Fengshen can’t save Beijing’s culture: top management fighting, being put on file for investigation, market value falling 5.2 billion

In the new year’s Eve in 2020, there was a movie named “SWAT team” which was not shown. During the roadshow, the propagandist kicked the film out of the group chat because the reporters who participated in the activity were not willing to send out “general notes”. < / P > < p > the incident quickly subsided after an instant fermentation, and also became a footnote of the 2020 story of Beijing Culture (000802. SZ), the film producer, which kicked a media out of the group and struggled on the edge of being “kicked” out of the card table. < / P > < p > from the top management infighting and real name reporting in April 2020, to the resignation of the president in December, to the high-level exchange of blood, and to the receipt of a warning letter from Beijing Securities Regulatory Bureau and the filing notice from the Securities Regulatory Commission at the beginning of the new year in 2021, Beijing culture has had a very rough year and ushered in a “hard mode” at the same time. < / P > < p > being put on file for investigation as the first “thunder” at the beginning of 2021 made the share price of Beijing Culture plummet. As of the close of January 11, the market value of Beijing culture was only 3.157 billion yuan, while on January 10, 2020, its market value was close to 8.319 billion yuan, a year down 5.162 billion yuan. < p > < p > in such a bleak future, the new film series of Beijing culture, Fengshen, has been placed great hope by investors. But with the company’s current situation, “Fengshen” can pull it out of the mire? < / P > < p > recently, Xiang Kai, a young Chinese playwright and director, and Han Haoyue, a well-known film critic, said in an interview with time finance that in addition to the investigation results of the regulatory authorities, there is another work Fengshen, which can determine the life and death of Beijing culture. < / P > < p > the trilogy of Fengshen, with a total investment of 3 billion, is invested and publicized by Beijing culture. Xiang Kai believes that according to the usual calculation method in the industry, the cumulative box office of the three films must reach 10 billion before they can be recovered, which means that the box office of each film must exceed 3 billion. < / P > < p > “Fengshen” trilogy project started to develop in 2013, seven years ago. During this period, it has been paid attention to by public opinion for many times. Around this film are “heavy industry”, “big production”, “Chinese version of the Lord of the rings” and other praise words. < / P > < p > but so far, Fengshen has not released a trailer, and whether it can be released in 2021 is also a question. No one knows what the future of the film will be. < / P > < p > Han Haoyue told time finance that the success of the Fengshen series depends on the first film, “the first film must start, otherwise the second and third films will be in trouble.” < / P > < p > and Han Haoyue also expressed her own view on wuershan’s inviting Barry M. Osborne, the producer of Lord of the rings, to be the production consultant. “The Oriental magic theme is not the same as the west at all. It’s an Oriental magic story. We should completely abandon the cooperation with the West and make it according to our own ideas.” < / P > < p > he even thinks that visual effects are too Hollywood, which will draw the audience’s attention from the story itself to other places. “If everyone is talking about how meticulous a monster’s hair is, it’s terrible. I value the film story more. I hope it can reflect our Oriental values. ” < / P > < p > Xiang Kai also expressed the same worry about this, “I’m afraid that when the East meets the west, it will be more embarrassing like Hua Mulan.” < / P > < p > in fact, Beijing culture has always been popular. War wolf 2, I’m not a god of medicine, and wandering earth, which redefines Chinese science fiction Behind these phenomenal films are the shadows of Beijing culture. < / P > < p > Beijing culture used to be a tourism company. It was officially transformed into a film and television company in 2014. From its later performance, we can see that the transformation is not unsuccessful. < p > < p > “war wolf 2”, “I’m not a god of medicine” and “wandering the earth” brought Beijing Culture 300 million, 250 million and 630 million revenue respectively. < p > < p > in 2013, in order to cross-border film and television, Beijing culture found a seemingly unreliable film and television company, Beijing Guangying Ruixing Cultural Media Co., Ltd. (later renamed as “Beijing Ferris wheel Cultural Media Co., Ltd.”, hereinafter referred to as “Ferris wheel”). < / P > < p > the company, which was founded in 2010, did not have a movie out of the street until 2013, and it also lost money year after year. But one month before Beijing Culture issued the acquisition notice, that is, in November 2013, song Ge, a former Wanda film executive and senior film and television industry personage, bought 100% of the shares of Ferris wheel with 50 million yuan. < / P > < p > did 150 million buy a film and television company that hasn’t produced works in three years, or a big man who has been immersed in the industry for a long time? Beijing culture is very clear. In 2014, Ferris wheel won a “chair” for Beijing Culture on the “card table” in the film and television circle with its two films “you at the same table” and “heart flower road”. < / P > < p > in 2014, the film and television era of Beijing culture was kicked off, followed by all kinds of “old guns” to join in one after another. In 2016, it successively acquired Beijing Century partner culture media Co., Ltd. (hereinafter referred to as century partner) and Zhejiang Xinghe culture broker (hereinafter referred to as Zhejiang Xinghe), and introduced TV drama producer Lou Xiaoxi and famous broker Wang Jinghua. < / P > < p > Song GE has also been in charge of Beijing culture since 2017, as president and chairman of the company. Song Ge and his old partner Du Yang are in charge of the film sector, vice chairman Lou Xiaoxi is in charge of the TV series, and Wang Jinghua is in charge of the artist brokerage. The “three carriages” drive side by side, laying a solid foundation for Beijing Culture in just a few years. < / P > < p > Song Ge once told the media that he has a strong ability to predict the box office of a film. He knows who the audience of a film is, what the type is, and for whom it is made, both at home and abroad. < / P > < p > the most popular anecdote in the media is that song Ge made a bold decision to release 800 million yuan at a minimum after only reading the script of war wolf 2. Facts have proved that song song song’s vision, and Beijing culture has been accompanied by pop money ever since. < / P > < p > and the TV drama field of Beijing culture is dominated by its subsidiary century partner. Lou Xiaoxi, the “No.2 figure” of Beijing culture, is the actual controller of century partner. Her team includes director Zhang Li, screenwriter Yan Geling and others. Her production projects include “the story of Mu Yun on the sea in Kyushu”, “young commander” and “Wu Dong Qian Kun”, etc., which have aroused heated discussions in the industry. < / P > < p > as a film and television company, artists are also an extremely important part. Wang Jinghua’s reputation is needless to say. Her subsidiary, Zhejiang Xinghe, had many powerful movie stars in 2018, such as artists Chen Daoming, Hu Jun, Zhang Fengyi, Carina Lau, Guan Zhilin and so on. < / P > < p > for Beijing culture, with these generals guarding, it should be safe and stable on the “card table”. But the hidden danger is buried unconsciously. At 7:00 p.m. on April 29, 2020, Lou Xiaoxi, former vice chairman of Beijing culture, used the official microblog of century partners to publish a real name report letter, calling song Ge, chairman of Beijing Culture “financial fraud and misappropriation of funds”. < p > < p > in an interview with the media, Lou Xiaoxi said that in 2016, because song GE’s Ferris wheel did not complete the gambling performance, song Ge asked him to use one of his branches to buy the copyright of “ball lightning” owned by Ferris wheel at a high price of 30 million yuan, while the copyright of this work purchased by motianlun was only 2.9 million yuan at that time. At the same time, Lou Xiaoxi also pointed out that song Ge and Zhang Yunlong, a senior executive, misappropriated a large amount of funds through such projects as “the end of the world is tired of poetry”, “Hengdian story”, “Song palace Ci” and “the ghost of a beautiful girl”. < / P > < p > it is worth noting that the three works of “eyes of poetry tired of the end of the world”, “palace Ci of the great Song Dynasty” and “ghost of a beautiful girl” have appeared in the future planning of the 2019 annual report of Beijing culture. The works accused by Lou Xiaoxi of being involved in profit transfer have not been released so far. < p > < p > just a few hours after Lou Xiaoxi’s microblog was released, Beijing Culture issued a statement saying that Lou Xiaoxi, the former vice chairman of the company, had been put on file by Beijing Municipal Public Security Bureau for the crime of misappropriating funds, and the content it released was not true. < / P > < p > Beijing culture totally denied Lou Xiaoxi’s accusation. After that, Lou Xiaoxi continued to “choke” and asked Beijing culture, “why didn’t the company make an announcement when I was put on criminal file in January? Can you be excused from liability by filing a case with me? ” < / P > < p > it is worth noting that earlier on the same day Lou Xiaoxi issued the real name report letter (3:00 a.m. on April 29), Beijing Culture issued 37 announcements in one breath and “consciously” corrected the company’s financial statements in 2018. < / P > < p > the corrected financial report shows that in 2018, the two important indicators of Beijing Culture plunged, the operating revenue changed from 1.2 billion to 740 million, and the net profit changed from 320 million to 120 million. Compared with the same period in 2017, the net profit decreased significantly. < / P > < p > among the 37 announcements, there is another one worth elaborating: Beijing Culture transferred 100% equity of century partner with 48 million yuan. As early as 2014, Beijing Culture valued its century partners at 1.35 billion yuan. The cheap transfer of Lou Xiaoxi’s century partner also means that Beijing culture’s TV drama related business is stagnant. < / P > < p > the incident was reported and then nothing was settled. But eight months later, song Ge resigned as president of Beijing culture. According to the announcement of Beijing Culture on the evening of December 23, 2020, he still served as the chairman of the company, but the Secretary of the board of directors and the chief financial officer, who were appointed in June of that year, left the company together. < p > < p > on January 4, 2021, Beijing Culture received the notice of being put on file for investigation by the CSRC for suspected illegal information disclosure, and received two warning letters from Beijing Securities Regulatory Bureau. < / P > < p > the first warning letter is due to the inaccurate disclosure of financial information in 2018, the failure to effectively integrate the acquired subsidiaries, and the lack of key control links such as project management and control of subsidiaries, prepayment fund management and supervision; the second warning letter is aimed at Song Ge, then chairman and general manager of the company, Zhang Yunlong, then financial director, and then Secretary of the board of directors Shu Chenchen, according to the occurrence of the above violations, judged that the three senior executives did not perform their duty of diligence in accordance with the provisions. < / P > < p > in response to the change, time finance and economics, as an investor, called Beijing Culture securities department. The staff of the other side said that the appointment of senior executives was made by the board of directors. As for whether song Ge will leave in a short time, the staff member said, “at present, song GE has not said that he wants to leave.” < / P > < p > in addition, the more meaningful news is that in September 2020, Wang Jinghua will no longer be the legal person of Zhejiang Xinghe. Before that, she had been a legal person of the company for five years. In 2019, Beijing Culture pointed out in the announcement that the contracted actors of Zhejiang Xinghe have undergone major changes, and the loss of actors as the main source of income is serious. At present, Chen Daoming, Carina Lau, Hu Jun and other dazzling stars have disappeared from the official page of Zhejiang Xinghe. < / P > < p > Liu Yan, an analyst of Southwest Securities, said in an interview with time finance recently that the investigation of the regulatory authorities has not been completed and the incident has not been determined, so how much impact it will have on the subsequent development of the company is still unknown. < / P > < p > however, judging from the recent downturn in the stock price, in addition to the success of the “Fengshen” trilogy, the success of the company’s internal governance of “chaos” is particularly critical. < / P > < p > Disclaimer: