Lionsgate Acquires Stake in Management and Production Company 42 – Deadline
EXCLUSIVE: Lionsgate is in the process of finalizing an agreement to acquire a minority stake in the management and production company 42 based in London and Los Angeles, we can reveal it.
Management and production powerhouse 3 Arts Entertainment, majority-owned by Lionsgate, was a key driver in securing the deal and will seek to collaborate on television and film projects with 42 and fast-growing Lionsgate in a one-to-one venture. three. We understand that the pact will also include a first look agreement between Lionsgate Television and 42 for the United States.
Lionsgate and 42 were unavailable for comment, but we know the pact is almost done. We hear it’s lucrative and well into eight figures. In 2018, Lionsgate bought a majority stake in 3 Arts which valued it at over $300 million, so given the sky-high valuations of media companies right now in Hollywood, it’s likely to be a good chunk of the change.
Among 42 hundreds of clients are Jesse Armstrong, Julian Fellowes, Claire Denis, Charlie Brooker, Michael Caine, Sofia Boutella, Nicholas Hoult, Krysty Wilson Cairns, Joanna Hogg, Lynne Ramsay, Nadine Labaki, Neil Marshall, Sebastian Lelio, Ed Skrein , Katherine Waterston, Jonny Lee Miller and Will Davies. Managers and partners include Josh Varney, Kate Buckley and Cathy King.
Manufacturing at the company is led by partners Ben Pugh and Rory Aitken. Films have included Benedict Cumberbatch starring The mail and Netflix pictures off the wire and night teeth. Television included HBO The girl beforeJulian Fellowes The English game and the starry cover of boat down. Coming with Netflix is the movie End of the road and the series Flatsharing with Paramount Plus.
The investment in 42 helps bring Lionsgate TV closer to international talent and projects at a time when national studios and agencies travel the world seeking opportunities for international expansion and synergies with talent traveling like never before. The added scale and diversity of the portfolio doesn’t hurt if Lionsgate itself comes on the block. Lionsgate had recently kicked the tires at distributor STX.
42 obtains to increase its footprint in the United States and potentially to develop and 3 Arts opens a window on the international space. We hear that the Los Angeles-based team of 42, including producer Pugh (The mail) and manager Varney – will move to occupy a floor in the 3 Arts building in Beverly Hills.
The growth 42, which has over 35 employees, has been in demand for some time. The company was established ten years ago and has been making waves as a management and production company in the UK, but also through its presence in Los Angeles.
Lionsgate’s majority investment in 3 Arts has already led to partnerships on series such as mythical quest for Apple+, and the upcoming series Manhunt for Apple+, Julia for HBO Max and The Serpent Queen for Starz. Lionsgate TV just had a solid 12 months in terms of 13 new TV mics, its best yet, and the partnership with 3 Arts contributed to that.
The investment in 3 Arts launched Lionsgate’s talent strategy. The deal with 42 is seen as an extension of that, using the same model to bring another like-minded management/production company into the fold.