Neon, the independent film distributor behind the Oscar-winning “Parasite,” is assessing it options for the company’s financial future.
The New York-based company has tapped the investment bank Raine to explore a sale of some or all of its business. The move comes as Neon looks to expand its distribution business internationally and consider opportunities in television and streaming. The company also plans to use any financing that results from the fund-raising process to bolster its production businesses.
Neon declined to comment.
The news that Neon is looking to determine their valuation comes after fellow indie distributor A24 landed an equity investment of $225 million in March, based on a $2.5 billion valuation, which that company announced it would use to invest in and expand its production and distribution operations. Variety first reported that A24, the indie studio behind “Moonlight,” “Uncut Gems” and its first $100 million release “Everything Everywhere All at Once,” explored a sale with an asking price near $3 billion before landing the multi-million dollar investment.
Neon now looks to determine whether its business is held in similar standing.
Created in 2017 by CEO Tom Quinn and Alamo Drafthouse co-founder Tim League, Neon has tallied a string a string of success on the awards circuit — with prize-winning films including “I, Tonya,” “Portrait of a Lady on Fire,” “The Worst Person in the World,” “Spencer” and “Flee” — plus box office wins — “Parasite” earned $53 million in the U.S. on the way to a $263 million haul worldwide.
Notably, movies acquired by Neon have a nabbed the last three Palme d’Or trophies at Cannes with “Parasite” and “Titane” earning the top prize in 2019 and 2021 respectively. The company’s upcoming slate includes the 2022 Palme d’Or winner, “Triangle of Sadness,” from the Swedish director Ruben Ostlund (“Force Majeure,” “The Square”), and the David Bowie documentary “Moonage Daydream,” which opens in theaters on Sept. 16.
The New York Times was first to report on Neon’s potential sale.
Additional reporting by Brent Lang and Matt Donnelly.
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