China Entertainment: Starting from 07 Kuainan

Chapter 429 Exclusive interviews with Caixin figures

morning.

Lu Yuan signed a series of joint-stock restructuring documents. If everything goes well, Star Media will probably be listed within one to two years.

The tutoring period lasts for one or two years, which is very fast.

After all, not all companies are MY Financial Services. It only took 25 days from the submission of the prospectus to the meeting, and only 100 days from the official announcement of the IPO to the final result.

Shockingly fast.

People inside and outside the industry are really amazed.

What is ant speed?

Although it was eventually stopped by regulators, the speed of ants is still a widely circulated legend in the world.

Star Media is not that awesome and can only follow the process honestly and step by step.

Lu Yuan is relatively confident about the IPO.

At the beginning of its establishment, Star Media's financial structure was very standardized, audited every year, and its financial status was relatively healthy.

The debt ratio is less than 60%, and if you include box office accounts, the debt ratio is even lower.

As long as there are no major policy issues, the IPO will basically be a matter of course.

After running the IPO of Star Media, the next plan is to launch Star Cinema Line on the market.

Nowadays, the real estate industry is already taking off. The little money Lu Yuan earns alone is a drop in the bucket.

Listing and financing is the right way.

If Star Cinema is not listed on the market, it will definitely fall behind when housing prices take off.

Lu Yuan will not sign a betting agreement with those investors like Big Laowang, betting that it will be listed in a certain year.

Small family, don't deal with those gods, be careful not to spit out bones when eating people.

At noon, Lu Yuan had a light meal at the company market, took a short nap, and then met Caixin Media editor-in-chief Wang Shuo in the company reception room.

This Wang Shuo is not the Wang Shuo of the Fourth Young Master in Beijing.

Editor-in-chief Wang really has a lot of skills. He served as the international editor of Renren Daily from 95 to 98. In 98, he joined the well-known magazine Caijing.

Hosted by CCTV.

In 09, following the resignation of financial news queen Hu Shuli, they founded Caixin Weekly together.

"Caixin" has always been famous for its courage to speak out and report, such as "Little Red Mansion" in the magic city, 500 for drinking with you, 900 for dancing while dancing, and 7 to for sleeping with you.

What Ding Shumiao's Red Mansion crew.

Ahem, there are still some things that cannot be written, but they are all reported.

Although its stance is a little to the right, it is indeed one of the media outlets that discloses the most data.

At its peak, it had more than one million paying subscribers, far more than its peers.

It really all depends on the support of peers.

However, once you leave the financial field and enter the political and cultural fields, you have to watch some news selectively.

The main purpose of today’s Caixin interview is to flex its muscles and build momentum for Xingchen Media’s listing.

Before officially starting the interview, Lu Yuan had read the interview outline in advance, and he could talk about anything sensitive.

"Hello, Editor-in-Chief Wang."

"Hello, Mr. Lu."

After a brief exchange of pleasantries, the interview officially began.

Wang: "Recently, film investment has become the latest 'investment' myth. Although the risks are high, investors of all types still flock in like moths to a flame."

"And the reason for all this is related to the fact that the domestic box office of "Now You See Me" exceeded 1 billion US dollars, and the global box office exceeded 500 million US dollars."

"What suggestions do you have for the increasingly hot film market?"

Lu Yuan smiled and said: "Although the film industry has a history of hundreds of years, it is just a 'small business'." Wang: "Small business?"

Lu Yuan: "Yes, last year, the domestic movie box office exceeded 100 billion, an increase of nearly double. However, even if this number were doubled, it would still not be able to catch up with Wahaha's annual sales."

"Furthermore, only about 20% of the movies released make money, 10% break even, and the remaining 7% make losses."

Wang: "Caixin has compiled statistics on the movies released by Star Media. Excluding some young directors, all other movies have a box office of over 100 million. In Star Media, the profit is %."

"What makes these movies profitable? Is it strength? Vision? Or luck?"

Lu Yuan: "Let's have both. Strength and luck are both indispensable."

"The movie box office in the past two years proves that Chinese movies have ushered in a period of golden opportunities. The rapid economic development has also led to growing cultural needs."

"Secondly, commercial films are the product of industrialization. Since it is an industry, it must be inseparable from scientific management methods."

Immediately afterwards, Lu Yuan spoke again, once again advocating the "Troika" model of Star Media.

Producer + screenwriter + director, equal emphasis!

The producer represents capital and commercialization, and the screenwriter + director represents the artistry and entertainment of the film. If both parties reach a relative balance, the quality of the finished film will not be too bad.

It's important to brag about this.

Just like Boss Jia's words of "choking for dreams" and "LeTV Ecosystem", a company must have core competitiveness.

The troika is the engine for the rapid development of Star Media.

Regardless of whether it is public or private, Boss Lu will brag about the "Troika" whenever he gets the chance.

Wang: "That's why you joined the film industry?"

"Correct."

Wang: "In the past two years, more than 100 Star Cinemas have opened across the country. Were you the one who made the decision on such a radical expansion method?"

"I made the decision, but radically?"

Lu Yuan shook his head slightly: "I don't agree with this point. The financial situation of Xingchen Cinema is very healthy, with an asset-liability ratio of only about 50%."

"50?"

"Yes, the main front line of Xingchen Cinema Line is second- and third-tier cities. Compared with first-tier cities, land prices in second- and third-tier cities are relatively cheaper. The investment in one cinema in a first-tier city can be used to build three to four theaters in second- and third-tier cities."

Later, Wang Shuo asked many questions.

"There are many labels on you, such as singer, actor, and businessman. If you choose one of these three identities, which one do you prefer?"

"Singer, singing is a hobby, acting is a hobby, and doing business is for better singing and filming."

Wang: “A research report released by Yien Consulting stated that the scale of China’s film industry will reach 2011 billion in 260, with a year-on-year growth rate of 67%.

Nowadays, among domestic private film and television companies, they either specialize in production (Huayi) or theatrical distribution (Bona). Only Star Media has laid out the entire upstream and downstream industry chain. Isn’t there pressure on Star Media’s capital chain? ? "

Lu Yuan: "Of course there is pressure. Therefore, Star Media has recently launched an IPO plan and is preparing to impact A-shares."

The interviews that follow are all 'scripts' and are the real meat and potatoes of the show.

The whole industry chain, the upstream and downstream layout, and the domestic blockbuster plan are both the company's strategic goals and gimmicks.

Although these things are very fictitious and look like a big pie, after the company went public, the stock price soared, and it really depends on these 'concepts'.

For a boss who doesn't know how to speculate on "concepts", why should he go to the A-share market?

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PS: Caixin has focused on Hengtai’s debt crisis since 15.

That year, Hengtai’s debt was disclosed to be RMB 3620 billion.

Note: Perpetual bonds are not included. The actual debt is more than this. The net debt ratio calculated by investment banks such as Morgan is 280%. Foreign institutions have given selling suggestions and suggested that Hengtai’s share price be set at HK$3.

Cathay Pacific, Haitong, CITIC Construction Investment and other domestic securities firms gave buy recommendations, and Haitong even set the share price of Hengtai at HK$12.15.

Facts have proved that foreigners may understand finance, but they don’t understand Hengtai

In the field of finance and economics, Caixin is indeed professional. In other places, benevolent people have different opinions.

(End of this chapter)