A Chinese Stake in Hollywood
As film production has grown both more complex and more expensive, Hollywood has looked to a number of non-traditional financing sources—hedge funds, private equity and venture capital—to take up much of the slack.
Add to this the emergence, only recently, of Chinese film companies wanting to invest in Hollywood productions. One such company, Perfect World, looked to Manatt to help reach a deal with Universal Studios for a significant stake in a slate of 50 films. The deal—reportedly worth $500 million—is the largest direct investment ever by a Chinese company in the films of one of the six major studios.
For Perfect World, the deal was strategic as well as financial. The partnership with Universal raised their profile worldwide and provides insight into the workings of the global film industry. Manatt, having already negotiated several such China-Hollywood co-financing deals, was ideally positioned to bridge the business cultures of China and Hollywood. Our thorough knowledge of the entertainment landscape, coupled with our ability to work with a diverse array of parties to create a win-win result, proved to be invaluable resources for Perfect World as the deal moved forward.
ClientPerfect World Pictures Co., Ltd
Entertainment & Media
Motion Picture / TV / Radio