The Madison Square Garden Company (MSG) has acquired half of Tribeca Enterprises, the firm that owns and runs the Tribeca Film Festival (TFF), in a deal that values the fest’s parent company at US$45 million.
The deal “brings together two of New York’s most important cultural and entertainment icons to enhance the reach and impact of both brands, while creating new avenues for growth,” the companies said in a joint statement. As part of the deal, MSG will also have the opportunity to increase its stake in Tribeca Enterprises over time.
In addition to the TFF, which was co-founded in 2002 by Robert De Niro, Jane Rosenthal, and Craig Hatkoff, Tribeca Enterprises also owns Tribeca Digital Studios, a branded entertainment content business; Tribeca Cinemas, an event space; and Tribeca Film, an independent film distribution label.
“This partnership with Tribeca Enterprises and the Tribeca Film Festival – one of the top film festivals in the world – strengthens MSG’s position in the entertainment industry and is another example of our continued focus on pursuing attractive growth opportunities that make strategic sense for the company,” said Tad Smith, president and CEO of The Madison Square Garden Company, in a statement.
“We look forward to supporting Tribeca’s ambitious vision – to honor not only movies, but the future of storytelling – while utilizing the tremendous platforms of both brands to drive the value and growth of our respective businesses.”
Rosenthal added: “Bob De Niro and I have built a brand that supports community, artists, filmmakers and storytellers… Our partnership will allow us to grow the festival and enhance the experience for our audience and provide more opportunities for the creative and filmmaking community nationally and internationally.”
In addition to the iconic Madison Square Garden arena, MSG also owns Radio City Music Hall and Beacon Theatre in New York, as well as The Chicago Theatre; the Forum in Inglewood, California; and the Wang Theatre in Boston.
Evolution Media Capital and LionTree Advisors served as financial advisors for Tribeca Enterprises, while Paul Hastings LLP served as counsel. For MSG, Hughes, Hubbard & Reed LLP served as counsel.
This year’s TFF takes place in New York from April 16-27.