A media branch of Abu Dhabi’s government funneled $1 billion into a partnership with Warner Brothers last year—and now a subsidiary of the same firm is investing a second billion over the next 5 years with three US film producers, the New York Times reports. “Abu Dhabi Media Company is fulfilling its ambition to become a global player in the media industry,” said its chairman.
With private-equity and hedge funds hurt by the credit crisis, the money they had been pouring into Hollywood in recent years has slowed, creating what Abu Dhabi Media sees as an opportunity. The firm is “buying in at the bottom of the cycle,” said its CEO. The new subsidiary, Imagenation Abu Dhabi, plans to make six to eight films a year with budgets of up to $50 million.