novelones Chapter 1001 Returning to Hong Kong
Chapter 1001 Returning to Hong Kong
After explaining all the film talents he wanted to recruit to Ivan Fuller, Lin Haoran did not stop.
Before returning to Hong Kong, he had to make arrangements.
After Ivan Fuller left in a hurry, he picked up the phone and called John Reed.
This time, he is going to entrust Citigroup to acquire a company that is very important to the future of MGM Studios.
This company is none other than Marvel Comics!
Unfortunately, he couldn't acquire DC Comics, otherwise he would have wanted to acquire DC Comics as well.
Warner had already snapped up this company, making it a wholly-owned subsidiary and a core asset of Warner.
A few years ago, the Superman movie grossed $3 million worldwide, which made Warner Bros. realize the huge commercial value of DC superheroes.
Therefore, Warner Bros. has long been cultivating DC Comics as its own "Disney" and would never sell the rights to any of its core characters.
It is said that Warner Bros. is already preparing for "Superman 3" and "Batman" projects, and its level of attention to DC can be said to have reached its peak.
Since they can't acquire DC Comics, they can only acquire Marvel Comics.
Moreover, now is the perfect time to acquire Marvel Comics!
1983 was arguably one of the darkest periods in Marvel Comics' history. Comic sales continued to decline, traditional retail channels were disappearing, and the company could barely survive with only 3000 comic book stores. All the Hollywood giants looked down on Marvel's superhero movies, believing that "people in tight suits fighting bad guys" was trash for children.
It's fair to say that Marvel's current mindset is that they'll sell anything as long as someone pays them.
Not only can you buy the rights to a single character, but you can even buy the entire company.
Spider-Man, Fantastic Four, Iron Man, Captain America, Thor, Hulk, X-Men, Punisher, Doctor Strange, Black Panther, Ant-Man...
As a time traveler, Lin Haoran was all too aware of the value of these characters.
In another world, Marvel later used these characters to build the Marvel Cinematic Universe, which grossed over $25 billion worldwide, becoming Hollywood's most profitable IP empire.
Marvel is now just a comic book publisher on the verge of bankruptcy, barely able to pay salaries. Marvel's comic book sales have been declining for several years, traditional newsstand channels are shrinking, and newly established comic book specialty stores are not enough to support the entire industry. The company is heavily indebted, and shareholders just want to get rid of this loss-making comic book company as soon as possible.
Once MGM acquires Marvel Comics, the number of IPs available to it will increase significantly, no longer relying solely on the two old IPs, 007 and Rocky!
It can be said that buying Marvel was the most worthwhile investment Lin Haoran made, and he already had this plan when he acquired MGM Studios.
In later years, Marvel has far surpassed DC Comics in terms of film and commercial performance. Although it is a pity that Marvel could not acquire DC Comics because its films were too scattered and its style was inconsistent, Lin Haoran did not feel very regretful.
With Marvel, that's enough.
Now that the privatization of MGM Studios is nearing completion, it's time to acquire this future super IP empire.
He picked up the phone and dialed John Reed's number.
The phone rang twice before being answered.
"Lin, why are you calling at this hour?" John Reed's voice sounded tired, clearly indicating that he had been very busy with work at Citibank recently.
In particular, Citigroup Chairman Walter Riston has accelerated the grooming of John Reed as his successor, and has now handed over most of the day-to-day management affairs to John Reed, whose responsibilities are much heavier than before.
“John, there is indeed something I need to trouble you with. I want to acquire a company, and I need you to arrange for Citibank’s team to make contact and complete the due diligence and negotiations as soon as possible,” Lin Haoran said with a smile.
"What company?" John Reed asked curiously.
A company that Lin Haoran takes a liking to must have something unique about it.
Especially since MGM is in a bad situation right now, Lin Haoran didn't think about how to deal with the joint suppression from Hollywood giants, but instead continued to acquire other companies, which made John Reed even more curious.
“Marvel Comics!” Lin Haoran said directly.
There was a few seconds of silence on the other end of the phone.
John Reed apparently searched his memory for the name, then said, "You mean that comic book company that publishes Spider-Man and Hulk? Lin, what are you buying a comic book company for? Aren't you in the movie business?"
“John, if you check Marvel’s financial situation for me, you’ll find out. The company is cheap right now, heavily indebted, comic book sales are declining, and shareholders are eager to sell. I think this company might be useful to MGM!” Lin Haoran replied with a smile.
“How much are you willing to pay?” John Reed continued.
“I’m not sure about that, but Marvel shouldn’t be too expensive right now, maybe tens of millions of dollars at most. My bottom line is fifty million dollars. If it’s more than that, then you can talk to me about it.”
In fact, tens of millions of dollars would be enough to acquire Marvel today. Three years later, New World Pictures acquired the entire Marvel Entertainment Group for $46 million. Now, during Marvel's darkest period, the price will only be lower.
Of course, Lin Haoran didn't get to decide the price; only Citibank could help negotiate it.
However, he also believed that Citibank would not let him suffer losses in this matter.
John Reed was his ally, Citigroup was his partner, and he was one of Citigroup's executive directors; they shared common interests.
Moreover, Marvel, a comic book company on the verge of bankruptcy, is not worth much in the eyes of Wall Street. Citigroup's negotiation team has plenty of ways to drive the price down to the lowest possible level.
“Under fifty million dollars?” John Reed pondered for a moment. “Lin, are you sure you want to spend that much money to buy a loss-making comic book company? Do you know how many movies fifty million dollars can make?”
“I have my own ideas, John. Just go ahead and help me with the acquisition. If the deal goes smoothly, Citibank can connect with Ivan Fuller. After the acquisition, Marvel will become a wholly owned subsidiary of MGM!” Lin Haoran didn’t intend to explain too much to John Reed.
He was able to acquire Marvel Comics at the lowest possible price because everyone else thought it was a mistake.
If he were to reveal Marvel's potential value now, the news would surely ignite a reaction from the six major studios.
At that point, let alone 50 million US dollars, even 500 million might not be enough to win over Marvel.
This is not an exaggeration; it is the harsh reality of business competition.
Although he believed John Reed wouldn't reveal these things, he didn't need to show all his cards.
Marvel's value is something he knows in his heart, and that's enough.
Once the acquisition is complete, and once Spider-Man, Fantastic Four, Iron Man, Captain America, Thor, Hulk, and other movies are released, John Reed will naturally understand why he spent tens of millions of dollars to buy a loss-making comic book company.
By then, he won't need to explain; the numbers will speak for him.
Upon hearing this, John Reed didn't ask any further questions and said directly, "Okay, I'll send the team responsible for merger and acquisition negotiations to Marvel headquarters tomorrow to contact Marvel shareholders, conduct due diligence and negotiations simultaneously, and strive to negotiate a price as quickly as possible. Lin, don't worry, Citibank won't let you suffer losses in this deal."
“I trust you to handle things. Once it’s all done, Citibank will just collect the commission according to the rules,” Lin Haoran said with a smile. “John, when we’re not talking about personal matters, let’s keep things professional. You help me, I pay you—it’s only fair.”
“By the way, Lin, there’s something else I need to tell you. Of the 45 buildings you selected in New York, 43 have already been sold, and the remaining two have also been agreed upon and are going through the final transfer process. This can be considered a conclusion for you!” John Reed laughed heartily.
"That's good news. Once all 45 buildings in New York are secured, Huanyu Property Management Company will have grown significantly," Lin Haoran said with satisfaction.
He only buys buildings in the most central locations in Manhattan; he won't buy any in less desirable locations, so he never has to worry about renting them out.
Next, Huanyu Property Management Company only needs to manage the property and collect rent normally.
The best time to sell will be when Japanese people flock to New York and drive up housing prices. At that time, he can sell directly to Japanese conglomerates at a high price.
When Japan's economic bubble burst and those Japanese conglomerates that bought at the peak suffered huge losses, Lin Haoran would have already used his profits to buy up even better assets at rock-bottom prices.
He had seen this kind of cross-cycle arbitrage operation countless times in his previous life and knew it by heart. The New York housing market began to recover in the late 1970s, and would experience a strong surge in the mid-1980s, reaching its peak in the late 1980s, before being dragged down by the bursting of the Japanese bubble and entering a period of adjustment.
If he holds onto these buildings in prime Manhattan locations patiently for a few years, he can easily sell them for several times his original value.
While it can't match the returns of dozens of times that can be found in the financial industry, it has the advantage of stability.
Moreover, he has too much capital at his disposal, and it's impossible for him to invest it all in the financial industry. This would completely disrupt the normal order of the entire financial market and attract excessive attention from regulatory authorities.
Without a strong enough political background, Lin Haoran had no intention of getting himself into such big trouble.
This is also the biggest reason why he invests in multiple fields.
"Lin, don't worry, New York is our territory. Citibank will keep an eye on your Universal Property Management Company. There won't be any problems. But then again, Lin, you've really made quite a splash in America this time."
"Buying 45 Manhattan buildings, acquiring two MGM subsidiaries, and now you're planning to enter the luxury goods and sports industries, and now you're planning to acquire Marvel Entertainment Group—are you trying to buy up all of America's industries?" John Reed said, half-jokingly and half-asleep.
Lin Haoran spent billions of dollars on this trip, no wonder John Reed was so impressed.
Even Citibank wouldn't dare to invest like that.
Citibank now manages total assets of around $150 billion, making it the world's largest commercial bank. However, most of the funds in this portfolio do not belong to Citibank but are depositors' savings. Therefore, even a large and powerful company like Citibank is extremely cautious when investing in projects exceeding $100 million.
“John, I’m not trying to buy up all the industries in the United States. I just think that as the world’s largest economic market, the United States is worth investing in on a large scale,” Lin Haoran said with a smile.
“Lin, I’ve noticed that even when faced with the combined exclusion and even blacklisting of the six Hollywood giants, you don’t seem flustered at all. Are you so confident that MGM can turn things around?” John Reed couldn’t help but ask the question he had been wanting to ask for a long time.
"Of course, when I acquired MGM, I was already prepared to be targeted by a coalition. Don't worry, why would I have acquired MGM Studios if I wasn't absolutely certain?" Lin Haoran laughed.
Upon hearing this, John Reed stopped asking questions and said thoughtfully, "Okay, I understand. I won't bother you anymore unless it's something else. I'll arrange for someone to have the team study the information on Marvel Entertainment Group first, so that the team will be well-prepared before contacting their shareholders tomorrow!"
"Yes, thank you for your hard work, John!"
"It's all my duty."
After hanging up the phone, Lin Haoran breathed a sigh of relief.
With Marvel entrusting the acquisition to Citigroup, it should be a sure thing.
Marvel's headquarters are actually in Manhattan, not far from Citigroup's headquarters. Citigroup has an excellent grasp of Marvel's situation.
Marvel's financial situation, shareholder structure, debt situation, and copyright ownership are all readily available in Citibank's database.
The acquisition team doesn't need to start due diligence from scratch; they only need to organize and analyze existing data to produce a detailed evaluation report.
This is why Lin Haoran chose to let Citibank handle the operations: it's fast, accurate, ruthless, and it prevents leaks.
For the time being, he has made all the necessary arrangements in the United States, and now it's time for him to return to Hong Kong.
His Hawker Beechcraft long-range luxury business jet, which had previously taken Ho Sin-hang back to Hong Kong, has now flown to Los Angeles.
In other words, he can return home tomorrow on his own private jet.
Speaking of which, this trip has indeed lasted quite a long time, almost two months now, and he really misses his daughter Lin Leyi and son Lin Yaoguang.
The two babies are six months old and five months old respectively.
When Lin Haoran occasionally called Guan Jiahui or Guo Xiaohan, he would hear the two children babbling beside him, as if they were greeting him or asking when he would be back.
Every time he hears his daughter's and son's voices, a feeling of inexplicable tenderness wells up in his heart, a feeling that is different from making a lot of money from investments.
Making a lot of money is a happy thing, but it's just a mental happiness, not a real feeling.
The voices of my daughter and son go straight to my heart, warm and comforting, making me want to drop everything and fly back immediately.
Stepping out of his office, Lin Haoran stood in the corridor of the Irving Talberg building, gazing at the quiet MGM Studios campus, and couldn't help but stretch.
Hopefully, MGM Studios will be different next time I visit!
Before we knew it, it was January 10th.
There are only two days left until Lunar New Year's Eve.
At nine o'clock in the morning, Lin Haoran, accompanied by Li Weidong, Li Weiguo, Liu Xiaoli, and several other bodyguards from Hong Kong, arrived at Los Angeles International Airport.
Here, he met up with Su Zhixue, the general manager of Huanyu Investment Company, who had arrived in Los Angeles the previous night.
Previously, Lin Haoran had approved Su Zhixue and others to take a month-long vacation to return to Hong Kong after completing their Latin American plans. Since he was also preparing to go back, he asked Su Zhixue to take the private jet with him.
Su Zhixue, carrying a light suitcase, walked quickly to Lin Haoran's side and greeted him respectfully, "Good morning, boss."
"Good morning, Zhixue. Where are your wife and children?" Lin Haoran asked, somewhat surprised.
“I arranged for them to go back a week ago. Many of my relatives in Hong Kong have never seen my one-year-old daughter, so I thought I'd take her back to show the elders during the Lunar New Year,” Su Zhixue explained with a smile.
Lin Haoran nodded and didn't ask any more questions.
Su Zhixue followed him, and his net worth was converted into Hong Kong dollars, making him a billionaire. Now that he has returned to Hong Kong, it can be considered a triumphant homecoming.
When he left Hong Kong, he was just an ordinary middle-class man. Now he owns a mansion, a luxury car, tens of millions of dollars in assets, and has a lovely daughter.
All of this was due to his efforts, but even more so because he met Lin Haoran.
Of course, all of this is also because his loyalty to Lin Haoran is 100%. Otherwise, Lin Haoran would not have been able to cultivate him or entrust such an important company as Huanyu Investment Company to him.
The group boarded the plane through the VIP channel.
The cabin of the Hawker Beechcraft long-range luxury business jet was spacious and comfortable. Lin Haoran sat down by the window, Liu Xiaoli sat next to him, Su Zhixue sat opposite him, and Li Weidong and Li Weiguo sat in the back row.
The flight attendant brought over hot towels and drinks. Lin Haoran took a cup of coffee, slowly sipped it, and gazed out the window at the runway of Los Angeles International Airport.
The plane taxied, accelerated, and took off. The fuselage gave a slight jolt, and the ground outside the window quickly receded into the distance.
Los Angeles unfolds in the morning light like a giant gray carpet, with palm trees casting long shadows on the streets and the distant sea shimmering in the sunlight.
During his few days in Los Angeles, he didn't really explore the city properly, basically just going back and forth between his hotel and Hollywood.
However, he already has his own company in this city, and this will definitely be a place he frequents in the future, so there's no rush.
The plane cruised over the eastern Pacific coast at top speed, refueled once in Anchorage, passed the Aleutian Islands, and then headed south along the south side of Honshu Island, Japan. After 17 hours, the plane finally arrived over Hong Kong.
When Lin Haoran saw the familiar coastline of Hong Kong, he finally felt at ease.
Outside the porthole, the waters of Victoria Harbour shimmered with golden light under the sun, and the mansions on Victoria Peak were partially hidden among the green trees. He even recognized the Lin family mansion on Shi Xun Road, which belonged to him, at a glance, and Lin Haoran's mood became increasingly unsettled.
After being away for a while, he suddenly realized that he really missed home. (End of Chapter)