Chuanguang Media Holdings 'Cat's Eye Film is valued at only 4 billion yuan, causing controversy

According to information received by the reporter from multiple sources, Enlight Media has completed the acquisition of Cat's Eye Films. However, Enlight Media did not wholly acquire it but acquired a controlling stake in Cat's Eye Films. The specific acquisition amount is unknown.

Original title: Legend Light Media has completed the acquisition of Cat's Eye Films. Both parties suspended their trading and split them on the same day

. According to the information the reporter received from multiple sources, Light Media has completed the acquisition of Cat's Eye Films, but Light Media is not a wholly-owned acquisition. Instead, it has obtained a controlling stake in Cat's Eye Films, and the specific acquisition amount is unknown. As of press time, neither Light Media nor Cat's Eye Films responded to this news.

On April 11 this year, Enlight Media issued an announcement to suspend trading on major matters, stating that "major foreign investment projects are being planned, involving areas related to the Internet and cultural industries. The company's investment amount is estimated to be between RMB 1 billion and RMB 2 billion."

If the subject matter in this announcement refers to Cat's Eye movies, and Light Media has obtained a "controlling stake" as rumored, it means that Cat's maximum valuation is already more than 4 billion yuan.

Coincidentally, on the same day, Meituan Dianping CEO Wang Xing announced through an internal email that he had officially decided to spin off the Cat's Eye film business and operate it independently. Zheng Zhihao, former president of Meituan Dianping Platform Business Group, would replace Shen Li, former Cat's Eye CEO, who was on leave due to illness.

Wang Xing revealed in the email that Cat's goal is to rely on the movie ticketing platform and user community to become an integrated film company, with the focus on developing upstream film business and building a Cat's Eye entertainment media platform. In order to achieve this strategic goal, Cat's Eye needs to strengthen the development of upstream films and deeply connect with industry resources through capital operations. After splitting independent operations, New Cat Eye will have a more independent decision-making mechanism and a more flexible incentive mechanism.

Among them,"In order to achieve this strategic goal, Cat's Eye needs to strengthen the development of upstream films and deeply connect with industry resources through capital operation." It has also triggered speculation from the outside world, and this deeply connected "industry resource" is likely to be Light Media.

The previous cooperation between Enlight Media and Cat's Eye Films has also been very close. According to statistics, the annual transaction volume of Cat's Eye Films in 2015 reached 15.6 billion yuan. At the same time, the Cat's Eye team actively explored "big data + distribution" and participated in the investment and distribution of more than 30 films, including films with block-hit box office such as "Lost in Hong Kong" and "Mermaid", all invested by Light Media. Cat's Eye films have also been awarded online distribution rights. Among them, in 2015 alone, 19 films were co-produced or co-distributed by Cat's Eye, with a cumulative box office reaching 8.4 billion yuan.

However, the amount of RMB 1 to 2 billion that Enlight Media expects to invest, even if it obtains a controlling stake, does not seem to be in line with Cat's current valuation, and it may be just an investment. Given that there is no clear statement on the current valuation of Cat's Eye, we can use the Taobao movies and lithography era that we have just received investment as a reference.

On May 15, 2016, Alibaba Pictures Group issued an announcement announcing that the company's Internet ticketing business platform "Taobao Film"(now known as "Taopiao") received a Series A financing of 1.7 billion yuan. After this round of financing, the overall valuation of Taobao Films reached 13.7 billion yuan. Earlier on April 26, Microlithography Era officially announced the completion of Series C+ financing. The total amount of two Series C financing in Microlithography Era has reached 4.5 billion yuan, and the company's valuation is US$2 billion.

Editor: Nancy