Domination in America, Starting from being a Boxing Champion

Chapter 491 - 402: Strategy (10/10)



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After obtaining Jon Feltheimer's shares, Link's stake in Lionsgate Films grew to 55.5%, surpassing half and thus securing control of Lionsgate Films.

In order to gain full control over Lionsgate, he extended a takeover offer to the second-ranked shareholder, John Malone.

The other party quoted $280 million US Dollars.

Link refused, only agreeing to purchase his 32.2% stake based on the price when Lionsgate Films had a market value of $630 million half a month earlier, around $200 million US Dollars.

John Malone declined.

Link didn't mind; he notified the entire company to convene a board meeting, announcing the acquisition of Palm Beach Films for $150 million US Dollars.

This decision was immediately opposed by the second-largest shareholder, John Malone.

Though Palm Beach Films had produced a blockbuster last year and had two movies ready for release, no matter how you calculated it, its market value did not reach $150 million US Dollars—it was at most $50 million.

But the price offered by Link was also based on a detailed assessment by a Wall Street consulting firm and had been approved by the arbitration committee, making it very appropriate.

Moreover, he was the major shareholder and chairman of the board of Lionsgate Films, with more than half of the voting rights in his hands.

That is to say, what he said now at Lionsgate Films counted for everything, and as for the other shareholders, to be accurate, there were now only two shareholders left on the board, he and John Malone, together accounting for 87.7% of the shares.

The remaining 12.3% rested in the hands of the Lionsgate management and average stockholders, each holding less than 5% and without the right to participate and vote at the joint board meeting.

"Mr. Baker, I think we need to talk."

In the large conference room of Lionsgate Films, John Malone looked across the long table and called out to the young man opposite him.

At this point, both he and Link were dressed in black suits, with Link sporting a meticulously styled haircut and polished appearance, looking serious and orderly while exuding the aura of a billionaire, commanding no small measure of respect.

"Sure!"

Link smiled lightly and also looked towards the other man, a 69-year-old yet still sprightly old man.

Lionsgate Films' CEO Steven Bicks voluntarily stood up and left the conference room.

Following him were the Executive Vice President and Chief Strategy Officer Michael Burns, Chief Operating Officer Brian Goldsmith, General Counsel Wayne Levin, Chief Financial Officer James Bachi, and Chief International Business Officer Andrew Kramer, as well as other senior leaders of Lionsgate Films.

After everyone had left, only two men and two assistants remained in the conference room.

"Mr. Baker, I can sell you the remaining shares, but not for $200 million US Dollars."

John Marlon spoke in a heavy tone.

"Mr. Malone, I believe $200 million US Dollars is a very suitable figure. If you don't believe it, just wait until the media releases the news that Lionsgate Films is acquiring Palm Beach Films for $150 million US Dollars. The stock price and market value of Lionsgate Films will plummet.

Our shares will shrink by more than half, and by then, Mr. Malone, it would be impossible for you to sell your shares for $200 million US Dollars."

Link spread his hands and laughed.

John Malone furrowed his graying eyebrows, feeling quite displeased.

Not long ago, at the request of his old friend Harvey Weinstein, he had intervened in the casting for "The Hunger Games".

For him, a major shareholder, it was a simple matter of speaking a single sentence, with no difficulty at all.

But what followed was beyond his expectations.

No one expected that Link, Jennifer Lawrence's rumored boyfriend, would go to such lengths over such a trifling matter—resorting to borrowing $200 million and selling popular stocks just to acquire Lionsgate Films.

This approach was too extreme and completely unexpected.

To teach Link a lesson, he too bought Lionsgate Films' stocks to become the largest shareholder.

He had originally planned to collaborate with Jon Femler on the board to suppress Link, but then came yet another surprise—Jon Feltheimer turned around and made a deal with Link, trading all his shares for 3.2% of Twitter stocks.

After receiving this news, he was disappointed but also understood Fellemay's choice; at the current moment, Twitter stocks were trending well in the investment circle, more valuable than the fluctuating Lionsgate shares.

Had he been in the same position, he too would have made the trade.

Only at the time Link hadn't proposed such a deal.

Now with only two remaining on the board and Link holding more than half of the voting rights, he had complete control over the board. If he insisted on making some foolish moves and ran Lionsgate Films into the ground, his own shares would be reduced to worthless paper.

John Malone looked across at the vibrant and vigorous young man, who at the age of 22 was already worth over two billion, while he himself had only amassed just over one billion after more than forty years in investment banking.

Compared to Link, John Malone had to admit he was truly getting old; it was now the era of the young.

"Mr. Baker, $250 million—I'll sell you all my shares, and henceforth Lionsgate Films will belong to you alone."

John Malone said.

"Mr. Malone, have you considered not selling your shares and staying with Lionsgate Films? I've looked over your profile; you have considerable influence in the media industry, and you have some insights into running a company and investing in films. If we join forces, I am confident we could expand Lionsgate Films and make it as big as the major studios.

In time, our shares could increase in value many times over. Mr. Malone, I urge you to give this serious consideration."

Link said.

John Malone frowned and studied him, hoping to detect a joking tone in his face, yet found none.

While Link spoke those words, his expression was deadly serious, as if stating a fact rather than articulating a dream.

The more sincere he seemed, the more Malone wanted to sell his Lionsgate shares as soon as possible.

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