Neon has closed a transaction to sell a “significant” stake to Department M and will employ the capital influx to continue expanding operations
Neon has closed a transaction to sell a “significant” stake to Department M and will employ the capital influx to continue expanding operations and launch Neon TV.
The long-anticipated move sees Neon founder Tom Quinn remain as CEO while Department M partner Michael Schaefer becomes Neon’s chief content officer.
Department M partner Mike Larocca remains at that company and joins the Neon board. In other key executive news, Jeff Deutchman continues as president of acquisition, production and development for film while Carina Sposato joins the company as EVP, television. Both report directly to Schaefer.
The investor will contribute development assets and production-ready projects but neither party elaborated at time of writing.
Reports of a potential transaction first emerged in Berlin back in February. Department M is said to be backed by a consortium of investors and launched two years ago with former AGBO president and co-founder Larocca and former New Regency president Shaefer at the helm.
Neon’s longtime backer The Friedkin Group remains “significant shareholders and board members”. Further details about the television venture are expected to emerge in the coming weeks.
In May Neon celebrated its seventh consecutive Cannes Palme d’Or win with Fjord. Last week the company confirmed it had taken on worldwide rights to Luca Guadagnino’s OpenAI drama Artificial after Amazon MGM Studios dropped the film and put it back on the market.
