[Chapter 112: The Quality of Film Improves Again]
Link watched the upgraded version of The Blair Witch Project three times in a row.
He noticed some very subtle changes in the film, including camera design, acting, dialogue, lighting, and sound effects.
There were slight variations he might have missed if he hadn't watched it repeatedly during editing; he had become so familiar with every element of the film that he almost overlooked them.
From his aesthetic perspective, he judged that the new version of The Blair Witch Project was undoubtedly of higher quality.
Whether it was the actors' performances, the design of the shots, or the clarity of the sound and visuals, there were noticeable improvements.
The earlier version he had edited, while complete, appeared rougher and less refined compared to the new release.
To put it simply, the first version resembled a newly carved wooden pendant, while the second version looked polished, with a luster that made it appear more valuable.
He also saw that the system rating for 'film completeness' had increased from 87.8% to 92.4%, a nearly 5% boost.
The other metrics remained unchanged.
Link recalled that after the system update, box office subsidies were calculated based on individual participation, film completeness, accolades received, promotional investment, and market compatibility.
The higher the indices, the more substantial the subsidies.
Now, only individual participation, film completeness, and market compatibility appeared; what was the rest based on?
Could it be that after a film's release, award recognition would alter the box office subsidies again?
These aspects still needed exploration.
---
After viewing the movie, Link returned to his office and called in Vice President Michael Leeson to inquire about the acquisition situation.
After the phenomenal success of Paranormal Activity, Guess Pictures planned to invest $20 million and mortgage future box office revenues to secure a $50 million loan from J.P. Morgan Bank, intended for the acquisition of several film and television production companies, distribution companies, and video production and distribution companies.
There were two reasons for acquiring these companies.
First, he planned to use the acquired film companies to distribute The Blair Witch Project.
Continuing to use Guess Pictures for distribution could raise issues during promotion, so utilizing a shell company would minimize that risk.
Second, he aimed to enhance Guess Pictures' production and distribution capabilities and increase the tangible asset value of the company, so it could independently produce large-scale film projects without depending on the major studios, specifically targeting MGM among the big seven.
MGM was also the only major studio lacking a complete production, promotional, and distribution channel, which contributed to its early bankruptcy and acquisition.
Once Guess Pictures completed its integrations, Link planned to start raising funds to boost the company's market value.
He would then use the funds to acquire media outlets to further refine the film distribution channels.
This step's goal was to become a new giant in the Hollywood film industry.
...
"Link, after our last work meeting, I had my team investigate the current asset situation of independent film companies in Hollywood. We've cataloged 124 related companies and identified 12 suitable targets. Here are the materials for your review," Michael Leeson said as he pushed a stack of documents toward Link.
Link flipped through the papers, finding the first company listed was Castle Rock Entertainment, founded in 1987.
So far, it had produced 12 films, including When Harry Met Sally..., Lord of the Flies, Misery, and A Few Good Men.
Castle Rock had decent production capabilities, often landing in the top ten in the independent film sector, but its distribution abilities were lacking, relying mainly on New Line Cinema, Warner Bros., and Columbia Pictures for releases.
Due to Castle Rock's limited distribution capabilities, the company also lacked film copyrights, which were incredibly valuable for a film company.
According to evaluations from Wall Street investment firms, Castle Rock's current market value was approximately $38.5 million, with assets including a film studio, several ongoing copyright streams from movies, video rights, script rights, and contracts with directors and producers.
Interestingly, Rob Reiner, who directed Misery, was also one of the founders of Castle Rock and had publicly criticized Link and Paranormal Activity in the media multiple times.
...
The second company listed was a well-known Hollywood film company, Good Machine, founded in 1990.
It was primarily a film production company that had produced and distributed five films, including The Hours and Times which won the Special Jury Recognition award at Sundance Film Festival, and Ang Lee's debut, Pushing Hands.
The founder, James Schamus, had been involved in nearly all of Ang Lee's films, and Good Machine also served as a predecessor to Focus Features.
The current asking price was $12 million.
...
Next was Artisan Entertainment, founded in 1982. This veteran independent production company owned a small film studio and had produced 23 low-budget films, most of which were not widely recognized.
What brought Artisan into the limelight was its distribution of the sleeper hit, The Blair Witch Project.
Artisan wasn't just a production company; it also had a decent distribution capability, owning several B-movie titles.
Its asking price was slightly higher than Good Machine at $18 million.
...
The documents continued with details of six other film companies, including Hemdale, which produced the first Terminator film.
After James Cameron left, the company had struggled over the past few years, and its offer wasn't high.
New World Pictures, established in 1970 by director Roger Corman, was a film and television production and distribution company known for helping launch the filmmaking careers of Jonathan Demme, Ron Howard, Jonathan Kaplan, Paul Bartel, Joe Dante, and many others.
There was also Trimark Pictures, founded in 1984.
...
All of the above companies had pricing under $40 million. Compared to the big studios valued in the billions, they appeared to be mere minnows.
Alongside production companies, Link focused on reviewing movie distribution and video production companies.
He selected two companies: Vidmark, Inc., a film and television distribution company founded in the mid-1960s, that owned the rights to 350 works and had a full-fledged video sales and production business, asking for $38 million.
[T/N: Vidmark, Inc. was the parent company of Trimark. I will probably edit this part if there is some conflict in future chapters.]
The founder, Mark Amin, would later become the Lionsgate's single largest shareholder and vice chairman of the board, which had yet to be established.
The second was Triumph Releasing Corporation, also a film distribution company with full rights over film and video sales production.
Triumph was established in the 1970s, holding the rights to 130 films, including Angel and Courage Mountain.
[T/N: Triumph was created by Sony. I will probably edit this part if there is some conflict in future chapters.]
Though its inventory did not rival Trimark, the value of its films was relatively higher, with an offer of $40 million.
Given that these production and distribution companies were viable options, choosing which one to acquire would rely mainly on price and mutual willingness to collaborate.
*****
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