Unity Software to Acquire Weta Digital
Posted on 11/10/2021
On November 7, 2021, Unity Software Inc. entered into an asset purchase agreement to buy Weta Digital’s tools, pipeline, technology, and engineering talent. Ultimately, this acquisition is designed to put Weta’s incredibly exclusive and sophisticated visual effects (VFX) tools into the hands of millions of creators and artists around the world, and once integrated onto the Unity platform, enable the next generation of RT3D creativity and shape the future of the metaverse. Under the terms of the agreement, Unity will acquire Weta Digital Limited for US$ 1.625 billion in a combination of cash and stock.
Weta Digital will join Unity’s Create Solutions focused on the continual evolution of Weta Digital’s dozens of proprietary graphics and VFX tools, such as Manuka, Lumberjack, Loki, Squid, Barbershop, HighDef, CityBuilder, and many more. In the future, with Unity’s deep expertise in real-time, these world-class artist tools will be available to creators through an accessible cloud-based workflow.
Weta Digital is co-founded by “Lord of the Rings” director Peter Robert Jackson.
The sellers include The Film Property Trust (owned by Peter Jackson and Frances Rosemary Walsh) and Sean Nicholas Parker (Sean Parker), Prem Akkaraju, and Joseph Letteri.
Advisors
The Raine Group served as exclusive financial advisor to Weta Digital. Morrison & Foerster LLP represented Unity Software.
Orrick, Herrington & Sutcliffe LLP represented Weta.
Weta Digital is the standard-bearer for creativity and innovation in visual effects and animation, attracting talent, partners, and clients that seek to push what is possible in pursuit of their artistic vision. Weta’s proprietary pipeline continues to evolve and provide artists with the tools they need to create their best work. Based in Wellington, New Zealand, Weta Digital is the largest single-site VFX studio in the world drawing artists from over 40 countries.