China’s real estate conglomerate, Dalian Wanda, has acquired Hollywood production company, Legendary Entertainment, in a deal worth $3.5 billion. The announcement was made by Wanda today morning in Beijing.
This move marks the largest cross-border entertainment acquisition by a Chinese company till date as it reflects the capability of a Chinese movie studio to have an outright majority.
Founded in 1988 as a residential real estate company by Wang Jianlin, Dalian Wanda became one of the first shareholding companies in Communist China. While, Legendary Entertainment is a leading media company with its ventures like Legendary Pictures in film, Legendary Television and Digital Media on the television and digital front and Legendary Comics into the Comic industry.
Wanda, Chairman, Wang Jianlin said, “The acquisition of Legendary will make Wanda the highest revenue-generating film company in the world. Wanda already has an important position in the Chinese film industry, but we need a global position. Also, China has a lot to learn in terms of the film industry.”
Having produced heavy invested films like Jurassic World, Godzilla, Interstellar and Pacific Rim, Legendary has emerged to be the one of the leading production companies across the globe.
Legendary, CEO, Thomas Tull said, “Together, Wanda and Legendary will create a completely new international entertainment company. There is an ever growing demand for quality entertainment content worldwide, particularly in China, and we will combine our respective strengths to bring an even better entertainment experience to the world’s audiences.”
The Chinese film industry seems to be 30-50 years behind that of the U.S. in terms of production of phenomenal content. Therefore, such high end moves will enhance the current scenario in China and shape the path for a brighter and well furnished future.