Ryan Kavanaugh's Relativity Media has acquired Overture Films‘ distribution and marketing operation from Starz LLC in a move that transforms Relativity into a full-fledged studio.
Two-thirds of Overture's staff “or 45 employees” will make the move to Relativity, including top execs Peter Adee and Kyle Davies. They will retain their titles, with Adee serving as Relativity prexy of marketing, distribution and new media, and Kyle, exec VP of theatrical distribution.
Move comes not long after Relativity struck a lucrative pay TV deal with Netflix.
Relativity did not acquire Overture's library, which stays under the Starz LLC umbrella, as does Anchor Bay homevid company Anchor Bay Entertainment.
Until now, Relativity has had to put its movies out through other studios. Acquiring the Overture team means it can distribute its own titles, including Rogue pics.
Relativity hopes to release as many as 25 titles by 2012.
Rogue's distrib agreement with Universal is non-exclusive, meaning Rogue titles can now go through Relativity.
“We are in a great position to bring the marketing and distribution savvy of Peter and Kyle, and their teams to our home at Relativity,” Realitivity CEO Ryan Kavanaugh said. “As we've been expanding this area of our business finding a team with the experience and breadth and depth that Peter and Kyle's have couldn't have been a more perfect fit. They have released an incredibly broad slate of films over the past 15 years including some of the highest grossing films in their respective years. I really commend Starz for its smart leadership in helping us make this move.”
Overture Films will release its remaining titles “Jack Goes Boating,” “Stone” and “Let Me In” — through Relativity.
“With our increased focus on original content, it no longer makes strategic sense for Starz to make theatrical motion pictures,” said Starz LLC Chris Albrecht said. “However we're pleased to have found a great opportunity for the majority of the company's employees, including the talented distribution and marketing teams.”
Announcement comes several weeks after Overture toppers Chris McGurk and Danny Rosett abruptly resigned. They had hoped to complete a management buyout of Overture, but their plan fell through. They launched Overture in 2008.
