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jerryking : joint_ventures   24

The financiers who struck it rich on ‘Joker’
February 7, 2020 | Financial Times | by Anna Nicolaou in New York and Alex Barker in London

The movie "Joker" has been one of the most profitable comic book movies ever ($1.1bn in box-office sales on a modest $55m production budget).....Warner Bros was not the only one cashing in on the unlikely blockbuster. Other beneficiaries include: Canadian pension funds, mutual funds, insurance companies — and a pair of former investment bankers.....that external financiers were able to extract a lucrative share of the Joker’s profits underscores the timidity in parts of Hollywood, where major studios shy away from taking big risks — essentially anything that falls outside the universe of sequels and well-established franchise films. What Hollywood once derided as “dumb money” is, to an increasing extent, bankrolling some of Hollywood’s most daring creative bets.......Joker's director, Todd Phillips, was only able to gain Warner Bros' participation to back the film by signing on two co-financiers, Bron Creative and Village Roadshow, each chipping in about 20% of the production budget, thereby sharing the risk......Outside investors have been bankrolling films for a century, dating back to tycoon Howard Hughes in the 1920s. But within the business, are perceived as naive and spendthrift dupes, enamoured by Hollywood, who underestimate how unpredictable movie sales are......The major studios are making fewer movies, and even fewer ones that are not tied to existing franchises. They do not want to allow outside investors in on those movies, because they want to keep their expected riches. But for other films, such as adult dramas, studios are keen to hedge their risk.......Toronto-based, Jason Cloth, a former investment banker, runs Creative Wealth Media (CWM), which sources money from institutional investors such as pension funds and mutual funds.  CWM and production company Bron Studios, formed a joint venture in 2016 called Bron Creative.....who in turn, signed a $100m deal with Warner Bros in 2018 to finance a slate of films, which was how it got involved in Joker......Joker’s other financier, Village Roadshow, which has funded Warner Bros films for decades, is controlled by Vine Alternative Investments, a New York-based asset manager focused on the entertainment industry, and private equity group Falcon. Vine’s chief executive James Moore, a former investment banker for JPMorgan, said he noticed “there was a high correlation between how [entertainment] assets worked and how other assets in financial markets work”.........“They were long term durable cash flows that could be measured with a high degree of precision, and you could manage the risk if you managed them properly,”........Vine buys up libraries of old films and TV shows, which Mr Moore said are attractive because consumer demand for entertainment is “not terribly affected by recessions, capital market events or other exogenous factors”........the vast majority of the time when studios seek co-financing partners, sharing the risk is the right strategy......“Films based on new and unproven intellectual property carry significant financial risk that studios prudently share with outside financing partners,” Mr Ara said. “When it comes to predicting whether a picture will be a hit, as William Goldman famously said: ‘Nobody knows anything.’”.......James Cameron spent years trying to convince Fox to bankroll his futuristic science fiction movie featuring computer-generated aliens. Fox, which had been frustrated by Mr Cameron’s ballooning spending on their previous collaboration, Titanic, eventually agreed to finance Avatar. But only with the help of two private equity groups — Mr Mnuchin’s Dune Entertainment and Ingenious Media — which took on a reported 60 per cent of the financial risk. Avatar went on to break the record for global box-office sales.
asset_management  blockbusters  comic_books  entertainment_industry  films  filmmakers  financiers  financing  funding  Hollywood  investors  joint_ventures  movies  private_equity  producers  producer_mindset  risk-aversion  risk-sharing  sequels  Steven_Mnuchin  studios  timidity  Warner_Bros. 
6 weeks ago by jerryking
Oil Firms Pool R&D, Come Up Empty So Far - WSJ.com
Nov. 13, 2013 | WSJ | By Chester Dawson.

Alberta Premier Alison Redford earlier this year had pledged that the amount of tailings would stop growing by 2016 and that tailing ponds would "disappear from Alberta's landscape in the very near future."

But most industry officials say that is unlikely without major technological breakthroughs.

To help speed up efforts to reduce or reclaim tailings, Cosia's members have pledged to make all of their patented and propriety research available to one another in perpetuity, without charging royalties.

"That's a huge step by the industry and I can tell you big global companies thought long and hard before they did it—but they did," said Marcel Coutu, CEO of Canadian Oil Sands Ltd., the largest shareholder in major oil-sands producer Syncrude Canada Ltd.

But by creating a monopoly among oil-sands producers in environmental technology, some industry officials say that Cosia may actually stunt development—by discouraging innovation from third parties who are unwilling to surrender their patents wholesale.

"It's not to our benefit to spend a whole lot of money on R&D and then just hand it over," said Preston McEachern, research director at Tervita Corp., a Calgary-based environmental services provider. "That, to us, is a real bar against bringing new innovations forward and helping achieve these great outcomes," he told attendees at a recent oil-sands conference in Fort McMurray.
oil_industry  R&D  oil_sands  joint_ventures  oil_patch  patents  third-party  collaboration  Alberta  innovation  pooling  environmental_services 
november 2013 by jerryking
Cirque, Sid Lee team up to create marketing ‘events’ - The Globe and Mail
Jun. 20 2013 | The Globe and Mail | SUSAN KRASHINSKY - MARKETING REPORTER.

Cirque du Soleil is bringing its sense for spectacle to the marketing world, teaming up with Montreal ad agency Sid Lee to launch a branded entertainment company. The joint venture will aim to help brands create experiences that people actually want to watch, listen to, and experience. The joint venture, Sid Lee Entertainment, has been a year and a half in the making, and is an attempt to address a fundamental shift in advertising: away from pushing messages to consumers, and toward creating engaging content....Marketers have been approaching Cirque for years to develop entertainment projects, Mr. Lamarre said, but the company was unable to figure out how to do that without having it conflict with its own brand.

The goal is to create events engaging enough that the brands behind them can sell tickets, Mr. Cesvet said – and to potentially create a new economic model for an industry in flux.

“With advertising, we’re still selling hours,” he said. “What we want to do with this entertainment division is transform the revenue stream of our business … what clients expect from agencies is a lot more complex. You have to do an app, you have to do interactive experiences. I don’t think the value is recognized.”
marketing  branding  brands  Cirque_du_Soleil  Montreal  advertising_agencies  partnerships  joint_ventures  events  event_marketing  ideaCity  product_launches  customer_experience  experiential_marketing  content_creators  live_performances  interactivity  inbound_marketing  entertainment  Sid_Lee  Susan_Krashinsky  creating_valuable_content  fascination 
june 2013 by jerryking
Past lessons for China’s new joint ventures
December 2010 | McKinsey & Company| by Stephan Bosshart, Thomas Luedi, and Emma Wang.
China  joint_ventures  collaboration  partnerships  McKinsey  lessons_learned 
june 2013 by jerryking
Investment house on the Prairies - Business -
September 23, 2010 | Macleans.ca | by Chris Sorensen.

Launched in 2009 with an initial $27.5-million investment, One Earth now boasts some 93,000 acres under administration, already making it the second-largest farm operation in the country. The farms raise livestock and grow canola, wheat, field peas, oats and barley. There are plans to add flax, lentils and chickpeas....The goal is to eventually create a giant, one-million-acre operation, scattered over the three provinces, that would rank among the biggest farms in the world.
agriculture  farming  joint_ventures  One_Earth_Farms  brokerage_houses  Sprott_Inc.  scaling  aboriginals 
august 2012 by jerryking
Networking Provides Partnership's Funding - WSJ.com
October 14, 2003 | WSJ | By PAULETTE THOMAS | Special to THE WALL STREET JOURNAL.
entrepreneur  entrepreneurship  oil_industry  funding  joint_ventures  networks 
may 2012 by jerryking
China Venture Is Good for GE but Is It Good for U.S.? - WSJ.com
SEPTEMBER 30, 2011

China Venture Is Good for GE but Is It Good for U.S.?

By JOHN BUSSEY
GE  Jeffrey_Immelt  China  avionics  aerospace  aviation  joint_ventures  technology_transfers 
september 2011 by jerryking
Untapped and Growing, Frontier Markets Beckon - NYTimes.com
September 28, 2011, 6:42 pm Mergers & Acquisitions | Special Section Fall 2011
Untapped and Growing, Frontier Markets Beckon
By AZAM AHMED and MICHAEL J. DE LA MERCED

The education of investors has followed recognition of a pattern in frontier markets. The first deals struck are those related to commodities like oil or metals. As countries grow more advanced, consumer goods companies and media and telecommunications concerns are the next to be scooped up.
Africa  private_equity  Wal-Mart  JPMorgan_Chase  local_knowledge  Tanzania  Zimbabwe  joint_ventures  frontier_markets  emerging_markets 
september 2011 by jerryking
China Squeezes Foreigners for Share of Global Riches - WSJ.com
DECEMBER 29, 2010 | WSJ | By SHAI OSTER, NORIHIKO SHIROUZU
And PAUL GLADER. China's big government-backed companies now have
enormous financial resources and growing political clout, making them
attractive partners outside China. In addition, the Chinese market has
become so important to the success of multinational companies that
Beijing has the ability to drive harder bargains.

But such deals also carry risk. Several earlier joint ventures inside
China have soured over concerns that Chinese partners, after gaining
access to Western technology and know-how, have gone on to become potent
new rivals to their partners.
Beijing  China  deception  economic_clout  GE  joint_ventures  multinationals  political_clout  predatory_practices  rivalries  SOEs 
december 2010 by jerryking
In China, Western Firms Keep Secrets Close - WSJ.com
AUG. 30, 2010 | WSJ | By DANA MATTIOLI .In China, Western
companies are increasingly expressing concerns about the safety of their
intellectual property in arrangements (e.g.joint ventures) involving
tech transfers "that require sharing their technology/IP with a Chinese
partner. Firms like BASF and Motorola have, alternately, expressed
concern and sued to protect their trade secrets....These concerns are
changing the China playbook for Western firms, counterbalancing the
prospect of cheap mfg, & a massive consumer mkt....It's no longer
about getting into China, it's about HOW you do China." Strategies that
Western companies are adopting include: Not sharing the most sensitive
IP; sending more of their own employees to oversee mfg.; partnering with
a smaller firm that's less able to become a rival; splitting up the
mfg. process; encrypting design plans (inaccessible w/o a special code)
& creating plans that "expire" and cannot be saved, forwarded or
printed.
BASF  China  Dana_Mattioli  defensive_tactics  encryption  impermanence  intellectual_property  joint_ventures  Motorola  playbooks  technology_transfers  trade_secrets 
november 2010 by jerryking
The future of the magazine
Dec. 17, 2009 | The Globe and Mail | by Susan Krashinsky.
Magazines are hardly leaping out at media buyers these days. The
industry has been walloped by falling sales: In the first nine months of
2009, magazine ad pages in the U.S. dropped 27 per cent from the same
period last year, and revenues were down 20 per cent, according to the
Publishers Information Bureau. The Canadian magazine industry fared
slightly better, but ad pages still dropped 21 per cent from January to
September of this year, according to Nielsen LNA.
future  magazines  joint_ventures  publishing 
december 2009 by jerryking
Group of Publishers Is Said to Be Building a Newsstand Online
November 24, 2009 | NYTimes.com | By BRIAN STELTER. A
consortium of magazine publishers including Time Inc. and Condé Nast
plan to jointly build an online newsstand for publications in multiple
digital formats. The new magazine company would, in theory, make it easy
to buy print and electronic copies of publications like The New Yorker,
Sports Illustrated, Esquire and Better Homes and Gardens from a single
Web site. While mostly leaving the hardware to others, the alliance of
competing publishers would develop software standards for magazine
viewing on iPhones, BlackBerrys, e-book readers and other platforms,
people with knowledge of the plans said. Executives have talked about an
iTunes model for magazines for months.
publishing  joint_ventures  digital_media  Condé_Nast  magazines 
november 2009 by jerryking
The Meaning of Nummi - WSJ.com
OCTOBER 6, 2009 | Wall Street Journal | by HOLMAN W. JENKINS,
JR. "Toyota is...doing away with [an] auto factory, ...landmark joint
venture (JV) between Toyota and GM until GM bailed this year amid its
bankruptcy ordeal. Nummi, short for New United Motor Manufacturing Inc.
and born in 1984, was heralded as a way to introduce GM to
Japanese-style "lean production" while introducing Toyota to the doughty
U.S. auto worker....Nummi was a political operation from day one.
Toyota at the time had no U.S. production and had just been slammed by a
protectionist "voluntary" quota on cars imported from Japan. The plant
also helped it end-run Washington's 25% duty in imported pickups. In
return, the JV was designed to help GM off the wicket of its unwise
promise to pay wages and benefits to workers even when it had no jobs
for them."
automotive_industry  Holman_Jenkins  Toyota  GM  joint_ventures 
october 2009 by jerryking
To Slim Down, Businesses Team Up - WSJ.com
AUGUST 28, 2009 | Wall Street Journal | by DIANA RANSOM.
Teaming up is not a foreign concept to start-up business owners, who
often have less capital and fewer resources than larger, more
established firms. However, as the economy continues to soften, many
small businesses — even those that have been around for decades — are
not only trading services, but also combining forces.
collaboration  small_business  strategic_alliances  joint_ventures  teams  owners 
august 2009 by jerryking
Partnerships Based on Service, Not Size - NYTimes.com
By MICKEY MEECE
Published: April 29, 2009
major corporations, at some point, have a need for new, innovative
products and services because they can’t develop them all in-house,”
said John Howard, vice president for business development at eXpresso,
which offers an online service that allows people to store, edit and
share Microsoft Office documents.

“They look to start-ups for the next great things they want to add to
their product offerings.”Procter & Gamble, an $83.5 billion company,
began its Connect and Develop program about eight years ago, according
to Jeff LeRoy, external relations manager.
P&G  innovation  partnerships  small_business  large_companies  size  collaboration  joint_ventures  start_ups  in-house 
june 2009 by jerryking
Partnerships Based on Service, Not Size - NYTimes.com
By MICKEY MEECE
Published: April 29, 2009
major corporations, at some point, have a need for new, innovative
products and services because they can’t develop them all in-house,”
said John Howard, vice president for business development at eXpresso,
which offers an online service that allows people to store, edit and
share Microsoft Office documents.

“They look to start-ups for the next great things they want to add to
their product offerings.”Procter & Gamble, an $83.5 billion company,
began its Connect and Develop program about eight years ago, according
to Jeff LeRoy, external relations manager.
P&G  innovation  partnerships  small_business  large_companies  size  collaboration  joint_ventures  start_ups  in-house 
june 2009 by jerryking

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