After an incredible run for several years that peaked at over $6 billion invested in Hollywood, China investment in Hollywood has slowed dramatically in 2017. Hollywood was a significant benefactor of the prior outflows of currency, so Hollywood disproportionately feels the brunt of the new restriction. Since many deals in Hollywood were done with an eye on a listing in China, this turn of events has dampened the enthusiasm of many potential Chinese investors in Hollywood. Given the lackluster results of some investments in Hollywood to date, Chinese government approval for investment in Hollywood is getting harder to obtain. In most cases, the capital invested in Hollywood was being raised by Chinese companies from third-party investors in China.
Source: Forbes April 26, 2017 01:52 UTC