Relativity Media has struck a multi-year partnership with China’s 3C Media to jointly produce up to four local-language movies based on Relativity intellectual property annually as well as at least two local-language Chinese TV shows. 3C will also invest in and co-own films released in China through Relativity’s wholly-owned subsidiary SkyLand.
Under the terms of the deal, Relativity and 3C will each own 50 percent of the films and TV programming created through the partnership. Relativity will serve as worldwide distributor and sales agent for all of 3C’s content outside of China, including its films and television shows. The partnership will also develop television projects for distribution in the U.S. market.
Relativity will have the ability to create international versions of the content originally created through the agreement for Chinese audiences. 3C will have the ability to create Chinese versions of content that was originally created through the partnership for international audiences.
Relativity’s has an existing stake China through its ownership of SkyLand Entertainment, a film distribution and financing company headquartered in Beijing. Originally launched as a joint venture between Relativity, IDG China Media Fund and SAIF Partners, SkyLand is now a wholly-owned subsidiary of Relativity and maintains a strategic relationship with the government-run distributor Huaxia Film Distribution Co. Recent Relativity films released in China include Immortals, Mirror Mirror and Free Birds.
In June 2014, Relativity announced three additional partnerships. Relativity was appointed as the strategic international distribution partner for China Film Promotion International, a state-owned government agency that oversees the promotion and commercial distribution of Chinese films overseas. Relativity and Jiangsu Broadcasting Corp., one of the China’s largest regional broadcasters, announced a partnership agreement to develop, co-finance, co-produce and distribute film and television content for both the international and Chinese markets. And the Industrial Commercial Bank of China Limited and SeedShine Capital, a Chinese investment firm focused on the media and entertainment sector, entered into an agreement to invest in Relativity.
3C Media is a TV formats rights broker and content provider in China, specializing in format localization, developing TV ideas and TV production.
"This partnership is a significant next step in Relativity’s continued expansion into the Chinese market, and we are thrilled to bring a large number of local language productions both in film and television to the China market where there is an incredibly high demand for local content,” Ryan Kavanaugh, CEO of Relativity, said.
"3C has produced some of the biggest hit shows in the market, drawing more than 300 million viewers. Their knowledge, access, and high-quality content will allow us to build on the resounding success of our films in China, and will strengthen the reach of our television division.” Xichen Liu, CEO and President of 3C, said, “We are thrilled to be partnering with Relativity Media, a recognized innovator and leader in international film and television, and we look forward to bringing our content to a bigger global audience through this partnership.”