How can you become a star without money?
Chapter 118 Finally, we've made it through!
Chapter 118 Finally, we've made it through!
Chengtian Entertainment and Kanpianer.com have signed a final agreement, with each party holding 10% of the shares. Major shareholder Wu Kebo will reduce his stake to 57%, and Kanpianer.com will become the second largest shareholder, equal to the Li family, each holding 10%.
When this news appeared on major portal websites, it caused an uproar in the industry.
Whether it was the major production companies watching the spectacle, the cinemas eagerly anticipating the ticket subsidy war, or even many film and television industry professionals, at first glance they all thought it was fake news.
Chengtian Entertainment launched a massive ticket subsidy campaign against Kanpianer.com, but the two sides stopped fighting in less than a week?
No, it seems like there wasn't even a fight, right?
And they hold 10% of each other's shares?
Who? Kanpianer.com and Chengtian Entertainment?
A newly emerging small website and a publicly listed entertainment company?
Are these two equivalent?
And just the other day, entertainment gossip reported that the two founders, Wu Kebo and Wang Jinhua, had a personal feud and were about to go to court, right?
Why did they turn around and shake hands and make peace again?
Industry stakeholders, such as Bernard, directly approached Wang Yao to inquire, "Why are you suddenly collaborating with Wu Kebo? Aren't we allies? I was even helping you push Hong Kong film directors to fight for copyrights and wage a media war!"
"It all happened so suddenly, and I didn't expect Mr. Wu to have such courage. Although Chengtian Entertainment's market value is only 14 billion now, the 1:1 cross-shareholding is a recognition of the value of our Kanpianer.com." Wang Yao said with some emotion in response to Dongfang Xin's question.
Dongfang Xin paused for a moment after hearing this reply.
Based on her understanding of Wu Kebo, he was unlikely to be the type to give in willingly. Moreover, this cross-shareholding arrangement was outrageous, essentially elevating Kanpianer.com to the same level as the six major film production companies in China.
Could it be that the two parties have reached some kind of capital-level cooperation?
"We at Berna have always had high expectations for your company. If we had known that Kanpianer.com was seeking cooperation, we should have talked to you first," Dongfang Xin said with a smile, expressing her dissatisfaction.
"Miss Dongfang, you misunderstand. Our strategic cooperation with Chengtian is mainly focused on the cinema market and has little to do with other businesses, so it won't affect our cooperation. We currently have nearly 300 screens in total."
Although a third of their theaters are in Southeast Asia, they still have a solid foundation. This year, Mr. Wu said they will expand by another 50 screens, mainly IMAX and 3D theaters, which will make them one of the top five theater chains in China. This will also provide Berna with more stable film scheduling and services in the future.” Wang Yao said seriously.
Upon hearing this, Dongfang Xin's heart skipped a beat. How could it have developed into one of the top five cinema chains in China without anyone noticing?
If that's the case, then at least in the film market, the influence of Kanpianer.com will be considerable in the future.
Does that mean prices will go up next?
"So it turns out it's a consolidation of the cinema chain sector. It seems Mr. Wu has really given up on distribution and production," Dongfang Xin probed subtly.
"But I heard they're still going to acquire Legendary Entertainment, but it seems it's for better distribution of foreign films, and it might not directly compete with Bernard," Wang Yao smiled.
Dongfang Xin narrowed her eyes after hearing this. If that's the case, shouldn't Berna also take this opportunity to deeply integrate with Kanpianer.com?
Holding cinema assets in disguise seems to have a greater impact on the listing. The reason why the company did not get involved in this sector before was because the parent company, Baoli, has a small cinema chain with about a few dozen screens. In addition, cinema chain investment is large, and the company did not have additional funds to get involved.
However, if a cross-shareholding cooperation can be established, Berna could effectively influence nearly one-tenth of the domestic cinema market, which has significant potential value. As long as the price is reasonable, Mr. Yu would not object.
"Mr. Wang, actually, Berna also hopes to take our cooperation with the cinema chain to the next level. After all, we need to expand our business this year, and we can also mutually support each other," Dongfang Xin said with a smile.
“Cobona’s core business doesn’t contribute much to the added value of our company,” Wang Yao stated bluntly.
Dongfang Xin choked for a moment.
“However, Miss Dongfang can discuss the specific business with Brother Quan. He is in charge of the company's structure. Of course, I personally have high hopes for Berna's development in terms of product quality.” Wang Yao changed the subject.
"Then we'll need Mr. Wang to recommend us to Mr. Ren. The budget for the Berna project this year is quite sufficient. We're preparing for the final round of financing, which should get us around 3 million in working capital. Perhaps we can launch the variety show project you mentioned earlier in the second or third quarter." Dongfang Xin offered another tempting offer.
"Okay, then I'll wait for your news anytime," Wang Yao replied with a smile.
After exchanging a few pleasantries, he hung up the phone and turned to Ren Quan, saying, "If Berna contacts you to discuss the mutual holding issue, you should insist that the ratio cannot be lower than 1:2."
“Berna’s industry valuation is around 100 billion. Even if we hold shares with Chengtian, our valuation will only stabilize at around 15 billion. Exchanging shares for them at a 2:1 ratio is not something they’re stupid to do,” Ren Quan said, frowning.
Actually, Wu Kebo's willingness to hold shares in each other on a 1:1 basis was already somewhat unexpected for him. Now, although Berna has taken the initiative to approach him, the ratio is still too far off.
“什么2:1,是1:2,我们1%换他们2%。”王曜纠正道。
"??? Brother, you can get cocky, you can get arrogant, but don't talk nonsense. If you don't want to cooperate with them, you don't have to insult them like this." Ren Quan couldn't help but complain.
"It's not that we don't want to hold each other's shares, it's just that the timing isn't right. We'll politely persuade him to back down for now. We've previously studied the differences between Chengtian, Bernard, and Huayi. In theory, Chengtian's total assets are of higher quality because they are all stable, heavy assets."
However, both Berna and Huayi are asset-light companies, with their money tied up in projects and actors. They seem to have unlimited potential, but a single loss in a film or the departure of an actor can be fatal. If Sister Hua hadn't left Chengtian, Chengtian's market value could have exceeded 10 billion.
We currently have integrated online and offline ticketing and marketing capabilities, representing nearly 7% of the domestic cinema market. If managed well, we can drive over 1.5 million yuan in box office revenue each quarter.
"So, Brother Quan, you need to learn to raise your own value now. We're no longer those lousy intermediaries begging for subsidies from the production company. We're small landlords now, so cheer up and don't lose face," Wang Yao laughed loudly.
Upon hearing this, Ren Quan's face suddenly lit up.
The past week has been incredibly stressful for him, with pressure to secure funding, integrate cinema chains, and constantly be on guard against his competitors going crazy.
After signing the mutual holding agreement yesterday and turning enemies into friends, he finally got a good night's sleep, but his mind was still a little foggy. It was only after Wang Yao reminded him that he realized it.
I now have real power over a major cinema chain with nearly 300 screens and 60 cinemas!
Finally, we've made it through!
For some reason, Ren Quan felt like crying.
"Brother," Ren Quan patted Wang Yao on the shoulder, "we've finally made it through."
"It's still early. We only have a chance to be on the table. There's a long road ahead. I estimate that Wanda Cinemas and others will react soon. But it's not important. We can just focus on developing online."
The collaboration with Bernard was intended to keep them on their toes, to make them realize that our current strength is vastly different from what it used to be. Now, with the first quarter almost over, they only have *Little Soldiers*, which is estimated to have grossed $2 million worldwide, with revenue of approximately $6000 million.
"They still have two big-budget commercial films and ten co-productions and smaller productions coming up. I estimate the total investment will be close to 600 million yuan, and the total box office for the year needs to exceed 1 billion yuan. Even with revenue from other segments, they need to achieve their expected 15% growth in revenue of 350 million yuan. The pressure is actually quite significant." Wang Yao narrowed his eyes, a faint smile playing on his lips. "If the second quarter's revenue doesn't meet expectations, they'll naturally be anxious."
Looking at Wang Yao's wicked smile, Ren Quan swallowed hard. "You're not planning to hinder their publicity and create difficulties for them in the second quarter, are you?"
"It's not about creating difficulties, it's that the movies produced in the second quarter are not meeting market expectations. Look at these films, what are they? 'Gallants,' 'Chongqing Blues,' 'Exterminate the Family,' 'A Side B Side'—just looking at the titles, they're unlikely to have high box office returns," Wang Yao laughed.
"This 'Side A, Side B' is not bad; it might be a dark horse," Ren Quan coughed lightly.
"You acted in it?" Wang Yao raised an eyebrow slightly.
"Hehe, just helping a friend out." Ren Quan smiled shyly.
"That's even worse. You've added Zhang Jingchu to the list of box office poison." Wang Yao shook his head and sighed.
Ren Quan had a swear word he wasn't sure he should say. "In the second quarter, these films will barely gross 5000 million at the box office. All the pressure will be in the third and fourth quarters. Maybe then they'll truly consider our value. And by then, Kanpian.com will likely see some growth in size and stable revenue."
Starting in March, it's time for foreign films. Do you know why I facilitated this cross-support? It's because in March, both foreign films, *Sherlock Holmes* and *Alice*, are box office draws, and they benefit from the widespread availability of foreign theaters.
The latter, in particular, will surely boost box office revenue by riding the wave of popularity of Avatar 3D.
"We can boost revenue to 2 million per day during the worst month of March, and then with the release of 'Clash of the Titans,' 'Go Lala Go!' and 'Ip Man 2' in April, we should be able to steadily break through 3 million per day. By May, our valuation will increase again. Time is on our side," Wang Yao said with a smile.
Upon hearing Wang Yao's strategic plan, Ren Quan felt a pang of worry for Berna. Under such an encirclement, it was as if Berna would have almost no films capable of carrying the torch in March, April, and May.
"Doesn't Bernard still have 'Just Another Pandora's Box' in March?" Ren Quan suddenly remembered.
This is a major new attempt by Bernard this year, bringing together more than 60 celebrities from Mainland China, Taiwan, and Hong Kong to support the project.
“I’m not too optimistic about this one, and it’s only a co-production, so we won’t get much money.” Wang Yao shook his head and handed him a script. “Please pass this on to Director Hu and tell him that I want to invite Director Stanley Kwan to direct this drama, and that Bai Baihe from his company will play the female lead.”
"Love is Not Blind? You're investing in another movie? Have you raised enough money for 'Temptation' yet?" Ren Quan asked suspiciously.
"A low-budget urban romance film, an investment of six or seven million is enough," Wang Yao smiled.
After the establishment of Xinghuo Literature, Wang Yao began to gather and sign suitable domestic author IPs. In addition to Anai, the author of "Ode to Joy", he also poached Bao Jing, the founder of Xiaoniu Literature. The IPs and adaptation skills of these two authors can be regarded as the best of the new generation.
This low-budget, high-grossing film was naturally not to be missed. Normally, given Wang Yao's personality, he would use the original cast and crew to produce it, but the director of "Lost 3" is the director of "Shanghai Fortress".
Therefore, Wang Yao believes that for some well-written subjects, the director does not play a key role; a good script can be filmed even if you have a dog on a leash.
So he naturally chose director Stanley Kwan, Bai Baihe's mentor, for this film. This director is very good at directing female characters, which is perfect for a chick flick like "Losing 3".
Because of the limited budget, the male lead is not going to use a speech impediment. Although his acting skills and character fit the role, the cost-effectiveness is too low. With the support of his wife and godfather, the movie is now asking for nearly 300 million.
One actor, who hasn't achieved much in the film industry and relies entirely on television dramas, is earning a salary almost equal to Huang Xiaoming's. No wonder he's getting arrogant.
The male lead, Wang Yao, is preparing to cast Lei Jiayin. This guy hasn't gone down the honest ex-husband route yet; the roles he's played are all flamboyant and comedic, which fits the character of Wang Xiaojian in the script. And importantly, he's cheap.
When Wang Yao asked someone to contact him, upon hearing that it was the male lead in a theatrical film and that he would be acting alongside Bai Baihe, he immediately said he didn't need any payment. He was currently an actor with the Shanghai Opera Troupe, with little commercial value and no agency, relying entirely on the help of Guo Jingfei and his brothers. Naturally, he was willing to seize this opportunity.
The male lead was given a symbolic 20 yuan, the female lead about 150 million yuan, and the other supporting roles were all selected from within the company. The filming period was not long, and the production period was at most three months.
With a short, quick, and effective marketing campaign coinciding with Singles' Day on November 11th, box office revenue exceeding 100 million yuan should be no problem.
Ren Quan was very efficient; Guan Jinpeng and Bai Baihe quickly responded, expressing their willingness to collaborate on the film and scheduling a meeting to discuss the script.
Just as the script for "Old Boys" was almost finished, Wang Yao planned to have Xiao Yang and the others work odd jobs on the set of "Lost 3" and learn from Guan Jinpeng.
In addition to the male and female leads, "Lost 3" also features two other main couples being groomed.
The original script featured a wealthy businessman as the second male lead and a gold digger as the second female lead. The storyline was clear, engaging, and controversial, representing a view of love based primarily on 'economic foundation'.
Wang Yao changed the character of the wealthy businessman to an e-commerce boss, and the second female lead to an e-commerce model, while also subtly promoting online shopping models and the e-commerce industry, and maybe even getting some sponsorship fees from Taobao.
The second male lead, Wang Yaoqing, had a low salary and was suitable for playing a rich man. The second female lead was a gold digger, and her character was not very likable. The original casting choice was Zhang Zixuan, who played the mistress in the drama, so it was a natural fit for her. Wang Yaoqing went through a round of casting choices.
I feel that this character's personality is not very positive and is not suitable for Gulnazar or Zhang Tianai. It would actually be quite suitable for Ma Ruo, but her acting skills are too poor to support the role. We can only wait and see.
The third male lead is Guo Jingfei, whose character is the female lead's ex-boyfriend. They broke up because he cheated on her with her best friend. He was chosen not only because he was cheap, but also because he could gain popularity through his off-screen interactions with Lei Jia.
The third female lead is the female lead's best friend and steals the female lead's boyfriend. Her character is not positive, but if she plays the role well, she can easily become popular. Wang Yao thought about it and decided to give this role to Tang Yan as a guest star.
Although Ji has not been fired yet, Tang Yan has long been considered an artist working with Wang Yao. This role can be combined with her personal experience of her best friend stealing her boyfriend, which can be used as a guarantee of topic popularity.
Aside from these main actors, the rest are all guest roles. There are two new and positive characters: a female violin teacher, Zhang Tianai, who plays an intellectual and elegant role; and several breakup girl roles, played by models under her management.
There are a few roles left, which I'll leave to Stanley Kwan as a favor.
Kwan Kam-pang happened to be on break, so he went to Beijing for a face-to-face meeting the day after receiving the project.
Wang Yao and his team received the guests at the company.
"Director Guan, thank you for being willing to participate in this small project of our company." Wang Yao greeted her with a smile.
"Mr. Wang, you're too kind. It's my honor to be involved in your project. Your name has been all over our circle lately. I didn't expect you to be so handsome." Guan Jinpeng is openly gay in the industry.
So when he described it that way, Wang Yao withdrew his hand without changing his expression and led him to the recently renovated conference room. "My humble abode is simple, please forgive me, Director Guan. These are the backbone of our company's film and television department."
Wang Yao introduced him to Brother Chopsticks and others.
Stanley Kwan is a pure art-house film director. His works are characterized by his insightful understanding and portrayal of niche love stories and same-sex characters. He is almost the pinnacle of same-sex and women-themed films in the industry.
"Ruan Lingyu", "Red and White Roses", "Lan Yu", and "Doing Hair" are all highly representative works.
Xiao Yang and others were very excited to meet a representative director from the arts and culture scene for the first time.
Mr. Wang really knows how to get things done; they actually managed to get involved in this director's work.
Kwan Kam-pang showed great interest in Gulnazar, Zhang Tianai, and Ni Ni, praising Wang Yao's eye for talent.
I especially think Ni Ni and Zhang Tianai are very suitable for starring in works with LGBTQ+ themes.
Ni Ni's eyes lit up, eager to try.
Zhang Tianai was somewhat at a loss; this was a bit too much for her.
After exchanging pleasantries, the group began a brief exchange.
感谢蓝晋凯、Lighthouse、我去吃个白菜、清风浮云158、周园园、魔法游戏、RationalTest、丶老司机、guo1、书友20211129114901506、书友20180907120230820、书友20201026173653468的月票支持~万分感谢
(End of this chapter)
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