Paris-based Logical Pictures, a four-year-old company that has financed more than 20 movies including “Revenge” and “Petrov,” is launching 21 Content Ventures, an investment fund dedicated to internationally-driven films and series.
Set to launch in January, the investment fund will be capped at €100 million ($121.6 million) and is structured as an evergreen fund — meaning it’s an open-ended fund with no termination date, allowing investors to exit 21 Content Ventures or change their investment in the fund. The portfolio will be valued each year based on the revenues grossed by each title, and investors shall receive an annual return of 4%-6%. The minimum investment ticket to enter 21 Content Ventures is €100,000 ($121,640).
“Films, TV series and documentaries have been in high demand for the past few years, especially with the rise of streaming platforms such as Netflix, and the pandemic has accelerated this upward trend,” said Frédéric Fiore, president of Logical Pictures Group. He said the idea was to finance between 100 to 200 films in the next 8 to 10 years with a particular interest in international productions from Europe, the U.S. and Latin America.
“Every year we receive more than 1,000 projects from all around the world and invest in about 10 of them. This deal flow, combined with our expertise in the financial structuring of films and series, are assets that we will be able to capitalize on with the launch of 21 Content Ventures,” added Fiore.
The fund will be commercialized with the support of Portzamparc, a subsidiary of French banking group BNP Paribas, which will handle the collection of funds raised and manage the subscription process.
Fiore said 21 Content Ventures could help independent filmmakers and producers thrive in the new landscape.
“As traditional sources of financing are becoming scarce and release windows are being squeezed, independent cinema needs more private funding to get projects off the ground and ensure that they maintain some artistic freedom and flexibility through this process,” said Fiore.
Éric Tavitian, who has produced and financed movies such as “Incendies,” “Revenge” and “Pleasure,” said the fund “can help filmmakers and producers develop and finance their projects without having to consider whether they will be for theaters or streaming services.”
Tavitian said the evergreen structure was right for 21 Content Ventures because films and audiovisual content are often long-term investments that can gain value over time and turn a profit after a while.
Fiore said a portion of the fund will be dedicated to feature debuts, as well as films with social, political and environmental themes. “These films can have an impact and hopefully mark our popular culture,” said the executive, pointing to “Swallow” and “Sympathy for the Devil.”
The fund will also be looking to finance prestige independent movies with well-established filmmakers and cast budgeted in the $14-million to $18-million range.
21 Content Ventures’ top management will comprise of Fiore as chairman; Tavitian as investment director; Guillaume Lirondière as CFO; and Grace Adams as legal director. Adams previously served as legal and business affairs manager at Studiocanal and Gaumont. Lirondière has worked at companies such as Gemini Films, Fidélité Films and Lincoln TV.
Logical Pictures is a shareholder in the French sales company Pulsar Content, French genre distributor The Jokers Films, and also has a deal in place with Los Angeles-based XYZ Films to handle North American rights and co-production on select titles.
Earlier this year, Logical Pictures also participated in the creation of Archipel Market, a community tool for sales agents and buyers who need a year-round film marketplace.