What's The Deal?
It’s time for another edition of “What’s the Deal?” In addition to some recent cross-border activity in the industry, we also have a feel-good comeback story and some noteworthy productions making deals.
- Buyer’s beware, MGM is back! In just one year after bankruptcy, MGM managed to pay off about $325 million of debt and secure a new revolving $500 million credit facility syndicated by several key banks in the US, Canada and overseas. They will be looking to use their available cash to acquire new content, and once again solidify themselves as key players in the film and television world. Click here for more.
- Meanwhile in China, Harvest Alternative Investment Group and Sun Redrock Investment Group recently formed the “Harvest Seven Stars Media Fund”, an $800 million private equity fund aimed at predominately English-language films in China. The Fund will be looking to grow private companies in Asia through mergers and acquisitions, as well as acquire film content directly. It will also look to build strong media distribution and marketing platforms. Keep an eye out as this Fund continues to make moves worldwide with the help of the Beijing office of Creative Artists Agency (CAA). New York Times had this to say about it:
If Chinese versions of Rupert Murdoch and Oprah Winfrey teamed up with, say, China’s J. P. Morgan to start a film fund, this would be it.”
(Click here for the complete New York Times article.)
- In other international news, New Regency Productions and ADD (an Israeli production, management and talent agency) agreed to a first-look deal, giving New Regency access to ADD’s Israeli film and television projects. We can all thank ADD for such shows as “Homeland” (known as “Hatufim” in Hebrew, meaning “abducted”) and “In Treatment” (or “BeTipul” in Hebrew) both of which were adapted from Israeli television shows. Regency is hoping that their return to television can be bolstered by successful Israeli adaptations. For more information on ADD, click here.
- Universal bet big bucks on Hasbro’s Battleship board game turned movie. They recently announced about $50 million worth of promotional partnerships across multiple platforms, including television, print, online and in-store packaging. Look for special edition Battleship branded Coke Zero cans at a store near you! For more details on soon-to-be-released Battleship and its promotional partners, click here.
- In advance of its world premiere at the Berlin Film Festival this weekend, Marley’s US rights have been acquired by Magnolia. VH1 acquired the licensing rights to be the first to show the documentary on television. The documentary about legendary reggae musician Bob Marley releases in theatres on April 20. The Marley family fully endorsed the project, and even granted access to private family archives.
