×
You will be redirected back to your article in seconds

STX Eyeing $3.5 Billion Hong Kong IPO in 2018 (Report)

STX Entertainment may be edging closer to an initial public offering on the Hong Kong Stock Exchange, early in 2018.

The company could raise $500 million of fresh capital and achieve a valuation of $3.5 billion, according to a report by the Wall Street Journal that cites unnamed sources.

STX, which was founded some three years ago by Robert Simonds and Bill McGlashan, has indicated on several previous occasions that it is aiming for Hong Kong listing. The scale of the capital raising and implied valuation were not previously known. Contacted by Variety, STX had no comment on the matter.

The company is U.S.-based, but has numerous corporate and business relationships with China. Those make investment interest and the case for a listing in Hong Kong stronger.

STX attracted initial capital in 2014 from Chinese private equity firm Hony Capital and the following year struck a slate financing and distribution arrangement with leading Chinese film studio Huayi Brothers. Last year China’s giant Tencent group, which has interests ranging from games and social media to film production, and Hong Kong telco PCCW, took additional share stakes. The size of their investments was not disclosed.

A listing of STX in Hong Kong would give Chinese companies an easy route to invest in Hollywood. Investment through high profile acquisitions has been largely curtailed through several direct interventions by the Chinese government.

The company’s Jackie Chan- and Pierce Brosnan-starring “The Foreigner” is to be released in China this weekend. STX has previously scored a hit with “Bad Moms” and is aiming a sequel “A Bad Moms Christmas” for a worldwide release in November.

 

More Biz

  • Stan Lee, left, and Keya Morgan

    Stan Lee's Former Business Manager Arrested on Elder Abuse Charges

    Stan Lee’s former business manager, Keya Morgan, was arrested in Arizona Saturday morning on an outstanding warrant from the Los Angeles Police Department. The LAPD’s Mike Lopez confirmed that the arrest warrant was for the following charges: one count of false imprisonment – elder adult; three counts of grand theft from elder or dependent adult, [...]

  • promenade Cannes Croisette Cannes Placeholder

    Cannes Market Claims Record Visitor Numbers

    The Cannes Market, the Cannes Film Festival’s commercial wing, says that its 2019 edition welcomed a record number of participants. It reported 12,527 attendees. The largest group by nationality was from the U.S. with 2,264 participants, followed by France with 1,943 participants, and the U.K. 1,145. Comparable figures for 2018 were not available. The number [...]

  • Former movie producer Harvey Weinstein (L)

    Some Weinstein Accusers Balk at $30 Million Settlement

    Updated: Some of Harvey Weinstein’s accusers are balking at a proposed $30 million settlement of their harassment claims, which could scuttle the deal, Variety has learned. Attorneys in the Weinstein Co. bankruptcy case told Judge Mary Walrath on Thursday that they are close to a global resolution of the civil litigation. The accusers, their lawyers [...]

  • Director Dean DeBlois and online game

    'Dragon' Director Dean DeBlois and PUBG's CH Kim to Keynote 2019 VIEW Conference

    Dean DeBlois, director and executive producer of DreamWorks Animation’s “How to Train Your Dragon: The Hidden World,” and PUBG Corporation CEO CH Kim are the first keynote speakers announced for the 2019 VIEW Conference in Turin, Italy, in October. Since it began 12 years ago, VIEW, which stands for Virtual Interactive Emerging World, has continually [...]

  • Harvey Weinstein

    Harvey Weinstein Accusers Near Settlement in Bankruptcy Case

    Attorneys in the Weinstein Co. bankruptcy case say they are getting close to reaching a settlement that would compensate Harvey Weinstein’s sexual misconduct accusers. The company went bankrupt last year, as it faced hundreds of millions of dollars in debt and numerous civil suits on behalf of Weinstein’s alleged victims. The company sold to Lantern [...]

  • Ari Emanuel Endeavor

    Endeavor IPO Filing Offers Details of Company's Financials, Leadership Pay Packages

    Endeavor’s IPO filing Thursday offers a hard look at the company’s financial performance during the past three years during a period of rapid growth for the company that’s home to UFC, WME, Professional Bull Riders and a clutch of other assets. Endeavor is generating solid free cash flow from operations and healthy adjusted earnings for [...]

More From Our Brands

Access exclusive content