Eros International merges with Hollywood production company STX to create new entity, Eros STX Global Corporation
Indian film production and content behemoth, Eros International, is all set to merge with Hollywood's STX Entertainment, to form a new, $1 billion content enterprise called Eros STX Global Corporation. It will be an all-stocks merger that will create an exciting Hollywood-Bollywood collaboration like never before.
6-year-old STX Entertainment had a couple of hits last year in 'Hustlers' and 'The Upside' but had been struggling for some time with several disaster films in 2019. It had recently sold 'My Spy', the sole film in its 2020 calendar to Amazon Studios in April. In Eros International, it has got a partner that has the largest collection of Indian content in the world, with 12000 titles in its library. Also, it has a consistent stream of successes at the box office, with its in-house movie slate. Eros Now, its digital arm, is also looking at a major revamp in content, with its recent tie-up with NBCUniversal.
Chinese Internet giant Tencent is among STX's existing promoters, and the connection will give Eros International a foothold in China as well. The merged company has plans for 40 cinematic releases in the coming year, along with upwards of 100 hours of original episodic content.
The new management team will be led by Kishore Lulla as Executive Co-Chairman, Robert Simonds as Co-Chairman & Chief Executive Officer, Andrew Warren as Chief Financial Officer, Rishika Lulla Singh and Noah Fogelson as Co-Presidents, and Prem Parameswaran as Head of Corporate Strategy.
"This merger will not only fuel our growth but will also diversify our underlying sources of revenue and subscribers with a truly global play, building a powerhouse between East and West. We are well-positioned to create long-term value for our shareholders, partners and employees," said Kishore Lulla.
Added Simonds, "Together we will have the relationships, management expertise and resources to create new content and grow rapidly in the largest and most attractive global markets."