Cinergi Pictures

Cinergi Pictures, Inc. was an American independent film production company founded by Andrew G. Vajna in November 1989, after he had sold his interest in his first production company, Carolco International Pictures. The company had a number of major hit films, most notably Tombstone, Die Hard with a Vengeance and Evita. However, the majority of their films lost money. A string of box office bombs – including Super Mario Bros., Renaissance Man, Color of Night, Judge Dredd and Burn Hollywood Burn – ultimately did the company in, and it ceased operations on February 27, 1998. Cinergi Pictures' library is now owned by Disney.[1]

History

Background

Andrew G. Vajna, a Hungarian native, launched his career in the entertainment industry with his purchase of motion picture theaters in the Far East. Later, he founded Panasia Films Limited in Hong Kong before forming Carolco with Mario Kassar in 1976. In less than four years, Carolco became one of the top three foreign sales organizations in motion pictures.

Decline, collapse and aftermath

The box office and budgets for their films began to fall in late 1996, and Cinergi Pictures eventually closed on February 27, 1998. The company's film Broadway Brawler involving Bruce Willis had abruptly stopped production in March 1997.[5] After a year on consulting, Disney and Cinergi decided to wind down the company. Disney canceled $38 million in production advance owed and 5% of Cinergi shares in exchange for most of the film rights excluding the international rights of Die Hard with a Vengeance, which was acquired by 20th Century Fox,[6] which ironically was bought by Disney.[7]

The company was separately selling its development slate, a special effects facility[2] and the Evita soundtrack.[6] The development slate included Oliver Stone project underwritten in a first-look deal.[6] Shareholders were expected to get between $2 and $2.50 per share back.[2] The company's development projects sold through an auction to Vajna for $4.75 million. In September 1997, Vajna made a bid to purchase the company's stock at $2.30 a share which was considered underwhelming by Wall Street with the company expect to have $3.48 a share in cash or $45 million. The buyout would only cost him $15 million give his and his other own companies' shares in Cinergi. The Evita soundtrack and the Stone project were still not sold.[2]

Vajna had tasked Mass.Illusion former executive producer Michael Van Himbergen and Roger Davis to sell the VFX company, which had about $1 million in debt, expert staff, likely contract for a film, The Matrix and What Dreams May Come special effects contract worth $7.5 million. Van Himbergen found Manex Group of Ohio to assume the company's debt.[4] The company closed shortly thereafter. Its final two films, Deep Rising and An Alan Smithee Film: Burn Hollywood Burn, were released in early 1998.

Three years earlier, Kassar's Carolco Pictures had also collapsed; Vajna and Kassar eventually became partners again in 2002 to form C2 Pictures.

In 2003, Vajna bought a videogame company, Games Unlimited, and renamed Cinergi Interactive LLC.[8] The company went on to acquire four development studios: Black Hole Entertainment, Clever's Games, Artex Entertainment and Digic Pictures before closing in 2007.

fate	Ceased operations, film library now owned by Disney
predecessor	Carolco International Pictures
successors	Studio: C2 Pictures Library: Walt Disney Studios Metro-Goldwyn-Mayer (through Orion Pictures) (Sovereign Pictures library only)
foundation	November 1989
founder	Andrew G. Vajna
defunct	February 27, 1998
location	Santa Monica, California, United States
industry	Film studio
key people	Andrew G. Vajna
parent	The Walt Disney Studios
divisions	Cinergi Productions N.V. Inc.
subsid	Cinergi F/X (1995–1997)

History

Background

Studio formation and early years

Decline, collapse and aftermath

Filmography

References