Beverly Hills, California and Mumbai, India – Festival De Cannes – Relativity Media (“Relativity”), a next-generation media company, and B4U, a Bollywood film and television network whose major shareholders include Lakshmi Mittal, Kishore Lulla, and Gokul Binani, announced on May 17 that the companies have formed a new joint venture that will leverage their combined expertise, relationships and resources to create and distribute highly-engaging long and short form entertainment and sports content in India that will span a variety of mediums including film, television and digital.
Rapid urbanisation, multiplex growth and increasingly sophisticated production and marketing techniques continue to drive growth in the Indian content market. Capitalising on the significant growth potential of the Indian film and television markets, which are expected to reach revenues of INR 193.3 billion (US$3.5 billion) and INR 848 billion (US$15.3 billion) by 2017, respectively, the joint venture will provide an innovative platform for both Relativity and B4U to co-invest and distribute local Bollywood film and television productions. In addition, the joint venture will distribute and market Relativity’s films, beginning with the romantic drama The Best of Me, in India, Pakistan, Sri Lanka, Bangladesh, Nepal and Bhutan.
“This strategic partnership represents an exciting opportunity for Relativity to significantly expand our presence in this vibrant and growing marketplace while creating a bridge for developing and sharing content between Hollywood and Bollywood,” said Ryan Kavanaugh, CEO of Relativity. “By 2020, India is set to become the world’s youngest country, and its citizens are adopting new technology platforms – from smartphones to smart TVs – at a dramatic rate. We are especially excited to work with B4U and its impressive management team led by Ishan Saksena, and this joint venture positions us well to deliver enthralling content across rapidly emerging distribution channels.”
Ishan Saksena, CEO of B4U, said: “B4U has always been at the helm for delivering Bollywood content in India and internationally. This joint venture with Relativity is the natural step in our progression to build a creative film studio and unique technology platform. Our joint venture provides a platform to bring the best of Relativity’s intellectual property, production skills, and unique monetising strategies to India, while also providing Indian talent access to global audiences. Ryan’s vision and leadership, combined with the Relativity management team’s deep industry experience, makes them our ideal partners.”
Joint Venture Structure
The newly formed joint venture will:
- Distribute future Relativity films and other select entertainment content in India and the surrounding regions
- Co-finance, co-produce and distribute Indian language films and television shows as well as acquire projects in the U.S. and Indian markets
- Distribute third-party content in India and select Bollywood films in the U.S.
- Create and launch a new pay television channel in India focused on Hollywood content in both English and Hindi
- Launch “RelaTV” – a digital streaming technology platform to deliver compelling short and long form content to Indian consumers
- Co-produce a slate of Hollywood films including The Best of Me
Terms of the transaction were not disclosed; however, the joint venture will have an investment of approximately US$100 million available for projects. The joint venture will be managed by B4U Chief Executive Officer Ishan Saksena and will be overseen by a Board of Directors, to which both companies will appoint two directors.
Upcoming Productions in India
Relativity’s romantic drama The Best of Me, based on the bestselling novel by acclaimed author Nicholas Sparks, and starring James Marsden and Michelle Monaghan, will be the first film to be distributed by the joint venture in India and will be released on October 17, 2014.
In addition, the joint venture will make Relativity’s upcoming comedy – currently titled Untitled Armored Car Project and starring Owen Wilson and Zach Galifianakis in the U.S. – for the Indian market with a Bollywood director and starring Bollywood talent.
In Untitled Armored Car Project, David (Galifianakis) is unfulfilled in his life and unhappy with his work – driving the armoured car bringing thousands of dollars to and from banks every day. But when he’s convinced to join in a far-fetched plan to rob a bank vault, David soon throws everything on the line for love, money and a life of excitement. These inexperienced criminals, led by Steve (Wilson), somehow manage to nab nearly US$20 million, only to then leave a glaring trail of evidence in their wake. To make matters worse, David’s accomplices double-cross him. Now, in this comedy inspired by true events and directed by Jared Hess (Napoleon Dynamite), David will discover that the only thing tougher than pulling off the heist will be trying to turn the tables on those who betrayed him.
