HONG KONG (AP) — Hollywood studio Legendary Entertainment and state-owned China Film Group have signed a deal to make big-budget movies.
It's the latest example of growing collaboration between entertainment companies in the world's two biggest movie markets.
Legendary said its Chinese venture, Legendary East, signed an agreement with China Film on Thursday in Beijing. The deal calls for the companies to fund development and production of multiple films over three years.
Their first collaborations will be announced in the coming months. Legendary said each will be a US-China co-production. That means China's import restrictions on foreign movies won't apply.
Faced with stagnant box-office growth at home, Hollywood studios are keen to break into China, now the world's second-biggest film market.