Rising Sun Pictures sold to US studio FuseFX
International award-winning Adelaide special effects company Rising Sun Pictures says it will receive the funding it needs to grow under new US owner FuseFX.
Australian award-winning visual effects business Rising Sun Pictures (RSP) has been bought by Los Angeles-based studio FuseFX in a deal that brings more funding firepower to the former to boost global growth.
Established 25 years ago, Adelaide-based RSP employs more than 170 artists and has won international acclaim for its work on some of the most memorable big-screen moments, across a range of projects, including the latest Mortal Kombat movie, filmed partly in South Australia.
Other big-name projects include Black Widow, The Boys, Jungle Cruise Ford V Ferrari, Spider-Man: Far From Home, X-Men: Dark Phoenix, Captain Marvel, Dumbo, The Predator, Tomb Raider, Peter Rabbit, Animal World, Thor: Ragnarok, Logan, Pan, the X-Men franchise and Game of Thrones.
In a business as usual move, RSP co-founder Tony Clark will continue to lead the studio and operate under the Rising Sun Pictures brand, supported by all existing shareholders.
FuseFX approached RSP for the purchase.
“This is about succession and growing RSP over the next 10, 20 years,” Mr Clark said.
“As a small group of shareholders, we could only fund this fast-growing business to a point.
“But this deal gives us bigger, better funding power to grow and realise our potential.
“We’re very excited to be partnering with FuseFX, which comes at an ideal time as we grow to meet the demand over the coming years.
“Our vision for Rising Sun Pictures is to be a cornerstone component of the next generation global full-service visual effects company, and with the FuseFX partnership, we can achieve this vision to ensure that we stay at the forefront of visual effects production and remain a trusted creative partner to our clients.”
Mr Clark said RSP will embark on an expansion plan over the next few years, hiring a substantial number of people over at least the next six months based on the number of signed new projects that are already in production.
“RSP is here and will remain here and work in partnership with FuseFX,” he said.
He dismissed suggestions RSP could end up like some other Australian businesses that had suffered under US ownership.
In Adelaide, gaming company RatBag Games, one of Australia’s most innovative companies, was sold to US-based Midway Games in August 2005, only to be subsequently shut down in December of the same year.
“For us culture is critical and I disagree that there may be culture clashes with FuseFX,” Mr Clark said.
“We have been very careful in looking at this because our substance is our people and the culture we bring to the industry.
“FuseFX bought us for who we are, not to turn us into something else.
“We were purchased for the skills, value and reputation we have built into this business.”
Together, the combined companies have nearly 800 artists at eight locations across the globe.
The partnership represents the combining of two great teams, both bringing world-class expertise from their respective fields.
Owned partially by US private equity business EagleTree Capital, FuseFX has studios in LA, New York and Atlanta in the US; Vancouver, Montreal and Toronto in Canada; and Bogotá in Columbia.
Rising Sun Pictures was founded in 1995 by then cinematographer Tony Clark, Gail Fuller, and Wayne Lewis, growing to become one of the most well-established and respected independent studios in the world.
The business got its name over a drink at the Rising Sun Inn at Kensington, South Australia, with the first Hollywood breakthrough being the sci-fi thriller Red Planet that transformed Coober Pedy into the surface of Mars.
The global success has also fostering and celebrated local talent.
Australian ‘unicorn’ Culture AMP’s founder Didier Elzinga joined RSP straight out of university, and stayed with them for 13 years, including five years as chief executive.
Mr Elzinga remains a shareholder following the sale to FuseFX.
“Their commitment to delivering the highest quality art and service to their clients has helped make them an icon in the visual effects industry,” David Altenau, founder and chief executive of FuseFX, said.
“Their previous work and position in the industry make them a fantastic partner for FuseFX.”
“We’re thrilled to be joining forces with Rising Sun Pictures to help fuel their ambitious expansion plans and to offer an even broader range of skill sets, geographic locations and storytelling solutions to our clients at the level of quality and service they demand,” Mr Altenau said.
There will be no operational changes to the RSP business and the team will look to add talent after a recent expansion of the Adelaide headquarters that provides the studio with a capacity of 270 crew.
Over the past year, the studio has contributed to projects including Disney’s upcoming Jungle Cruise and New Line Cinema’s Mortal Kombat.
The South Australian state government welcomed the news of the partnership.
Focal point Advisers, LLC served as financial adviser to FuseFX and Will Berryman advised RSP.
Both parties did not reveal the price paid for RSP.
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