Heroes entertain each other and "find a good person" is a continuation of the war between Huayi and Wanda?

On the evening of November 24, Huayi Brothers issued an announcement stating that Huayi Brothers planned to purchase part of the shares of Beijing Hero Mutual Entertainment Technology Co., Ltd. by issuing shares. Huayi Brothers 'two-month suspension of trading was also unveiled for the "major asset reorganization". After completing the acquisition of Hero Mutual Entertainment, Hero Mutual Entertainment will become a holding subsidiary of Huayi Brothers.

The Golden Horse Awards have just come to an end, and Feng Xiaogang won the Best Director Award for "I am Not Pan Jinlian". His face was gorgeous and regressed. The "Lao Pao 'er" openly opposed him first, and the grievance of "Pan Jinlian" was even more embarrassing for Huayi. In recent years, Huayi's journey to dominate the movie list has been questioned as being on a decline. What is curious is how Huayi can bring more returns to investors?

Obviously, the game is more popular.

On the evening of November 24, Huayi Brothers issued an announcement stating that Huayi Brothers planned to purchase part of the shares of Beijing Hero Mutual Entertainment Technology Co., Ltd. by issuing shares. Huayi Brothers 'two-month suspension of trading was also unveiled for the "major asset reorganization".

After completing the acquisition of Hero Mutual Entertainment, Hero Mutual Entertainment will become a holding subsidiary of Huayi Brothers.

Is Huayi "taking over" heroes to entertain each other because of Wang Sicong's abandonment?

Interestingly, the investment circle and entertainment circle have been as unstable recently.

Hero Mutual Entertainment's third quarterly report disclosed that the Hero Mutual Entertainment Supervisory Board received a resignation report submitted by former supervisor Wang Sicong, who resigned as a supervisor of the company due to personal reasons.

Thinking of Wang Sicong's stake in Hero Mutual Entertainment in November last year, Ying Shuling, the company's actual controller, couldn't help but be excited. He posted a speech on Sina Weibo asking Principal Wang for more advice, and Wang Sicong responded with "no loss in this wave"!

Thinking of Feng Xiaogang throwing Wanda to the forefront of a while ago, Wang Sicong, the "son of Wanda", faced it head-on, and the conflict between Wanda and Huayi was pushed to the table.

Wang Sicong probably didn't expect that after Ye Ning, a core executive of Wanda Films and Television,"left" to Huayi, Hero Mutual Entertainment was also "taken over" by Huayi.

However, the truth is not so dramatic. Before Huayi swallowed Hero Mutual Entertainment, Wang Sicong had silently cleared his stock a month ago.

Things will go back to June 6 this year. After nearly half a year of long planning, Hero Mutual Entertainment has finally finalized a plan to acquire 100% equity of Shenzhen Qile Unlimited.

However, on the first trading day when the plan was announced, June 6, Hero Mutual Entertainment's share price fell by 18%, reaching an intraday low of 6.2 yuan/share. 11.3 million shares were traded throughout the day, with a transaction volume of 70.07 million yuan.

According to the information disclosed on the official website of the Stock Transfer System, Beijing Price Investment Co., Ltd., which is 100% controlled by national husband Wang Sicong, is the "culprit" of the decline in Hero Mutual Entertainment's share price.

According to statistics, Price Investment sold a total of 11.3 million shares of Hero Mutual Entertainment through 12 sell-offs on June 6, with transaction prices of 6.2 yuan/share.

In other words, Wang Sicong alone accounted for all the transaction volume of Heroes Mutual Entertainment on June 6.

Of course, on the same day of June 7, Wang Sicong vigorously cleared his positions, but Huayi entered the market with a high profile.

Big shots are rushing to the e-sports market.

In fact, not only Huayi Brothers and Wang Sicong have taken a fancy to Hero Mutual Entertainment, but you can see how popular they are by looking at Hero Mutual Entertainment, a prominent board member. There are currently 16 members on the board of directors and the board of supervisors. The members of the board of directors include Ying Shuling (Chairman), Wang Zhongjun, Shen Nanpeng, Zhang Yongkang, Bao Fan, Huang Shengli, Wu Dan, Du Xinxin and Wang Kun. The members of the board of supervisors include Xu Xiaoping (Chairman of the Board of Supervisors), Wang Zhonglei, Wang Sicong, Wang Xinwen, Liu Zhigang, Ran Xi and Yang Bin.

Any one of these people is a famous figure in the circle. Are they really just interested in the valuation of Hero Mutual Entertainment and the return on investment? If you think so, you underestimate these investors.

What they are interested in is the future layout of heroes 'mutual entertainment-"mobile e-sports". This is a rising emerging industry, an industry that cannot make great achievements on its own, and an industry that must cooperate with each other and focus on win-win results.

As a film culture company, what does Huayi Brothers have to do with mobile games? At present, film and television IP has gradually become a force that cannot be ignored in the entire mobile game market. Huayi Brothers is interested in combining the businesses of both parties, which is the pan-entertainment strategy.

Since last year, a number of film and television IPs such as "Flower Thousand Bones","Nirvana in Fire", and "Dragon Gate Escort Agency" have achieved good results in the market. As a common interest with Huayi Brothers, Hero Mutual Entertainment will first enjoy Huayi Brothers 'film and television IP, which will attract CPs.

It is understood that as the second largest shareholder who already owns a 20% stake in Hero Mutual Entertainment, this acquisition is not only a continuous increase in Huayi Brothers 'luxury lineup of "game corps", but also conveys its confidence in the future development of mobile games and mobile e-sports industries; at the same time, it also provides greater possibilities for cross-border integration and linkage of its main business.

Huayi Brothers 'announcement mentioned: "The target company should adapt the right to any e-sports game product it develops or operates into movies, TV series, online series or other stage art works at fair market prices at the same conditions. Priority authorization or transfer to the company." At present,"People's Shootout", which has celebrated its second anniversary, still maintains a good data of 10 million DAUs and 200 million registered users worldwide. The game is still at the peak of its game life cycle, and most of the games launched during the same period are on the list. It is hard to see.

What does Wang Sicong fancy? Everyone knows that Wang Sicong himself is a mobile e-sports enthusiast. His layout in the field of e-sports is quite complete: creating an IG team, launching Panda TV, which broadcasts e-sports live broadcasts, establishing a "Banana Project" with Shanghai Banana Project Video Game Company and Music Company, and signing a contract with the Korean beautiful girl group T-ara. Through a series of investment actions, Wang Sicong has established a relatively complete prototype of the industrial chain in the game industry, involving upstream and downstream industries from game production, channels to competitions.

Behind the rapid growth of Hero Entertainment: Mobile games have ushered in a turnaround period

. Hero Entertainment was established on June 16, 2015. Now it has a valuation of more than 10 billion yuan. Game companies are once again playing crazy in the domestic capital market.

A month ago, Hero Mutual Entertainment announced its third-quarter financial report this year. The announcement shows that Hero Mutual Entertainment achieved operating income of approximately 632 million yuan during the current period (January 1, 2016-September 30, 2016), a year-on-year increase of 2,554.38%, and the net profit attributable to shareholders of the listed company was approximately 369 million yuan, a year-on-year increase of 2,151.76%. So far, Heroes Mutual Entertainment Q3 has achieved revenue of 254 million yuan and net profit of 144 million yuan.

Hero Entertainment can be said to have completed a series of layouts at a rocket speed that would take others years to complete: at the beginning of its establishment in June 2015,"mobile e-sports" was established as the company's development strategy, and it launched on the new board on the same day. Shen Nanpeng, Bao Fan and Xu Xiaoping led the investment and joined their board of directors and supervisory boards at the same time; in July, Hero Mutual Entertainment spent 960 million yuan to acquire 100% shares of Changyou Cloud; in September, Wang Sicong invested and joined the Hero Mutual Entertainment Supervisory Board; In October, Hero Mutual Entertainment led the establishment of the China Mobile E-sports Alliance (A total of 24 domestic mainstream manufacturers, including Kunlun, Perfect, and Giant, all joined); the self-held event "HPL-Heroes League"(It is currently the largest mobile e-sports event in Greater China); in December, it planned to establish Sina E-sports with Sina and Banana; in January 2016, the Ministry of Culture established an e-sports branch, and Ying Shuling, president of Hero Mutual Entertainment, served as executive vice president. President; On October 21, 2016, Wang Sicong, the company's former supervisor, resigned due to personal reasons, and Zheng Zhigang is now nominated as a candidate for the company's supervisor.

In addition to more possibilities for business linkage, Huayi Brothers 'first round of investment in Hero Mutual Entertainment has begun to reap rich returns. It can be seen from this year's third quarter report that Hero Mutual Entertainment achieved a net profit attributable to shareholders of the listed company of approximately 369 million yuan from January to September, a year-on-year increase of 2,151.76%. In 2016, Hero Mutual Entertainment's performance commitment to Huayi Brothers was 500 million yuan in net profit, and as of the third quarter, it had completed more than 70%.

At present, Hero Entertainment's businesses include game R & D and operations, mobile e-sports events, VR content and marketing, VR events, sports life, etc., and have formed a high-growth business ecosystem around young consumer groups.

On the product side, Hero Mutual Entertainment owns the world's first FPS competitive mobile game "National Shootout", the world's first music and dance mobile game "Dance Chuangtian Tuan", the world's first TPS naval combat competitive mobile game "Peak Warship" and More than ten mobile e-sports mobile games such as "Shadow Blade 2".

Ying Shuling, president of Hero Entertainment, said: "2016 is a year when Hero Media broke out intensively, and it is also a year when Hero Entertainment and Hero Media do big things together. This year, Hero Media will focus on the e-sports e-commerce field The application of O2O, the layout of the e-sports competition platform, and the new e-sports video communication experience methods will create and improve our e-sports ecosystem."

According to the "China E-sports Event Special Report 2016", Hero Entertainment is currently the second largest mobile e-sports product developer in China, second only to Tencent.

After more than 10 years of PC games dominating the world, mobile games have finally had a chance to turn around, and this opportunity most likely comes from the help of "mobile e-sports". It can only be said that this is a good era when mobile changes everything.

Editor: yvette