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CCTV Script 27/02/17


This is the script of CNBC's news report for China's CCTV on February 27, Monday.

Welcome to CNBC Business Daily, I'm Qian Chen.

This year's Oscar winners had been announced, and some say Hollywood's obsession with China is just getting started.

There is one trend to continue for this year - Hollywood's dependence on China.

Here are different approaches of how Chinese companies are further increasing their footprint, but first of all, it started by a simple way - buy theatres, and Dalian Wanda would be a well-known example here.

The company has kept up a stream of Hollywood acquisitions since 2012 when it acquired American theater chain AMC Theaters.

It further expanded its influence in the global entertainment when Wanda acquired production company Legendary Pictures. In March last year, AMC bought Columbus-based movie theater Carmike Cinemas, and bought Odeon & UCI in July last year and Nordic Cinema Group in Jan this year.

Purchasing top cinema chains has been Wanda's strategy to build a global film powerhouse.

According to Hollywood Reporter, M&A transactions among Hollywood companies reached 150.2 billion USD in 2016, a record high. And Wanda's investment counted for 3.7% of the total amount.

And it's not enough, said Wandan's Wang Jianlin, who set a goal to obtain 20% of the global film box office by 2020.

Another way for Chinese companies to invest Hollywood is through long-tern co-financing deals.

In 2016, China's Perfect World Pictures unveiled a $500 mn movie slate funding deal with Universal Pictures.

Meanwhile, Sony Pictures Entertainment has teamed up with Wanda to help market its films in China, a deal that could boost Sony's box-office in the world's second biggest movie market.

Furthur more, we've seen more partnerships between Chinese capital and Hollywood directors.

In Oct 2016, Alibaba Pictures bought a stake in Amblin Partners, the production platform backed by legendary director Steven Spielberg to work together on production, marketing and distribution both globally and in China.

According to IHS, China could surpass the US to become the biggest box-office market in 2017.

If this trend were to continue, it's possible for us to see more nomineed movies financed by Chinese companies during next year's Oscar evening.

CNBC's Qian Chen, reporting from Singapore.

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