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Viacom says it seeks minority investor in Paramount

FILE - In this July 8, 2015, file photo, people pass by the main gate to Paramount Pictures on Melrose Avenue in Los Angeles. Embattled media company Viacom says it has begun a process to find a minority investor for its Paramount Pictures movie studio, heeding calls from activist investors frustrated at the Viacom’s sagging performance. Shares immediately rose about 3 percent to $38.06 in midday trading Tuesday, Feb. 23, 2015.(AP Photo/Nick Ut, File) FILE - In this July 8, 2015, file photo, people pass by the main gate to Paramount Pictures on Melrose Avenue in Los Angeles. Embattled media company Viacom says it has begun a process to find a minority investor for its Paramount Pictures movie studio, heeding calls from activist investors frustrated at the Viacom’s sagging performance. Shares immediately rose about 3 percent to $38.06 in midday trading Tuesday, Feb. 23, 2015.(AP Photo/Nick Ut, File)

By Associated Press February 23, 2016 1 min read

NEW YORK (AP) – Embattled media company Viacom says it’s searching for a minority investor for Paramount Pictures, heeding calls from investors frustrated at the sagging performance of its movie studio.

Shares immediately rose about 3 percent Tuesday.

CEO Philippe Dauman says he’ll pursue discussions with a select group of potential investors.

There has been speculation about interest from Chinese firms, including e-commerce giant Alibaba. Last month, Legendary Entertainment, the U.S. studio behind hit films such as “Batman” and “Inception,” was acquired for $3.5 billion by the Chinese theater chain owner Dalian Wanda.

Paramount, the Hollywood studio behind franchises like the rebooted “Star Trek” series, has had a rough slog lately. In the most recent quarter, its losses more than doubled to $146 million while revenue sank 15 percent.