The deal valued the company at an eye-popping $2.5 billion.
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They have really created a lot of value, Fox said.
The market segment needs to be big enough, he explained, and the company at an inflection point.
Zendaya in ‘Euphoria’HBO
A24 is that thesis, Fox confirms.
That brand recognition is key.
The company has forged a young fanbase seemingly as loyal and fervent if considerably smaller as Marvel.
They launched A24 with John Hodges, who exited in 2018.
I think A24 could be an acquirer.
Being privately held, the company doesnt report financial results, but Fox said its cash flow is positive.
Stripes investments echo A24 in terms of cachet, albeit largely outside of showbiz.
Media holdings have included Gimlet, a podcast firm that Spotify acquired for $230 million in 2019.
The fresh funds for A24 helped support bigger-budget films, a TV expansion and some key international hires.
Other avenues for growth include A24s budding membership program, consumer products, books and music.
Some might wonder how a press-shy company can generate so much media attention.
True, the company doesnt do many profile pieces with its execs.
But the gears are grinding behind the scenes.
I think thats all intentional and strategic to build an aura, posits one studio executive.
Clearly, it really works.
The broad consensus postOscarsis that the companys already hefty valuation will only climb.
But perhaps not in the current financial climate.
One studio head commented, Its more nuanced than the Oscars adding a zero to A24s value.
The multiple previously quoted in the press is where they can get to.
The Oscar haul will help march towards that valuation.
Its great for the company and the brand but that valuation was a year ago.
A leading finance agent added: I dont think the company necessarily gained considerable value overnight.
Their former valuation had success like this baked into its model.
So this is confirmation, not reason to raise expectations.
Winning nine Oscars tends to do that.
The result was born of a confluence of marketing and publicity chops, and organic talent and audience enthusiasm.
They even put together a book about the multiverse, sold on A24s website.
Casting alchemy also helped.
Poster art pulled all of the strands together.
Remember when hot dog fingers were fringe.
There were moments when we were scared of the hot dog fingers.
Now theyre mainstream, said someone involved in the marketing campaign.
Its cheaper than TV, more targeted, and its possible to see how audiences respond.
It was the most nominated distributor andhad the most wins at the ceremony.
External factors also played into the win last weekend.
The films social justice themes also tapped into a zeitgeist, in similar but different fashion toCODAlast year.
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Can the company live up to the high standard of its Oscar season of glory?
It wont be easy.
They say aberration because it hasnt all been plain sailing.
Waiting in the wings now is Julio Torres debutProblemista.
The Tilda Swinton starrerjust had its world premiere at SXSW, the festival whereEEAAObegan its epic run.
Budgets on A24-backed movies are routinely pushing towards and beyond $20M.
That leads to prices that can give overseas buyers pause; the companys wheelhouse remains arthouse, after all.
Theyre moving towards larger-budget movies and Ill be interested to see how it goes, says a studio source.
Will they be able to make good money across their slate?
Television is an increasing area of focus.
Among buzzy projects in development is the Janelle Monae Josephine Baker packageDe La Resistance.
Not since Miramax has there been a new brand that is known by both viewers and business.
Theyre not looking to do ego hits and self-aggrandizement, the exec adds of Fenkel and Katz.
The work remains highly curated.
The challenge will be for that curation to continue in line with growth.
