The Best Entertainment Era

Since Robert Iger and Emile Marin reached an agreement on the most critical quotation issue, the negotiations between Relativity Entertainment and Artisan Pictures quickly entered the fast lane. After a seesaw-like negotiation, the two parties signed a formal acquisition agreement.

Relativity Entertainment fully acquired Artisan Films for US$370 million, and paid in three installments within two months!

In fact, Relativity Entertainment itself does not need much funds. According to the agreement reached with DreamWorks, it only needs to pay 35% of it, which is 129.5 million US dollars.

The remaining $240.5 million will be raised by DreamWorks.

After the completion of the acquisition, Relativity Entertainment quickly divested the copyright of the film library and script library, and began to prepare to hand over other businesses to DreamWorks.

To that credit, Ronan and Relativity Entertainment are well-known in the industry.

Although it won't take long for DreamWorks to get the global distribution business that Spielberg dreamed of, life is not easy. The huge amount of funds raised makes DreamWorks have to tighten its belt in the next operation.

Fortunately, DreamWorks is not very good, but Spielberg has an excellent personal reputation, otherwise even the loan would be a problem.

In addition, DreamWorks voluntarily gave up the North American distribution business of DreamWorks Animation Studios. After the tripartite talks between Embassy Pictures, DreamWorks and DreamWorks, Embassy Pictures officially became the North American distributor of DreamWorks Animation Studios.

Since Embassy Pictures has been doing overseas distribution for DreamWorks Animation Studios before, this means that Embassy Pictures will serve as the global distributor of DreamWorks Animation Studios for some time to come.

For example, the two animated feature films Shark Gang and Shrek 2 released this year will also be distributed by Embassy Pictures in North America and overseas.

Relativity Entertainment successfully obtained the copyrights of nearly 7,000 films, and finally established a film library in a real sense.

With the same film library resources, these nearly 7,000 films can only bring in more than 12 million US dollars in annual revenue in the hands of Artisan Pictures, but on the platform of Relativity Entertainment, doubling it should not be too easy.

The operation of movies is not only related to quality, but the platform is a more critical factor.

Not to mention anything else, Netflix has nearly one-third more film licenses.

As for the distribution business of DreamWorks Animation Studio, there is no need to say more about Shrek 2.

North America alone can make a lot of money for distributors, and there will be films such as Madagascar later.

The 400 million US dollars prepared by Relativity Entertainment only cost a small part. Ronan thought of the Death Star Building where the post-production studio of Shahai Entertainment is located, and asked people to contact the owner of the property, planning to buy out the property rights of the building at one time. , the headquarters of Embassy Pictures and Sandsea Entertainment.

The scale of this building is not too large, but it is not smaller than the Fox Tower, which is also located in Century City. It is expected that the transaction price will be more than 200 million US dollars.

As the scale of Relativity Entertainment expanded, a corresponding headquarters building was also needed.

The newly completed Death Star Building can be said to be a good choice. If it can be obtained, it will naturally be renamed the Relativity Building.

Relativity Entertainment won Artisan Pictures, but Lionsgate Pictures did not die down. Frank Gusta's eyes turned to Summit Entertainment.

Compared with Artisan Films, Summit Entertainment is much worse. Founded in 1993 and headquartered in Santa Monica, California, this company can be regarded as a medium-sized independent film production company in Hollywood. At present, the most famous film under the company is American Pie series.

But the copyright of this series belongs to Universal Pictures.

As soon as Lionsgate Films got in touch with Summit Entertainment, Ronan asked Robert Iger to follow up. It was not to compete with Lionsgate Films, but Summit Entertainment also had a film library. If they were willing to sell, Relativity Entertainment would certainly buy it.

As soon as Relativity Entertainment made a move, Frank Gusta came over to pay a visit in person.

Due to Robert Iger's business trip, Ronan personally received Frank Gust.

Congratulations, Ronan. Frank Gusta said with a smile: The scale of Relativity Entertainment has expanded again.

Ronan had no friendship with him, so he said calmly, Thank you.

Frank Gusta glanced at Ronan, even though the other party might not be half his age, he didn't dare to underestimate him at all, and felt a little bit regretful.

But he didn't come here to regret it, and said: Relativity Entertainment got Artisan Pictures, it will take a while to digest it? Why did you suddenly focus on Summit Entertainment again?

Regarding Lionsgate, Ronan heard what Robert Iger said, and he didn't bother to go around in circles at this time, and said directly: Relativity Entertainment needs to build a film library, and Summit Entertainment has thousands of film copyrights, which is what Relativity Entertainment urgently needs. .”

The production and distribution business of Summit Entertainment is currently far inferior to that of Artisan Films. Relativity Entertainment has no interest at all, and all they want is the film library.

Frank Gusta said without warning: We can jointly acquire Summit Entertainment.

Ronan glanced at Frank Gusta and said, You can talk to Robert Iger about this matter.

Frank Gusta had previously rejected Robert Iger, but now he came to him on his own initiative, and of course Robert Iger had to have a good talk with him.

Frank Gusta said: When Bob comes back, I will contact him.

Relative to the fact that Entertainment is playing sideways, Lionsgate may not be able to acquire Summit Entertainment at a low price.

Ronan had already stood far higher than Lionsgate, smiled and said, I guess Bob will be back in Los Angeles next week.

Frank Gusta also smiled back, and changed the topic to another matter: Ronan, I remember Bob said that the reason why Relativity Entertainment acquired Artisan Pictures was because of the copyright of the film library, but Artisan Pictures The business is not only the copyright of the film library, but also other businesses.”

Although it is a bit embarrassing to say it now, this small matter of face will not cause any problems in front of the company's future: May I take the liberty to ask, what do you plan to do with the other businesses of Artisan Pictures?

The agreement signed between Relativity Entertainment and DreamWorks has not been publicized, and the relevant asset divestiture and business handover have just begun, and most people outside are not very clear about it.

Ronan understood what Frank Gusta meant, and asked, Is Lionsgate interested in this part of the business?

Frank Gusta smiled, and there was no embarrassment in his smile, let alone embarrassment: This part of the business seems to overlap with Relativity Entertainment's existing business. If Relativity Entertainment doesn't need it, can it be transferred to Lionsgate? Of course, Lionsgate will definitely give a satisfactory price, so that Relativity Entertainment can not only get the film library, but also convert the excess business into funds, a win-win situation for Lionsgate and Relativity.”

This is beautifully said, as if the rejection of Robert Iger's cooperation never happened.

Ronan said lightly: Actually, Relativity Entertainment also plans this way. We are divesting personnel and business other than the copyright of the film library...

Frank Gust's heart was moved, and he felt as if he was in heaven. Before Ronan finished speaking, he rushed to say: Lionsgate is willing to pay 200 million US dollars to buy this part of the business.

Listen to me, okay? Ronan continued: Relativity Entertainment has reached an agreement with DreamWorks to package and sell it to DreamWorks.

Frank Gusta fell from heaven to hell in an instant, and couldn't help saying: Sold to DreamWorks?

Ronan smiled and said, The agreement has been signed.

Frank Gusta's heart was icy cold. This time he gave up his face and came here for nothing?

But how long did it take for Relativity Entertainment and Artisan Pictures to reach a transfer agreement?

Frank Gusta did not give up, and tried his best to fight: Ronan, how much is DreamWorks' bid? Lionsgate can offer a higher price than DreamWorks! Ten percent more! No, fifteen percent!

Ronan shook his head and emphasized: Relativity Entertainment has signed a formal agreement with DreamWorks.

Frank Gusta followed up and said: Lionsgate can afford liquidated damages.

Ronan said slowly but firmly: The Theory of Relativity Entertainment pays attention to credibility, and we will not break our promise.

Frank Gusta also said that Ronan raised his hand and interrupted him: That's it, Mr. Gusta, there is no need to talk about this matter, if you want to talk to Relativity Entertainment about the cooperative acquisition of Summit For entertainment matters, please contact Bob when he comes back.

Seeing that Ronan's attitude was so firm, Frank Gusta stopped talking, and after a few polite words, he left Relativity Entertainment.

On the way back to the car, he felt a little regretful. He had cooperated with Robert Iger if he knew it earlier!

The film library is very important, and the distribution channel is also very important! At that time, I thought about taking them all, but I got nothing.

There's no way Lionsgate could grow big without distribution capabilities, just look at Spielberg's DreamWorks.

Frank Gusta suddenly had a feeling that because of temporary greed, he might have missed the last chance of Lionsgate.

But it's no use regretting.

Frank Gusta took out his mobile phone, found Robert Iger's number, dialed it, and when it was connected, he said with an unusually hearty smile: Bob, it's me, Frank. When are you going back to Los Angeles? I Please go play golf...

Hanging up the phone, Frank Gusta realized that it would be difficult for Lionsgate to catch up with Relativity Entertainment.

The business handover between DreamWorks and Relativity Entertainment has already begun. Although it is troublesome to check and evaluate assets, sort out distribution channels, and appease the original staff, Spielberg seems to be 20 years younger. He is full of energy every day, and he is gone. That feeling of back pain and leg cramps.

Artisan Pictures was originally a company that was operating normally. Spielberg is confident that within six months, the resources of Artisan will be initially digested, and then DreamWorks will be able to release films in most film markets around the world.

Most importantly, DreamWorks has the confidence to face Paramount Pictures.

Spielberg quickly communicated with the Korean side that the global distribution business was about to be established, which also appeased the Korean shareholders.

Then, it was Shirley Lansing who came to the door.