Netflix acquires Animation Studio Animal Logic in all-cash deal

Netflix is ​​acquiring Australian animation studio Animal Logic, which is making films for streaming, including Wendy Rogers’ The Magician’s Elephant and Ron Howard ) director’s “The Shrinking of Tree Corners”.

Animal Logic has approximately 800 employees, primarily in Sydney and Vancouver. Netflix said in its second-quarter letter to shareholders that the acquisition “will help us accelerate the development of our animation capabilities and strengthen our commitment to building a world-class animation studio.”

The company did not disclose the purchase price of Animal Logic, but said it would fund the acquisition with cash on hand. Netflix is ​​expected to close later this year, subject to certain regulatory approvals.

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“Together, we will create an animation studio to produce our largest animated feature film,” Netflix said in its shareholder letter.

Founded in 1991, Animal Logic’s film credits include The Lego Movie, two “Peter Rabbit” movies, “Tale of the Guardians: The Owl of Garhul” and “Happy Feet.” The studio has also produced visual effects for films such as The Matrix, Moulin Rouge, 300, The Great Gatsby and Captain Marvel.

After Netflix canceled several animation projects in May, it acquired Animal Logic, including executive producer Ava DuVernay’s “Wings of Fire,” “Anti-Racist Babe,” a series aimed at preschoolers; and ” Kind regards from kindergarten”.

Still, Netflix touted its “ambitious” animated films, including the Oscar-nominated “Over the Moon” and “Klaus,” and most recently Disney veteran Chris Williams’ “Sea Beast.”

Netflix said Animal Logic, led by CEO and co-founder Zareh Nalbandian, will continue to operate under the Animal Logic brand and will “deliver on existing and ongoing commitments and continue to collaborate and collaborate with long-standing studio partners.”

“Netflix has been investing in animation over the past few years, further reinforcing our commitment to building world-class animation studios,” said Amy Reinhard, vice president of studio operations at Netflix, in a statement. “Animal Logic is a leading An animation studio with innovative technology that will strengthen our existing business and increase our long-term capabilities in animation, allowing us to better entertain our members around the world.”

In a statement provided by Netflix, Nalbandian said: “After 30 years of great work with great people, this is the perfect next chapter for Animal Logic. After working with a diverse set of content producers, Our values ​​and aspirations are more aligned with Netflix’s when it comes to producing innovative and engaging stories for audiences around the world. Our collective experience and talents will open new doors for all of our teams and will empower animation creativity to a new level .”

In May, Netflix signed a multi-year renewal deal with VFX and animation company DNEG, under which the streamer expects to spend at least $350 million with the company through 2025.

On Tuesday, Netflix disclosed a $70 million charge related to layoffs in the second quarter. The company reported a net loss of 970,000 subscribers, about 1 million less than initially forecast.

The Magician’s Elephant is based on the classic novel by two-time Newbery Award-winning author Kate DiCamillo. When Peter (Noah Jupe) is looking for his long-lost sister Adel (Pixie Davies) and meets a fortune teller in the market square, he has only one question on his mind: Is his sister still alive? The answer – he must find a mysterious elephant and the magician who will conjure it (voiced by Benedict Wang) – sends Peter on a harrowing journey to accomplish three seemingly impossible tasks quest that will forever change the face of his town.

In May, Netflix announced Pickupreduction of tree horns,” an animated musical film set in New York City during the holidays, by howard and author Rob Lieber.This video was produced by Animal Logic and Imaginative entertainment, is based on Florence Parry Heide’s children’s book, illustrated by Edward Gorey, originally published in 1971. Previously, Paramount Pictures had been a distributor.

Above: “The Magician’s Elephant” by Animal Logic

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