Exploiting Hollywood 1980

   Chapter 724 It turns out that the capital is actually myself

  Little George, the son of the deputy commander, is only a nominal director, and his relationship with Wall Street is actually not that close.

  The screen fund behind him is a private equity fund on Wall Street for the rich. Ronald doesn't yet have the strength to get someone else to set up a separate fund to make his own film.

   Ronald didn't know any Wall Street connections, so he had to call his personal lawyer in New York, Lindsay Dole, and accountant Lawrence. Ask them to find out if there is a suitable channel to meet bankers on Wall Street.

   That small law firm back then has now become a promising medium-sized law firm in New York. In addition to Lindsay Dole receiving business from many large companies, Bobby Donnell, the title partner of the law firm, has a strong relationship with the prosecutor of the Southern District of New York.

   For a financing of the size of Ronald's daydream, the president of the bank managed to invest too much. And the financing that the general VP can decide is too small, and the contacts of their law firm can just play a role.

   “The banker that Meinahan Golan hired was Michael Milken, who raised $300 million for Meinahan through high-interest junk debt.

  The issuance of junk bonds requires the company to have a long history of data. Minahan has made so many bad films, which happened to help Milken creatively use accounting standards and help him blow up the bubble.

   And your daydreams, apart from a few MVs, commercials, and aerobics video shoots, have no movie history. So your more realistic approach is to find a personal bank and give you some loans.

  If you are willing to accept Citibank's personal banking services, I can arrange some loan plans with clients. "

   Lindsay Dole and Bobby Donnell discussed it, Ronald's most realistic now is to get the issuance contract and then apply for a mortgage.

   "I'm sick of those studios, they have to attach a lot of conditions, modify the script, I want to release this film myself."

   "Then we have to find other methods. The interest rate of credit loans is too high, and it is very uneconomical for you to use it. Recently, Wall Street has been rumored that the Fed will raise interest rates again..."

  …

   "Dangdang..." The door of the conference room was knocked a few times, and a middle-aged man broke in.

   "Lawrence?" Ronald saw that it was his accountant, Lawrence, "What news do you have? Is it good news? Have you found a capitalist willing to raise funds?"

   Lawrence replied with a smile, "It's good news, but it's not about the capitalists."

   "Can you give me some privacy?" Ronald laughed at the lawyers, leaving only his personal lawyer, Lindsay.

   "Good news, your two major investment stocks, Coca-Cola and McDonald's, are about to split.

   McDonald's 1.5-to-1 and Coca-Cola 3-to-1 stock split.

   This is the registration document you have to sign, and by the ex-rights day, you can own three times as many Coca-Cola shares. "

   "But the price will drop, right?" Ronald didn't understand stocks, but thinking about it, it was impossible to keep the original price after the stock split.

"In theory, this is true, but stock splits generally indicate that the company is optimistic about the future and hopes to introduce more individual investors to facilitate them to buy stocks. And Coca-Cola's new formula of Coke launched last year, sales in the first quarter of this year. up 8%.

   The market is generally optimistic about the prospects, and a three-to-one stock split is also a very uncommon ratio. It is expected that after today's announcement, the stock price will rise when the market opens next week. It means your stock will go up. "

"How much can it go up?" Ronald now has about seven million worth of stocks on hand, and Douglas Jr. can still use three million. If he can get a total of fourteen million, he will produce and distribute "Spicy". Dancing" is enough.

   "I don't know. I asked several stockbrokers, and they all said that it may rise by more than 10%."

   "Let's bend our fingers and pray." Lindsay Dole was also influenced by Ronald and bought a little Coca-Cola stock, not to mention Lawrence. All three of them crossed their chests for a while.

   Going home to see Aunt Karen on weekends, Ronald is often absent-minded, and he doesn't hear what Auntie asks him.

   "What's the matter with you, Ronnie?" Auntie grabbed Ronald's hand and asked the nephew who was acting strangely today.

   "I want to make a movie, but the Hollywood studios don't want me to sign a distribution deal, so I'll probably make it with my own money..."

   Ronald was still a little worried. Seeing Aunt Karen asking this, he felt relieved for some reason, and told his aunt all the difficulties he encountered.

   "Why didn't they sign with you?" Auntie didn't understand.

   "Because they are worried that this story will affect the choices of Jewish girls."

   "Bullshit, girls don't date boys if they don't watch movies? These people are really weird. You wait for me for a while."

   Aunt Karen went into the bedroom, and after a while took out a check and handed it to Ronald.

   "This is $300,000, the share I got when the leg warmer company sold it. If you don't have enough money, count my share as well."

   "How does this work?" Ronald declined. This is a little backup fund for his aunt's future retirement. How can it be used to risk investing in his own movies?

"What's wrong, I wouldn't be able to make this money without you coming up with the leg warmer business. In fact, I still had some savings for the company in those years, plus I still have this house, and Eric and I also Being able to continue working in restaurants will not affect me.

   Besides, your movies always make a lot of money, why, don't you want your aunt to share dividends too? "

   "Hahaha, as long as you have confidence in me." Ronald accepted the check. Anyway, he could still be in Hollywood for a long time, so he wouldn't be able to pay his aunt's money.

   "That's right, if you make a lot of money, I will use it as the wedding money for Donna's future." Aunt Karen said with a smile.

  …

   "This is our office, the best office building in Manhattan. You can also see the Statue of Liberty across the street.

   The first couple will be there to announce the reopening of the goddess in a few days on National Day. This time, it was only through fundraising from all walks of life that the funds for the restoration of the goddess statue were raised.

  Look, it's there. "

   Lawrence invited Ronald to the office of the stockbroker. Here today, they look at the situation and decide whether to sell Ronald.

   "Why is there a Coca-Cola billboard there?" Ronald looked at the Statue of Liberty across from the binoculars handed over by the stockbroker. The scaffolding below is being dismantled, and there is a huge Coke advertisement on the largest steel frame next to it. Above is the new version of the Coke can with the name NewCoke written on it.

"Coca-Cola and McDonald's are raising funds for the repair of the Statue of Liberty. McDonald's sells a hamburger and will donate a penny to the repair fund. The same is true for Coca-Cola. New Coke also started donating a penny in the previous six months. Advertising and marketing wars."

   "Boom...boom..." The stockbroker opened two New Coke cans and handed them to Ronald and Lawrence. The assistant bought another McDonald's breakfast burger, and everyone started eating.

   "Why is it so sweet? It's like Pepsi."

   Ronald took a sip of New Coke, and he tasted the difference. New Coke is sweet, he doesn't like it very much.

   "Give me a bottle of that..." Ronald said to his assistant, pointing to the table.

   "Bang..." He got a bottle of cherry-flavored Coke, which was a new flavor launched with New Coke.

   "Well, although it tastes weird, it's not so sweet."

  Ronald had a McDonald's breakfast with Cherry Coke.

  The stock broker entered the stock code on the computer in advance, and the real-time stock price of Coca-Cola began to be displayed like a marquee on the large display on the wall.

   Ronald's Coca-Cola was $105 before the stock split news was announced. Shares have since risen, just as Lawrence had predicted, closing last weekend at $121.75.

   Today's three-for-one stock split, Ronald and the others felt that as long as they could maintain above $40, they could sell them all.

  The light bulbs in the large display on the wall began to display the marquee-like effect under the command of the program.

   The words "KO121.75" are repeated three times, moving quickly from right to left.

   is the closing price of last weekend.

   "Jingling Lingling..."

   "Opening!"

  Ronald raised his head and looked intently at the real-time price of the marquee update.

  "KO, 42.75"

   "Is this going up?" Ronald looked at Lawrence.

   "Equivalent to about 128 before the stock split." Lawrence picked up the calculator and pressed it hard, and quoted a price that Ronald could understand.

   "Then let's sell it!" Ronald was overjoyed, which was 6% higher than he expected.

   "Wait a while, it can still go up" The stockbroker quickly called the New York Stock Exchange.

   "hang 44 for sale part."

   "KO, 43.15...KO, 43.40..."

   Ronald stared at the marquee, and a new real-time transaction price would be brought out in one cycle.

   "KO, 44.25..."

   "Dealed!"

   "Keep selling!" the stockbroker yelled into the phone.

   "KO, 44.80...KO, 45.50"

   The stock price continued to rise, and the broker's selling order was eaten up as soon as it was posted.

   "hang 45.50, no, 46..."

  The transaction price is being updated rapidly, and the share price of Coca-Cola is rising slowly but firmly.

  “KO46.50…KO47.20”

   "Continue to clear, hurry up!"

   The agent seemed to have found some clues and yelled into the phone.

   Ronald didn't understand at all, but he was also driven by this enthusiasm, and was inexplicably excited.

   He took a can of New Coke that he was not used to drinking just now, slammed the tab, and drank it in one breath.

   "It seems to be delicious too."

   Twenty minutes after the market opened, Ronald's Coca-Cola stock had all cleared.

"The average transaction price was 46.50, and it was all cleared. A total of 9.3 million. If you add the McDonald's stock you hold, if you sell it after the split, you can get a total of more than 10.5 million in this sale. cash."

   "Um..." Ronald sat down on the soft sofa when he heard the number.

  "Spicy Dancing" has this cash, plus little Douglas's money, and Aunt Karen's money, the total is almost the same.

   "Fall down, down"

   The stockbroker's assistant is still staring at the big screen.

  “KO45.50…KO44.50”

   The share price of Coca-Cola gradually went lower, and finally stabilized at the price of 43.80.

   "Do you want to cover your position, Mr. Li?" The stock broker asked Ronald when he saw the price.

   This time Ronald liquidated most of his stock and took the cash, which was not particularly good for his business.

  Although the legend of helping a famous Hollywood director make a lot of money can make him attract more clients in the industry, it would be best if Ronald could continue to buy and sell stocks here.

   "Forget it, I can't make this money."

  Although the air conditioner was on at a very low temperature, Ronald was sweating profusely and his heart was pounding. This kind of wealth figure of hundreds of thousands in minutes made him feel too exciting.

   "Although it's still a little short of money, don't take any chances. Even if the stock price goes up tomorrow, it's not something my heart can earn."

  Lawrence was also sweating nervously, and his stock was sold out, making a small profit.

   The two found a hotel with a small hammam and took a bath in complete relaxation.

   "Little Doug, I found enough money, now we can start that project" Ronald calmed down his excitement and called Little Douglas.

   (end of this chapter)