Gotham Group, Lionsgate and IDT Entertainment are going into business together.

In a story from Variety, the three companies are going to "co-finance 19 direct-to-DVD toons over the next three years for about $50 million."

The films will "be a mix of CGI and 2-D."

Gotham's Ellen Goldsmith-Vein, "will produce 10 pics for Lionsgate and nine for IDT under the deal. Gotham will put up half the budget for each pic, expected to be roughly $3 million, from a fund it has raised from Korean firm Sovic Venture Capital."

Most of the animation work will take place in Korea.

"The ability to co-greenlight projects and offer these opportunities to our clients and the libraries we represent is an opportunity the magnitude of which we have never had," said Ellen Goldsmith-Vein.

The idea is that the studios will get a good supply of family oriented material without having to pay for much overhead.

"Because we'll be sharing the risk, we can take a few chances on properties that carry some marginal risk," stated Lionsgate Family Entertainment Vice President, Ken Katsumoto.

Evan Jacobs at Movieweb
Evan Jacobs