Netflix is acquiring Australian animation studio Animal Logic, which is producing films for the streamer including “The Magician’s Elephant,” directed by Wendy Rogers, and “The Shrinking of the Treehorns,” directed by Ron Howard.
Animal Logic has about 800 employees, mostly based in Sydney and Vancouver. The acquisition “will help us accelerate the development of our animation production capabilities and reinforces our commitment to build a world-class animation studio,” Netflix said in its Q2 letter to shareholders.
Click here to sign up for Variety‘s free Strictly Business newsletter covering earnings, financial and investment news, and more.
The company did not disclose the purchase price for Animal Logic but said it will fund the acquisition from its existing cash on hand. Netflix expects to close the later this year, subject to certain regulatory approvals.
“Together, we’ll create an animation studio that will produce some of our largest animated feature films,” Netflix said in the letter.
The move comes after Netflix axed several animated projects in May, including “Wings of Fire” from executive producer Ava DuVernay; “Antiracist Baby,” a series aimed at preschoolers; and “With Kind Regards From Kindergarten.”
Separately Tuesday, Netflix disclosed a $70 million charge related to layoffs in the second quarter. The company reported a net loss of 970,000 subs, about 1 million fewer than originally forecast.
“The Magician’s Elephant” is based on two-time Newbery Award winning author Kate DiCamillo’s classic novel. When Peter (voiced by Noah Jupe), who is searching for his long-lost sister named Adel (voiced by Pixie Davies), crosses paths with a fortune teller in the market square, there is only one question on his mind: is his sister still alive? The answer — that he must find a mysterious elephant and the magician (voiced by Benedict Wong) who will conjure it — sets Peter off on a harrowing journey to complete three seemingly impossible tasks that will change the face of his town forever.
Pictured above: “The Magician’s Elephant” from Animal Logic
Source: Read Full Article