A24’s ownership structure is deliberately opaque behind private investment capital

Evidence

If and when A24 sells, there will be little public information about who will earn the lion’s share of profit off the backs of these indie filmmakers. Apart from the 10% owned by a group of investors including private equity firm Stripes, the exact nature of the ownership structure of A24 is unknown, as is common with investor-led, privately held companies. Most stories about the company repeat the claim that A24 started with seed money from Guggenheim, without providing any further details. “Neither A24 nor Guggenheim would discuss dollar amounts,” an early profile of the company stated, but “Guggenheim invested several million dollars to set up the company on behalf of its investors and manages A24 through its board of directors.” These kinds of shell games are routine within the financial world, but independent filmmakers depend on the quasi-transparency of box office returns, film festival acceptances, and critics’ reviews to provide some semblance of order in an already harsh business. The increasing lack of public data in the streaming era, combined with the obfuscation of financial capital, adds yet more obstacles for continuing success. — Andrew deWaard, Derivative Media, 285

Categorization

• XREF: Connects to the PMRC/Penske Media ownership discussed earlier in the book, and to the broader theme of private equity controlling cultural producers.
• QUESTION: Who exactly are the ‘10% investors including Stripes’ and does the Guggenheim board control creative decisions or only finance?