ViacomCBS has struck a definitive agreement with beINMEDIA GROUP to acquire a 49% stake in global film and production studio Miramax — best known for its award-winning film library including such box office faves as Chicago, Shakespeare in Love, Good Will Hunting, and Kill Bill and for its co-founder, disgraced former film producer Harvey Weinstein.
A major Los Angeles-based law firm represented ViacomCBS in bringing the investment to fruition.
The transaction is expected to close in the first quarter of 2020 and saw O’Melveny serve as ViacomCBS’s legal counsel in the $375 million deal.
The deal’s terms include an upfront cash consideration of approximately $150 million, along with a commitment to invest $45 million annually in Miramax for the next five years to be used for new film and television productions and working capital.
As part of the deal, ViacomCBS’s Paramount Pictures — a struggling segment of Viacom in recent years — entered into “an exclusive, long-term distribution agreement” for Miramax’s film library, and a “first-look” agreement allowing Paramount to develop, produce, finance and distribute new film and television projects based on Miramax’s IP.
ViacomCBS and beINMEDIA GROUP “will also explore other strategic partnership opportunities,” the companies said on Friday (12/20).
The O’Melveny team advising ViacomCBS was led by Century City, Calif.-based partners Matthew Erramouspe, Amy Siegel, Bruce Tobey, Silvia Vannini and Eric Zabinski, in addition to Washington, D.C. partner Greta Lichtenbaum. Century City counsel Robert Catmull, Eric Geffner, and Zach Greenberg were also involved.
Guggenheim Securities is serving as exclusive financial advisor to ViacomCBS.
Moelis & Company is serving as exclusive financial advisor to beIN MEDIA GROUP, while Skadden, Arps, Slate, Meagher & Flom is serving as legal counsel.
ViacomCBS President/CEO Bob Bakish commented, “This partnership with beIN will be a unique opportunity to gain access to a valuable library, deepening our already substantial pool of IP at a time when demand for premium content is only accelerating. We look forward to working closely with the MIRAMAX management team as we explore new ways to deliver its titles across a variety of platforms and create new, compelling projects.”