Dream Machine Acquires Award-Winning VFX Studio Important Looking Pirates

Big news in the VFX world: Dream Machine FX has just acquired the award-winning Swedish VFX studio Important Looking Pirates (ILP), known for its jaw-dropping work on 'Stranger Things', 'Shogun', and the upcoming 'Fallout' series. This move marks Dream Machine's fourth acquisition and officially brings the company into the European market, expanding its reach across three continents and six countries. It’s a strategic win for Dream Machine, facilitated by Arenova Capital, and highlights their mission to build a powerhouse of visual effects studios.

ILP, founded back in 2007 in Stockholm by Niklas Jacobson and Yafei Wu, has built an impressive reputation over the years, particularly for its cutting-edge water simulations, complex creature designs, and ultra-realistic environments. Their contributions to series like 'Westworld', 'The Last of Us', and even 'Star Wars' titles have made them a go-to for high-profile projects. Now, ILP is joining Dream Machine's impressive roster, which already includes FIN Design + Effects, Mavericks VFX, and ZERO VFX.

The deal comes at an interesting time for the VFX industry. From 2020 to 2023, there was a flurry of mergers and acquisitions in animation and visual effects, but things have cooled off a bit in recent years. However, Dream Machine is taking advantage of the current landscape to scoop up top-tier talent at a time when many VFX houses are feeling the pinch. David Li, managing partner of Arenova Capital and chairman of Dream Machine, explained that their strategy is about curating the best VFX studios that align with their values while offering clients a range of specialties, price points, and geographical locations. With major franchises like 'Harry Potter' and 'Lord of the Rings' making a comeback, the demand for top-notch VFX work is only going to grow.

The best part? ILP will retain its creative autonomy under the deal, which means they’ll continue to do what they do best while benefiting from Dream Machine’s global infrastructure. Co-founders Niklas Jacobson and Yafei Wu will stay on board as shareholders in Dream Machine, with Jacobson joining the company’s board and Wu taking on a senior advisor role. ILP’s CEO, Eva Mautino, will also remain in her role and become a managing partner of the group, ensuring that ILP's vision stays intact as they continue to grow.

ILP’s recent success has been incredible. According to Jacobson, 2023 was their best year yet, with a 15% growth spike. While the financial terms of the acquisition haven’t been revealed, it’s clear that ILP has found a perfect match in Dream Machine. As Jacobson and Wu put it, "We’ve always said we’d only partner with someone who shares our values and commitment to talent and artistry. Dream Machine is that partner."

And it doesn’t stop here—Dream Machine has hinted that another acquisition is just around the corner, signaling even more growth for the company as they continue to shape the future of the VFX industry. Keep an eye out for what’s next!