Federation Studios Comes To Market: Owners Seek Hundreds Of Millions Via Cash Injection & Head To U.S. To Kickstart Next Phase Of Growth

deadline.com:

EXCLUSIVE: Rumors have swirled that Federation Studios is on the block for more than a year now and today we can exclusively reveal that a hefty chunk of the French powerhouse producer-distributor is up for grabs.

Bosses at the Around the World in 80 Days and The Bureau studio told us that they are seeking hundreds of millions of pounds in investment via the sale of a minimum 40% stake of the company, while valuing Federation at around the €500M to €600M ($513M to $616M) mark.

Montefiore Investments, which in 2021 invested €50M in Federation for one third of the studio, is exiting, while BNP Paribas and Bpifrance remain minority investors.

Founders Pascal Breton and Lionel Uzan, along with Group Co-MD Marco Chimenz, are heading to America to kickstart what they are calling their next growth phase, having appointed Morgan Stanley as advisor. “The potential for growth is extremely strong, especially in Europe,” said Breton, who launched Federation just over a decade ago after selling his company Marathon. “We have 55 producers [within the company] and feel we can double that in the next two to three years, so we want to replace Montefiore and find a stronger partner for the future.” Montefiore had a 33% stake but Federation is looking for an investor to take at least 40%.