Chapter 117 Sequel Rights

Sand Sea Film Industry, Rona's office.

Facing Navas, who came to discuss the sequel filming rights of "Witch Blair" in person, Rona could only express with some regret, "It's not that I don't want to cooperate with Lion's Gate Entertainment, but $8 million for the sequel filming rights is too low for a movie that grossed $150 million at the North American box office."

Navas stood up to shake hands with Rona, bidding farewell, "This is my highest authority. Mr. Anderson, I'll reconsider."

Rona didn't insist, saying, "Fair enough."

He escorted Navas out of Sand Sea Entertainment.

This was the third person to come to discuss the sequel rights of "Witch Blair" with Rona this morning. Earlier, a Warner Bros. producer and Tom Cruise's agent had visited consecutively.

Tom Cruise wasn't interested in purchasing the sequel rights; he planned to collaborate with Rona on filming the sequel. Rona wouldn't dig his own grave by jumping into a collaboration with Cruise; such partnerships were out of the question.

Although collaboration could find ways to drain the partner's funds and profit outside of the film itself, Tom Cruise wasn't a foreign investor. It's a completely different concept to scam Tom Cruise compared to scamming investors outside the industry. Rona wouldn't risk such trouble.

Perhaps others couldn't see it, but Rona had memories of his past life, and for many years to come, the success of "Witch Blair" would be irreplicable.

Warner Bros. was currently the best-performing film company in Hollywood, showing a bit of arrogance. They had only offered $5 million for the sequel rights.

Unless there were no other options, Rona wouldn't sell at such a low price.

This wasn't the normal market price in Hollywood.

Not to mention a highly successful work like "Witch Blair," even lesser-known novels or other works in the market had film rights worth more than $5 million.

North American copyright laws were relatively sound and emphasized protecting rights; copyright prices would only rise.

If there were no ideal offers, he could attract investment overseas.

Capital operations were often more attractive than making films solidly, but Rona also knew the risks and needed to balance the relationships.

Back in the office, after reviewing the promotional and distribution plans for "Ace Agent" and "Death Comes," set by Embassy Films, Rona received a call from Susan Arnold, saying she would come around 1:30 in the afternoon.

Rona also sent a text to Carmen Case, confirming that she was not currently working, then made a call to arrange dinner together after work.

Rona had been busy with work all morning, also approving the dismissal of three employees from Embassy Films. Embassy Films had been operating at a slow pace in the past, but now the entire work rhythm had accelerated. Some old employees couldn't adapt, and some lacked the necessary skills. Such people were naturally no longer suitable to stay.

Embassy Films followed all legal dismissal procedures, and severance pay had been issued.

The union here wasn't just for show; once the work wasn't up to par, involving the union would only lead to greater costs.

Moreover, relative to the new hires at Relative Entertainment, Mary also suggested dismissing one person. This person had an impressive resume and skills, but unfortunately lacked responsibility.

Every business owner would encounter such situations. The best employees in the eyes of the boss were always those who were hardworking, willing to sacrifice, and not expecting much in return.

Unfortunately, in a free city like Los Angeles, it was hard to find such sincere employees.

After much consideration, Gotham seemed better.

Simple and honest, Gotham, a city of talents, Arkham.

At exactly one o'clock in the afternoon, Susan Arnold from DreamWorks arrived at Rona's office with her assistant. Without wasting any time, they directly discussed the sequel rights of "Witch Blair."

"DreamWorks isn't the first company interested in the sequel rights of this film," Rona said very pointedly. "If not for fundraising and director Daniel Malek ending his collaboration with Relative Entertainment, I wouldn't sell the rights."

Susan Arnold smiled and asked, "Mr. Anderson, at what price do you want to sell?"

Rona calmly said, "25 million dollars!"

Upon hearing this number, Susan Arnold's eyelids twitched slightly. Slowly, she said, "DreamWorks is willing to buy all the rights to the 'Witch Blair' series for $40 million. Of course, excluding the North American box office you're about to receive."

Rona decisively refused, "Witch Blair" has already been a huge success, I cannot sell the incoming profits."

Seeing Susan Arnold about to say something, he raised his hand to stop her, saying, "What I'm selling is the sequel filming rights, unrelated to the currently screening 'Witch Blair.' If DreamWorks wants to purchase the rights to 'Witch Blair,' we have no need to negotiate."

Susan Arnold was just testing the waters; after all, if they could buy "Witch Blair" as well, they would earn much more.

This was a negotiation tactic, lowering the other party's psychological expectations.

"Only the sequel filming rights..." Susan Arnold seemed somewhat troubled. "This is quite different from DreamWorks' original intention."

Rona looked at the female producer without speaking.

DreamWorks was the preferred negotiating partner, but other companies weren't excluded. If DreamWorks insisted on buying "Witch Blair" along with the sequel rights, then they could sell it to other companies.

Susan Arnold had done a lot of research before coming; Rona Anderson's company, financially, was always problematic. Whether in basic operations or film investments, it all came from financing. Although the strategy of using borrowed funds was clever, if overdone, the company's finances would be very unhealthy, and any slight mishap could lead to a collapse.

In her view, this sale of sequel rights was both a result of losing the director and a restructuring of Rona Anderson's company.

For such a young man to achieve successive successes, he must have abilities. It wasn't possible that he didn't see the financial problems at all.

Susan Arnold lightly tapped the armrest of her chair and said, "Just the sequel rights, $5 million." She seemed somewhat disdainful. "This is merely to secure a subject for DreamWorks. The rights to scripts or other literary works on the market, even the highest, are only worth a few million dollars."

Rona agreed, "Hollywood indeed never lacks subjects and scripts."

This was the reality, and no one could deny it. Which major film company didn't have hundreds of scripts in its library?

"But these themes and scripts are not like 'Witch Blair'!" Ronan slightly emphasized his tone, "They don't have the $150 million North American box office! They lack massive fame and influence! They haven't undergone market testing! Nor do they bring in an audience base!"

He slowed down his tone, "Ms. Arnold, I'm young, but I know the high success rate of blockbuster sequels, and sequels can be replicated. Just the name and renown of 'Witch Blair' alone are worth more than $5 million! Moreover, 'Witch Blair' brings not just its title but also a successful model and nearly 30 million North American viewers!"

Why is Hollywood so keen on making sequel films? Susan Arnold certainly knew.

She didn't refute Ronan's words but took another approach, "Following the model of 'Witch Blair,' the sequel's production budget is at most a few million dollars. Making a deal where the price far exceeds the production cost is unprecedented, and DreamWorks would become the subject of ridicule in the industry."

Ronan chuckled, "The value of copyright lies in how much revenue it can generate, not external perceptions. Even if everyone laughs now, can DreamWorks still laugh when they reap hundreds of millions in box office returns?"

Susan Arnold thought about it and found the reasoning sound.

Ronan added at the right moment, "When I bought the copyright of 'Witch Blair' and the film website, many people didn't understand, including many employees of the company. But now? They all celebrate that I disregarded objections and acquired this film."

Susan Arnold frowned. The other party spoke convincingly and logically, without any sophisticated arguments, just the simplest facts, ignoring them would seem foolish.

The current $150 million North American box office of "Witch Blair" was Ronan's biggest confidence.

Hollywood's ultimate goal in producing films has always been commercial profit, and the tremendous success of this film outweighed any opposing arguments.

"This morning, representatives from Tom Cruise, Warner Bros. Productions, and Mr. Navas from Lionsgate came by," Ronan said truthfully. "They all expressed interest in the sequel rights to 'Witch Blair.' Among them, Lionsgate offered a very high bid, but I didn't immediately accept because I promised to discuss with you."

Ronan said seriously, "I greatly admire Director Steven Spielberg, so I also want to prioritize cooperation with DreamWorks."

Susan Arnold spoke up, "DreamWorks also wants to collaborate with you, but your asking price is too high."

"In that case, let's compromise," Ronan said, "Let's settle on one-tenth of the current North American box office earnings of 'Witch Blair' as the transaction price."

"$15 million?" Susan Arnold still frowned.

Yesterday, she consulted Steven Spielberg, who oversees live-action film business, and this price far exceeded the upper limit.

Susan Arnold continued, "This is only for the sequel filming rights; my budget is only $8 million."

Nobody would believe such words. Ronan knew very well that DreamWorks got Daniel Mallek on board just to replicate the success of "Witch Blair."

The bargaining negotiation continued into the afternoon and eventually settled at $12 million.

But Susan Arnold did not have the final decision-making power. This result needed to be reported to the top management of DreamWorks for approval. Ronan could wait, but he also made it clear that he could only wait for three days and wouldn't delay negotiations with other companies for an uncertain deal.

"The rest is just following the routine procedures," Susan Arnold assured.

With the negotiations with DreamWorks basically settled, Ronan cleaned up specifically after work and then went to meet Carmen Case.