Entertainment One to Acquire Phase 4 Films2 Jun, 2014 By: Chris Tribbey
Entertainment One (eOne) has agreed to acquire Toronto-based Phase 4 Films for approximately $27 million Canadian ($24.8 million) in a stock and cash deal that will combine two of the largest independent distributors in North America.
Phase 4 founder, president and CEO Berry Meyerowitz will take on the roll of president of eOne’s U.S. film and distribution business, where he’ll oversee all aspects of film distribution in the United States, as well as eOne’s North American label and kids and family content distribution businesses.
Phase 4’s management team will stay on with eOne as part of the deal. Sean Monson, EVP of finance and operations for Phase 4, and David Richardson, EVP of sales and marketing, have signed long-term contracts to remain with eOne.
Executives with eOne said they believe the acquisition reinforces the company’s commitment to VOD, digital and physical home entertainment distribution. The deal will also see kaboom! Entertainment, Phase 4’s dedicated kids and family label, broaden opportunities for eOne’s growing U.S. and Canadian family and licensing businesses.
“We are delighted to welcome Berry and the talented Phase 4 team to eOne,” said Patrice Théroux, who oversees eOne’s global film business. “Phase 4 has been first at the table for key VOD partnerships in the U.S. and they have a proven track record of success. Their expertise will greatly extend our abilities in the U.S. while also complementing our Canadian offering.”
Meyerowitz added: “This is a very exciting development for Phase 4 and all of our valued partners. We are excited to bring our passion and experience to eOne. We are proud of the strong foundation that we have built over the last five years and look forward to broadening our business through eOne’s expanded portfolio.”
In early 2013, eOne closed its purchase of buying fellow Canadian company Alliance Films for approximately $230 million, bringing the distributors international TV and film catalog up from approximately 24,000 to approximately 35,000, and giving it distribution rights in Canada for titles from The Weinstein Co., Lionsgate and Focus Features.