Reese Witherspoon’s  Hello Sunshine is getting acquired by a firm backed by private-equity giant Blackstone Group Inc. This came as a part of the firm’s plan to build a separate entertainment company for Hollywood streaming. 

Although details of the agreement are still under wraps, it is speculated that Witherspoon’s company’s value lies close to $900 million. The venture will be run by former Walt Disney Co. executives Kevin Mayer and Tom Staggs, leaving Reese Witherspoon and Hello Sunshine Chief Executive Sarah Harden to join the board of the new company and continue operating  Hello Sunshine.

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The actor said in an interview with Wall Street Journal, “the deal is a major endorsement of her bet that Hollywood needs more stories told by and for women.”

“I’m going to double down on that mission to hire more female creators from all walks of life and showcase their experiences,” Witherspoon continued. “This is a meaningful move in the world because it really means that women’s stories matter.”

Kevin Mayer said that “the new company, like Hello Sunshine, will be free to license programs to any studio or network, giving it an edge over major studios that must feed their own streaming services”. 

“The big guys aren’t licensing their content outside of their own closed walled gardens,” Mayer said. “And that’s where a scaled, independent entity like ours can really have an advantage in the marketplace.”

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This marks a new addition to the thematic investing style Blackstone Group Inc has adopted in recent times. “We’ve had among our highest conviction investment themes the continued and long-dated demand for high quality content,” said Joseph Baratta, Blackstone’s global head of private equity.

Blackstone also owns Sesac Performing Rights LLC, a music-rights organization and it said it would invest in Epidemic Sound, royalty-free music platform, through its growth fund.