South Korean production company Sidus FNH is assembling a 30 billion won ($32 million) film fund with parent company KT, one of South Korea’s top three telcos.
Two-thirds of the fund will be provided by Sidus FNH and KT, with the remaining third raised from venture capital, banks and other sources.
Local media are speculating that the coin will be used to launch a long-rumored distribution arm.
“We are considering putting together a distribution team later this year, but nothing has been confirmed at this stage,” Tony Choi of Sidus’ international business department told Daily Variety.
As South Korea’s biggest production house, churning out more than 10 titles a year, Sidus FNH could emerge as an influential player in distribution. The company’s output is currently distributed through local majors CJ Entertainment and Showbox.
However, any distribution arm might be at a disadvantage, as South Korea’s largest distribs — CJ, Showbox and Lotte Entertainment — also have their own cinema chains.