Tiger8 Media and Wuxi Jinyuan Industry Investment And Development Company have launched a $150m (€74m) fund dedicated to financing and producing features in China for worldwide distribution.
Omega Entertainment, whose investors are allied with Tiger8’s Portfolio Film Fund (TPFF), will jointly produce and handle worldwide sales on the initial slate and are in talks with TPFF and Warner Bros on the first title, due to be announced after Cannes.
The new venture between T8 and Chinese investment company Wuxi will open offices in China and Los Angeles. The fund is comprised of equity, mezzanine, and debt-based financing from Chinese, European and Middle East investors.
Justin Ackerman, TPFF co-managing director, said: “We will be making further production announcements between Cannes and AFM, and hope to bring TPFF’s first film to the 2010 Cannes Film Festival.
“There is a real void in the market place and the studios are anxious to do business with strong suppliers. The Chinese film industry is experiencing tremendous growth, with 375 new screens each year and China’s middle class frequenting theatres more now than ever - we see significant potential in bridging this emergent market with Hollywood.”
Standard Chartered Bank Hong Kong is providing contract factoring and a debt facility for TPFF.
Omega Entertainment’s Markus Barmettler: “We are pleased to have found our Chinese partner in Wuxi, who is backed by full government support. It is the first time Chinese and other investors have joined forces on a motion picture fund of this magnitude.”
“TPFF is being launched to bring significant impact to the cultural and creative industries in the Yangtze Triangle Region, especially its film and entertainment industry,” Yang Weize, secretary of Wuxi’s Municipal CPC committee, said. “We hope our TPFF joint venture will not only create a modern film industry chain, but also promote the development of tourism, regional service-based and other industries.”