“The real financial value behind this deal is the treasure trove of I.P. in the deep catalog that we plan to reimagine and develop together with MGM’s talented team,” Mike Hopkins, senior vice chairman of Prime Video and Amazon Studios, mentioned in a press release.
Amazon’s appetite for movies became ravenous throughout the pandemic. It paid $125 million for the rights to “Coming 2 America,” $80 million for “Borat Subsequent Moviefilm,” and $200 million for “The Tomorrow War,” a Chris Pratt journey that may arrive on Prime on July 2. Amazon additionally has Oscar ambitions, shopping for the rights to “Sound of Metal,” which was nominated for finest image and different prime awards at this 12 months’s ceremony.
When it comes to creating its personal hit movies, Amazon has lengthy struggled. MGM managers may assist: Michael De Luca, MGM’s film chairman, has a monitor report that features, at varied corporations, the “Rush Hour,” “Austin Powers” and “Fifty Shades of Grey” franchises.
MGM additionally has a 17,000-episode tv library and a TV studio that makes “Vikings,” “The Handmaid’s Tale,” “Fargo” and varied “Real Housewives” exhibits. In 2014, MGM acquired Mark Burnett’s manufacturing firm, One Three Media, which holds rights to competitors sequence like “The Voice.” Mr. Burnett, a contentious determine in Hollywood as a result of he helped shape Donald J. Trump’s image with “The Apprentice” and remained near him throughout his divisive presidential time period, serves as MGM’s tv chairman.
Anchorage Capital, a New York funding agency, has been the bulk proprietor of MGM for greater than a decade. Before that, MGM was tossed between house owners and, bitten by falling DVD income, finally ending up in chapter. It was worth about $2 billion in 2010, in line with analysts.
Kevin Ulrich, Anchorage’s chief govt and MGM’s chairman, formally put the studio on the block late final 12 months. Anchorage has been beneath strain from varied stakeholders to exit the funding, with some agitators complaining that Mr. Ulrich was overly enamored with Hollywood and will have bought years in the past.