Wall Street Still Sending Some Cash Hollywood's Way

from the cruisin'-for-a-bruisin' dept

Just when it looked like Wall Street might be backing off from financing Hollywood films, Tom Cruise’s film company, United Artists, has announced that it has raised $500 million from a group of investors put together by Merrill Lynch. Tom Cruise had had a longtime relationship with Paramount, although that was cut off, in part for personal reasons, but also because of doubts his ability to turn movies into hits. It’s impressive that Merrill Lynch was able to pull together so much money, in times like these, for a proposition as shaky as investing in Hollywood blockbusters, but if things don’t work out as planned, it could severely constrain future attempts at similar deals.

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Companies: merill lynch, united artists

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