UPDATE: DEAL OFF THE TABLE
Chinese firms continue their buying spree in Hollywood
Xinke New Materials is acquiring an 80% stake in Nicolas Chartier’s Voltage Pictures. The acquisition amount will range between $345 and $518 million. The deal is expected to close by the end of the year.
Xinke, a copper processor, listed on the Shanghai stock exchange, only has a market capitalization of $1.15 billion, making Voltage Pictures a sizable proportion of the business.
Voltage Pictures is one of the most respected international sales agencies doing business at film markets around the world. Notably, Voltage was a producer on The Hurt Locker and Dallas Buyers Club.
Acquisitions of film and television interests in Hollywood by Chinese companies are at a fever pitch.
After Dalian Wanda had made the largest buyout to date when they acquired Legendary Pictures for $3.5 billion, they continued with a $1 billion buyout of Dick Clark Productions, which produces The Golden Globes.
Also, Tang Media recently purchased of a majority stake in IM Global.
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As the commodities market in China softens due to weak global demand, some firms are using their capital to diversify into other sectors, mainly offshore.
The SVOD Film Licensing Series is the Industry’s Inside Source for What Global Streaming Services Pay for Films
