A Travers Smith team led by Head of Commercial, IP and Technology, Tom Purton, and including senior associate Ben Chivers has advised Pinewood Shepperton plc (“Pinewood”) on a 50:50 joint venture agreement with Seven Stars Ltd (“Seven Stars”).
Pinewood is a leading provider of services to the global film and television industry. Seven Stars is part of one of China’s leading private media groups and is part of the largest and fastest growing media conglomerates in China, with operating subsidiaries in the Hong Kong, Europe and the US.
The Chinese entertainment and media market is worth $137,458 million and is predicted to grow to $192,516 million by 2016. The Chinese filmed entertainment market is worth $4,478 million and is expected to almost double by 2016 to US$7,374 million. In 2011 the Chinese Government listed the creative sector as a pillar industry.
Commenting on the successful Joint Venture Prime Minister David Cameron said:
“It’s great to see Pinewood Studios expanding its business with the announcement of its joint venture with Seven Stars Media. The creative industries are a rapidly growing area of China’s economy and will increasingly provide huge opportunities for UK companies competing in the global race. Pinewood is leading the way, taking advantage of China’s thriving entertainment and media sector and building on Britain and China’s growing trade relationship.”
The joint venture, to be called “Song Lin”, initially, will assess a number of business proposals in the growing entertainment market in China. Under the terms of the joint venture, Pinewood will provide its expertise with limited capital investment. The proposals include:
- providing co-production opportunities for film and television producers;
- the creation of film and television diploma courses to be delivered by UK educational institutions in Beijing, Tianjin and four other cities
- developing production financing and related services for Chinese film and television productions;
- a series of film themed entertainment venues in Shanghai and regionally; and
- creating film themed projects in Beijing, Shanghai and Wuhan.
Tom Purton commented as follows:
“The Chinese market for content is the fastest growing in the world and taking Pinewood’s experience and skills to that market in partnership with such an established and successful local partner represents another major step forward for Pinewood’s international development.”
