April 14 (Reuters) - Television and film studio Relativity Media has offered $500 million in stock for Maker Studios, whose shareholders are scheduled to vote on Tuesday on a bid by the Walt Disney Co, the Wall Street Journal reported, citing a letter.
Relativity also offered an additional $400 million in stock if some financial targets are met, according to its letter to the board of Maker, one of the largest video production networks on Google Inc's YouTube. (r.reuters.com/kyc58v)
Disney agreed to buy Maker last month for $500 million in cash. The price could rise to $950 million if Maker hits some performance milestones.
The Relativity bid would have no effect on the Disney-Maker deal as the companies have a binding agreement, the Journal said, citing a person close to the Disney-Maker deal.
Danny Zappin, Maker Studios’ co-founder and former chief executive, filed a lawsuit to prevent the shareholder vote, according to a report on Thursday.
Maker, founded in 2009, targets the younger millennial generation, known for its high appetite for online video.
Relativity also offered a $100 million “bonus pool” to “key talent and executives” at Maker Studios, the Journal said.
Relativity, founded by film producer Ryan Kavanaugh, has produced films such as “Immortals” and “The Social Network”. (Reporting by Supriya Kurane in Bangalore; Editing by Joyjeet Das)