In a strategic move aimed at expanding its global presence and solidifying its market position, Goodbye Kansas Group AB (publ) has announced a partnership with NY VFXWAALA, an Indian VFX studio operating through its subsidiary Funtastik Studios. The collaboration sets the stage for the creation of a joint venture in India, with the objective of establishing a scalable production hub to offer competitive solutions and drive revenue growth across new business segments.
This partnership, backed by a financing package totaling SEK 36.8 million (approximately Rs 29.5 crores), involves a combination of a rights issue, a directed issue of convertible debentures, and bridge loans. Subject to approval by Extraordinary General Meetings, this financing underscores Goodbye Kansas’ commitment to supporting its growth ambitions.
With its expertise in post-production services, NY VFXWAALA brings significant experience to the table. Based in Mumbai with a branch in Hyderabad, NY VFXWAALA has contributed to over 300 films since its establishment in 2015. The collaboration with Goodbye Kansas presents an opportunity for NY VFXWAALA to enhance its service offerings and expand its global footprint.
Stefan Danieli, CEO of Goodbye Kansas, expressed satisfaction with the partnership, stating, “This collaboration opens up promising growth prospects in Asia and allows us to expand our production resources and capabilities efficiently. These operational enhancements, combined with the announced rights issues, will support Goodbye Kansas’ pursuit of profitable growth.”
Ajay Devgn, founder and chairman of NY VFXWAALA, reiterated the commitment to excellence and innovation, stating, “Our partnership with Goodbye Kansas reflects our dedication to delivering exceptional service to clients worldwide. We are excited about this collaboration and look forward to achieving our shared goals.”
Naveen Paul, creative head and co-founder of NY VFXWAALA, expressed enthusiasm for the collaboration, saying, “We are thrilled to partner with the Goodbye Kansas team. Our joint vision is to elevate the quality standard and provide outstanding service to clients globally. With unwavering commitment, we eagerly anticipate expanding our business and collaborating with talent worldwide.”
Per Anders Wärn, chairman of the board at Goodbye Kansas, emphasized the shared commitment to talent and technology between the two entities. “This partnership harnesses our collective strengths to create exceptional value for our customers,” he stated.
The joint venture aims to leverage creative and technological expertise to deliver technology-driven visual content to film, TV, and gaming companies in India and wider Asia. With a focus on improving profit margins, accelerating revenue growth, and strengthening service offerings globally, the partnership is poised for significant advancement in the industry.
The establishment of a collaborative Research and Development (R&D) team between the partners will further drive innovation and technological advancements. The joint venture is expected to commence operations in the third quarter of 2024.
The Rights Issue and Directed Convertible Issue play a pivotal role in financing the partnership’s initiatives, with robust subscription and guarantee commitments ensuring comprehensive coverage of the capital raise. Shareholders will have the opportunity to approve these initiatives at the forthcoming Extraordinary General Meetings, paving the way for the realization of the partnership’s vision.
