Many of the “digital video” production companies that emerged over the last 18 months are currently out in the market raising capital. Canvas Media just closed an investment from Ent1 out of Canada. New Form Digital is out raising upwards of $20 million. And Insurrection Media is in market raising capital as well. Fellow production company, Supergravity Pictures, is also at a similar crossroads — raise capital or find an acquirer. Sources close to the company tell VideoInk that one of Supergravity’s original investors — Gunpowder & Sky — is eyeing an acquisition of the remaining stake in the business.
G&S made the investment in early Summer 2015, though it was initially couched as an investment by G&S’s investor Otter Media, the investment arm co-created between AT&T and The Chernin Group.
Other sources close to the deal have noted that Supergravity founder Max Benator and Marc Hustvedt are likely out, though others have noted that part of the negotations simply entail whether Hustvedt and Benator will sell their shares as part of the deal or choose to retain their equity.
Though the deal is not final, souces tell VideoInk that the likelihood of the deal getting done is high.