(By Balaseshan) Lions Gate Entertainment Corp. (NYSE:LGF), an entertainment company, said it has signed a new multi-year output agreement with Alliance Films for distribution of feature films in Spain.
The company said feature films from both Lionsgate and Summit Entertainment will be distributed by Alliance Films' company Aurum Producciones S.A., an independent distributor in Spain.
The agreement extends Aurum's existing relationship with Summit to encompass Lionsgate films as well and is the latest milestone in Lionsgate's strategy of establishing an international distribution network of blue-chip partners in major territories around the world.
"The combination of Lionsgate and Summit earlier this year allows us to bring a significantly expanded portfolio of product to our distribution partners around the world, enables us to achieve significant economies of scale and ensures even greater consistency and visibility in our global business," said Lionsgate Motion Picture Group Co-Chairs Patrick Wachsberger and Rob Friedman.
Aurum partnered with Summit Entertainment on the release of "Twilight Saga: Breaking Dawn - Part 1" in Spain, where it grossed more than $26 million at the box office and was the number one film in Spain in 2011.
Aurum will also distribute the next three films of Lionsgate's "Hunger Games" franchise as well as Summit's "Twilight Saga: Breaking Dawn - Part 2" and "Red 2" in Spain.
LGF is trading down 0.26% at $15.60 on Tuesday. The stock has been trading between $6.38 and $16.19 for the past 52 weeks.