Lack of funding has always been an issue for Vietnam's film industry.
A holding company named Vietnam Entertainment Fund (VEF) was recently established with the aim to financially support film production in the country, VnExpress reports. The fund is a joint venture between five companies in the film industry including Yeah1 CMG, Surfing Holdings, Green International, R&B Capital Group, and MBC studio. VEF's market value is US$50 million with each shareholder owning a 20% stake.
According to the initial plan, VEF will invest in 50 film projects, buy the copyrights of all the films produced between 2013-2018, and by 2020 have its advertisements in 40 theaters and own a theater franchise. A VEF representative also claims that the joint company aims to fund 20 film projects or more annually. VEF will follow the business model of many entertainment funds in other countries such as Japan's CA-Cygames Anime and the US' Marvel Studios.
VEF will prioritize the funding of films that have more positive profit outlooks. The film selection process will be facilitated by three prominent experts in the industry including director Phan Gia Nhat Linh, producer Le Thanh Phong and Nguyen Cao Tung. For 2018 and 2019, the VEF has secured 14 projects for its fundings portfolio.
According to Nguyen Cao Tung, a producer and chief executive of the VEF, the fund will not be heavily involved in the filmmaking process. Its role will be providing support and standardizing film studios in Vietnam. The VEF also plans to launch an initial public offering by 2020.
[Photo via VnExpress]
