China Entertainment started from Nortel 2002

Chapter 1069: Give and Take, Big Trouble

The atmosphere in the conference room was solemn at this moment, and the air seemed to become heavy invisibly.

Everyone knows that every word will affect the subsequent acquisition price, which may be millions, tens of millions, or even hundreds of millions.

Wang Jianlin sat at one end of the table, his eyes slightly narrowed. Although there was a faint smile on his face, he looked a bit tired.

Li Mu had a calm expression, his hands folded, leaning slightly on the back of his chair, appearing somewhat relaxed.

I don't want to sell it, it's true.

It is true that it is worth selling at a good price.

Li Mu knew very well that in negotiations, sometimes true words often contain multiple meanings.

In some negotiations, you compete by showing off your strength through data and documents, while in other negotiations, you cleverly gain the upper hand through every word and every look.

Ye Ning seemed more calm, with no sign of abnormality on his face, neither surprised nor happy.

"I understand Mr. Wang's feelings." Li Mu finally took over the conversation, also looking reluctant, "To be honest, just like Mengying Media, if one day in the future I am asked to sell it to someone else, I will also be reluctant to do so. It's just that I am willing to give up, only by giving up can I gain."

"."

At this moment, Wang Jianlin looked at this young man who was about the same age as his son, and couldn't help but admire him.

When speaking, he always says what he means first and then changes the subject. He never refutes others, but he can always turn the conversation to his advantage.

Instead of saying something offensive like "Business is ultimately about returns, we can't just be nostalgic."

"Mr. Li, what you said makes sense. What we are talking about today is the two words 'give and take' for both sides."

Zeng Maojun took over the conversation with a chuckle, acting as a lubricant, but he also made it clear in his words that today it is not only Wanda that needs to give up and gain, Mengying Media is no exception.

"It's the word '舍'."

As the saying goes, king fights king, general fights general, Ye Ning immediately took over the conversation.

After the two sides had been fighting for a long time, the four of them looked a little tired. They each picked up their teacups and took a sip.

Finally, Wang Jianlin spoke first, "In this case, let's get straight to the point today without further ado."

Then he gestured to Zeng Maojun.

"Mr. Li, can you discuss your acquisition plan? The value of Wanda Films is not just the stock price, but the strategic value behind it. I believe you and Mr. Ye should be very clear about this."

When it comes to business, Zeng Maojun is also outspoken and points out the strategic point that Mengying Media currently needs Wanda Cinemas.

"23 billion, Wanda invested 49% of the shares!" Ye Ning said, looking directly at Zeng Maojun.

Wanda Investment owns a total of 20% of Wanda Films’ shares, and 49% of the shares means 9.8% of Wanda Films’ shares.

According to Wanda Film’s first quarter disclosure, Wanda Investment is the controlling shareholder of Wanda Film, holding a 20% stake. Together with its joint actor Shenxian Rongzhi Xingye Management Consulting Center (Limited Partnership), it holds a total of 30.21% of Wanda Film’s shares. The latter is mainly controlled by Wang Jianlin.

Even if Mengying Media acquires this equity, together with the shares from previous bulk transactions, it is not the largest shareholder and Wang Jianlin still has the right to speak.

Li Mu certainly knew that Wang Jianlin was still betting on the success of Wanda Commercial Management's IPO. In Wang Jianlin's view, as long as the IPO was successful, many difficulties would be solved.

"Too low." Zeng Maojun shook his head. "Let's put it this way. Ruyi Films' offer yesterday was much higher than this number. But I can't reveal the exact amount."

"."

Li Mu and Ye Ning glanced at each other, both of them smiling slightly.

This was a big lie, and they both knew it.

Li Mu did not play the role of a good guy, so Ye Ning took the initiative to take the responsibility. "Mr. Zeng, 23 billion is not a low number. You said that Ruyi Film and Television is worth much more than this number. To be honest, it is unlikely. You and I both know that Ruyi Film and Television cannot support such a high valuation, and Wanda Film's current market positioning is not enough to support such a high premium."

Ye Ning took out his phone, opened Tonghuashun, and glanced at the price. "In the secondary market, Wanda Film's current price is 14.7 yuan, with a total share capital of 21.12 billion and a total value of 310.46 billion. In other words, according to market value valuation, 9.8% of the shares are worth 30.4 billion.

You said that Ruyi Films' price is far more than 23 billion? Isn't it the same as the secondary market price? You have to know that this price also includes the premium added by Mengying Media. Is the primary market and the secondary market on par?"

Buying goods in the primary market is higher than that in the secondary market. Most people will not do such a stupid thing. It is really not worth it.

Of course, strategic intentions cannot be ruled out, but Li Mu and Ye Ning have discussed that Wanda Film does not have such high strategic significance for Ruyi Film and Television, and it requires a price far exceeding the primary valuation to acquire it.

According to the estimation of the professional team, the primary price is actually between 20 and 23 billion, which fluctuates around 70-80% of the current market value. This is the primary pricing.

Moreover, this is already a very objective price. If it weren't for Mengying Media's interference and Wanda was so short of money, if there was only one company, they could have lowered the price again, and it would be normal to lower it to less than 20 billion.

“Mr. Ye, speaking of funds, you know that our layout in the capital market is more far-reaching than anyone else. Ruyi Film and Television has the support of Tencent. They not only have sufficient funds, but also have unique strategic vision.

The price they offered was well thought out.”

Zeng Maojun was still holding on. After all, it was impossible for Li Mu and Ye Ning to find the people from Ruyi Film and Television to ask now. Now was the time to bargain over the psychological price.

Li Mu smiled slightly, with a meaningful arc on the corner of his mouth: "Tencent's support is very strong, but I don't think he gave such a high price, 23 billion!"

"Well, I won't say much. 30 billion, you can take the shares." Wang Jianlin looked particularly generous and raised three fingers.

As soon as the words fell, at that moment, the entire atmosphere seemed to freeze, and even the breathing of both sides became heavy.

Because the critical moment has come.

"30 billion, the valuation is too high." Li Mu still shook his head.

"Mr. Li, with the addition of Mengying Media, this valuation has recovered after two daily limits in the secondary market. You don't think those investors won't speculate, do you?"

Wang Jianlin looked at Li Mu with a faint smile.

“Haha, Mr. Wang really understands stock investors. It’s just that Mengying didn’t get it for the purpose of selling it. Whether they speculate on it or not has nothing to do with Mengying. After the speculation, it will still return to its original value.

Even if I sell it, shareholders with more than 5% will have to announce a reduction in holdings. By the time they actually reduce their holdings, the price might have already fallen back, right?"

Li Mu dismissed the pie lightly. This kind of increase was not something that shareholders like them had to consider at all. Besides, he had no intention of selling, at least not in the short term.

(End of this chapter)