Chapter 296: A round of entanglement

The next day, Songya drove to Calabasas, located in the southwest corner of the San Fernando Valley.

After getting his $250,000 investment, Terry Bilder moved DTS from the garage to a formal office location, but of course the office conditions were still not good.

"Delay, Alicia."

Song Ya didn't rush to see Terry Bilder, but first met with DeLay and Alicia, who were in charge of the negotiations, at a nearby café, "Do you know why Terry is coming to meet with me?" He asked, shaking hands.

DeLay shook his head, "At the moment, the disagreement between the two of them should still be the share transfer and valuation, we have no say in this matter, and you have explained, don't be too active to offend David Geffen and Spielberg." ”

Alicia pointed out that "Terry Bilder was clearly unwilling to give up 51 percent of the controlling stake in Series A, and Spielberg insisted that one person should take 20 percent, and that's basically the difference." Because everyone knows that A-list singers are not short of money after the album sells, you are still a deterrent, and Terry is more likely to want to unite with you to force Spielberg and others to accept the company's high valuation. Because if they force you to take more dilutions, everyone is afraid that at this critical juncture, a seventeen-year-old African-American hip-hop singer with a lot of cash in his hands will not play his cards according to common sense. ”

She took a sip of coffee, then smiled and pointed to the paparazzi who were stopped outside the café by Old Mike and others.

"It seems that this identity can bring some benefits, huh?"

Song Ya said with a smile. The paparazzi had come all the way from Hollywood, but by the time they found out that their target was not the San Fernando Valley (Erotic Film Center), they had already left in disappointment, "I'm not going to lose my reason, and I'm not going to help Terry Beard, although we do have some common interests, but today is June 20th......"

Spielberg is a key figure, and time is running out for him now, not only because Jurassic Park opened in August, but also because Dolby's surround sound was a big success after Batman's return yesterday, and Universal Pictures will turn its attention to theatrical surround sound technology no matter how sluggish it is.

What if Spielberg doesn't want to wait any longer? In a fit of rage, he went to work with another company with similar patents, and Songya and Terry Bilder were dumbfounded.

A+ Audio's 250,000 angel investment was exchanged for 20% of DTS's shares, which means that both parties agreed that DTS was worth 1.25 million at that time, and since the A round could attract three Hollywood powerhouses, the company's valuation would have to go at least more than 20 million, but Spielberg wouldn't do it, he had the resources in his hands.

Song Ya and Terry Beard of course want DTS to have a higher valuation and fewer diluted shares, but they don't want to let Spielberg go, before Jurassic Park is released next year, Universal will definitely transform hundreds of theater sound systems in accordance with DTS surround sound technology on a large scale, then DTS is almost equivalent to tying Universal and the warship of Panasonic behind it, and if Universal's movies continue to use this set of standards, DTS is estimated to be not far from listing.

It's big business, and it's hard to find the right balance in the game.

"Universal, like Columbia Pictures, is a bit chaotic under the management of the sub-management, starring the husband and wife of Liangtang last month, with a production cost of 60 million yuan, and now the box office in North America has not exceeded 40 million......"

DeLay said: "Universal is likely to turn a blind eye, they need Spielberg's Jurassic Park and another World War II film to help them turn over next year, Jurassic Park's production company Amperin Entertainment is the boss of Spielberg, he has the final say on what technology to use, and when the time comes to take out the finished film, will Universal not obediently upgrade the theater equipment?" ”

Song Ya thought about it.

The trio leave the café and meet in Terry Beard's small office.

"Sony has SDDS, Warner uses Dolby, if the Series A valuation doesn't satisfy me, I'll go straight to Universal Pictures, Paramount......"

Terry Bilder is not the kind of engineer who doesn't listen to anything outside the window, in fact, he took the initiative to find Spielberg, and after he got Song Ya's angel investment, he made a simple surround sound effect demo for Spielberg's old film third type contact, trying to impress the other party.

After David Geffen found him, he had a premonition that his company was about to take off, and he talked to David Geffen a few times without telling Song Ya, an angel investor, and decisively replaced the lawyer and manager halfway, and hired someone who was more famous and better at business negotiations.

"So what do you want me to do?" Whoever he went to had nothing to do with Song Ya, and his relevant interests were well protected when he signed the angel investment contract.

"Would you like to help us?" Terry Beard's lawyer asked, "It's in our best interest to pump up the company's valuation." ”

"Impossible."

Song Ya glanced at Terry Beard, this guy should have been under a lot of pressure recently, his spirit was lethargic, and his hair seemed to be thinning a little.

He would not easily reveal his position, so he did not persuade the other party from a commercial point of view, "I have consulted some Hollywood people these days, and the SDDS used by Sony and the Dolby technology used by Warner can both save the audio information in 2D on the 35mm negative, while DTS can only leave a very simple timecode on the negative for synchronization, and the real audio file is recorded in digital format on another CD." I don't know about the deeper technology, but I guess this implementation shouldn't be as powerful as the first two, right? ”

"You're wrong, Dolby stores them in a way that's more susceptible to film wear and degradation, and I'm more secure and larger than I can store digitally." Terry Bild is confident.

"But the investment in cinema equipment will also be larger, right? After all, there is one more system. ”

"Uh, yes."

Song Ya had been patiently chatting with him about technical issues, and Terry Bilder finally couldn't stand it anymore and motioned to the lawyer to tell him the truth about his real goal.

"The last time we had a conversation with Spielberg's negotiator, Catherine, fell apart, so I want you to help us turn around and get him back to the table." The lawyer said.

"That woman is too strong." Terry Bild grunted.

"That's fine, I like to do the middleman the most." Song Ya shrugged, "So do you have a plan in mind for the valuation of the A round of companies?" ”

"Fifteen million, but we're only going to sell another 20 percent of the shares." The lawyer said.

"Okay, I'll tell you when I get a chance." Song Ya got up and shook hands and said goodbye.

Twenty percent couldn't satisfy Spielberg and the three of them, and the other party was actually hinting that they had tacitly accepted the equity dilution, but Song Ya still didn't give any indication or asked what their previous bid was, and left directly.

"If the valuation is 15 million transactions, then our previous investment of 250,000 dollars will increase tenfold."

DeLay is very happy that 20% of DTS's equity is in the hands of A+ Audio, and this unexpected joy will make the small A+ Audio Company profitable for many years without any problems, so he will get the equity reward promised by Song Ya is also very stable.

Song Ya didn't expect this, if Delai remained profitable for five years, he would take 15% of A+ audio, and the value of DTS in this business will be higher and higher, which is a lot of money. He hesitated in his heart, but he still forgot it, after all, he was also an old brother who had been with him for a long time.

Song Ya quickly conveyed the news to David Geffen.

David Geffen asks about the situation and tells him that tomorrow Spielberg's negotiator, Catherine, will be looking for him on the studio, a woman who is Spielberg's assistant and has now become president of Amperin Entertainment.

And tomorrow Beautiful Girls' MV will officially start filming.