Chapter 372: DreamWorks

Two years ago when Arthur acquired AOL shares, the price was only around 12 dollars. Now, what's the current price? 36 Dollars per share.

At that time, Arthur even paid a 50% premium to acquire it for $65 million in cash. Now Paul Allen wants his shares?

Arthur seemed to understand, "You want Microsoft to take control of AOL, don't you?"

Paul Allen left Microsoft's board in the 1980s due to illness, then returned to the board in 1990 after recovering, serving in management.

"It's useless; AOL's management won't give up the company. If Microsoft attempts a hostile takeover, it would trigger the poison pill mechanism!"

Paul Allen smiled helplessly, "It seems you have high hopes for America Online."

Arthur nodded, clearly. Although Arthur had just acquired over 3 million Microsoft shares, California Pacific Investment Company's focus was on new technology stocks like America Online, Dell, and Cisco, companies with extremely high P/E ratios.

"Alright, when it comes to assets, I shouldn't compare with you," Paul Allen patted Arthur on the shoulder, "Tonight, Hollywood's Jeffrey Katzenberg and Steven Spielberg are talking to me about investing in a movie company."

Currently, Microsoft is valued at over $35 billion, and Paul Allen's share in the company has dropped to below 10%.

In 1986, when Microsoft went public, Bill Gates and Paul Allen held 45% and 15% of the shares, respectively. In recent years, Paul Allen had been reducing his Microsoft holdings.

Arthur twitched at the corner of his mouth, ignoring the topic of net worth. Microsoft's stock price was performing quite well!

"Jeffrey Katzenberg is teaming up with Spielberg to start his own company, huh?" Arthur knew DreamWorks was about to be founded.

Paul Allen nodded, "I'll step away for a bit; let's chat again if there's a chance?"

Following Paul Allen's direction, Arthur indeed saw Jeffrey Katzenberg and Steven Spielberg talking with David Geffen.

David Geffen wasn't short of money, and as an investor, Paul Allen certainly wasn't either, but Paul Allen would purely be an investor, not involved in company management!

"How's it going, Arthur? Hollywood is going to get even livelier," suddenly, MCA Universal Chairman Lew Wasserman approached Arthur. "Jeffrey Katzenberg, Steven Spielberg, and David Geffen, three top Hollywood figures, are starting a movie company. Paul Allen from Microsoft and South Korea's Samsung Group are investing!"

"Hmm, Samsung? Since when did Samsung invest in movies?" Arthur was puzzled.

Lew Wasserman chuckled, "The first sugar group in Samsung's conglomerate, CJ. Although it hasn't separated from Samsung yet, it's already independent."

Arthur understood immediately. The current chairman of Samsung was Lee Kun-Hee, the second-generation chairman following the previous chairman Lee Byung-Chul.

Some shares of Samsung's first sugar company and Samsung Fire & Marine Insurance were assets left by Lee Byung-Chul to his eldest son's family, Lee Maeng-Hee.

The second son, Lee Chang-Hee, who was exiled to America, only got Samsung's first synthetic fiber. He passed away three years ago, and Samsung's first synthetic fiber was renamed Saehan Group but did not develop much.

"CJ produced a movie two years ago and now plans to officially enter the entertainment industry. After all, it's South Korea's largest food group with considerable strength," Lew Wasserman said, pointing.

"That woman just now is CJ's Vice Chairman Lee Mi-Kyung, the eldest daughter of Lee Maeng-Hee, in charge of entertainment business. Lee Mi-Kyung knows Spielberg. Initially, they wanted Samsung to invest, but Samsung had conditions for the new company's business, so it was directly rejected."

"So, Lee Mi-Kyung plans to have CJ invest directly in Spielberg's new company!"

Arthur sat on the sofa. Of course, he knew about CJ Group. Currently, it's run by Lee Maeng-Hee's wife, Sohn Bok-Nam, and his brother-in-law, Sohn Kyung-Jik.

Lee Maeng-Hee is only an honorary chairman without power, while his son, Lee Jae-Hyun, and daughter, Lee Mi-Kyung, are vice chairpersons.

"Has the new company been named?" Arthur asked deliberately.

"DreamWorks!" Lew Wasserman's tone wasn't great. After all, Steven Spielberg had always maintained close cooperation with Universal. Last year's dinosaur blockbuster, Jurassic Park, that dominated the global box office was still fresh in memory.

Now that Steven Spielberg was going solo, Lew Wasserman's feelings were understandably not good.

"DreamWorks," Arthur nodded, then looked at Lew Wasserman, "I've heard Michael Crichton's sequel novel to Jurassic Park, The Lost World, is about to be published, right? The sequel movie, The Lost World: Jurassic Park, shouldn't be far off!"

Michael Crichton was a writer for ER and one of the writers for the disaster movie Twister.

Of course, Arthur knew about Michael Crichton's new novel, The Lost World: Jurassic Park.

"It should be published next year. Crichton is still refining the novel," Lew Wasserman didn't see a need to deny it. Universal had already negotiated with Steven Spielberg's Amblin Entertainment about the sequel, and the script adaptation had begun.

"The founding of DreamWorks, its influence is like night and day compared to the founding of Galaxy," Arthur wasn't worried, but other film companies would be different. After all, Jeffrey Katzenberg and Steven Spielberg were renowned figures in Hollywood.

Spielberg's position as the world's top director was very solid, and Jeffrey Katzenberg's last animated film for Disney, The Lion King, speaks for itself.

The Lion King has currently grossed over a hundred million in North America, plus another 300 million overseas, a trend similar to last year's Jurassic Park.

Galaxy's Forrest Gump was released a month before The Lion King. Now it's also grossed two hundred million dollars domestically, but Forrest Gump's overseas box office has just surpassed 200 million.

After chatting with Lew Wasserman, Arthur planned to meet with Lee Mi-Kyung. Currently, MGM International was vigorously expanding in international markets.

Besides Japan and Hong Kong, other regions in Asia and Eastern Europe, including Korea and Russia, required proper preparation.

Since CJ wanted to make a name with DreamWorks' movies, the current booming MGM wouldn't refuse.

*****

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