The fairness cope with RedBird and CJ Entertainment valued Skydance at about $2.3 billion. At its present tempo of development — income is anticipated to extend greater than 40 % this yr in contrast with final, the corporate mentioned — Skydance may very well be price $5 billion or extra in a couple of years. Mr. Ellison would most probably pursue a sale or an preliminary public providing at that time.
Skydance might rapidly change into an acquisition goal. After Amazon’s $8.45 billion purchase of MGM, content material engines with entry to established mental property, Skydance included, are sizzling prospects. Even if Skydance elements methods with Paramount subsequent yr, the expiring deal offers Skydance an unimaginable perk: the persevering with proper to spend money on the Paramount franchises with which Skydance is already concerned. “Star Trek.” “Mission: Impossible.” “Jack Ryan.” “G.I. Joe.” “Top Gun.”
Comcast, which wants to spice up its Peacock streaming service, may very well be a purchaser. So might Apple, which thought of choosing up MGM. This spring, Skydance acquired feelers from a special-purpose acquisition company, or SPAC, led by Kevin A. Mayer, Disney’s former streaming chief.
“It’s true that we have had some interesting conversations lately, but our growth curve is still significant and if we keep working hard and stay adaptive that should afford us a lot of optionality in the future,” Mr. Ellison mentioned, sounding extra like an M.B.A. graduate than a budding leisure tycoon.
Skydance has wide-ranging enlargement plans. Amy Hennig, a former senior artistic govt at Electronic Arts, is constructing a online game division. Another division focuses on virtual-reality content material. Mr. Ellison lately employed Luis Fernández, a 20-year Disney veteran, to begin a shopper merchandise enterprise. But Skydance’s future rests on scripted content material and the diploma to which it might create pay-dirt film and tv franchises out of entire material, because it seems to have performed with “The Old Guard.”
Some folks in Hollywood stay skeptical that Skydance has the artistic experience to drag it off. Mr. Ellison and his crew have excelled at placing tasks collectively (29 movies and tv sequence bought to streaming providers in two years). But execution — high quality — has been inconsistent. And high quality issues: The Skydance-made “6 Underground,” an motion comedy directed by Michael Bay, drew views from a blockbuster 83 million Netflix accounts in late 2019. But the film additionally acquired less-than-stellar reviews, lessening Netflix’s curiosity in a sequel.
A stream of well-reviewed authentic hits would pressure Hollywood to lastly take Mr. Ellison critically as a artistic energy.