New Universal's acquisition and leasing of film and television copyrights everywhere in Hollywood has spread in the industry.

Some small film companies have films that are directly bought out!

Big studios, such as Warner Bros., sign a long-term loan.

Warner's film is on a 20-year long-term contract, with an annual rental cost of $20 million. Recently, Kevin Turner is actively approaching Twentieth Century Fox to lease the online streaming rights of his films for 25 years for $12 million a year.

It can be seen that Tang En is very optimistic about the future of the Internet and dares to invest heavily.

Everybody is smart.

Tang En didn't need to hide it, and said lightly: "Why, Mr. Burke is also optimistic about the film market on the Internet?"

"You can call me Steve. Steve Burke replied with a smile, and then said, "Not only that, but in fact...... Comcast is interested in expanding into the telecom operations market. ”

Comcast's TV operation market is close to saturation, and if you want to find new profit points, there are three main directions: telecom operations, mobile operations, and film and television entertainment.

Tang En figured out the truth and said in surprise: "You want to use the online on-demand of movies to promote Comcast's telecom operation industry?"

Steve Burke said, "Channels drive the sale of content, and content drives channel expansion. Isn't Universal International Distribution's ability to quickly open up distribution channels around the world by relying on Harry Potter and the Philosopher's Stone?"

Don smiled, and by this time, Martin Scorsese had already left in amusement.

The two came to a corner, and Don said with a smile: "It seems that Comcast is determined to win MGM?"

"MGM has a coveted library, and isn't all of Hollywood bidding for MGM?" said Steve Burke.

Donn nodded, "Let's talk about it, how does Comcast want to work together?"

Steve Burke laughed, "Comcast has no interest in managing MGM, and of course, is not capable of managing it. We just want the web on-demand rights. ”

Don was very dissatisfied, "Steve, I'm still in a hurry, it's better to be more direct!"

Steve Burke whispered: "Sony Entertainment contacted Comcast and wanted to cooperate, take the lead in establishing a MGM holding company, bring in several Wall Street foundations, and buy MGM on leverage!"

When Don heard this, his face changed greatly!

If that's the case, Sony will definitely raise MGM to a very high price!

In Hollywood, MGM is generally valued at between $3 billion and $3.5 billion.

This certainly did not satisfy Kirk Corkerian's appetite.

However, MGM's current market is worth this price.

Warner Bros. and Paramount want to buy MGM, not to lead MGM back to life after the acquisition, but to shut down MGM Pictures directly!

In their opinion, MGM was hopeless, and there was no need to continue its business.

It would be nice to shut down all departments, fire all employees, sell all heavy assets, and leave only a huge film library.

Such an operation, of course, the price will not be too high.

But Sony is different.

Sony acquired MGM in order to gain access to a huge library of videos to promote Sony's Blu-ray discs!

This is not a trivial matter in the film industry, but it is related to the macro strategy of Sony Group!

The same is true of Comcast.

They acquired MGM, not for the sake of MGM, a crippled film company, but to promote online on-demand through the MGM film library, so as to drive Comcast's telecommunications operations.

This bizarre "goal" has nothing to do with the concepts of Time Warner, Disney, Viacom, and General Electric.

Naturally, they can offer a sky-high price that can satisfy Cork Corkerian's appetite!

In the previous life, Sony took the lead in the name of the holding company and spent $4.8 billion to acquire MGM!

Of that amount, $3 billion is cash and $1.8 billion is the burden of MGM debt.

But Sony is too busy to take care of itself, can he come up with so much money?

Of course not.

In this deal, Sony actually spent only $300 million to get control of MGM.

Specifically, Sony invested $300 million, accounting for 20 percent, Comcast invested $300 million, accounting for 20 percent, Providence Equity Partners invested $435 million, accounting for 29 percent, and Texas Pacific Capital Fund invested $315 million, accounting for 21 percent. DLJ Commodity Bank Partners invested US$105 million, or 7%, and Sifang Group invested US$45 million, or 3%.

The remaining $1.5 billion in cash was borrowed from more than 20 Wall Street banks against future MGM assets.

With such a wave of operations, Sony spent the least price to get control of MGM, allowing Sony to control more than 7,600 movies!

You must know that the total stock of Hollywood movies is only 16,000. (There are hundreds of thousands of movies in the United States, most of which are not Hollywood films, such as B-grade films, adult films, imported films, TV movies, and so on.) ）

With this acquisition, Sony is beautiful, and they control nearly 50% of Hollywood's film sources, providing the most favorable guarantee for the development of Blu-ray discs;

Comcast is beautiful, they cooperated with Sony, got a huge source of films, and provided help for telecom operations through Internet on-demand business;

Kirk Corkerian is also beautiful, he sold MGM for a good price and made a lot of money!

However, MGM is a miserable company.

Counting the $1.8 billion originally responsible for and the $1.5 billion in leveraged buyout liabilities, the total debt has reached $3.3 billion!

With MGM's operating ability, how many years can it survive with such a large debt pressure?

Can interest be paid?

In fact, it is true, and in 2009, MGM could no longer support it and declared bankruptcy.

Sony's $300 million was lost, but Sony Pictures released two "007" movies, and it has already made money back, not to mention Blu-ray discs, which completely beat HD-DVD.

Comcast's $300 million was also lost, but it was also made up for by video-on-demand and telecom operations industries.

The worst thing is Wall Street, their investments, loans, all gone!

This kind of leveraged buyout in the form of a holding company is very tricky.

It also made a mess of Hollywood's investment environment.

Since then, Wall Street's money has shrunk rapidly, and Hollywood has seen a lot of Middle Eastern and Asian investors.

Either way, Donn didn't want MGM to fall into Sony's hands again.

Although, he is also not optimistic about the prospects of running MGM.

"Comcast prefers to work with New Universal. ”

Steve Burke's words seemed to reassure Done.

"Oh?" Donn smiled, "You must be asking for a lot, right?"

Steve Burke said: "It's actually quite simple, as I said, Comcast needs content to grow the VOD business and drive the telecom operations industry. ”

"As long as the on-demand revenue share is reasonable, there is no problem!"

A good thing to send to the door, of course, Don will not refuse.

The online VOD service refers to the on-demand broadcast of a single movie, such as "Spider-Man", which costs $5.99, "A Beautiful Mind", which costs $2.99, and "Chainsaw", which costs $1.99.

Streaming media service refers to the monthly membership model. For example, as long as you spend $10 to open a membership, you can watch movies such as "Spider-Man" and "A Beautiful Mind" for free.

The general direction of the future must be streaming media.

But there is no contradiction between the two, and the competition is very weak.

As long as Comcast gives money, Donn doesn't mind cooperating.

In the previous life, a big reason why Sony was able to take the lead and form a huge international consortium to acquire MGM was to bring in Comcast as an ally.

Comcast's development is too good, it is an emerging nouveau riche, and once wanted to buy Disney, which shows how rich it is.

If Don and Comcast cooperate, cut off Comcast and Sony.

So Sony, what qualifications can convince Wall Street?

Just Sony's terrible stock price?

Steve Burke laughed: "Back then, Sony's acquisition of Columbia Pictures shocked the whole United States. If it weren't for the last resort, we wouldn't want MGM to fall into the hands of the sun/me again. ”

That's nonsense.

Forced?

The truth should be that they are not willing to cooperate with Sony and invest in MGM's hot potato unless they are forced to do so.

How good is it to work with New Global?

Long-term, stable, low pressure.

Even if the share of online VOD is siphoned off, it is better than spending hundreds of millions of dollars at once.

At the end of the day, Comcaster isn't bullish on MGM's acquisition.

Tang En said lightly: "Don't worry, as long as Comcast doesn't help the abuse, MGM must belong to New Universal!"

He has the confidence to do so!

He even figured out that he was willing to offer more than $4 billion in order to impress the old bastard Kirk Corkerian.

Neither Time Warner, General Electric, nor Lionsgate could offer such a price.

He also did not want to stretch the negotiating front for a year or two.

Sooner rather than later!

At this time, Nicole Kidman walked by him lightly, and when she saw that he was busy, she quickly squeezed her eyes and gestured: "I'll go first!"

Don's eyes lit up, and his heart became hot at once, and he waved to her.

"Donn?"

"Huh, what's wrong?"

Steve Burke smiled, "Over the past few years, Comcast has gone in the wrong direction and focused too much on Viacom. But now Mr. Chairman has seen the situation clearly, compared with Viacom, New Universal represents the future of film and television entertainment. ”

"Oh, thank you, Mr. Roberts, for your attention. Don's expression was indifferent.

Steve Burke said: "Actually, New Universal and Comcast have a big foundation for cooperation, such as the STA television network, such as the MGM acquisition, right?"

Tang En thought for a while, and muttered: "Well, the operation of the TV network can continue to be handed over to Comcast in the future, of course, it is impossible to be an exclusive operation anymore." ”

"It's nature!"

Steve Burke breathed a sigh of relief, his face pleasant.

Please remember that the first domain name of this book is:. Nine Heavenly God Emperor mobile version reading website: