Chapter 605: Acquisition of Universal and AMC Cinemas
After the two sides reached an agreement on the sale of Blizzard Entertainment, the negotiation team of the two sides grinded on the details for another week and finally finalized the acquisition plan.
Li Lin bought Vivendi's gaming division in a $7.9 billion package.
Vivendi's game department is a division that integrates a series of game studios such as Blizzard and Xueleshan, but thanks to Vivendi's chaotic business direction, the role of this game department is almost equal to zero, at least a series of studios such as Blizzard are essentially independent.
If Li Lin does not acquire Vivendi's game division, then in a few months, Activision will merge with Vivendi's game division, and spin away from Vivendi to become an independent Activision Blizzard.
But Li Lin came, so naturally he didn't have anything to do.
In Vivendi's eyes, Activision, the second in the gaming industry, is nothing, can you expect a large group with an annual loss of nearly $20 billion to value an Activision with total assets of just over $10 billion?
Their one-year losses alone are enough to eat Activision.
If it weren't for Li Lin's fierce play with Sony before, which made him famous in this circle, Vivendi would not have paid so much attention to Li Lin.
You must know that Vivendi's arrogance is not inferior to Sony, and in terms of slowness, it is even more Sony.
If there was no Li Lin, Activision could naturally take advantage of Vivendi's desire to sell Blizzard but no one took over at its own expense, merging Vivendi's game division to confront EA, but now that Li Lin is holding the money in his hand and acquiring Blizzard, Activision's wishful thinking will naturally not work.
However, at Li Lin's request. Vivendi did not immediately announce the sale of Vivendi's game division to Li Lin, they only notified the following responsible persons, but remained silent.
And Li Lin took advantage of this opportunity. Came to the United States to meet Wells Fargo.
The acquisition of Blizzard is because Blizzard Entertainment belongs to the French company Vivendi and has no half-dime relationship with the US Foreign Capital Management Commission, but to acquire Universal and the vital AMC Cinemas, it is impossible to bypass the US Foreign Capital Management Commission.
Whether it's Coca-Cola or AMC, it's a standard American company. The latter has a special position in the United States, at least for entertainment companies, and wants to buy AMC Cinemas. It is no less difficult than the acquisition of American television stations by foreign capital.
In Li Lin's previous life, Time Warner played a great role in Wanda's acquisition of AMC Cinemas.
Therefore, Li Lin also needs the help of others, and Wells Fargo, a local bank in the United States, has become the first choice.
"It's not hard to buy Universal Pictures. As far as I know. Coca-Cola has long had the idea of getting rid of Universal Films, but the acquisition of AMC Cinemas, Lee, you should understand that in the United States, production companies are not allowed to directly control theaters, and the antitrust law has always been in operation in the United States, even if many people are discussing this bill. โ
Wells Fargo President Peter Brown. Dulac said embarrassedly.
"If it weren't for the acquisition of AMC Cinemas, it would have been more difficult. I don't need to find you. Li Lin said with a smile: "As far as I know, Wells Fargo is very good at matchmaking. For example, when Murdoch entered the United States, you Wells Fargo contributed a lot, and now I have acquired AMC Cinemas, shouldn't you feel happy? โ
"Because it means you're going to get a lot of money to pay."
Li Lin hinted that his remuneration was definitely not expensive.
With Li Lin's hint, Peter. Dulac is not dwelling on the difficulty, joking, this business of their Wells Fargo Bank is to help others solve problems, if it is not difficult, what do others ask them to do.
"It's not difficult to level the U.S. Foreign Capital Management Commission, and it's not difficult to level the U.S. antitrust department, the only thing that is difficult is how to negotiate with AMC Cinemas, Li, you should understand that although the business situation of AMC Cinemas is not very good, it is not too difficult, and they have a surplus every year."
American cinemas are different from Huaxia.
They don't make huge profits, because the majority of the box office is taken away by film and television production companies, but there is a long stream, as long as the market is good, no matter which film and television production company in Hollywood dominates, they will not make less money.
This is the way of a long stream.
"But that's in the past, isn't it?" Li Lin chuckled, "The subprime mortgage crisis is getting worse and worse, and it may turn into an economic crisis at any time, and as far as I know, major Hollywood film and television companies have quietly terminated many big projects, and this year, I am afraid that the days of the theater chain will be very difficult." โ
Hollywood filming funds come from banks and funds, and under the subprime mortgage crisis, banks will not provide funds to Hollywood film companies at all, as for Hollywood film companies to shoot their own films, can you expect a film company with a market value of only 2 billion yuan and a liquidity of only 200 million yuan to invest 1 billion dollars to shoot movies by itself?
Therefore, Hollywood's large-scale production will be sharply reduced this year, and even next year's large-scale production will be sharply reduced, and the loss of large-scale production will bring about a decline in the overall market, it is foreseeable that this year and next year, American film companies and theaters will not have a good time, and it may even be the same the year after next.
The economic crisis will not pass for a day, and it is a dream for the American film industry to prosper, even if you know that in the economic crisis, the box office of the movie is exceptionally high, but there is a lack of input, where will the output come from?
And Li Lin knows better that the conflict between the Hollywood Screenwriters Guild and Hollywood studios is about to erupt, and by that time, most of Hollywood's film productions will be suspended.
At that time, the American theater chain will have a really hard time.
Cinemas and film companies are different, the film companies are suspended, and they lose hundreds of thousands of dollars at most every day, which is only a million dollars in a month, and once the theater chain is suspended, the loss will be large, and the reason why the screenwriters' union was able to achieve the final victory of the war is inseparable from the pressure exerted by the American theater chain on Hollywood film companies.
"In that case, we have taken this order."
Over the next few months, Wells Fargo folks went from place to place.
In October 07, the subprime mortgage crisis in the United States finally brewed to the extreme, and the economic crisis broke out, first of all, endless layoffs, many people do not know why good companies suddenly broke the capital chain and collapsed, why their credit cards suddenly ran out of money.
However, when the President of the United States personally held a press conference to announce the official arrival of the crisis of the entire national economy, they suddenly realized that the economic crisis had arrived.
All of a sudden, they panicked.
Stocks are falling endlessly, the market is falling endlessly, Americans have run out of money, they can't afford to spend, all corporate performance has declined, and the whole United States is in mourning.
Affected by this, the American entertainment companies led by Time Warner announced layoffs in an all-round way, and thousands of people were kicked out of the company by the American Hollywood giants.
If it were just that, it wouldn't cause much turmoil, but then Hollywood studios announced a reduction in investment, which immediately caused panic in Hollywood.
The crew was disbanded, the director didn't work, the screenwriter didn't work, the artists didn't work, the crew didn't work, and everyone drank the northwest wind.
At this time, the Gold Group held a press conference to announce the overall acquisition of Vivendi's game division, Universal Pictures, and AMC Cinemas for $13 billion, which immediately shocked the entire United States.
This is the largest acquisition since the outbreak of the subprime mortgage crisis, with a total amount of $13 billion, involving companies such as Blizzard, the pride of the American game industry, Universal Pictures, the second largest theater chain in the United States, and AMC Theaters, the second largest theater chain in the United States.
That's pretty much devouring several giants of the American entertainment industry.
And the gold medal group that devoured them will become one of the global entertainment giants.
A new upstart in the entertainment industry has emerged, and perhaps a new consortium will be born from it.
At the same time, at the press conference, Li Lin announced the split of the Gold Group.
"The members of the distribution department of Vivendi's game department will be merged with the distribution department of Gold Games to form a separate subsidiary, Gold Games Publishing Company, and the other game production groups will remain unchanged, and all games will be unified to Gold Games Publishing Company in the future."
Li Lin directly took away the operation rights of Blizzard.
Li Lin remembers that in Li Lin's previous life, Blizzard and Activision spent money to redeem themselves from Vivendi, which was an independent embodiment for game fans, but for Li Lin, it was an act of betrayal.
Therefore, the first thing Li Lin did after acquiring the Vivendi game division as a whole was to take back the operation rights from Blizzard.
If Blizzard doesn't want to, you can, please redeem yourself, but who will redeem yourself for Blizzard?
Activision? Or EA? It's impossible, now that the economic crisis is coming, global companies are trembling, carefully reserving funds to survive this winter, who will spend money to redeem Blizzard? The brain show is funny.
"The distribution department of Universal Pictures was split from Universal Pictures, and the distribution department of Gold Medal Film and Television Productions, as well as the distribution department of Gold Medal Cinemas and AMC Cinemas, were merged to form Gold Medal - Universal Distribution Company."
Splitting up the world is a completely helpless move.
Because the U.S. Antitrust Act stipulates that companies are not allowed to own theaters, although Wells Fargo has leveled the U.S. antitrust department for Li Lin, this is a time bomb, and he doesn't know when he will hurt himself, so Li Lin directly split the distribution department of Universal and merged it into the gold medal - Global Distribution Company.
Once established, Gold Medal Global Distribution Company immediately became the world's largest and most complete distribution company and the world's largest cinema distribution company, ranking first among all distribution companies.
"The Gold Medal Film and Television Company was merged into the Universal Film Company after the demise, and the Universal-Gold Film and Television Company was established, and the newly established company will become a production company."
Since then, Universal Pictures has disappeared from the Hollywood giants, and only the Gold Group has been found.
"At the same time, Universal-Gold Film and Television Production Company will produce "Jurassic Park 4", "World of Warcraft 2: War of the Old Gods", "Diablo 2: The King of Ruined Miรจ", "Imposter 2", "Fast and Furious 4", "The Incredible Hulk", "Silent Hill 2", "The Mummy 3: Tomb of the Dragon Emperor". (To be continued......)