Peace Arch adds Dufferin to holdings
EmptyTORONTO -- Canadian producer Peace Arch Entertainment on Friday continued its recent buying binge, indicating it will purchase Toronto studio complex Dufferin Gate Prods. for CAN$6 million ($5.4 million).
Toronto-based Peace Arch said it will pay CAN$5.4 million ($4.9 million) and another CAN$600,000 ($540,000) in company stock to acquire the 72,000 square foot studio complex in Toronto.
The move follows Peace Arch last week buying U.S. DVD distributor Trinity Home Entertainment for $10 million in cash and stock as part of its U.S. market expansion plans (HR 5/10).
First launched in 1994 by film and TV producer Patrick Whitley, Dufferin Gate hosted a range of film and TV shoots by major Hollywood studios and producers until late last year when Whitley sold a controlling interest to Dufferin Gate chairman John Weber.
The Toronto studio is currently housing Canadian shoots, including the second season of "Little Mosque on the Prairie" for the Canadian Broadcasting Corp.
Peace Arch said Dufferin Gate will be renamed Peace Arch Studios, with Weber staying on as president.
Last December, Peach Arch bought movie producers Castle Hill Prods. and Dream LLC in a cash-and-stock transaction valued at $9.5 million.
To fund its recent purchases, Peace Arch last week unveiled plans for a share offering to raise CAN$33 million ($29.7 million) for debt reduction and general corporate purposes "including other potential future acquisitions."