Sluggish Sundance market comes to life with $15 million-plus Neon horror movie deal

Indie studio Neon has acquired worldwide rights to the horror film “Together” at the Sundance Film Festival, marking the first big deal at what has been a muted gathering so far.

Neon acquired the film for $15 million to $17 million, according to two sources close to the matter who were not authorized to comment.

Starring Alison Brie and Dave Franco, “Together” premiered Sunday at Sundance to a rowdy audience. The film follows a couple’s move to the countryside and the supernatural encounter they have there. “Together” will be released in theaters in August.

Neon will distribute the film in the U.S. and will handle international rights sales for the film in Berlin, the studio said in a statement.

The film is far from New York-based Neon’s first foray into the horror genre. Last year, the studio had a hit with the Nicolas Cage-led “Longlegs,” which marked Neon’s biggest opening weekend ever and the best launch for an indie horror film in a decade. That movie cost less than $10 million to make and promote.

Business at Sundance so far has been slower than in past years.

The festival hasn’t been immune to the changes in the industry, as streamers plunked down large sums for global rights to popular titles and major studios pulled back on spending due to slimmer budgets and uncertainty about box office picking up for smaller films. It’s now become more typical for deals to close in the festival’s later days or even in the weeks after.

Add to that the chaos of the recent fires in Southern California, which affected industry workers across the board who were already reeling from the triple effects of the pandemic, labor strikes and Hollywood production slowdown.

Estimates of the total economic loss from the fires have ballooned to more than $250 billion, making it one of the most costly natural disasters in U.S. history.

As the fires raged and smoke and ash choked the region, the industry ground to a halt. At least 30 film and TV productions were briefly halted due to the fires and studios and producers could face rising costs for supplies, permitting and potentially insurance, adding stress to an already shaky Hollywood.

Yet there was a healthy bidding war for “Together,” and there’s action on several other projects, according to people on the ground who are close to dealmaking.

Other titles that have gotten buzz include the musical drama “Kiss of the Spider Woman,” starring Jennifer Lopez and Diego Luna, based on the hit Broadway musical; and “Sorry, Baby,” a drama written and directed by actor-comedian Eva Victor in her directorial debut.

Documentaries — long a Sundance staple — also have gained attention, including “The Stringer,” a provocative film that explores whether the famed Vietnam War-era photo colloquially known as “Napalm Girl” was actually taken by Associated Press staff photographer Nick Ut or by someone else.

At least half a dozen deals could close before the end of the week, with more to come in later weeks, the people said.