Chapter 402 Strategy (10/10)_2
Everyone knew that Link was a boxer, singer, and movie actor who knew nothing about managing a company. Over the past two years, he had made more than two billion in net worth by relying on luck and guts to bet on the right stocks.
He personally knew nothing about company management, leaving his companies entirely to professional managers, and he didn't understand much about movie investments either. Could such a person really expand and strengthen a company?
It was simply a pipe dream.
Jumping ship early was definitely a wise choice.
"Mr. Baker, I am willing to sell all my shares to you for two hundred million US Dollars, but I want the remaining Twitter shares under you and eighty-four million in cash."
John Marlon said.
He was also an investor in the media industry, holding shares in many media companies. Holding an additional 2% of Twitter Company shares would add an important piece to his media empire puzzle.
"Mr. Marlon, your proposal is good, but according to the current market, Twitter's market value is increasing by one billion US Dollars per month, expected to exceed ten billion by year-end. Meanwhile, Lionsgate Films' market value has already fallen, even lower than the initial 630 million, making this trade obviously unjust. My proposal is 2% of Twitter shares and twenty-five million in cash."
"Impossible! The current market value of Twitter is 5.8 billion, and 2% is worth 116 million. We can't calculate based on the year-end market value; no one knows how much Twitter will be worth by the end of the year. Although the Twitter market trend is rising, it does not lack the risk of falling."
John Marlon said in a grave tone.
Link couldn't help frowning when he heard the refusal.
After acquiring the initial 26.8% of Lionsgate's shares, he was already burdened with more than two hundred million in debt. Continuing to borrow would mean tens of millions in annual interest, creating some pressure.
"Shares plus thirty million in cash, that is my bottom line."
——
While the two were bargaining in the conference room, in the small meeting room next door, several top executives of Lionsgate Films were frowning and looking solemn.
In recent years, Lionsgate had acquired TriStar Pictures shares and Atison Entertainment to expand its distribution capabilities.
In 2006, it spent over sixty million to acquire Trimark and Debmar-Mercury companies to improve its TV series production capabilities.
In 2009, it spent 220 million to acquire the TV Guide Network.
Last year, it spent fifty million to acquire MGM Studios Distribution Company.
The cost of nonstop acquisitions was a severe financial deficit, with the company initially valued at 630 million but having a 180 million fiscal deficit.
The company was now undergoing tumultuous board changes, with the layman Link becoming the helmsman of the company.
It was foreseeable that the company would face even more severe crises.
Every year, several movie companies in Hollywood go bankrupt and close, and top management talent is at saturation. If Lionsgate Films went bankrupt, they would likely find it hard to secure a job better than their current ones in the circle.
"Ah!"
Steven Bicks sighed; he had never expected that merely because of a movie role, the company would be bought out and the board restructured.
These wealthy people really have whims.
He also remembered President Mandy Gomez's words, if a company's operations must be dictated by outsiders, that company isn't far from bankruptcy.
Indeed, that was the situation at Lionsgate now.
Initially, he couldn't withstand the pressure from the board, did a small favor for Weinstein, which led to the company's acquisition, and if not managed well, the company would soon go bankrupt, costing him his job.
Thinking of this, President Bicks deeply regretted that he should have been firmer and resisted the pressure to not change personnel when he heard John Marlon's instructions, thus avoiding this situation.
Thump thump thump!
The door to the small meeting room was knocked upon, and a plump middle-aged lady stood at the door.
"May I ask if President Bicks is here?"
The middle-aged lady asked.
Bicks saw her, and the muscles at the corner of his eyes involuntarily twitched; last time, she had scolded him in person, causing him days of gloom. Now being sought out by her again couldn't be a good thing.
But the current situation left him no room to evade.
President Bicks took a deep breath and forced a stiff smile.
"President Gomez, nice to see you again."
——
"Mr. Baker, I have a question, and I wonder if you can clarify it for me."
Over the coffee table, John Marlon asked.
"Please ask!"
"What is your purpose in acquiring Lionsgate? Rumors say it's to help your scandal-ridden girlfriend reclaim her role, is that true?"
John Marlon asked.
Link smiled lightly, "Indeed, I initially promised Jennifer Lawrence to help her secure this role. I keep my promises, no matter the cost."
John Marlon frowned his graying eyebrows, somewhat in disbelief, asking, "For an actress, at the expense of several hundred million dollars?"
"I think it's worth it. I'm a boxer; my favorite thing is to defeat opponents and win matches. To me, helping my woman reclaim her role is like a match.
To win this match, I will mobilize all resources within my capacity to defeat my opponents. As for how much money I lose, to me, it's just the fee for a few boxing matches, which I don't mind. What I care about is winning and losing."
Link said nonchalantly.
John Marlon looked at him, stunned by the intense fighting spirit emanating from him.
This was a man who spared nothing for victory, probably why he had become an undefeated king in the ring and a top-level singer on stage.
"I heard that if you clash with Harvey Weinstein, you would also use every possible method to defeat this adversary?"