You will be redirected back to your article in seconds

China’s Perfect World Raising $155 Million for Film, TV Investment

Perfect World, the Chinese games and film conglomerate that is the co-financier of a slate of Universal Pictures movies, is raising $156 million (RMB1 billion) of fresh capital.

The company announced in a regulatory filing that it would sell up to 25 million shares in a private placing. The new capital would represent less than 20% of its existing share base, it said. Its shares were suspended from trading on the Shenzhen stock market ahead of the announcement.

The proceeds of the share sale will be used to increase its investments in film and television projects. It did not make any reference to its long term co-financing deal with Universal, nor to any specific projects.

Instead it explained that the Chinese film and TV industries have seen intensifying competition, with a growing emphasis being put on quality over quantity. That in turn is driving up costs. “The production cycle for high quality film and TV drama is lengthening, and production costs are increasing. Both factors require greater capital investment,” the filing said.

The company struck its five-year, 50-film deal with Universal, which had an estimated $500 million commitment, in January 2016. In October last year Perfect  World raised an additional $250 million to finance the slate deal, in a funding round organized through JP Morgan and East West Bank.

In June last year, Perfect World merged its Chinese film making activities with those of Village Roadshow, in a deal backed by WME that created new entity Perfect Village Entertainment. PVE is currenlty readying Zhang Yimou thriller “Shadow” for a late summer release.

The new venture’s initial slate of films included sci-fi action picture “Bleeding Steel,” starring Jackie Chan, and “Reborn,” a cyber-hacker thriller starring Han Geng and Rhydian Vaughan.


More Biz

  • 'Blurred Lines' Suit Ends With $5

    'Blurred Lines' Suit Ends With $5 Million Judgement Against Robin Thicke, Pharrell Williams

    After five years, the legal battle over the copyright of the Robin Thicke’s 2013 hit “Blurred Lines” has ended, with Marvin Gaye’s family being awarded a final judgment of nearly $5 million against the song’s primary writers, Robin Thicke and Pharrell Williams, according to CNN and other reports. The pair were accused of copyright infringement [...]

  • WME Veteran Ari Greenburg Promoted to

    WME Veteran Ari Greenburg Promoted to President of Talent Agency

    WME veteran Ari Greenburg, one of the original Endeavor staffers who helped build the talent agency that became an industry powerhouse, has been promoted to president. Greenburg will oversee all daily operations across WME and its offices in Beverly Hills, New York, Nashville, London and Sydney. The promotion recognizes the role that Greenburg has played [...]

  • Alison Wenham Steps Down as CEO

    Alison Wenham Steps Down as CEO of WIN

    After 12 years at the helm of the Worldwide Independent Network, a global trade organization for the independent music industry, Alison Wenham is stepping down as Chief Executive, it was announced today. Prior to joining WIN full time in 2016 Alison was CEO of The Association of Independent Music (AIM), which she started in 1999. [...]

  • Leslie Moonves

    Leslie Moonves Quietly Exits AFI and Paley Center Boards

    Leslie Moonves, the ousted CEO of CBS Corp. who has been accused of sexual misconduct by several women, is no longer serving on the boards of trustees of the American Film Institute and the Paley Center for Media. For now, Moonves retains his seat on the board of gaming company ZeniMax Media. The appointments on [...]

  • DOJ Indicts Five in Piracy Ring

    Department of Justice Indicts Five in International Piracy Ring

    Five men were indicted Wednesday on charges that they hacked into the servers of production companies, and stole hundreds of films and TV shows, including “50 Shades of Grey” and “The Walking Dead.” The men are based in four countries — the United Kingdom, the United Arab Emirates, Malaysia, and India. Only one has been [...]

  • Endeavor Sued Over Idaho Country Music

    Endeavor Sued Over Idaho Country Music Festival

    A former county official in rural Idaho sued Endeavor on Wednesday, alleging she is owed more than $190,000 in unpaid loans arising from a troubled country music festival. According to her complaint, Bonnie Layton was the economic development director for Elmore County, Idaho, when she came in contact with the organizers of the Mountain Home [...]

More From Our Brands

Access exclusive content