Chinese Manufacturing Firm Acquires Voltage Pictures for $350 Million (Report)
Anhui Xinke New Materials is known for copper production in China, but it is now branching out into the film business.
The flow of Chinese capital into Hollywood continues.
On Monday, Reuters reported that China's Anhui Xinke New Materials has acquired an 80 percent stake in Midnight Investments, owner of film financing and production company Voltage Pictures, for $350.71 million (2.39 billion yuan).
The Chinese company is best known for copper processing and manufacturing electric wires and cables, but it is now branching out into the film business.
Founded by producer Nicolas Chartier in 2005, Voltage Pictures began as a foreign sales outfit before venturing into production with Kathryn Bigelow's The Hurt Locker in 2010. The company has since produced over 150 films — mostly mid-budget projects in the $15 million to $40 million range — including Dallas Buyers Club (2013) and the forthcoming horror flick Keep Watching, starring Bella Thorne. The company also has produced some television, such as True Justice, starring Steven Seagal, and Leverage, with Timothy Hutton.
Voltage Pictures declined to comment. Xinke didn't immediately respond to a request.
The buyout is just the latest episode in a busy year of China-Hollywood dealmaking. Other high-profile acquisitions include Dalian Wanda Group's purchase of Legendary Entertainment and Dick Clark Productions, for $3.5 billion and $1 billion, respectively. Los Angeles-based Tang Media Partners, which is backed by Chinese investment, also snapped up IM Global over the summer.
Earlier in November, Anhui Xinke New Materials launched Wotaiji International Media, a subsidiary structured to acquire media and entertainment assets. The firm says the acquisition of Voltage will strengthen its position in the Chinese and international film business, while boosting profitability.
The parent company is listed on the Shanghai stock exchange; its market capitalization on Monday was $1.15 billion (RMB7.79 billion).