At a special meeting on July 21, 2006, Genius Products Inc. stockholders approved a deal that will see The Weinstein Co. Llc. control 70% of the company.
Under the terms of the transaction, Genius Products will retain 30% of the firm. The board of directors also increased from four to six members with the addition of two TWC execs, Larry Madden, evp/cfo of TWC, and Irwin Reiter, evp of accounting and financial reporting of TWC.
As part of the deal, TWC will produce a series of SPY KIDS animated direct-to-DVDs, based on the successful live-action theatrical features from Robert Rodriguez.
Genius Products has the exclusive U.S. home video distribution rights for virtually all TWCs filmed entertainment and direct-to-video product, and also operates the ongoing Genius Products Inc. business, which includes the marketing, sales and distribution for major branded entertainment, such as ESPN, NBC News, Sundance Home Ent., Asia Extreme, AMC, Dragon Dynasty and IFC, among others.
We are delighted to be significant owners of the most exciting home entertainment company in the industry, said Bob and Harvey Weinstein. Genius Products is a world-class organization and we are eager to work with management to continue to drive shareholder value.
Over the last year, we have successfully transformed our company into a leading independent player in the home entertainment business, said Stephen K. Bannon, chairman of Genius Products, Inc. With the closing of The Weinstein Co. transaction and the exclusive ESPN distribution agreement, our track record of attracting premium content providers is clearly established, and we are confident Genius growth will continue for many years to come.
The approval of this transaction is an important milestone for Genius, as it significantly advances our strategic priority of delivering high-quality, creative content to our retail customers, added Trevor Drinkwater, Genius ceo. We welcome the addition of The Weinstein Co. spirit of innovation and creativity and were confident this transaction will enhance and expand our business and build shareholder value.
Genius Products Inc. is a leading independent home-entertainment distribution company that produces, licenses and distributes a library of motion pictures, television programming, family, lifestyle and trend entertainment on DVD and other emerging platforms through its expansive network of retailers throughout the U.S.
The Weinstein Co. was created by Bob and Harvey Weinstein, the brothers who founded Miramax Films Corp. in 1979. TWC is a multi-media company that officially launched on Oct. 1, 2005. Dimension Films, the genre label that was founded in 1993 by Bob Weinstein, is also included under TWC banner. The Weinsteins are actively working on the production, development, acquisition and distribution of projects for TWC and Dimension.