Feeds

Fuel VFX goes up in smoke

VFX house's staff gone, buyers in the wings

The essential guide to IT transformation

Australian visual effects company Fuel VFX looks set to be sold, just weeks after being placed into voluntary administration less than a fortnight ago.

The visual effects house secured cornerstone work in Ridley Scott’s Prometheus, The Avengers, Mission Impossible and Iron Man 2 but was hit with a cash crisis stemming from a slow down in local production activity.

All 80 Fuel VFX employees has been let go on the appointment of the administrators.

Administrators Jirsch Sutherland Partners said that while a number of salvage strategies had been canvassed including a possible white knight investor, the most likely scenario was now the sale of the business or assets following a recent call for expressions of interest.

The first Fuel VFX creditor's meeting was held last week with the next meeting scheduled at the end of the month. The administrators has indicated that the company collapses after an anticipated feature film production failed to materialise.

The identities of the potential buyers have yet to be named although Deluxe Australia, which recently acquired six Omnilab companies including visual effects house Iloura, has been suggested as a potential suitor.

Meanwhile, back in Hollywood, a parallel story has emerged as Academy Award winning special effects company Digital Domain Media Group, announced that it had filed for Chapter 11 bankruptcy this week and agreed to sell its production business to Searchlight Partners Capital for US$15 million.

Digital Domain’s founders included "Titanic" director James Cameron and has been a significant VFX studio for both films such as "Titanic" and "The Curious Case of Benjamin Button but also spreading VFX technology to advertising land. ®

Boost IT visibility and business value

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
Banking apps: Handy, can grab all your money... and RIDDLED with coding flaws
Yep, that one place you'd hoped you wouldn't find 'em
No, thank you. I will not code for the Caliphate
Some assignments, even the Bongster decline must
Barnes & Noble: Swallow a Samsung Nook tablet, please ... pretty please
Novelslab finally on sale with ($199 - $20) price tag
Ballmer leaves Microsoft board to spend more time with his b-balls
From Clippy to Clippers: Hi, I see you're running an NBA team now ...
Video of US journalist 'beheading' pulled from social media
Yanked footage featured British-accented attacker and US journo James Foley
Primetime precrime? Minority Report TV series 'being developed'
I have to know. I have to find out what happened to my life
Broadband slow and expensive? Blame Telstra says CloudFlare
Won't peer, will gouge for Internet transit
Netflix swallows yet another bitter pill, inks peering deal with TWC
Net neutrality crusader once again pays up for priority access
prev story

Whitepapers

Best practices for enterprise data
Discussing how technology providers have innovated in order to solve new challenges, creating a new framework for enterprise data.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Advanced data protection for your virtualized environments
Find a natural fit for optimizing protection for the often resource-constrained data protection process found in virtual environments.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?