DreamWorks Animation SKG will help build a $350 million studio in Shanghai called the Oriental DreamWorks studio. DreamWorks will own 45 percent of the studio, and the other 55 percent will be owned by “companies controlled by the Shanghai government. According to the Wall Street Journal:
The foundation of the arrangement is an animation studio to produce films for global distribution, DreamWorks CEO Jeffrey Katzenberg said in an interview. “The talent must exist here in China if only they had the knowledge, training and opportunity,” he said.
The SEC is investigating the deal that yielded the new studio, which Katzenberg and Vice President Joe Biden negotiated with the Chinese government.
The SEC is investigating DreamWorks for possibly bribing Chinese officials during the negotiations.
Katzenberg is an Obama re-election campaign bundler, committed to raising $500,000 for the president’s campaign. He is also the largest donor to the pro-Obama Super PAC Priorities USA.