Seeking Alpha
Profile| Send Message| ()  

Dreamworks Animation SKG (ticker: DWA) filed an S-1 form in preparation for a $575 million secondary offering.

Offering size (# of shares):

  • Class A: 88,010,188 shares
  • Class B:   18,842, 881 shares
  • Class C: 1 share
  • Total shares: 106,853,070 shares
  • Expected proceeds: $575 million
  • Shareholders are entitled to 1 vote per Class A and C shares and 15 votes per Class B share

Selling shareholders (# of shares):

  • Paul Allen: 9,871,844 shares
  • Lee Entertainment LLC: 1,569,798 shares
  • Universal Studios: 1,258,383 shares

Lock-up period:

  • Most executives and directors are locked-up until 4/26/05
  • Speilberg, Katzenstein and Geffen are locked-up until 10/27/05

Stock performance:

  • DWA went public on 10/28/04 at $28 per share, ending its first day at $39.54 (+41%)
  • On Friday, 3/24/05, DWA closed at $39.54, about 2% above its first day's close

Deal managers:

  • DWA's IPO was managed by Goldman Sachs and J.P. Morgan
  • Other managers were: Banc of America Securities, Bear Stearns, Merrill Lynch, HSBC and SG Cowen
  • No bankers are listed on DWA's filing

Largest shareholders:

  • Jeffrey Katzenberg: 8,053,275

    (B shares)

  • David Geffen:        8,053,275 (B shares)
  • Steven Spielberg
        8,053,275     (A shares)
  • Paul Allen:
        34,579,236 (A shares)
  • Lee Entertainment L.L.C.: 5,666,575     (A shares)
  • Vivendi Universal Entertainment LLLP:
        2,678,571     (A shares)
  • Thomson Inc.
       : 1,785,714     (A shares)
  • Kadokawa Entertainment U.S. Inc.:
        2,021,220     (A shares)
  • Chemical Investments, Inc.: 1,310,934     (A shares)
  • Microsoft Corporation
       : 1,310,934     (A shares)
  • Ziff Investors Partnership, L.P. IIA:
        1,310,934 (A shares)

DWA hit films (box office revenues):

  • Shrek 2: $437 million
  • Shrek: $268 million
  • Shark Tale: $160 million
  • Antz: $91 million

Shrek references:

  • Shrek: 30 times
  • Shrek 2: 49 times
  • Shrek 3: 5 times
  • Shrek franchise: 1 time

Shrek 2 facts:

  • 3rd highest grossing film of all time in the domestic box office
  • Highest grossing animated film of all time
  • Most successful three-day opening weekend of any animated film
  • Most successful single-day box office sales record for any film ($44.8M)
  • Most widely distributed domestic film ever (4,223 theaters at its peak)
  • Best selling video title in 2004

Upcoming releases (expected opening):

  • Madagascar (5/27/05)
  • Wallace & Gromit (10/7/05)
  • Over the Hedge (5/19/06)
  • Flushed Away (Fall 2006)
  • Shrek 3 (May 2007)
  • Bees (Fall 2007)

Dwa_2

Source: Dreamworks (DWA) files secondary offering; details from the S-1