Redbox has reached a new dual agreement with Lionsgate that will boost distribution for its own films and boost content for its AVOD service.
The multiyear distribution deal will see Lionsgate handling distribution of Redbox Entertainment titles—like recent titles “Capone,” “Shadow in the Cloud,” “The Last Son” and “Bandit”—across home entertainment windows along with SVOD licensing for some titles under the Redbox Entertainment brand.
The new deal also includes an agreement to license films and television series from Lionsgate’s library to Redbox‘s ad-supported video on demand and free ad-supported television (FAST) services, which has grown include thousands of titles and more than 100 channels.
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“Redbox has a large slate of films coming in 2022 and beyond, and we’re excited to work with Lionsgate to identify those that are a great fit for their distribution model,” said Redbox CEO Galen Smith in a statement. “Ron Schwartz and his team have been terrific partners over the years, and we are excited to extend our relationship to tap into their world class distribution prowess to create value for both companies.”
“Lionsgate’s longstanding partnership with Redbox has created significant value for both our companies,” said Ron Schwartz, president of worldwide distribution for the Motion Picture Group at Lionsgate. “That collaboration has evolved into a multifaceted distribution relationship across home entertainment, SVOD and AVOD platforms that allows us to continue to diversify our content offering to our consumers.”
Redbox is planning a shareholder meeting next week with Seaport Global Acquisition to discuss combining the companies and taking Redbox public. According to a recent filing with the SEC, the company is developing—in addition to its AVOD and FAST businesses—a subscription channels product that will allow consumers to buy and have aggregated access to multiple SVOD services. The company said it plans to provide additional value to its customers through bundled offers with loyalty points and/or promotions for discounts at its disc rental kiosks to drive customer acquisition and retention.