Spain’s biggest subsidy board, the ICAA Spanish Film Institute, offers €65 million ($83.47 million) in incentives for 2006 to Spanish-based companies. Subsidies are capped at one-third of a local producer’s investment or $1.3 million per film.
In 2005, ICAA and producers rights society Egeda created Audiovisual SGR, a mutual guarantee fund underwriting low-interest bank credit for Spanish production, distribution and exhibition. It aims to guarantee $96.3 million over five years.
Meanwhile, Catalonia, Galicia and Argentina’s Incaa Film Institute launched the Raices co-production fund. Its 2006 budget is $577,845. Eligible pics must have co-production equity from all three sources.
By year’s end, Catalonia’s ICIC, pubcaster TVC and the Catalan Finance Institute will launch Mesfilms Inversions to co-produce market-driven films produced by Catalonia-based companies. Coin can reach $750,000 per movie.
Also, Galician private-fund Filmanova Invest offers 5%-30% in co-production equity on projects worldwide. Ibermedia, a Spain/Latin America fund, offers $3.6 million this year for production/distribution, capped at $200,000 a pic.
- ICAA: Web: mcu.es; Email: email@example.com; Contact: Beatriz de Armas, subdirector
- ICIC: Web: cultura.gencat. net/icic/index.htm; Email: firstname.lastname@example.org; Contact: Xavier Parache, head of funding and development
- Consorcio Audiovisual de Galicia: Web: consorcioaudiovisualdegalicia.org; Email: info@ consorcioaudiovisualdegalicia.org; Contact: Amparo Landa, responsible for subsidies
“The Heart of the Earth,” a period adventure pic helmed by Andalusian Antonio Cuadri and toplining Oscar-nommed Catalina Sandino Moreno, is now in post. With a $16.1 million budget, “Heart” is produced by Cuadri’s Manufacturas Audiovisuales (70%), the U.K.’s Future Films (20%) and Portugal’s Costa do Castelo Filmes (10%).
As one example of nascent regional private equity trickling into the industry, private film/TV investment fund Surinvest Capital Andalusia has channeled a multimillion-dollar investment into “Heart” through Manufacturas.
Created in 2005 by Cuadri and other Andalusian companies, Surinvest Capital looks committed to future Manufacturas’ projects.
For “Heart,” Manufacturas also tapped a bridge loan from Spain’s Official Credit Institute ICO; it looks to snag around $320,000 in Andalusia regional subsidy; and it accessed a U.K. sale-and-leaseback arrangement via Future Films.