The addition of Skydance’s Broaddance’s three Gulf Easfign Funds to the cast of the $108 billion in a hostile bid to acquire Warner Bros. acquisition marks a refreshing relationship between the states as they build their own entertainment industries.
Saudi Arabia’s Public Investment Fund (PIF), Abu Dhabi’s L’IMAD’s L’IMAD’s holding company and the Qatar Investment Authority (Qia) have agreed to back the deal, paramous.
Paramount has also sponsored affinity partners, starting with Jared Kushner, with investments from funds in Qatar and the United Arab Emirates.
The decision to join forces in a single bid and hold a share of some of Jewlywood’s Crown Jewels emphasizes the appetite among Gulf-based goods that will be made with content and its growing selection in global sales.
“The triple alliance is very unusual, but it allows the three countries to step outside the regional media empires and bring them directly to the media,” said Neil Quilliam, a partner based in London.
It also matches “their collective ambitions to become a global influence and shape a new media narrative”, he added.
PIF, the government of Abu Dhabi on behalf of L’IMAD and QIA, did not immediately respond to requests for comment.
Gulf sovereign funds have invested in similar companies, but rarely join forces in a single takeover.
For example, Mubadala and Pif invested in India’s trust fund in 2020, and were joined by QA and Abu Dhabi Investment Authority in 2023.
The size of the deal may have driven demand for several funds, said another bank from a region not involved, adding that it was unusual for Gulf SWFS to participate in hostile bids.
Because the investors will not have control rights, including board seats or voting rights, their involvement will not need to ride the American committee on foreign investment (CFIS), paramoous said in the filing.
Screening filmmakers, building theme parks
From Friment Fairymakers to opening theme parks and cinemas, the Gulf states are keen to expand their entertainment sectors.
“This is the most important and highest investment area for Gulf Empelic and other investors,” said Robert Mogielnicki, a political economist focusing on the Middle East.
“The acquisition will give them ownership of some of the country’s most iconic shows and access to a whole new audience,” Quilliam said.
Universal Pictures’ 2015 The angry release was filtered in Abu Dhabi including its stars walking down the steps of the Emirates Palace in the sports tree.
In September, PIF bought a majority stake in Saudi Media Giant MBC 40.72.se, which operates 13 free TV channels and runs the Shahid streaming platform, known as the Netflix of the Middle East.
In the same month, a group of investors led by PIF agreed to buy Videogame Developer Arts EA.O in the largest deal of $ 55 billion to make Saudi Arabia a Global Games and Sports Hub.
In 2018, it agreed to allow the first cinemas to open in 35 years, striking a deal with AMC Exppix.
Hollywood-backed theme parks are popping up in the region. In May, Walt Disney announced plans for the first time in the Middle East, joining nearby Warner Bros. Island in Abu Dhabi.
A major commitment to the United States
The UAE, Saudi Arabia and Qatar have also pledged to invest heavily in the United States this year, deepening ties with the Trump administration.
Saudi Arabia has committed to investing $ 1 trillion in the next crown Prince Mohammed Bin Salman of Washington, from 600 million previously.
Abu Dhabi has pledged $1.4 trillion in US funds, while Qatar is planning $500 billion over the next ten years.
