Business Daily from THE HINDU group of publications Sunday, Nov 26, 2006 ePaper |
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Corporate
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Mergers & Acquisitions Sony may pick 51% stake in Chennai-based animation co M. Ramesh
Chennai , Nov. 25 Sony Corporation of America is close to concluding a deal with FrameFlow India Pvt Ltd, a Chennai-based animation and special effects company for a 51 per cent stake in the Indian company, sources in the know told Business Line on Saturday. FrameFlow India is the Indian arm of the Atlanta-based FrameFlow LLC, which front-ends the Indian business in the US. FrameFlow India has a modern production studio in Chennai and a staff of 70 visual effects artists. FrameFlow officials were not available for comment, but sources said the company had orders on hand worth $ 2 million, executable over the next three months. The company is working on projects for six Hollywood movies at present. The company has worked for Sony Pictures in the past, for instance, on the Columbia Pictures' (part of Sony group) comedy, Click, starred by Adam Sandler. Sony's officials have been quoted as describing FrameFlow as a "highly cost-effective partner to production companies in the US". Sony's takeover of FrameFlow is to be seen in the context of growing outsourcing of special effects to 2D and 3D animation companies in India. In a related development, FrameFlow's production team leader has quit the company to join the American movie producer Barrie M. Osborne, whose productions include the Lord of the Rings trilogy.
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