Shareholders OK Rainmaker sale to Xing Xing Digital
Vancouver-based Rainmaker Entertainment has received shareholder approval for the sale of its animation studio to Beijing ani company Xing Xing Digital Corporation.
The transaction was approved by 99.91% of votes cast in person or by proxy at a meeting of Rainmaker shareholders held Tuesday afternoon, according to a company release.
Rainmaker Entertainment announced the proposed deal, which would see a wholly-owned Xing Xing subsidiary called Rainmaker Studios Inc. (RSI) purchase the Vancouver studio, in late June.
As part of the deal, Xing Xing will assume $7 million in Rainmaker debt and all real estate property leases.
Another component of the deal sees Rainmaker provide a four-year, $5 million loan to RSI, carrying interest of 2% above prime rate and to be pre-paid at any time penalty free. It also includes a possible cut of the gross revenues from Escape from Planet Earth (pictured), Rainmakers’ current big budget animated sci-fi film whose cast includes Jessica Alba, Brendan Fraser and James Gandolfini, according to IMDB.
From Playback online.