Stimulated by the 2015 film and television market, 2016 was a year of great leap forward in entertainment investment. Many listed companies and cultural industry funds had peaked in 2016; however, after turning into 2017, various strong regulatory policies have cooled the capital movement in the secondary market, and entertainment investment has begun to gradually ease. Not long ago, Aofei issued an announcement that it plans to invest RMB106 million in its investment in the "Pan Pan" Korean production company FunnyFlux. With the previous holding of 43.79% of the shares, after the close of the transaction, O&F will hold approximately 60.02% of the shares of FunnyFlux. This is one of the few cases of O&F's overseas investment this year. According to publicly available data, in addition to newly established subsidiaries, the company does not invest more than five companies in 2017. Compared to 2016, “buy, buy, buy,†the rhythm clearly slowed down. Last year, listed companies, as well as the cultural industry funds of listed companies, invested only 17 companies in public statistics, which exceeded the total number of investments from 2010 to 2015, plus the capital increase for subsidiaries. The total investment amounted to 3.6 billion. In the past two years, all of the targets of the Olympics investment have focused on strategic investments in the fields of games, education, film and television, and playgrounds centered on the K12. In terms of investment rounds, the previous round of the B round has been invested. The amount is more than 10 million. Through this series of investments, Aofei's industries have spread throughout toys, animation, games, film and television, baby products and other fields, becoming a pan-entertainment eco-group with IP as the core and opening up the entire industry chain. It even proposed to be the slogan of "Oriental Disney." However, with frequent outreach and acquisitions, the radical expansion has brought a lot of challenges to O'Fly. For example, the company has already issued a lot of debts; in addition, it is still unclear whether some companies, such as Yaoqi, acquired the expectation of business synergy. It seems that a variety of investment arrangements have caused the company to become passive, but in fact, this is Aofei at any cost to adapt to the new environment, and the third transition from Hasbro to Disney. Each company will experience several stages, from the initial main business to provide hematopoietic function, to the second phase of the growth of business growth, the third phase will enter the strategic business development stage. A senior animation investor who is familiar with Olympiad's evaluation said that Olympiad has completed the transition from the hematopoietic phase of the main business of the toy to the growth business. In the future, it hopes that all businesses can get through. Full bet in 2016, betting on content production How crazy is the Olympic investment in the entertainment field in 2016? We can see through the comparison of the two sets of data. In terms of quantity, in the 2016 annual report of Aofei, the number of subsidiaries incorporated into the scope of the company reached 67, an increase of 25 over 2015; in terms of amount, the investment quota for 2016 was 3.6 billion, which was a five-fold increase compared to the same period of last year; It is worth noting that the total investment of 2016 Aofei has exceeded the company's total annual revenue. Coupled with the sporadic layout of the previous years, Alfred Entertainment has become a leading player in the field of pan-entertainment. As a company that started selling toys, the biggest advantage of Aofei is that there are more than 3,000 stores in sink channels. What is the concept of this? It is possible that even a primary school stationery store in a second-tier city is a toy sales store of Aofei. According to the financial report, over 60% of Aufei’s revenue still comes from toy production and sales. But Ovy needs to add content and the ability to produce content. People in the industry often joke that cartoons are the best promotional videos for toy sales. Especially around 2008, the popularity of core IPs such as “Gorgeous and Grey Wolf†and “Bala Bala Small Magic Fairy†led to soaring sales of toys, which made Otis aware of the importance of IP content. Aofei’s chief strategy officer, Li Bin, said that Olympian will not be a platform, and the core of the next decade will be content. Obtaining the company's IP by investing in the company’s stock rights is the main way in which Aofei obtains content development rights. Therefore, observing the targets of the 2016 investment will reveal that Aofei has invested in IP content companies including Linglong Culture and Tangyuan Creation, and has invested in production companies including Daqian Sunshine and superconducting film and television. Even a few of the investments that occurred in December 2015 focused on IP content production. For example, Aofei invested in palm reading technology, as well as climbing tower culture, as well as Korean animation company FunnyFlex. In addition, for the purpose of realizing and opening up the entire industry chain of IP, Aofei also invested in a number of game companies, as well as VR content and technology companies such as Yingli Media and Nuoiteng. Aofei’s industrial development strategy is very clear: first, original cartoons are used to promote toy sales, then an animation content boutique brand image is used to drive the development of the entire industry chain, and animation upstream and downstream resources are integrated to realize the operation of the entire industry chain, and to create culture from industry to culture Industrial animation industry growth path. Two years of 67 subsidiaries, after the radicalization, the investment slowdown in 2017 After the rapid investment in 2016, the pace of investment in 2017 was slowed down. In addition to the establishment of a new company, no more than five foreign investments were made in the year. In fact, through outbound investment and mergers and acquisitions, Aofei's pan-entertainment industry chain has been relatively complete. The next step is how to unify the IP image of 67 subsidiaries, integrate the formats and products, and create strategic synergies. 2018 will also be an important year for Aofei to integrate investment targets. After all, investing in acquisitions and IP operations are two separate things. On the one hand, Aofei Entertainment is an animation company transformed from the manufacturing industry, and there are differences between it and the Internet animation company. The process of running-in is indispensable. On the other hand, it takes time from animation works to the industrialization of derivatives. For now, the subsidiaries are still in the process of integration. The typical case is a monster. This is Aofei, which is also the largest M&A in the history of domestic animation. The amount is as high as 900 million. The original idea was that there was continuous generation of IP by Yao Yao energy, which produced synergy with downstream animation, film and television production companies, and game companies. But so far, there are well-known IPs on the Yaoqi platform, and Alpha is still under development. There is no mature work. In addition, the soaring investment from abroad has placed pressure on Otis Entertainment's capital chain and operating costs. In April this year, Aofei announced a planned growth plan of 2.35 billion yuan, of which 540 million yuan will be used to replenish liquidity, and another 1.81 billion yuan will be used for investment and online sales platforms for films, animations, and net dramas, respectively. project. When it was originally raised for the first time, the capital was as high as 4.5 billion. As of July of this year, Aofei Entertainment’s second largest shareholder, Cai Xiaodong, had accumulated approximately 75.25 million shares in the pledged state, which accounted for 52.01% of its total shareholding, ie more than half of the shares were pledged. At all costs, only for transformation, from Hasbro to Disney Alpha Entertainment's current value chain has laid out a layout of five important links from products, content, media, channels, and marketing in order to realize the value and transformation of IP. If we say that when the time of listing in 2008, there are people who compare the Olympics to China's Hasbro, then now, Austrian flying is the subject of Disney. This is the result of the continuous pursuit of transformation by Aofei. When other people are still doing toy foreign trade OEM, earning money for export, Austrian fly began to build the domestic animation market to build the track, playing brand; when others start the "toys + animation" mode, Oki began to deploy pan-entertainment IP; When others are exploring the children's market, O'Fee embraces young people toward the consumer market of all ages. It can be said that over the past 20 years, in the face of every turning point, Alpha’s strategy has been very accurate. Now is the transformation at all costs. A former animation producer of Olympiad said that the communication environment more than a decade ago is very different from the current one. The traditional core television channels such as CCTV and other traditional TV platforms now have not only a variety of video platforms, but also a long video in the form of animation. And short video points. In the face of the new environment, Austrian flight must transform. Although Alpha Entertainment has made great strides in asset-light business such as animation, film and television, and games in recent years, the company's toy manufacturing business has always maintained its position as the company's core business. In the first half of 2017, the financial report showed that Alpha Entertainment’s toy sales revenue accounted for about half of its total revenue, baby products and film and television works accounted for 27.5% and 12.7% of revenue, respectively, which constitutes revenue from OLF Entertainment. The main source In the future, Aofei will further develop and authorize Pan-entertainment based on the company's own IP advantage in light assets, games, and games, and build offline O2O consumption scenarios. Not long ago, the company announced that in the construction of the theme park, it will use its own IP resources to cooperate with thousands of shopping malls under construction across the country to establish a children's playground in the shopping mall with light asset models, including IP, toys, and baby toys. Many children's industries such as stage plays are merged offline to enhance the value of individual users.