America: Starting with the acquisition of MGM...

Chapter 208, Section 207: The World's Richest People

The Nasdaq Stock Exchange, one of the world's leading stock trading centers, sees thousands of stocks traded every day.

Although it cannot compare to the New York Stock Exchange in terms of history and heritage, Nasdaq, as a rising star, was the first stock exchange to adopt electronic trading.

Moreover, the growth rate was astonishing, especially after the 90s when the Internet experienced a massive explosion.

As the main battleground for tech stocks, the Nasdaq soared to new heights, racing ahead like a wild horse with unstoppable momentum.

Of course, as global stock market investors have seen, the excessive surge became a bubble, and when the bubble burst, it left behind a mess and a bunch of people who had been blown away by the bubble.

In other words, if the capital market hadn't been subject to macro-control, and the government had intervened, it wouldn't have collapsed so severely.

Just like in the real estate and infrastructure sectors, using policies to prevent a sharp decline can at least temporarily stabilize the real estate and related infrastructure sectors, preventing them from falling too quickly.

If this bottom line can be maintained, then the bottom line for industries such as steel and cement, wood building materials, quarrying and smelting can be maintained, and many people's livelihoods will not be lost.

If new economic growth points are found in a few years and gradually replace the sectors where the bubble bursts, as long as the fiscal situation can recover, there will be hope for a steady landing.

It's just that the process will cause a lot of dissatisfaction, since it involves fairness issues, and it may cause suffering for another group of people.

Since Nasdaq is the main battleground for technology stocks, and film companies are classified as high-tech companies, they are generally listed on Nasdaq.

As for why film companies are categorized under the technology sector, ask people like Industrial Light & Magic, Weta Digital, and James Cameron who are into special effects—they'll know the answer best.

Many of the innovative technologies developed in this field have benefited military and civilian applications, so these companies are certainly considered technology companies.

The Nasdaq Stock Exchange is located not far from Times Square in Manhattan, New York.

A black Lincoln sedan drove slowly down the street and finally stopped in front of the stock exchange. Cooper and his son got out of the car.

Looking at the familiar building, Charlie Cooper said with some emotion, "I left here more than a year ago. MGM's stock disappeared from the big screen, and everyone was laughing at me."

"They probably never imagined that MGM would make a comeback in such a short time."

Eric smiled. "Dad, those people who laughed at you were just clowns. There are countless people watching us now, and even if they're not here, I can still feel those expectant eyes."

"Hehe. You mean those people in the company?"

"Not only that, there are also hundreds of thousands of shareholders. We are now a top-performing stock."

"Eric, it wasn't wise of you to write your prospectus like that. You directly announced that you would use the money to pay off debts. We still owe Kerkellyn and the three major banks $21 billion."

"This is a huge sum of money. Our shareholders bought our stock hoping that we would use the money to expand our business, not to pay off our debts."

"Even if we were to do that, it wouldn't be good to say it out loud. At least we shouldn't pay back such a large amount at once; we can continue to owe the bank money."

Eric, however, was unimpressed: "Dad, you told me that filmmaking is a storytelling industry, and our story is fantastic."

"The internal IPO a few days ago brought in $5.2 million, and I thought Judy and her team could take in even more."

"But let alone 15%, they couldn't even take 10% of the shares; in the end, they only managed to acquire 8.7%."

"What does this mean? It means the market has high expectations for us, and our stock is very valuable."

"This figure was estimated before anyone thought Transformers could gross over 9 million; otherwise, it would have been even more outrageous."

"What do you plan to do with the remaining 6.3% stake?"

"Originally, we planned to launch them together, but after some consideration, I decided against it and sold these shares to some good friends."

"Is she a good friend or a girlfriend?"

"Good friend and girlfriend".

Eric sold 6.3% of the shares to Charlize Theron, Nicole Kidman, Gal Gadot, and the Olsen twins, each at an insider price.

However, Gadot has only recently become famous and is still very poor, so Eric covered the money for her.

With this 1% stake, they could instantly become billionaires.

Even the wealthiest Nico was stunned by Eric's generosity and unlocked a whole bunch of new poses.

Eric's actions paved the way for future open and honest communication between everyone.

The remaining 1.3% of the shares were sold to Mike, who was known for his extravagant spending.

He also manages all the work at Mei Yi Records, and Eric still owns half of the shares, so this 1.3% is considered compensation.

Seeing his son looking so proud and confident, Charlotte Cooper wanted to say something, but then decided to keep quiet.

Reality speaks for itself: MGM is thriving under Eric's leadership, far better than it was when he was in charge.

Looking at the rising sun in the distance, Charlie Cooper suddenly felt a little tired; perhaps it was time for him to retire.

"Eric, I suddenly had an idea. Well, I wouldn't say suddenly, this idea has actually been around for a while, but I really wanted to tell you about it today."

"What?"

Eric looked at him, sensing that his father's tone was a bit strange.

"I think it's time for MGM to be completely handed over to you. Although you already have real power, the title should also be given to you."

"Actually, I originally planned to continue working for a while, at least until your Lionheart website went live. Although my abilities are not outstanding, I can at least help you weather some storms."

"But it seems unnecessary now. I believe that with your abilities, you don't need these things. You should be worried about those guys."

Eric was caught off guard by his father's sudden move.

While he is now in complete control of MGM, deep down he still hopes his father will remain in that position.

Attracting fire isn't important; the key is that my dad's presence can help me with a lot of chores.

For example, attending cocktail parties, parties, or charity events can be very distracting, as experienced people know.

If Eric were a young Karami, he would look forward to attending these events, hoping to expand his network.

But in reality, there weren't many people Eric was willing to personally befriend, and he couldn't bring himself to refuse many of their invitations.

The father is like the King of England, and Eric is like the Prime Minister; that's roughly the general idea.

"But isn't it good for us, father and son, to work together?"

"But you can do just as well without me, can't you?"

"Have you decided?"

"Um."

"When?"

"Let's do it in the next few days. Anyway, everyone knows now that you are the real leader of MGM. If I continue to hold onto my position, it might arouse suspicion."

"The market will definitely prefer you to become the absolute leader. Once you become the president and chairman of the board of MGM, the stock price will definitely surge."

"This is my last contribution to the company."

"Besides, you know Joshua's situation. He hasn't been able to make the 76ers' starting lineup for six months. It seems like it's time for him to change course."

"Your mother warned me not to be biased, so I'm planning to give him $1000 million to start his business as well."

"I don't expect Joshua to be as outstanding as you or to have his own career. Just being average is fine."

After listening to his father's heartfelt words, Eric knew that his mind was made up and that his resignation was irreversible.

Since that's the case, there's no need to force her to stay. It's good to let the elderly rest and get away from the temptations of Hollywood. It would be better for her to spend more time with her at church.

At the Nasdaq Stock Exchange, Eric and Harry Cooper stood on the stage.

Boom!

With the ringing of a bell, MGM was officially relisted.

Click click

Flashbulbs went off as numerous media outlets captured the moment. The press release had already been written, and all that was left was for this photo to be published.

Even though he was used to this scene, today's guests included not only people from the entertainment industry but also those from the financial and social sectors, and the sheer number of flashing lights made it hard for Eric to keep his eyes open.

As MGM relisted on the stock market, eager investors rushed in to buy, and the stock price immediately began to rise, much like the Kweichow Moutai stock chart in later years.

Many stock market investors who don't usually pay attention to the entertainment sector only noticed this at this time. A stock that had been out of the market for a long time suddenly surged ahead, and its gains quickly entered the top tier.

"OMG! A high-quality stock has suddenly appeared! Buy it now!"

"What's going on? What kind of stock is this?"

"MGM? That film company? Wasn't it acquired due to mismanagement?"

"Idiot! The Transformers that caused a movie-going frenzy not long ago and the currently showing Blues of Adele were both produced by them."

"What! Buy it now!"

Looking at the soaring stock price, Eric said confidently, "I told you they wouldn't care. Our story is getting interesting."

"Yes, it looks like a lot of millionaires are going to be born!" Dad exclaimed.

News of what's happening in the stock market spreads like wildfire.

Soon, related financial and entertainment news began to be broadcast online and on television.

On the morning of January 15, MGM Studios, which had been delisted for 510 days, relisted on Nasdaq. The company’s current president, Harry Cooper, and vice president, Eric Cooper, rang the bell.

"It is understood that since the Cooper family took over MGM, the company has been doing well and almost all of its productions are profitable, so market expectations are very high."

"Based on the assessment, MGM's market value will reach $71.27 billion, which is 2.3 times that before delisting."

"In this relisting, MGM will issue 30% of its shares to raise funds and repay debt, totaling 1 million shares at $21.35 per share."

"After the market opened, investors were extremely enthusiastic, and the stock price rose all the way up, reaching $27.96 per share as of press time, up 31%."

MGM's market capitalization rose by 31%, surpassing Paramount to become the sixth largest film studio.

Yeah!

Yeah!

The MGM Grand building was instantly engulfed in a sea of ​​joy.

Going public benefits everyone; those who buy shares in advance see their net worth skyrocket instantly, and it's still rising.

Those who didn't buy stocks may earn less, but a raise is certain.

The bigger the company, the higher the employees' salaries and year-end bonuses will naturally be.

Amidst the excited gazes of countless eyes, MGM's stock price only gradually slowed its upward trend until noon.

At this point, the stock price had reached $33.73 per share, a 58% increase from the opening price, and MGM's market capitalization had ballooned to $112.6 billion.

It not only surpassed Paramount, but also Universal and Sony Columbia.

Second only to 20th Century Fox and Warner Bros., whose market capitalization is $119.88 billion and $135.6 billion respectively.

However, it is still quite far from Disney's level. Although Mickey Mouse's market value is far less than that of later generations, it still has $227 billion thanks to more advanced copyright development and theme park revenue.

MGM can only reach half of that of others for now, and even that half of the market value has an inflated component.

After all, the film industry is about storytelling. A Transformers movie can make a stock price soar, while a big-budget flop can cause a stock price to plummet.

Perlmutter clenched his fist, having made the right bet this time, even though he only owned 3.6% of MGM's shares.

However, based on the current stock price, selling now would allow one to cash out over $4 million instantly, but only a fool would cash out now.

Kevin Feige's eyes widened. No wonder his boss was so generous, launching three projects simultaneously. He was clearly not short of money. He felt his future looked even brighter.

The women cheered, the best friends cheered, the close buddies cheered, and the employees cheered too.

Of course, not everyone was happy. If anyone was unhappy, Harvey Weinstein was one of them, as was James Murdoch.

There are also people who have grudges against him, such as Emiam and Sony Group.

Unfortunately, they were powerless to stop MGM's rise.

At that moment, NBC's financial channel was airing a Forbes billionaires list review program.

"Hello everyone, Forbes magazine's 2003 list of the world's billionaires has been released. There are 476 billionaires with a net worth of more than $10 billion in the world, from 43 countries and regions."

"Microsoft Chairman Bill Gates continues to top the list of billionaires with a net worth of $407 billion."

"Financial investor Warren Buffett remains in second place with assets of $305 billion."

The male host was carefully reviewing the list when a small note was suddenly handed to him. He took it, glanced at it, and continued speaking.

"I'm sorry, it seems we've encountered a bit of a special situation."

"Just this morning, Nasdaq MGM Studios relisted, and we have calculated a new super-rich person based on the current stock price."

"Eric Cooper, vice president of MGM, is the company's de facto controller, directly owning 27.7% of MGM's shares, worth $31.19 billion."

"But the equity statement shows that a company called AK Films holds a 20% stake in MGM, worth $22.52 billion."

"AK Films was actually established solely by Eric Cooper, so Eric Cooper effectively controls 47.7% of MGM's shares, with a total value of $53.71 billion."

As he spoke, the male host exaggeratedly spread his hands and made a "Wow!" expression of utter surprise.

"If MGM had gone public 20 days earlier, as long as it was still in December, it would definitely have made it onto last year's Forbes rich list."

"But the list has already been released, so it cannot be changed."

"However, as the first super-rich person to emerge globally in 2004, we still compiled and ranked him."

"If his assets of 53.71 billion were in 2003, he would have ranked 77th on the global rich list."

"Ahead of him is Amazon founder Jeff Bezos with $54.4 billion."

"But if the age limit is set at under 30, Eric Cooper would undoubtedly become the world's youngest billionaire."

(End of this chapter)