Chapter 305

After the reorganization of Dianmao, Cathay Films was owned by Zhu Guoliang, the brother-in-law of Dianmao's boss Luk Yun-to. He felt very powerless about the business left by his brother-in-law.

The production business is falling apart.

Without capital injection, Cathay Pacific can no longer afford to support so many employees.

The only big director left is the veteran Wang Tianlin, and the big actors who had several film contracts also went their separate ways. For example, Lo Di, who had 6 film contracts, became a freelancer and founded the Golden Eagle Film Company.

If Shaw Brothers had not cut its costs by half, I'm afraid everyone would have invested in Shaw Brothers.

Why did Shaw Brothers cut the cost by half? Because Shaw Brothers transferred this part of the funds and invested in TVB.

Uncle Shao Liu felt that television was the future development direction, so he cut expenses in the film industry, and his vision was not wrong.

Even Shaw Brothers, the dominant company, feels that the film market is failing. What else can Cathay, which is struggling to survive, do?

He had previously attended Wang Yuanchao's selection member celebration reception. It seemed like he had some ideas. After all, his "Long Live the Madam" at the beginning of the year gave people some hope.

At the party, everyone just got to know each other briefly, and that was all.

At this time, the Xi brothers negotiated with him and said that Wang Yuanchao was interested in acquiring Cathay Pacific. This made him a little tempted. He really couldn't handle this mess anymore.

But he was also worried that if he sold all these businesses, people would say that he was selling his father's land without any regret.

After thinking for half a month, he decided to talk to Wang Yuanchao.

If even the third generation of the Lu family doesn't care about this industry, and we can cut losses in time, what's there to not talk about?

After Lu Yuntao and his wife died in a plane crash, because they had no children, the Lu family property could only be inherited by his eldest brother and eldest son. This nephew was 6 years older than Lu Yuntao.

His uncle died because of the film industry, so this eldest nephew was not interested in the film industry. It was only because Zhu Guoliang couldn't bear to see his brother-in-law's hard work go to waste that he took over.

As a result, after a few years, I found that I was not cut out for it, and the scale of my business became smaller and smaller.

Zhu Guoliang invited Wang Yuanchao to his home, and the Xi brothers and sisters were also there to accompany him. This way, they could attack or defend, so as to avoid direct business negotiations outside, which would cause discord. After all, Cathay Pacific could hold on, so it was better not to make too many enemies.

When he arrived at Zhu Guoliang's mansion, Wang Yuanchao suddenly felt that his own thousand-foot villa was a bit too small.

Now he is also a big boss with a net worth of over 100 million! Although most of his debts are bank debts, if the real estate business takes off, his net worth will soar, right?

I have a really hard time!

However, one should not be too rude when visiting someone else's home, but he still quietly included finding a luxury house in his plan.

Negotiations are always held in offices, hotels or clubs, but sometimes they still need to be held at home to entertain guests. The meaning and function are completely different.

After lunch, they chatted for a while and then the Xi siblings left on the pretext of having something to do. They would not be able to participate in the subsequent negotiations.

So Wang Yuanchao and Zhu Guoliang were the only ones left in the huge living room.

Zhu Guoliang said:

"Mr. Wang, come to my study and have a chat?"

Wang Yuanchao said politely:

"It's disrespectful!"

Zhu Guoliang smiled and said:
"please!"

The servant brought fresh tea. After the meal, everyone had become more familiar with each other. Zhu Guoliang spoke frankly:
"Mr. Wang is interested in Cathay Pictures, but I don't know how sincere he is."

Wang Yuanchao smiled and said:
"We need to see first whether Mr. Zhu intends to sell all of it or only sell part of it."

Zhu Guoliang narrowed his eyes:
"How is the whole all? How is the part a part?"

Wang Yuanchao leaned forward and said:

"If it's part of the deal, it means selling Yonghua Film Studio. If it's all of the deal, it means selling some of the cinema chain shares."

Zhu Guoliang asked, half doubtful and half seeking confirmation:

"If it's all, then you're only going to sell some of the theaters? Not all of them?"

Wang Yuanchao smiled and said:
"Even if I want to take over all of it, it's better to buy some shares and cooperate to achieve a win-win situation. I think Mr. Zhu would be reluctant to give up the business he has worked so hard for so many years."

If there was no Lu family, the local boss, how could Wang Yuanchao compete with his rivals and develop the cinema chain he bought? With the Lu family, many things didn't even require any consultation, but with a new boss, many things would be very difficult and could not be digested, absorbed, developed and expanded overnight.

Zhu Guoliang smiled. This Wang Yuanchao is indeed worthy of his reputation! Having such a clear-headed boss may not be a bad thing for Cathay Pacific. Lu Rongzhang, the third generation of the Lu family, is not interested in his uncle Lu Yuntao's film industry, but if this industry needs some small support from the Lu family, he will not refuse.

Zhu Guoliang said slowly:
"Then Cathay Pacific has 117 cinemas in Singapore, Malaysia and Hong Kong..."

This number is really not that large. Shaw Brothers has more than 170 cinemas in Singapore, Malaysia and Hong Kong. However, the hardware and software environment of Cathay Pacific’s cinemas are much better than those of Shaw Brothers. Many cinemas even have air conditioners installed!

Wang Yuanchao said quickly:

"Mr. Zhu, my idea is this:

As for Hong Kong, I hold the majority of shares, and as for Singapore and Malaysia, the Lu family holds the majority of shares.

The Lu family's base is in Kuala Lumpur, and my base is in Hong Kong. We all have our own strengths, and it would be better if we each take charge of a certain area and work together."

Wang Yuanchao can get loans for the cinema chains in Hong Kong, but how can he get loans for the cinema chains in Singapore and Malaysia?

Moreover, the land and housing prices in Hong Kong are going up soon, and the four Asian tigers are just around the corner. It's fine to spend the money in Singapore, but spending it in Malaysia? This is not a good time.

Zhu Guoliang thought about it and it made sense. No matter who showed the movie, they still needed a cinema.

Cathay Pacific’s film production business has collapsed, but its cinema business is actually still okay.

The cake was marked out, and then it was time to bargain.

The cinema chain’s land and real estate will naturally be calculated based on the current market environment.

Recently, influenza has been raging in Hong Kong and the cinema business has been greatly affected. Wang Yuanchao has arranged people to monitor and count these data, and the income of cinema chains is almost transparent.

Zhu Guoliang did not expect the other party to be so meticulously prepared. He sighed at the youth and also lamented that the other party must really want to do this business, otherwise he would not be so meticulous.

Finally, Zhu Guoliang was willing to make a move, so he did not ask for an exorbitant price. Wang Yuanchao was also very sincere and did not pay back the money. The two sides quickly reached a cooperation agreement:
Cathay completely divested its film production business, and all production staff and equipment were taken over by Wang Yuanchao's Starlight Pictures. The contractual benefits of the employees were also fulfilled by Starlight Pictures. Together with Wing Wah Film Studio (after Zou Wenhuai left Shaw Brothers to establish Golden Harvest in 70, he raised 71 million in 200 and bought Wing Wah Film Studio from Cathay, which was converted into Golden Harvest Studio), the total price was 100 million.

Wang Yuanchao invested HK$15 million to acquire 500% of the shares of Cathay Cinemas' 67 cinemas in Hong Kong, but the cinema chain is still called Cathay Cinemas.

Wang Yuanchao had never visited any of Cathay Cinemas' 102 cinemas in Singapore and Malaysia. He was unfamiliar with the area and could not negotiate prices. It would be very expensive to inspect all of them.

However, because of the cooperation between the two parties in Hong Kong, it will be of great benefit to Starlight Pictures' future overseas film business.

Zhu Guoliang finally got rid of the burden in Hong Kong, and Wang Yuanchao was very considerate and retained the Cathay Cinema Line. Because of the other party's thoughtfulness, Zhu Guoliang was embarrassed to ask for too high a price, fearing that Wang Sheng in front of him would not be able to run the business, and finally he still smashed his second brother-in-law's favorite.

Once the two sides have finalized their intentions, the formalities will naturally have to be handled by the law firm.

Zhou Qibang learned that Wang Yuanchao had made another large-scale acquisition of cinema and film businesses. In the past, he would have definitely wanted to get involved, but at this moment, firstly, he was not optimistic about the film business, and secondly, he was mainly broke, as all his funds were concentrated in real estate.

He was still wearing a mask and couldn't help but ask with concern:

"Brother, do you still think highly of the current film industry?"

Wang Yuanchao smiled and said:
“Always optimistic.

Radio, newspapers, movies, that’s what I keep talking about.”

Zhou Qibang thought about the depressed film industry in the second half of 68. It was almost the New Year of 69, and there was still no sign of recovery. He couldn't understand this investment.

With this money, it would be good to buy land and buildings directly. At least, the prices of land and real estate are rising steadily. At least Wang Yuanchao's original prediction was correct. The income is much higher than that of the film industry!

Shaw Brothers is shrinking its film industry!
These are no secrets to the upper class.

But as a brother, since the other party has thought it through, just a reminder is enough, so he doesn't say much.

“Hong Kong has been hit by many disasters in recent years.

First there was the economic crisis in 65, which caused banks to collapse and land prices to fall.

It finally stabilized, and then the scene of 67 came again, with everyone selling their assets and emigrating abroad.

The situation has finally warmed up a bit, but the virus that broke out in the second half of last year shows no signs of abating.

But in our family, we followed your suggestions meticulously, and luckily no one caught a cold.

But seeing that you are still so energetic and optimistic about investing in Hong Kong, my heart is actually a lot more at ease, hahahaha!"

Naturally, the people below would take care of the matter. Wang Yuanchao chatted with Zhou Qibang and said:

"Health comes first. Otherwise, it would be so painful if you were dead but didn't spend all your money, right?"

(End of this chapter)