America: Starting with the acquisition of MGM

Chapter 180 Equity Swap, Killing with a Borrowed Knife

Time flashed forward to four days later. During this period, Eric not only returned to the "House of Cards" crew to film, but also took turns rolling with Nicole, Theron and the Olsen sisters.

Roll three times in four days, for several hours each time. When the donkey comes, he will kneel down and foam.

Having to deal with four women, such a high-intensity task, even with the support of health wine and green juice, still made him feel exhausted.

But there is nothing I can do. I have been dealing with the Maikou issue some time ago, and I have somewhat neglected a few girls.

The fields lack irrigation, so the farmer himself must plow the fields and loosen the soil.

Fortunately, Gadot hasn't come back yet, otherwise it would be a non-starter and I wouldn't get a day's rest.

The North American box office of "Get Out" has been released for the second week. Although there was a drop, the drop was smaller than expected, about 34%.

The black guys are still very supportive, and the topic of racial discrimination is highly discussed in society.

As word of mouth spread, many white people also walked into the cinema to find out.

The final box office revenue was US$34 million, continuing to lead the schedule and winning the second weekly box office championship.

The second place is still "Pirates of the Caribbean". The tenacity of "Black Pearl" has not been exhausted yet, and it continued to take in more than 17 million US dollars at the box office.

It can be seen from this that a truly great production with good reputation has both explosive and lasting power at the box office.

Horror and alternative movies such as "Get Out", "Saw" and "Sharknado" generally have explosive power but lack of staying power. Their box office potential will be exhausted in a month or more.

As for Tobey Maguire's "Running Times", with a box office of less than 10 million US dollars, no one cares about it anymore.

At the MGM building, Chen Xing introduced Isaac Perlmutter and Avi Arad to the office.

Eric stood up and shook hands with the two of them.

The two gave Eric completely different feelings.

Isaac Perlmutter was wearing a crisp brown suit, shiny black leather shoes, and his hair was combed meticulously.

This man's face gave off a sharp and sinister feeling, and Eric could detect cunning in his eyes. In short, he looked like a very authentic businessman.

Avi Arad, on the other hand, has a full beard and a beard as long as a finger.

Wearing a sports half-sleeve and casual shoes with a Captain America pattern printed on the shoes, he looks less like a company executive and more like an old otaku.

"Hello Mr. Cooper, it's an honor to meet you."

"Hello, Mr. Cooper."

Even the way they say hello gives people a completely different feeling.

The three of them sat down, said some nonsense to each other, and then got down to business.

Isaac Perlmutter said: "Mr. Cooper, you must know the purpose of our visit this time. It is mainly to attract investment for Marvel."

"Marvel's current development momentum is very good, and our performance has been rising steadily in the past three years."

"In recent years, Spider-Man and Blade have achieved great success in film and television adaptations. As an industry insider, you know best."

"So Marvel is preparing to restart its film and television department. We intend to start cooperation with major Hollywood companies to jointly bring superheroes to the big screen."

"Now we plan to develop Thor and Captain America, two well-known comic book characters that will be of interest to any comic book lover."

As he spoke, Isaac Perlmutter took out a financial report document and handed it to Eric. The content shown above was indeed profitable for three consecutive years.

But this thing is okay for ordinary people. It’s not like Eric is ignorant. He has also investigated the situation of Marvel in advance.

Why do you have no idea why you have made profits for three consecutive years?

That’s because it’s hit bottom. What will happen if it doesn’t rebound?

If it falls any further, it will be the eighteenth level of hell. A normal operator who doesn't mess around can make the company profitable.

So this thing has no credibility.

Eric glanced at it briefly and then threw it aside. He looked at the other party playfully: "Mr. Perlmutter, the value of this thing is far less than the S\u0026P 500 index. I think there is no need to read it."

"Let me tell you what you think. What kind of cooperation does Marvel intend to adopt? What reasons do you intend to use to persuade me to invest?"

Isaac Perlmutter was not embarrassed by Eric's words, he continued with his normal expression.

"The cooperation method we are considering is that Marvel will provide copyright and related comic knowledge support, and bear 50% of the filming and publicity costs."

"MGM will bear the other 50% of the production and distribution costs, and the filming of the film will be jointly controlled by both of us."

"The box office revenue of the movie is shared equally between our two families, and the film and television rights belong to Marvel. However, the filming of the sequel is still completed by both of us."

Before Isaac Perlmutter finished speaking, Eric was already sneering in his heart. Due to his status, he was embarrassed to roll his eyes at him.

What a bullshit proposal. According to this plan, I will no longer be working for you.

If the copyright belongs to MGM, there is still discussion on this matter, and the copyright still belongs to Marvel, then I am not a pure clown.

After laughing a few times, Eric said: "Mr. Perlmutter, you should put forward the conditions from your own position."

"Why do you make these demands? Where is your confidence? This is not ten years ago. The environment has changed."

"I think you should recognize the reality clearly. The era of comics has long since declined, and Marvel is no longer the market hegemon it once was."

"So my suggestion is to be pragmatic, otherwise this encounter will end early."

Avi Arad hurriedly explained: "Mr. Cooper, although the era of comics has passed, the era of superhero movies has just begun."

"Last summer's Spider-Man took in $500 million at the global box office, Blade 1 took in $700 million, and Blade 2 took in $500 million."

"X-Men 1 took in $200 million at the box office, and this year's X-Men 2 also took in $400 million."

"The prospects of superhero movies have been widely recognized by the market, and everyone still likes superheroes."

"So cooperation is beneficial to both parties. Thor and Captain America are no less famous than Spider-Man, and the movie will definitely get generous rewards for MGM."

"$100 million, $200 million, even over $300 million, you should really seriously consider this."

"What about the Hulk? Is the Hulk less famous than Spider-Man?" Eric asked.

After hesitating for a moment, Avi Arad replied: "Of course not. According to the questionnaire, if aliens attack the earth, people think that the Hulk will be the first to jump out to protect everyone."

"So, how do you explain the Hulk's fiasco? In June of this year, it was still a summer movie, but this movie cost Universal tens of millions of dollars."

"There are also Spawn, Punisher, Duke of Hell, etc. None of them are profitable."

"Generally speaking, the market prospects for superhero movies are not clear. Most of them still lose money, and they often invest over 100 million, which is too risky."

"Two gentlemen, I would like to ask, which one do you plan to make? What is the estimated investment?"

Avi Arad was speechless when asked back, and Isaac Perlmutter replied: "It would be best if Thor and Captain America were filmed together."

"Thor has a fantasy background, involves the Nine Realms and the World Tree, and will use a lot of special effects. The investment is expected to be US$100 million."

"Although Captain America can save a lot of special effects, it belongs to the background of World War II and will involve war scenes."

"Props, costumes, extras, scenery, etc. will be a huge expense, with an estimated investment of US$200 million."

Seeing Eric staring at him expressionlessly, Isaac Perlmutter suddenly felt a little guilty, and changed his words: "Actually, it would be okay to invest less. I think it can be shot with 100 million US dollars."

Finding that Eric's eyes were still very sharp, he changed his words and said, "It cost 80 million US dollars to shoot. We can streamline some scenes appropriately."

Avi Arad immediately became anxious: "80 million won't do it. If the movie can't produce results, it's better not to make it. We can't ruin our reputation anymore."

Isaac Perlmutter quietly hit his leg from below, signaling Avi Arad to stop talking.

It’s better to get the money first and then invest more during the filming. Isn’t it hard to find a reason?

How was Cameron's "Titanic" filmed? It’s not like it was able to get an investment of 200 million for the first time. In the end, Paramount and Fox were forced to pay.

If you don’t want to pay for it, you won’t be able to finish the photo, and you won’t care about the sunk costs? Upfront investment in vain?

The two of them are also very helpless. Marvel is too poor now, and they can only use up to 50 million US dollars in liquidity on their books.

It is simply impossible to make a superhero blockbuster with this little money.

They don't want to sell the copyright or take out a bank mortgage loan, so they can only go to major film and television companies to see if any fools will fall for it.

Eric is so young, so he should be easier to deceive than the old foxes in other companies.

"Mr. Cooper, you can actually shoot one first. MGM only needs to invest 40 million U.S. dollars, and you can get hundreds of millions of U.S. dollars in return soon."

Eric no longer intends to talk about the daydreaming attitude between the two.

He interrupted the other party directly: "Mr. Perlmutter, please stop for a moment and stop the lobbying. I have no interest in your cooperation plan."

"But I also have a plan at hand, are you willing to listen to it?"

The two were stunned for a moment, then nodded.

"As a businessman, we are all about money and profit, but Marvel's development has been very sluggish in the past few years, so you have not made any money."

"Now that we see the development of superhero movies, we want to get a share of the pie, but we don't have the funds, and we can't afford any risks, so we have to find other people to cooperate, right?"

Isaac Perlmutter nodded slightly, while Avi Arad remained silent.

"If you want to make money but don't want to take risks, there is no such a good deal in the world, so I will give you a suggestion."

"Sell your shares to me and I can buy them at a premium. You cash out and leave. Each of you gets hundreds of millions of dollars to go back to Beechcraft Toys and continue to be a senior executive."

"As for the hot potato of Marvel, just leave it to MGM. After all, you haven't been able to play it for several years. This can only mean two things."

"First, Marvel has long been unable to adapt to the market environment, and second, you are simply incapable of managing it well."

"Instead of continuing to have a big tail, it's better to give it to me as soon as possible. It's a good thing to get rid of this burden, isn't it?"

"As for the risk, MGM will bear it alone. Whether it is made into Spider-Man or the Incredible Hulk, that is all my business."

"Think about it, it's sound advice."

After Eric finished speaking, the two looked at each other.

They were here to attract investment, but why did they suddenly become acquired? The script was wrong.

But after thinking about it, I found that the proposal was still very tempting, especially since Eric said he was willing to pay a premium.

If you are willing to give more, it is not impossible to consider.

After a long silence, Eric was about to see off the guests. Isaac Perlmutter suddenly said: "Mr. Cooper, I want to ask a question, is MGM planning to re-list?"

"That's for sure, what's wrong?"

"So my guess is that the re-launch will be after Transformers comes out, right?"

Eric did not deny that MGM had submitted relevant materials, and if you inquired from within, you could find them.

"Almost, I have this plan."

"Mr. Cooper, then I also have an idea. I hope to exchange my Marvel equity with your MGM equity."

Eric was shocked. He had just proposed the acquisition, and the other party made a replacement. As expected, he was a businessman, and his sense of smell was really keen.

"Mr. Perlmutter, do you want to exchange your equity in MGM and then cash out when it goes public?"

"Yes, this is an idea, and I am very optimistic about the future development trend of MGM."

"Mr. Cooper, since you took over MGM, this lion seems to have regained its vitality. Every movie and every project is making money."

"This kind of rate of return and accuracy is simply terrifying. I believe that under your leadership, MGM will regain the glory of the last century and become the first of the seven major film and television companies."

"So if we carry out equity swap, I also plan to hold MGM shares for a long time and obtain a stable income."

"But when it comes to re-listing, once major institutions participate, I'm afraid I won't even be able to get 1% of the share with my own strength."

"So this is also a good opportunity. Forget about acquisition, the only way I can accept is equity swap."

Eric looked at Avi Arad, but unexpectedly the latter refused very decisively.

"I will never sell Marvel's shares. I love comics. These superheroes are like my friends and my children."

"I can accept cooperation in making movies, but it is absolutely impossible for me to sell my child!"

After saying that, he stood up and left directly, walking out of the office without any hesitation.

Isaac Perlmutter stretched out his hand to hold him, but the other party shook his hand and broke away, not caring about his companion at all.

"Sorry Mr. Cooper, Avi is just an old nerd. He has the most affection for those comics and toys."

"But ignore him, I don't have that deep affection for Marvel. Let's continue talking about the equity swap."

Eric took a sip of water and moistened his throat.

"Mr. Perlmutter, you personally only hold 17% of Marvel's shares. Even if it is exchanged, I am not Marvel's largest shareholder, so it is meaningless."

"So replacement is not out of the question, but the prerequisite is that you have to deal with your companions."

"What I want is the shares from you two. Contact me after you complete this matter."