Creative Artists Agency & Kwan likely to be dissolve joint venture

12 Jan,2016

By Ratna Bhushan


A joint venture between Creative Artists Agency (CAA), the Los Angeles-based entertainment and sports firm, and local talent management agency Kwan Entertainment & Marketing Solutions is likely to be dissolved and converted into a non-equity partnership after both entities projected different longterm objectives. Kwan is in advanced talks to buy out CAA’s stake in the equal joint venture called CAAKwan, said two officials involved in the legal structuring of the deal.


CAA represents global talent including Hollywood actors Brad Pitt and Tom Cruise, footballer Cristiano Ronaldo and marque properties such as FC Barcelona. Kwan represents actors including Deepika Padukone and Ranbir Kapoor. The JV was forged four years ago. Both entities are now likely to collaborate on working with celebrities without an equity participation. “If both decide of renew the JV on the same terms, CAA will hold rights to share profits of all Kwan ventures in the future, which is not agreeable to the latter. Kwan is negotiating to buy out CAA’s stake in the venture. Once that happens, Kwan would go back to operating as a standalone entity,” one of the officials said, requesting not to be identified. Officials at CAA and Kwan declined to comment on the specifics of the negotiations.


A joint statement by CAA and Kwan said: “Kwan and CAA have committed over the next few years to work together as exclusive agency partners. There is a long list of clients and projects in India and abroad where we work side-by-side.” It is learnt that Kwan intends to venture into diverse businesses across the burgeoning entertainment space, including seed funding of startups in the sector. Kwan founder Anirban Das Blah was unavailable for comment.


“The media and entertainment industry is reaching inflexion point. More multiplexes, homegrown talent going global such as Priyanka Chopra in American show Quantico, cross-country sporting events and significant growth in the digital social space are all fuelling growth,” said Saurabh Leekha, an independent consultant in the sales and entertainment space.


Source:The Economic Times

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