Canadian Pension Fund Buys Stake in Entertainment One for $226M
The deal has British equity firm Marwyn Value Investors cashing out of the Canada's 'Hunger Games' distributor.
A Canadian pension fund giant has acquired a 17.9-percent stake in Canadian-based studio Entertainment One for $226 million.
The deal saw the Canada Pension Plan Investment Board buy 52.9 million common shares of eOne on the London Stock Exchange at $4.15 — each from Marwyn Value Investors LP. British equity firm Marwyn brought eOne to the U.K. financial market in 2007, and is cashing out after selling another 9-percent stake in the studio in July 2015.
eOne distributes TV shows internationally like The Walking Dead and Hell on Wheels, and movies like The Hunger Games via output deals. The studio also struck a new partnership with The Mark Gordon Company to finance and produce film, cable and digital premium content that eOne will distribute internationally.
The expansion comes as Toronto-based eOne looks to do more global TV series with international partners and co-productions for the U.S. market. The indie studio has TV production arms in Canada, the U.S., the U.K. and Australia.