Lionsgate Forms Joint Venture With Steven Paul, Movie Producer Who Has Had Trump’s Ear
Lionsgate is forming a joint venture with film producer Steven Paul’s SP Media, which will invest in new business initiatives and produce independent films for Lionsgate to distribute. Lionsgate will hold majority ownership and control, giving it oversight of the partnership as it explores ways to expand its content business.
The investment amount was not disclosed. The ventures may include broadening 3 Arts Entertainment into areas such as sports and influencers; Paul has produced films including “Ghost Rider”, “Ghost in the Shell” and “Rambo: Last Blood”. He has also lobbied President Donald Trump for a federal tax incentive for US film and television production, while the deal follows a report that Legendary Entertainment revived its bid to acquire Lionsgate.
In short
- Lionsgate and Steven Paul are launching a majority Lionsgate-owned joint venture.
- SP Media will invest in new initiatives and produce films for Lionsgate.
- The investment amount has not been disclosed.
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The case for
The joint venture could give Lionsgate access to new investment and business opportunities while keeping majority ownership and oversight. Working with an experienced producer may help it expand into areas such as sports and influencers, and producing independent films for Lionsgate to distribute could broaden its content slate.
The case against
The undisclosed investment and broad scope of the venture make it difficult to assess its likely costs, returns or strategic value. Expanding into areas such as sports and influencers could distract from Lionsgate’s core business, while the timing alongside a reported acquisition bid may invite questions about the company’s priorities and long-term direction.
Explained simply
Lionsgate is a film and television company that makes and distributes entertainment. A joint venture is a business set up by two partners, who share investment and work; in this case, Lionsgate is to retain majority ownership and control, while Steven Paul’s SP Media will help develop new projects and produce independent films for Lionsgate to distribute.
Paul is a producer whose credits include Ghost Rider, Ghost in the Shell and Rambo: Last Blood. He has also lobbied President Donald Trump for tax incentives to encourage film and television production in the United States. The partnership could extend Lionsgate’s business into areas such as sport and online influencers, as media companies look for ways to grow beyond traditional film and television.
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