Prime Focus World announces the receipt of a $53 million equity investment to be deployed in two phases: $38 million committed in the first phase and $15 million in a second transactional phase.
Los Angeles, CA / India -- Prime Focus World (PFW), the creative services division of Prime Focus Limited (PFL), has announced the receipt of a $53 million equity investment. The investment deal will be deployed in two phases: $38 million committed in the first phase and $15 million in a second transactional phase, both of which are designated for strategic growth. This enterprise valuation is $300 million on Prime Focus World.
The capital raised will be used for the build out of the global creative services platform and near-term strategic acquisitions that expand PFW's position as a global leader providing visual effects, animation, and stereo View-D conversion creative and technical services to major studios and filmmakers around the world.
“We are delighted to have found a like-minded financial partner in Macquarie as we continue to execute on our strategy of global growth for our company and shareholders,” said Namit Malhotra, founder and Chief Executive Officer, Prime Focus World, N.V. “In the past five years, our business has gained tremendously through expansion of our product offerings and entrance into new markets. Combined with the backing we have received from our other financial partners, AID Partners Capital and Suntrust, the investments will allow Prime Focus World to continue to expand and diversify our creative and technological offerings around the globe.”
Macquarie Capital, the advisory, capital raising and principal investing arm of Macquarie Group, made the investment to Prime Focus World and provided advisory services to PFW's parent company, Prime Focus Limited. In addition to the funding from Macquarie, Prime Focus World also secured $10 million from China’s AID Partners Capital in March. Coupled with a recent investment of $70 million from Standard Chartered Private Equity in Prime Focus Limited (PFL), these investments illustrate strong confidence in the business strategy and growth prospects for the overall group.
Namit added, "After having made an initial investment of $43million in 2008 to build out our global platform we have transitioned and become a business where today our shareholders are seeing a seven times increase in value, while most companies have found it hard to keep pace with the changing times. The investments validate our global ambition to become a world leader while continuing to create greater value for our shareholders.”
Prime Focus World provides 2D to 3D conversion, visual effects and animation services for major media and entertainment companies. PFW has brought its expertise to many wide release Hollywood films, including The Great Gatsby and upcoming White House Down and World War Z. Previously released films include Men in Black 3, Star Wars: Episode One – The Phantom Menace, Dredd 3D, Total Recall, Tim Burton's Frankenweenie, Harry Potter and the Deathly Hallows: Part 2, Narnia: The Voyage of the Dawn Treader, Resident Evil: Retribution, Green Lantern, Immortals, Wrath of the Titans, Mirror Mirror, Transformers: Dark of the Moon and Avatar. Prime Focus World has global operations with a presence in key centers of creative content production – Los Angeles, New York, London, Vancouver and Mumbai, with the opening of Beijing offices scheduled for late 2013.
Source: Prime Focus World
Jennifer Wolfe is Director of News & Content at Animation World Network.