The deal gives EuropaCorp, which will pay the funds over a six-year time frame, the certainty of U.S. distribution slots for its films. Each company will exclusively use the services of the joint venture and will directly distribute its own films.
The deal also calls for the companies to have the opportunity to co-produce and co-finance each other’s future films. The joint venture will be overseen by Tucker Tooley, president of Relativity, and Christophe Lambert, CEO of EuropaCorp.
“We are excited to expand our successful relationship with EuropaCorp through the formation of this joint venture,” Kavanaugh said. “In partnership with EuropaCorp, we will be able to more fully utilize the strength of our distribution and marketing abilities, even as we continue to expand our own film production. Together we share a vision focused on producing enthralling content in a profitable fashion.”
Relativity moved into distribution in 2010 when it acquired Overture Films’ distribution network and operations after parent Starz pulled the plug. Relativity’s current slate currently has eight to 13 moderately budgeted movies per year.
The two companies co-produced and co-financed Luc Besson’s comedic action film “The Family,” “3 Days To Kill” and the upcoming “Brick Mansions,” which Relativity is distributing this year.