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A24 on Top: With Bigger Budgets, Better Box Office and Splashy IP, Is it Finally Time to Sell?
A24 is having its most profitable year, with hit films lifting its domestic box office above $500 million for the first time and its television work gaining traction. That success has sharpened the question of whether the independent studio should sell or take investment while its brand and business are attracting attention.
The article says A24 was valued at $3.5 billion in a 2024 fundraise, but some industry executives consider that valuation difficult to justify. Founders David Fenkel and Daniel Katz have previously rejected investment offers and kept creative control, while the company tests higher-budget projects and major properties, including a $200 million “Elden Ring” film. Its attempts to expand have had mixed results, with some costly 2025 releases underperforming before this year’s rebound.
In short
- A24 has surpassed $500 million at the domestic box office.
- Its 2024 valuation was $3.5 billion.
- A $200 million “Elden Ring” film marks a major expansion.
Steelman: both sides, in good faith
The strongest fair case each way — we don't pick a winner.
The case for
A sale or outside investment could give A24 more capital to finance ambitious projects, develop major properties and compete in film and television without relying as heavily on individual hits. With the company attracting attention after a strong year, supporters may see this as a chance to secure a high valuation and share the risks of expansion while preserving some creative independence through the deal’s terms.
The case against
A24’s distinct identity and track record may depend on its founders’ ability to protect creative control and take unconventional risks; a sale could weaken that independence or shift priorities towards predictable returns. The company has previously rejected investment offers, and a valuation that some executives regard as hard to justify could make a deal less attractive than continuing to grow on its own.
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