Studio Babelsberg has revealed plans to invest '$500m or more' in a slate of features by an as-yet-unnamed US major studio to secure more Hollywood productions coming to shoot at the studios.

Last year the production centre had hosted such big budget productions as Speed Racer, Valkyrie and The International and is currently serving as a co-producer on Stephen Daldry's The Reader.

Speaking to the local newspaper Potsdamer Neueste Nachrichten, the publicly listed studio's co-owner Christoph Fisser said the financing of this investment was being 'currently prepared.'

In addition, Studio Babelsberg is planning to return once again to developing and producing films in-house rather than focussing on production services or acting only as a co-producer on third party projects.

Fisser said that the studios were looking to locate an 'Academy for Visual Effects' on the studio lot and could 'possibly' take over the German Film School which had filed for insolvency.