Canadian Animation Studio Ditches Takeover by China's Xing Xing Digital
Rainmaker Entertainment failed to close the deal with the Beijing-based cartoon maker by a September 14 deadline.
TORONTO - Canadian digital studio Rainmaker Entertainment has seen a deal to be acquired by China’s Xing Xing Digital Corp. fall apart.
Vancouver-based Rainmaker said it gave Xing Xing a notice of termination after being unable to close the transaction before a September 14 deadline.
The Beijing-based cartoon studio in June first unveiled the deal to take on $7 million in Rainmaker debt and all studio real estate leases as part the takeover deal.
“The board of directors of Rainmaker felt that due to the delay in closing the transaction, it was in the best interests of Rainmaker and its shareholders that the company focus on its existing business operations and on exploring alternative transactions,” the Canadian company said in a statement.
Rainmaker is currently producing the feature film Escape from Planet Earth, to be distributed by The Weinstein Company in February 2013.
The Canadian digital studio is also producing DVD films for Mattel and developing its own properties.