Mumbai, Sept. 24: It is arguably the first Sino-Indian venture in Hollywood.
Reliance MediaWorks, the Anil D. Ambani controlled company, and China-based Galloping Horse America are set to become part owners of some of the assets of Hollywood film-maker James Cameron’s Digital Domain Productions.
The consortium formed by the two entities submitted a winning bid of $30.2 million at an auction in New York on September 21 to acquire the visual effect, Mothership Media (Mothership) and certain other businesses and assets of Digital Domain Productions Inc (Digital Domain) and subsidiaries.
The winning bid was submitted with Galloping Horse, a firm in China engaged in film and TV financing, production, distribution, advertising and publishing, Reliance MediaWorks said in a statement today.
Digital Domain Media, which has given out blockbusters such as Titanic and Avatar, had filed for bankruptcy protection on September 11.
The sale is subject to execution of an asset purchase agreement and bankruptcy court approval in the US, the hearing for which is scheduled for today.
While Reliance MediaWorks will hold a 30 per cent stake, the majority would remain with Galloping Horse in the Digital Domain joint venture. The two companies will acquire all assets constituting the businesses of Digital Domain in feature films, advertising, visual effects, commercial production, studios in the US and Canada and a co-production stake in the feature film Ender’s Game, the press statement added.
The businesses will continue to operate in the normal course, with the joint venture assuming ownership upon court approval, it added.
Mothership consists of directors who create advertising, entertainment and brand experiences.
The announcement sparked a huge rally in the shares of Reliance MediaWorks. On the Bombay Stock Exchange, the share surged nearly 13 per cent to close at Rs 77.30.