Reese Witherspoon and Mediawan have partnered to acquire Hello Sunshine from Candle Media. The deal marks a return for Witherspoon, who founded the company in 2016, as it joins Mediawan's global production ecosystem.
Reese Witherspoon and Paris-based content group Mediawan have partnered to acquire Hello Sunshine from Candle Media. The transaction represents a return for Witherspoon, who founded the production company in 2016, and adds Hello Sunshine to Mediawan’s growing portfolio of independent production labels.
Hello Sunshine co-founder Seth Rodsky will join the company’s board alongside Witherspoon and representatives from Mediawan. While the Hollywood Reporter and Variety noted that the terms of the deal were not disclosed, TheWrap reported that the acquisition of a majority stake was for "low- to mid-eight figures," according to a person familiar with the deal. This figure stands in contrast to the $900 million valuation attributed to the company when Candle Media acquired it in 2021.
Witherspoon expressed enthusiasm for the new partnership, citing Mediawan’s creator-focused approach. "Mediawan has built a global, independent studio by putting creators first. That has always been my vision for Hello Sunshine," said Witherspoon. "I’m investing alongside Mediawan and joining Pierre-Antoine Capton and his teams because this is the perfect home for this new media landscape."
She also acknowledged the company's origins and previous backers. "It’s also a homecoming. Peter Chernin and Jesse Jacobs believed in Hello Sunshine from Day 1. I’m deeply proud of what our incredible team has built and grateful to Blackstone and Candle Media for their partnership and unwavering support. The best is still ahead," she added.
For Mediawan, the acquisition continues its strategy of consolidating creative talent under one roof while maintaining their distinct identities. Pierre-Antoine Capton, co-founder and CEO of Mediawan Group, emphasized the synergy between the companies.
"Mediawan has thrived by bringing together the best creative companies and giving them the resources, scale, and independence to tell great stories," said Capton. "Led by a generational talent in Reese, Hello Sunshine has an extraordinary track record of telling premium stories through film and TV and forming strong connections with audiences through Reese’s Book Club."
Hello Sunshine joins an ecosystem of more than 100 production labels, including Chernin Entertainment, Plan B Entertainment, See-Saw Films, Kinetic Content, Wiedemann & Berg, Palomar, Our Films, Drama Republic, Chapter2, and Chi-Fou-Mi. The group’s combined portfolio includes titles such as Adolescence, Backrooms, F1, Slow Horses, Call My Agent!, Apex, Miraculous, Love Is Blind, New Girl, The Greatest Showman, and the Planet of the Apes franchise.
Founded in 2016 with backing from Chernin and Jesse Jacobs through The Chernin Group, Hello Sunshine has produced numerous high-profile projects, including Big Little Lies, The Morning Show, Where the Crawdads Sing, Little Fires Everywhere, Daisy Jones & The Six, From Scratch, and The Last Thing He Told Me. More recent releases include Elle on Prime Video and Lucky on Apple TV.
A key component of the company’s strategy remains Reese’s Book Club, which launched in 2017. According to Deadline, the club reaches over 6.2 million readers through its social and editorial channels and has driven roughly $900 million in U.S. book sales, with more than 60 million copies of its picks sold in the U.S. and over 90 of its picks reaching the New York Times Best Sellers list.
The deal comes amid shifting dynamics in the media industry. Candle Media, co-founded by Kevin Mayer and Tom Staggs with backing from Blackstone, had previously acquired Hello Sunshine as part of a broader investment strategy that also included Moonbug Entertainment. However, the operating environment changed significantly post-pandemic, with streaming services prioritizing profitability over subscriber growth, which squeezed suppliers.
An individual close to Candle Media told TheWrap, "We were just wrong," regarding the initial valuation and expectations for direct-to-consumer revenue streams. Moelis & Company served as financial advisor to Candle Media. Kirkland & Ellis represented Candle Media and Hello Sunshine, Latham & Watkins represented Reese Witherspoon, and Gibson Dunn represented Mediawan.
Sources
This article was drafted with AI assistance and checked against the sources above. Company claims are reported as claims. Cover image is AI-generated.
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