Chapter 285: Golden Harvest Plans for IPO and Film Profits

The daughter of the boss of Country Garden is not only the first female billionaire and first billionaire in China, but also snatched away another honor from Liu Zhou.

That is, at the age of 26, she became the mainland's youngest billionaire.

When the Forbes Rich List was announced, it caused a huge sensation, and this daughter of Yang became a hot topic of discussion online.

But who can blame him for having a good father?

The gap is so huge that it makes people jealous.

Not only that, when netizens discuss the new richest man, they also bring up Liu Zhou from time to time.

The two men are of similar age, and their wealth is also among the top two on the rich list, so naturally they are matched up by some troublemakers.

Liu Zhou was also aware of these topics on the Internet at the time.

His fans have been leaving messages on his blog about these things, so it's hard for him not to know about them.

Liu Zhou also knows that the fans are joking, but it is still amazing to see that Miss Yang has a net worth of up to 100 billion.

You should know that the richest man Huang Guangyu was worth only 18 billion the previous year, but a year later his net worth became 100 billion. You can imagine how crazy the stock market was that year.

2007 was also the year when real estate tycoons officially and fully entered the historical development stage of the mainland.

In the historical rich list of that year, six of the top ten were real estate tycoons.

Although there will be setbacks in 2008, there will be an even more rapid rebound afterwards.

Starting from 2009, real estate and the Internet will become the two hottest industries in the mainland. Nearly one-third of the top 100 rich people on the rich list come from these two industries.

However, Liu Zhou is no longer as excited about the rich list as he was when he first made the list, and he is much calmer this time.

In fact, it’s pretty good to be ranked second, it won’t be so eye-catching, even though some people on the Internet have already called him Liu Laoer.

"Painted Skin", which was released during the Spring Festival in 2008, had an extremely successful start, and Zhang Zhao told Liu Zhou about it.

To be honest, Liu Zhou did not expect that "Painted Skin" would perform so well. According to this trend, the total box office would be heading towards 300 million.

The box office of Painted Skin in the original time and space was only 200 million, right? !

However, the historical box office performance of 200 million should be similar to the current 300 million.

Seeing that "Painted Skin" performed so well, Liu Zhou also formally instructed Zhang Zhao to start releasing the news that Golden Harvest was preparing to raise funds.

Liu Zhou is indeed preparing to take Golden Harvest Media Group public.

Although Golden Harvest seems to be developing very well now, it is not only the number one in the industry, but also has outstanding profitability.

However, these profits are just a drop in the bucket compared to the future investment in cinema chains and Golden Harvest theme cinemas.

In the future, the opponents that Golden Harvest Group will face will not be the current Huayi and Bona, but giants like Wanda, Penguin and Ali.

The money you earn from making movies and TV series step by step is not as much as what others earn from telling stories to investors.

Liu Zhou is not saying that he will take the company public and then tell stories to make money.

Rather, only after going public will Golden Harvest have enough capital to compete with giants like Wanda, Penguin and Ali.

And it is undeniable that when a company goes public, it will have a greater social influence, not only increasing wealth but also improving status.

Finally, isn’t the reason why the executives within Jiahe Group are working so hard now just to achieve financial freedom after the company goes public?
So whether considering the long term or the present, Liu Zhou felt that Golden Harvest needed to go public.

And now, the time is ripe for Golden Harvest to go public.

Liu Zhou planned to launch Golden Harvest on the stock market in 2009.

At this time, the financial crisis had just passed and domestic industries began to recover across the board.

Historically, Huayi was also listed in 2009. As soon as it was listed, its stock price soared and its market value once exceeded 10 billion.

However, in this life, due to the existence of Golden Harvest, Huayi’s achievements and influence are far behind, and I have not heard that they have any intention of going public.

But even though Huayi was only listed in 2009, Liu Zhou was not worried at all. Anyone who has a little understanding of the film and television industry can tell at a glance which one is stronger between Golden Harvest and Huayi.

Jiahe will definitely be more popular among investors and shareholders.

Therefore, Liu Zhou is not afraid at all that Golden Harvest’s listing will clash with Huayi’s.

However, it is not that easy for a company to go public. Even if everything goes well, it may take a year to complete the entire process.

So Liu Zhou took this opportunity to spread the word. He knew that many investment institutions were eyeing Jiahe, so he just wanted to lure some of them out to raise its value.

At this time, Liu Zhou, who was far away in Maple Leaf Country, did not know that the investment institution had valued the entire Jiahe Group at 5 billion RMB. In fact, this valuation was not low.

But if Liu Zhou knew about this, he would definitely not agree to raise funds at this valuation.

Today, Golden Harvest is not only engaged in film and television investment and distribution, but also has a lot of fixed assets. The cinemas throughout Greater China are the foundation of Golden Harvest.

However, it is still early for Golden Harvest to raise funds. It has not even decided whether to list in mainland China or Hong Kong.

At this time, Liu Zhou was meeting with Anthony Edwards, vice president of Lionsgate and Liu Zhou's old friend, in a small manor in Toronto.

“Liu, with your wealth, how can you buy such a small manor?”

"Size doesn't matter to me, as long as I'm comfortable living there."

"In fact, for a wealthy person like you, you should go to Montana and buy a large ranch. Many wealthy people buy land there."

"I don't have the idea of ​​becoming a big landowner in the United States. With this money, I might as well buy a few more houses in my own country."

"Well, it seems that you are wary of the Beacon of Freedom. You are different from many wealthy Chinese people."

"Everyone has different ideas, and even if I want to buy a ranch, I will only buy it in New Zealand, the last clean place on earth." "New Zealand is a good place, but it is only suitable for retirement, haha."

"Okay, let's not discuss this issue anymore. I didn't ask you here to chat."

Hearing Liu Zhou's words, Edwards took out a document and handed it to Liu Zhou, saying with a smile:

"Don't worry, I know what you are most concerned about. This is the settlement account of Edge of Tomorrow. Please take a look and see if there is any problem."

Liu Zhou didn't hesitate and started to look through the document carefully.

"Edge of Tomorrow" finally achieved a box office of 2007 million US dollars in North America, second only to " Spartans", ranking eleventh in the North American box office rankings.

The top ten movies on the list were all released by the seven major Hollywood studios.

Of the $65 million in box office revenue, Lionsgate can get about $ million from theaters, which is roughly % ​​of the share.

The 130 million US dollars is needed to pay Nicolas Cage 15% of the North American box office, which is 30 million US dollars.

Including the $20 million salary he was given, Nicolas Cage's total compensation from "Edge of Tomorrow" is as high as $50 million.

This is the powerful money-making ability of superstars.

Historically, Robert Downey Jr. once received a total salary of more than 80 million US dollars for his role in the Iron Man movie.

So if the box office is a big hit, both the superstar in the lead role and the producer can make a lot of money.

Neither Liu Zhou nor Lionsgate felt that Nicolas Cage was unworthy, and his current super high popularity also played a crucial role in the outstanding box office success of "Edge of Tomorrow".

This is generally the price of Hollywood superstars nowadays.

Liu Zhou only hopes that the 30 million US dollars can play a role in saving him from bankruptcy.

So in the end, Liu Zhou and Lionsgate were only left with $100 million.

First, Lionsgate deducted 20 million in distribution fees, which was 10%, and 10 million in distribution fees that had been paid in advance. The final 70 million was the funds allocated to Liu Zhou and Lionsgate according to the investment ratio.

This time Liu Zhou holds a 30% share and can get 21 million.

The total investment of "Edge of Tomorrow" is 80 million US dollars, Liu Zhou's investment is 24 million US dollars, and the revenue in North America is still short of 3 million to recover the cost.

Of course, in addition to the North American box office, there is also overseas box office revenue.

"Edge of Tomorrow" grossed nearly $150 million overseas, with $30 million coming from mainland China alone.

Lionsgate cannot get such a high share of the overseas box office. On average, it can only get about 35% of the share, which is 52 million US dollars.

From this money, Lionsgate's 12% distribution fee of $18 million must be deducted, leaving $34 million.

Liu Zhou also got 30%, which is 10.2 million, or about 10 million.

Therefore, the total box office share income Liu Zhou can get is 31 million.

Finally, another key source of income is the authorization of various film copyrights.

"Edge of Tomorrow" is a big hit in North America, and its copyright fees are much higher than those of "Source Code".

The five-year licensing fees for various copyrights totaled nearly 50 million US dollars.

This is because Lionsgate's copyright development capabilities are average. If Disney were to take over, it would be able to completely squeeze out the profits from the movie.

Historically, "Frozen" was not only a box office hit, but after the movie was taken off the screen, various copyright development licenses earned 100 million US dollars in just one week.

Of course, the reason why "Frozen" has such a strong money-making ability is also related to the fact that it is an animated film. Selling skirts can bring in tens of millions of dollars.

However, Liu Zhou is already very satisfied with the 50 million yuan he earned from the copyright development of "Edge of Tomorrow".

This part of the money will be divided directly between the two families, and Liu Zhou can get another 15 million.

In other words, Liu Zhou was able to earn 1.9 million from "Edge of Tomorrow" and make a profit of million, equivalent to about million yuan.

Of course, "Edge of Tomorrow" still has a steady stream of income, and Liu Zhou still sold some of his film copyrights to Lionsgate.

"Edge of Tomorrow" is not as difficult to develop a sequel as "Source Code", and it also has a higher box office and greater influence.

So in the end, Liu Zhou sold 30% of his film rights to Lionsgate for US$7 million.

Liu Zhou finally received a total of 53 million US dollars from the project "Edge of Tomorrow".

After confirming that there was no problem, Liu Zhou also signed his name on the document.

"Liu, the money will be transferred to your studio account within a week, but it will be April soon, so don't forget to find a reliable accounting firm to avoid taxes."

"Shite! If you hadn't told me, I would have almost forgotten about it. I feel sad when I think about the American government wanting to share my money."

"Haha, everyone feels bad, but don't evade taxes. The IRS is very powerful. Even gangsters don't dare to evade taxes."

"I know. It looks like I need to spend the money quickly."

"You can buy a private jet, so you can travel more conveniently."

When Liu Zhou heard Edwards' words, his eyes lit up. Buying a private jet was indeed a good choice, and he also needed a plane as a means of transportation.

"Good idea, I'll go and consult later."

Afterwards, Liu Zhou paused and said to Edwards seriously:

"Anthony, I asked you to come to Toronto not only for the settlement of Edge of Tomorrow, but also for something else!"

(End of this chapter)