Research On The Securitization Of China’s Movie Box Office Income Assets

In recent years,as the audience’s demand for viewing has increased and investors continue to be optimistic about the future of the Chinese film industry,the investment of cinema investment companies in their theaters has begun to expand significantly.In 2018,the box office revenue of Chinese movies reached 60.976 billion yuan,and the number of people watching movies increased from 290 million in 2010 to 1.72 billion in 2018.The rapid growth of box office revenue has stimulated the booming of the film industry,and major film and television culture companies have begun to expand the construction of theaters,which requires a lot of money.Most of China’s film and television culture companies are non-listed companies,and the IPO queues for a long time;there are many restrictions on financing by issuing bonds.Therefore,it is very difficult for film and television culture companies to raise funds through traditional methods.As a new type of external direct financing tool,asset securitization has the advantages of high efficiency,low financing cost and large financing amount,and is gradually applied to the financing of the film industry.In this context,this paper studies the process of securitization of the box office income assets of the land theater.The research in this paper is mainly divided into six parts.The first chapter introduces the research background and significance of the case,and summarizes the related literature review.The second part elaborates the related theories of asset securitization and the development status of asset securitization products in China.The third part introduces the background of China’s film industry and analyzes the necessity of securing the box office income assets,and then introduces the issuance of China’s box office income asset securitization products.The fourth part introduces the main participants,basic elements and progress of the box office income asset securitization of the land theater.The fifth part is the core part of this paper.This case is followed by financing motivation analysis,basic asset analysis,cash flow analysis,asset-backed securities pricing analysis,dual SPV model analysis,special program risk analysis and credit enhancement analysis.The sixth part is the summary and recommendations.On the basis of summarizing the advantages and disadvantages of box office income asset securitization,it puts forward the development suggestions that should expand the scope of box office income asset securitization,increase policy support,establish relevant laws and regulations,improve risk control mechanism and enhance product design capability.