Inventive Artists Company is prepping a spherical of layoffs to scale back employees numbers because the Hollywood strikes put on on.
In response to reviews, round 60 individuals will probably be impacted throughout the company. Layoffs are focused for August 15, however might occur any time throughout the subsequent few days because the information makes its rounds, sources report. Workers reductions are aimed toward trimming every division and are available round 18 months after the CAA acquisition of ICM Companions. ICM brokers got one-year CAA contracts on the time of the merger.
Sources say these cuts are usually not associated to the acquisition and ICM brokers weren’t focused anymore than CAA brokers. CAA has diversified its illustration past simply movie and TV to incorporate sports activities, music/touring, books, and different departments not impacted by the continuing strikes. The corporate is estimated to have round 3,200 staff working throughout 25 international locations.
The transfer comes as French billionaire Francois-Henri Pinault is alleged to be excited by buying a majority stake within the expertise company. “The expertise company, backed by personal fairness agency TPG, might fetch a valuation of no less than $7 billion,” sources advised Fortune when the deal got here to gentle earlier this 12 months.
CAA presents expertise administration providers just like rivals WME and United Expertise Company, backed by funds managed by a non-public fairness agency. TPG acquired a 35% stake in CAA in 2010 earlier than boosting its possession to 53% in 2014 to take management of the enterprise at a $1.1 billion valuation.
The Pinault deal would see the French billionaire increasing his attain past the posh companies that made them wealthy. Pinault is the most important shareholder in Kering SA—proprietor of manufacturers like Gucci and Bottega Veneta. Pinault’s holding firm Artemis additionally grants them management of property just like the Christie’s public sale home and the Chateau Latour Bordeaux winery. Including the behemoth expertise company to the checklist of property is only one small checkmark for Pinault.