but the best for you
I have no other intentions for you except wishing you
Don't forget me, I beg, I remember you said
"Okay, you go practice archery first, I'll go to your place later."
Link hung up the phone and drove back to the Bay Villa. He found that buying Lionsgate had an obvious benefit, which was convenient for commuting every day.
Lionsgate is on East 12th Street in Santa Monica, only fifteen minutes away from the Bay Villa area, and less time is wasted on the road every day.
Since it was Wednesday today, Evaka was still in New York, and Link had no one to talk to after returning to the villa. After eating lunch made by the servants, he went to the study to read books, mainly best-selling books published in the past two years.
In the past, he read books for exams, but now he reads for money. He needs to find familiar books that are worth adapting from hundreds of newly published books.
After the popularity of bestsellers such as "Harry Potter" and "Twilight", bestsellers adapted into movies have become the best choice for many film companies.
However, the adaptation rights of bestsellers in the past were mostly bought out by major film companies, so he can only choose from the recently published bestsellers.
Since many novels will be renamed after being adapted into movies, he not only needs to look at the catalog of each issue of the New York Times bestseller list, but also look at the content of these bestsellers to see if there are any impressive plots.
This is a big project, but in order to make money, he can only be patient and read books.
Scott Stuber, a neighbor in the middle, came to walk his dog and talked to him about cooperation.
Stuber is the head of Netflix's film department and a member of Netflix's board of directors.
In the past two years, Netflix has done well in the film industry. It was originally just an online DVD and Blu-ray rental provider, but now it has transformed into a streaming video content service platform and has also started to produce its own movies and TV series.
The company's market value was only $3 billion in 2009, but it has exceeded $14 billion this month and is still rising.
Lionsgate and Netflix originally had a cooperative relationship, and Lionsgate was the content provider for Netflix videos.
Now that Link has acquired Lionsgate, Stuber hopes to continue the cooperation or even further cooperation, jointly investing in the production of movies and TV series every year, first distributing them in theaters, and then transferring them to Netflix video websites for playback.
Link understands that this is a self-made web drama and online movie.
Web dramas and online movies are very common more than a decade later, but they were not common in 2011, and the market was relatively small.
Not many film companies are interested in it for the time being, and serious actors are not willing to make online movies.
Link is not sure whether it is the right time to make a web drama now, and he does not know much about the cooperation between the two parties. He said that he can continue to cooperate.
It's just that Lionsgate's current economic situation is not good, and how to cooperate and how large the scale is, need to be decided after internal research of the company. He will let CEO Steven Bewkes follow up on this matter.
After seeing off Stuber, he continued to lie on the balcony lounge chair and read best-selling books on his tablet.
By April, "Bridesmaids" was scheduled to be released on Friday, May 6. There was still a month before the release, and the film distribution company began to focus on promoting the film.
Because when the film was finished, he had not yet acquired Lionsgate. The film was still distributed by Warner Pictures, and Lionsgate participated in the promotion and distribution.
It was just when "Bridesmaids" was scheduled, Weinstein Pictures also started to promote the new film "Father's Revenge".
The film was directed by the famous director Paolo Sorrenti, starring Sean Penn, Frances McDormand and other two movie emperors and actresses. It received multiple nominations and two awards at the Toronto Film Festival and had a good reputation.
The release date was also May 8.
Because Link and Harvey Weinstein had a bad relationship, after Link's acquisition of Lionsgate, this matter became even more well-known in Hollywood.
Now the movies that the two of them have invested in are promoted at the same time and released on the same day. Anyone with a discerning eye can see that this is a confrontation.
Movie magazines such as "Complete Movie" and "Variety" also took the opportunity to promote and hype, making the conflict between the two public, claiming that the two are preparing to compete for the movie box office rankings in May. Please wait and see which movie produced by their companies will win.
