Movie outfit Neon forms TV division after selling significant stake to Department M

Neon’s Oscar-winning movie Parasite

Neon, the US film producer and distributor behind Academy Award best picture winners Parasite and Anora, is selling a significant stake to fellow studio Department M and launching a new TV-focused division.

Financial details have not been disclosed but it is understood that Department M’s deal was backed by a group of private investors.

Neon founder Tom Quinn will remain as CEO of the New York-based company, while Carina Sposato joins as executive VP of television and Jeff Deutchman remains as president of acquisitions, production and development for the film side of the company.

Sposato joins Neon after serving as head of television at Department M for a little over one year. Previously, she spent nearly four years as a producer at Plan B and before that spent six years at Scott Free Productions, rising to senior VP of TV development and production.

Her credits include Netflix’s UK four-part drama Adolescence, on which she was a co-executive producer.

Department M indicated that TV projects it has developed will be moved under the Neon banner as they move towards production, but no projects have been announced yet.

Co-founded by Mike Larocca and Michael Schaefer in 2024, Department M has been focused on film and television since its launch. Larocca was the co-founder and vice chairman at Anthony and Joe Russo’s AGBO, while Schaefer was previously the president of the film and TV group at New Regency Productions, and before that was president of Scott Free.

Following the deal, Schaefer will become chief content officer of Neon while Larocca will join Neon’s board.

The Friedkin Group, which has been a major financial backer of Neon since 2018, will remain as a significant shareholder in the studio after the Department M transaction.