Output Deal For Canal Plus, Bac
By Charles Masters
Thursday, January 6 2000
Thursday, January 6 2000
Published on AllBusiness.com
In a significant step toward its goal of creating a European distribution network, French pay TV giant Canal Plus has formed a new French distributor with leading independent Bac Films, the company said Wednesday.
The new company, called Bac Distribution, will be more than two-thirds owned by Canal Plus film production unit Le Studio Canal Plus and be headed by Jean Labadie, the president of Bac Films.
Bac Distribution will distribute all films produced, co-produced and acquired by Canal Plus Image, the subsidiary that includes Le Studio. It will also handle those acquired by Bac Films, which will retain full financial and operational independence and continue to acquire films on the French and international markets.
However, films covered by prior agreements will not be distributed by Bac Distribution, notably those acquired by C+P, Canal Plus' joint venture with French major Pathe, and those produced by Steve Reuther's Bel Air, which teams Warner Bros. and Canal Plus.
Vincent Grimond, senior executive vp in charge of Canal Plus Image and the principal architect of Canal Plus' strategy to become a major European studio, said the creation of a distribution network was a key element.
"We are working in three areas at once, which must develop coherently. The first is the distribution network, notably theatrical; the second is financing, and the third -- which is fundamental -- is access to content," Grimond said.
"It is very important for us to have as tight control as possible over theatrical distribution, because that's where the main promotional effort is made, which gives value to a film."
Grimond said other distribution deals are likely to follow in neighboring territories in the coming months. "Since we see ourselves as a European studio, it's important to have effective control of theatrical distribution in the major European markets," he said. "We are looking at what we can do in Germany, Italy, Benelux and the United Kingdom. Wherever possible, we will try and preserve existing accords, like those we have with Pathe in the United Kingdom and Tobis in Germany." Canal Plus has a 20% stake in Tobis.
Canal Plus forged a film acquisition joint venture in Spain in October with distributor Sogepac, a subsidiary of Sogecable, which is a shareholder in the French group's digital platform there, CanalSatelite.
Grimond said Canal Plus Image is considering renaming itself to give it a stronger identity as a studio. He confirmed that the division will be floated on the Bourse by September "at the latest."
Canal Plus has recently been stepping up its efforts to source Hollywood product in order to feed its European
The new company, called Bac Distribution, will be more than two-thirds owned by Canal Plus film production unit Le Studio Canal Plus and be headed by Jean Labadie, the president of Bac Films.
Bac Distribution will distribute all films produced, co-produced and acquired by Canal Plus Image, the subsidiary that includes Le Studio. It will also handle those acquired by Bac Films, which will retain full financial and operational independence and continue to acquire films on the French and international markets.
However, films covered by prior agreements will not be distributed by Bac Distribution, notably those acquired by C+P, Canal Plus' joint venture with French major Pathe, and those produced by Steve Reuther's Bel Air, which teams Warner Bros. and Canal Plus.
Vincent Grimond, senior executive vp in charge of Canal Plus Image and the principal architect of Canal Plus' strategy to become a major European studio, said the creation of a distribution network was a key element.
"We are working in three areas at once, which must develop coherently. The first is the distribution network, notably theatrical; the second is financing, and the third -- which is fundamental -- is access to content," Grimond said.
"It is very important for us to have as tight control as possible over theatrical distribution, because that's where the main promotional effort is made, which gives value to a film."
Grimond said other distribution deals are likely to follow in neighboring territories in the coming months. "Since we see ourselves as a European studio, it's important to have effective control of theatrical distribution in the major European markets," he said. "We are looking at what we can do in Germany, Italy, Benelux and the United Kingdom. Wherever possible, we will try and preserve existing accords, like those we have with Pathe in the United Kingdom and Tobis in Germany." Canal Plus has a 20% stake in Tobis.
Canal Plus forged a film acquisition joint venture in Spain in October with distributor Sogepac, a subsidiary of Sogecable, which is a shareholder in the French group's digital platform there, CanalSatelite.
Grimond said Canal Plus Image is considering renaming itself to give it a stronger identity as a studio. He confirmed that the division will be floated on the Bourse by September "at the latest."
Canal Plus has recently been stepping up its efforts to source Hollywood product in order to feed its European
