ViacomCBS Acquires 49% Stake in Miramax

beIN Media Group will retain the other 51%

Last Updated: April 3, 2020 @ 10:04 AM

ViacomCBS said on Friday that it has finalized its acquisition of a 49% stake in film and TV studio Miramax.

BeIN Media Group will retain the remaining 51% stake in the company. The two said that Miramax’s current leadership team will continue in their existing roles.

ViacomCBS acquired its stake in Miramax from beIN for a total of $375 million. Approximately $150 million was paid at closing, while ViacomCBS has committed to invest $225 million — comprised of $45 million annually over the next five years — to be used for new film and television productions and working capital.

“This represents a major investment in and endorsement of our thriving Miramax business, which has grown in value under beIN Media Group’s ownership and has a fantastic future ahead with major new movies and unexploited premium dramas,” beIN Media Group Chairman Nasser Al-Khelaifi said in a statement. “We are thrilled to partner with ViacomCBS and Paramount to explore further opportunities around Miramax’s iconic IP, and also at Group level; while substantially increasing the scale of our entertainment business. This deal further underlines beIN’s ambitions on the global stage – we are very proud to have established ourselves as one of the leading groups in sport, entertainment and media.”

In addition, Paramount Pictures entered into an exclusive, long-term distribution agreement for Miramax’s film library, and an exclusive, long-term first-look agreement allowing Paramount Pictures to develop, produce, finance and distribute new film and television projects based on Miramax’s IP.

Miramax’s impressive film library includes more than 700 titles, 278 Academy Award nominations and 68 Oscars. The studio holdsĀ  four Best Picture awards: for “Chicago,” “Shakespeare In Love,” “The English Patient” and “No Country for Old Men.”

Founded by Bob Weinstein and Harvey Weinstein in 1979, Miramax was sold to Disney in 1993 with the Weinstein brothers remaining in charge until 2005. They left to form The Weinstein Company, which collapsed in 2018 after more than 100 women accused Harvey Weinstein of sexual assault and misconduct. The company became an indie film powerhouse in the 1990s and 2000s, producing many of the defining films of the era.

Disney sold Miramax to a joint venture consisting of Colony NorthStar, Tutor-Saliba Corporation and Qatar Investment Authority in 2010. That consortium sold Miramax to beIN Media Group in 2016.

Moelis & Company served as exclusive financial advisor to beIN, while Skadden, Arps, Slate, Meagher & Flom served as legal counsel. Guggenheim Securities served as exclusive financial advisor to ViacomCBS, while O’Melveny & Myers served as legal counsel.