Chapter 572: Not giving up

As Robert Iger and Emile Marin reached an agreement on the most critical quotation issue, the negotiation 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 acquired Artisan Pictures for US$370 million and paid in three installments within two months!
In fact, Relativity Entertainment itself does not require much funding. According to the agreement reached with DreamWorks, it only needs to pay 35% of it, which is $129.5 million.
DreamWorks is responsible for financing the remaining USD 240.5 million.
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.
Ronan and Relativity Entertainment are well-known in the industry for their credibility.
Although it will not take long for DreamWorks to get the global distribution business that Spielberg has dreamed of, life is not easy. With the huge amount of funding, DreamWorks must tighten its belt to operate.
Fortunately, DreamWorks is not very good, but Spielberg has a very good personal reputation, otherwise even loans will be a problem.
In addition, DreamWorks took the initiative to abandon 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 "The Shark Gang" and "Shrek 2" released this year will all be released by Embassy Pictures in North America and overseas.
Relativity Entertainment successfully obtained the copyright of nearly 7,000 films, and finally established a film library in the true sense.
With the same film library resources, these nearly 7,000 films can only bring in more than 12 million US dollars a year in the hands of Artisan Pictures, but on the platform of Relativity Entertainment, doubling 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 a third of the film license.
As for the distribution business of DreamWorks Animation Studios, "Shrek 2" needless to say, North America can make publishers a lot of money, and there will be "Madagascar" and other movies behind.
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, letting people contact the property owners and preparing to buy out the property rights of the building at one time as Relativity Entertainment , Embassy Pictures and Shahai Entertainment's headquarters.
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. The transaction price is expected to be more than 200 million US dollars.
As the scale of Relativity Entertainment expands, a corresponding headquarters building is also needed.
The Death Star Building just completed can be said to be a good choice. If you can get it, it will naturally be renamed the Theory of Relativity Building.
Relativity Entertainment won Artisan Films, but Lionsgate did not die. Frank Gusta immediately turned to Summit Entertainment.
Compared with Artisan Pictures, Summit Entertainment is much worse. This company was founded in 1993 and is headquartered in Santa Monica, California. It is also regarded as a medium-scale independent Hollywood film production company. The most famous film under the company is "American Pie" series.
But this series of copyrights belong to Universal Pictures.
As soon as Lionsgate was in contact with Summit Entertainment, Ronan asked Robert Iger to follow up, not to compete with Lionsgate, but Summit Entertainment also had a film library. If they were willing to sell, Relativity Entertainment would certainly buy it.
As soon as there was an action on the Relativity Entertainment side, Frank Gusta personally came to visit.
As Robert Iger was on a business trip, Ronan personally received Frank Gust.
"Congratulations, Ronan." Frank Gusta said with a smile: "The scale of Relativity Entertainment has expanded again."
Ronan didn't have much friendship with him, and said calmly, "Thank you."
Frank Gusta glanced at Ronan. Although the opponent might not be half his age, he did not dare to take it lightly, and he still regretted it faintly.
But he didn't come here to regret it, and said: "Relativity Entertainment gets Artisan Pictures, it will take some time to digest, right? Why is it suddenly eyeing Summit Entertainment again."
Regarding Lionsgate, Ronan heard Robert Iger said that he was too lazy to go in circles at this time, and said directly: "Relativistic Entertainment needs to build a film library. Summit Entertainment has the copyright to thousands of movies, which is urgently needed by Relativity Entertainment. ."
The production and distribution business of Summit Entertainment is far less than that of Artisan Pictures. Relativity Entertainment has no interest at all, and only wants a film library.
Frank Gusta said without warning: "We can join hands to acquire Summit Entertainment."
Ronan glanced at Frank Gusta and said, "You can talk to Robert Iger about this matter."
Previously, Frank Gusta rejected Robert Iger, and now he took the initiative to come to the door. Of course, I must let Robert Iger have a good talk with him.
Frank Gusta said: "When Bob comes back, I will contact him."
The theory of relativity enters into it. Lionsgate wants to buy Summit Entertainment at a low price.
Ronan had already stood far higher than Lionsgate, smiled and said, "It is estimated that Bob will be back in Los Angeles next week."
Frank Gusta also smiled back and turned 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 industry 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 face problem will not be a problem for the company in the future: "Can you take the liberty to ask, what do you plan to do with other businesses of Artisan Pictures?"
The agreement signed between Relativity Entertainment and DreamWorks was not publicized. The related asset divestiture and business handover have just begun, and most people outside are not very clear.
Ronan understood what Frank Gusta meant and asked, "Lionsgate is interested in this part of the business?"
Frank Gusta smiled, there was no embarrassment in the smile, and no embarrassment: "This part of the business seems to overlap with the existing business of Relativity Entertainment. If Relativity Entertainment does not need it, can it be transferred to Lionsgate Pictures? Of course, Lionsgate will definitely provide a satisfactory price, so that Relativity Entertainment can not only get a film library, but also convert the excess business into capital. Lionsgate and Relativity will win-win."
This is very beautiful, as if the rejection of Robert Iger's cooperation has never happened.
Ronan said lightly: "Actually, Relativity Entertainment is also planning this way. We are divesting people and businesses outside the copyright of the film library..."
Frank Gust felt like he was in heaven. Before Ronan could finish his words, he rushed to say: "Lionsgate is willing to buy this part of the business for $200 million."
"Listen to me, is it all right?" Ronan continued: "Relativistic Entertainment has reached an agreement with DreamWorks to package and sell it to DreamWorks."
Frank Gusta instantly fell from heaven to and couldn't help saying: "Sold to DreamWorks?"
Ronan smiled and said, "The agreement has been signed."
Frank Gusta feels cold in his heart. This time he gave up his face and came here for nothing?
But how long has it been until Relativity Entertainment and Artisan Films reached 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, 15 percent!"
Ronan shook his head and emphasized: "Relativity Entertainment has signed a formal agreement with DreamWorks."
Frank Gusta immediately said: "Lionsgate Pictures can bear the liquidated damages."
Ronan said slowly and firmly: "Relativistic entertainment pays attention to credibility. We will not lose faith."
Frank Gusta also said that Ronan raised his hand to interrupt him: "Just so, Mr. Gusta, there is no need to talk about this matter. If you want to talk to Relativity Entertainment about the peak of cooperative acquisition For entertainment matters, please contact Bob when he comes back."
Seeing Ronan's attitude so determined, Frank Gusta stopped talking, and after a few polite words, he left the Relativity Entertainment.
On the car back, he was a little regretful, he had already cooperated with Robert Iger!
The film library is very important, and the distribution channel is also very important! At that time, I thought about taking them all down, but I got nothing.
With insufficient distribution capabilities, Lionsgate will never be able to grow and develop. Just look at Spielberg’s DreamWorks.
Frank Gusta suddenly felt that because of his temporary greed, he might have missed the last opportunity of Lionsgate.
But regret is useless.
Frank Gusta took out his cell phone ~EbookFREE.me~ to find Robert Iger's number, dialed it, and after the call was connected, he said with an unusually hearty smile: "Bob, it's me, Frank. When will you return to Los Angeles? I invite you to play golf..."
Hanging up the phone, Frank Gusta realized that Lionsgate could hardly catch up with Relativity Entertainment.
The business handover between DreamWorks and Relativity Entertainment has begun. Although it is troublesome to check and assess assets, sort out distribution channels, and appease the original staff, Spielberg seems to be twenty years younger and full of energy every day. The kind of backache and leg cramps.
Artisan Pictures was originally a normal operating company. Spielberg is confident that it will initially digest artisans' resources within six months, and DreamWorks will be able to publish films in most of the global film markets.
Most importantly, DreamWorks has the confidence to face Paramount Pictures.
Spielberg quickly communicated with the South Korean side, and the global issuance business was about to be established, which also pacified South Korean shareholders.
Then, Shirley Lansing came to the door.