Paramount’s US$1 billion China deal falling apart
Sources close to talks say the deal is DOA
After suffering US$450 million in losses last year, Paramount Pictures announced in January a deal to source financing for upcoming films from two Chinese firms. But the New York Post reports that the deal is unravelling with sources close to the negotiations saying Friday that “China is passing on all investments.” A separate source confirmed that the “Paramount deal is dead.” The news comes as China cracks down on investment overseas and after the collapse of other Hollywood deals, such as a proposed acquisition of Dick Clark productions by China’s Wanda. Seeking Alpha also reports that DreamWorks is looking to unload its 45% stake in its Chinese Oriental DreamWorks venture.