PR Newswire: news distribution, targeting and monitoring
2014

Lions Gate Entertainment Acquires Leading UK Filmed Entertainment Distributor Redbus Film Distribution Limited

Strategic Acquisition Enables Lions Gate to Self-Distribute in the UK and Adds

to Company's Library and Pipeline



SANTA MONICA, Calif., VANCOUVER, British Columbia, and LONDON, Oct. 18

Share with Twitter Share with LinkedIn
/PRNewswire-FirstCall/ -- Lions Gate Entertainment (NYSE:   LGF; Toronto), the
 premier independent filmed entertainment production and distribution studio,
 has acquired Redbus Film Distribution Limited, a leading independent UK film
 distributor, in a combined cash and stock transaction valued at approximately
 $35 million.  The announcement was made today by Lions Gate Chief Executive
 Officer Jon Feltheimer and Redbus co-founder and CEO Simon Franks.
     Lions Gate will now have the ability to self-distribute its motion
 pictures in the UK, one of the largest international territories outside North
 America.  Lions Gate has also acquired Redbus' library of rights to over 130
 films, including the internationally-acclaimed blockbuster BEND IT LIKE
 BECKHAM, JEEPERS CREEPERS, THE MOTHMAN PROPHECIES and THE GIFT.
     Redbus' upcoming slate in the UK includes: the critically-acclaimed Venice
 Film Festival opener GOOD NIGHT, AND GOOD LUCK, directed by George Clooney and
 starring David Strathairn, Clooney, Robert Downey Jr., Patricia Clarkson and
 Jeff Daniels, to be released in the UK in February 2006; THE WICKER MAN, a
 remake of the 1973 thriller written and directed by Neil LaBute, starring
 Nicolas Cage, slated for September 2006 UK distribution; Bruce Beresford's THE
 CONTRACT, starring John Cusack and Morgan Freeman; Michael Winterbottom's
 TRISTRAM SHANDY: A COCK AND BULL STORY; and Alex Gibney's acclaimed
 documentary ENRON: THE SMARTEST GUYS IN THE ROOM.
     As part of the transaction, Lions Gate has signed long-term contracts with
 Redbus cofounder Franks, distribution president Zygi Kamasa and head of
 theatrical distribution Chris Bailey to run the day-to-day UK operations on an
 entrepreneurial basis consistent with the Lions Gate and Redbus business
 models.
     "The acquisition of Redbus is consistent with our commitment to make
 accretive, strategic transactions to accelerate our growth and enhance margins
 in our core businesses," said Feltheimer.  "We are acquiring a company with a
 strong distribution infrastructure, a valuable library and a gifted,
 experienced and highly entrepreneurial senior management team.  With the
 addition of our theatrical product, catalog and the other resources we will
 provide, we intend to mirror in the U.K. the successful growth strategy we
 have executed in North America."
     Lions Gate noted that it will continue to explore additional international
 business opportunities, including undervalued and potentially accretive
 library acquisitions.  The Company also noted that, beginning in early 2006,
 it will begin distributing a significant portion of its own library in the
 U.K., including such titles as DIRTY DANCING and THE PRINCESS BRIDE.
     "We are very excited to become part of the Lions Gate team and view this
 transaction as a superb opportunity to take our business to the next level of
 growth," said Franks.  "The deal is a logical evolution of our longstanding
 relationship with Lions Gate, and their powerful theatrical pipeline, track
 record of successful acquisitions and dynamic, entrepreneurial culture are a
 superb fit for Redbus.  We believe that we are well positioned to deliver
 revenue and earnings growth to Lions Gate."
     "I look forward to working with Simon, Zygi, Chris and their team," said
 Lions Gate International President Nick Meyer.  "The Redbus transaction
 expands our array of resources for maximizing the value of Lions Gate content
 internationally and extends our control over the success of our product
 pipeline.  The acquisition comes at a time when the international market is
 poised for additional growth in several key media sectors, including home
 entertainment, television and digital distribution."
     Redbus has recently distributed such Lions Gate hits as OPEN WATER and
 CABIN FEVER in the UK and is already set to distribute RIZE and the upcoming
 Lions Gate releases HARD CANDY and CATACOMBS in coming months.
 
     Lions Gate is the premier independent producer and distributor of motion
 picture, television, home entertainment, family entertainment and
 video-on-demand content.  Its prestigious and prolific library is one of the
 largest in the entertainment industry.  The Lions Gate brand name is
 synonymous with original, daring, quality product in markets around the globe.
 
     Redbus is one of the premier independent distributors in the UK.  Founded
 in 1998 by former JP Morgan and Banque Paribas investment banker Simon Franks
 and Zygi Kamasa, Redbus has been profitable since its inception.  Redbus has
 established a track record of acquiring and distributing critically acclaimed
 and commercially successful, profitable feature films.  Redbus distributes
 directly both theatrically and on video, and it has established strong
 relationships with all major UK television buyers, including the BBC, Channel
 4, ITV and BSkyB.  Redbus has ranked among the top 10 fastest-growing
 companies in the UK for the past two years, according to the SUNDAY TIMES FAST
 TRACK 100.
     Redbus' parent company is Redbus Group, a privately-owned UK-based media
 group.  Simon Franks is its founder and Chairman.  Redbus Group was advised by
 Allen & Company LLC in connection with the transaction.
 
                       www.lgf.com         www.redbus.com
 
      For further information, contact:
 
      Peter D. Wilkes
      Lions Gate Entertainment
      310-255-3726
      pwilkes@lgf.com
 
      Nick Fox
      M Communications
      +44 (0) 207 153 1540
      +44 (0) 7711 727 618
      www.redbus.com
 
     The matters discussed in this press release include forward-looking
 statements.  Such statements are subject to a number of risks and
 uncertainties.  When used in this press release, the words "will," "plan,"
 "continue," "intends," "believe," "poised" and similar expressions are
 intended to identify forward-looking statements.  Actual results in the future
 could differ materially and adversely from those described in the
 forward-looking statements as a result of various important factors, including
 risk factors set forth in Lion Gate's 8-K filed with the Securities and
 Exchange Commission on June 29, 2005.  The Company undertakes no obligation to
 publicly release the result of any revisions to these forward-looking
 statements that may be made to reflect any future events or circumstances.
 
 

SOURCE Lions Gate Entertainment

Featured Video

Journalists and Bloggers

Visit PR Newswire for Journalists for releases, photos, ProfNet experts, and customized feeds just for Media.

View and download archived video content distributed by MultiVu on The Digital Center.

Share with Twitter Share with LinkedIn
 

Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

 

 
 

PR Newswire Membership

Fill out a PR Newswire membership form or contact us at (888) 776-0942.

 
 

Learn about PR Newswire services

Request more information about PR Newswire products and services or call us at (888) 776-0942.

 

Online Member Center

Not a Member?
Click Here to Join
Login
Search News Releases
Advanced Search
Search
  1. PR Newswire Services
  2. Knowledge Center
  3. Browse News Releases
  4. Contact PR Newswire
  5. Send a News Release