Neon is in talks to sell a significant stake to Department M, The Wrap has learned.
Department M is being backed by a consortium of private investors in the effort. The production outfit, founded by by Mike Larocca and Michael Schaefer, launched in 2024 and was backed by private investors.
Since distributing the best picture winner “Parasite” in 2019, Neon has established itself as a leading distributor of international cinema in the U.S., releasing four of the five nominees in this year’s best international feature Oscar category, including Joachim Trier’s “Sentimental Value” and Jafar Panahi’s Palme d’Or winner “It Was Just an Accident.”
Neon’s upcoming slate also includes highly anticipated genre films like “Exit 8,” the Japanese horror film based on the indie video game of the same name, and Boots Riley’s colorful crime comedy “I Love Boosters.”
Neon most recently acquired Ryusuke Hamaguchi’s “All of a Sudden” which marks the company’s first acquisition out of this year’s European Film Market in Berlin, with Sarah Colvin negotiating the sale on behalf of the distributor alongside Renan Artukmaç for Cinefrance Studios. Cinefrance launched international sales for the film this week at EFM, with Bitters End handling Asia. The film will be distributed by Diaphana in France and Bitters End in Japan.
Neon also recently acquired U.S. domestic rights for Sundance documentary “Once Upon a Time in Harlem,” following a heated bidding war. A theatrical release is planned for later this year.
Department M declined to comment.
Variety first reported the news.
