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America: Beginning with the acquisition of MGM

Reborn in 2002, Eric Cooper became the youngest son of the CEO of MGM. When he woke up, it was already May on the calendar. "What? John Woo's movie 'Windtalkers' is about to be released? My father, the CEO, is about to lose his position because of this?" "No! I have to stop this! I must buy out MGM!" "What? The 2002 FIFA World Cup in Korea and Japan is about to start? I have a bold idea..."

Raaven · Movies
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30 Chs

Chapter 28. After all, the result is what matters, right?

Beverly Hills, the Cooper Family Home

Emily's mom brought over a plate of apple pie. "Eric, how was Israel? Did you manage to visit Jerusalem?"

"Mom, I was there on business, not for vacation, and I only went to the capital, Tel Aviv."

"Isn't Jerusalem the capital of Israel?"

Eric lifted a forkful of pie to his mouth but quickly burned himself. "Phew, Jerusalem is declared the capital by the Jews, but their centuries-long conflict with the Arabs continues, and the international community does not recognize Jerusalem as the capital. So the official capital of Israel for the world is Tel Aviv."

"If you want to visit Jerusalem, I'll find time to go with you. But this time, I was really there for work. I found an actress with a great future ahead of her, and I'm planning to make her the lead in a new film."

"Who is she?" Emily asked with curiosity.

"Her name is Gal Gadot. She's a newcomer, but I'm confident she'll become a star."

She wasn't well-versed in the film industry and rarely took an interest in it, but as a deeply devout Catholic, she really wanted to visit Jerusalem at least once in her life. However, due to her cautious nature, she couldn't go alone, so she still hadn't fulfilled her dream.

Charlie, tearing himself away from the newspaper, asked, "Are you going to sign the betting agreement with Hasbro?"

"Yes, Wul and Bordeaux have probably already reported this to you. I made this decision on the spot and didn't have time to discuss it with you. I'm sorry."

His father sighed, "You're my son, there's no need to apologize. But what's the objective?"

"Hasbro is demanding a 20% increase in royalties, which amounts to $60 million. It's a standard commercial deal. But the betting terms require us to increase toy sales by 100% just to break even."

"You know, the movie business is a high-risk investment. No one can guarantee a film's success. If Hasbro agrees to the bet, it will be a lot of pressure."

Eric understood the seriousness of the situation. He shouldn't have made such decisions alone without discussing them in advance.

"Dad, I understand your concerns. This agreement was an impulsive move on my part. Hasbro may pressure us further. But think about what will happen if we succeed and achieve our goal."

"We'll have a chance to get into the leadership of Hasbro, the country's largest toy manufacturer. If we can…"

But before Eric could finish, his father interrupted him, raising his hand. "Wait, son. All your plans depend on achieving the sales target. But who can guarantee that?"

"As you said, Hasbro will definitely pressure us further. They have the rights to the franchise and are in a winning position. Previously, they might have been satisfied with an extra $10 million, but now they have another choice."

"From my experience, Hasbro won't be satisfied with a 300% increase in sales. That figure could rise to 350%."

"Do you know how much the annual sales volume of toys for the 'Transformers' franchise is? According to professionals, last year it was $291 million."

"That means we need to bring that figure up to $1 billion to meet the bet's conditions. Do you understand how difficult that is?"

Eric rubbed his temples, realizing that explaining his thoughts wouldn't be easy. He couldn't reveal his knowledge of the future.

"Dad, I understand your concerns. Let's discuss this in more detail. I rushed to Israel without fully thinking it through. Now we have time to talk."

"Actually, I don't just want to sign the bet with Hasbro, but I also intend to secretly buy their shares. It will be a huge piece of the pie..."

Just as Eric began to explain, his father suddenly lit up. "Wait... Now it's clear! Shares! How could I forget? You're playing a big game, son!"

"With the bet, we will force Hasbro to quickly transfer the rights to 'Transformers' to us, even if it means paying more. The main thing is to get the rights and eliminate the competition."

"I've heard that Paramount is also interested in 'Transformers.' MGM is not in a better position compared to them, so our only hope is to outbid them. Paramount won't spend that much."

"Once we get the rights and the contract is signed, even if we don't reach the sales target, as you said, the release of toys will lead to an increase in their sales, albeit not as significant."

"The rise in toy sales will boost Hasbro's stock. We'll buy shares on the market in advance, and then we can sell them for a good profit."

"Even if we don't fully cover the bet's costs, obtaining the franchise rights will be worth it."

Understanding the gist of it, Charlie Cooper looked at his son with excitement. "Eric, your financial acumen is impressive. You've thought everything through down to the smallest detail."

Eric was surprised. "I thought it all through?"

Charlie laughed heartily. "Eric, did you really plan all this on your way to Hasbro? You managed to organize everything so quickly, right down to the future?"

Eric awkwardly scratched his head. "Why not?"

"Hahaha... Eric, you are the true pride of the Cooper family. Your brother Joshua is just fooling around somewhere, while you'll be the one to handle the father's business."

"Uh..."

"It's indeed a good plan, so we'll act according to your scenario. I'll start secretly buying Hasbro shares. Eric, how much do you think we can make?"

Eric scratched his chin. "I think at least $200 million."

Charlie Cooper frowned. "With MGM's current working capital, we can't afford large investments. We'll need to figure out where to find additional money."

Seeing his father's enthusiasm, Eric wanted to remind him about caution but decided against it. The main thing is the end result, not the process.

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