Thomas Tull Steps Down From Wanda-Owned Legendary Entertainment

Thomas Tull, the founder of Legendary Entertainment, has resigned from the film production and co-financing company, which he sold to China's richest man, Wang Jianlin, a year ago.

Tull had been CEO and Chairman since 2005; he will now assume the title of Founding Chairman. Its owner, Wang's Wanda Cultural Industry Group, has named Dr. Jack Gao, the Group's Senior VP and CEO of International Investments and Operations, as interim CEO while the company seeks a full-time replacement.

Wanda acquired Legendary last January for $3.5 billion, which included some $900 million in debt. At the time of the sale, Tull retained his 20% or so stake in Legendary by making do with phantom stock that gives him a yearly payout, plus a proportional cut of profit if the company is sold, FORBES reported. (China forbids foreigners from owning stakes outright in entertainment companies, but China-friendly workarounds that mimic ownership are possible; Legendary would not confirm this arrangement.)

"Legendary is a gateway to cultural and financial alignment between the Hollywood moviemaking world and the rapidly expanding Chinese marketplace," Wanda Chairman Wang told FORBES at the time of the acquisition.  (Read our cover story on Tull for more on the deal.)

Though he is no longer CEO, Tull will retain a stake in Legendary and still remain involved as a producer on a couple of movies already in the works, such as the Monsterverse series and a forthcoming adaptation of sci-fi classic Dune.

"Building Legendary has been one of the most fulfilling experiences of my life," said Tull in a statement. "I have had the unique opportunity to be at the forefront of where the business is going and lead an incredible group of people as we innovated the way we thought about the film and television business, and the possibilities of collaboration between the west and the east."

Legendary began as a co-financing vehicle that helped fund big-budget films with studios, including hits such as Warner. Bros.' The Dark Knight and the Hangover franchise. It soon started co-producing its own films and had a hand in action-packed blockbusters such as Godzilla, Jurassic World and Warcraft.

Wanda purchased Legendary as part of a play to dominate global entertainment, but the transition has not all been smooth sailing. In August, Wanda delayed plans to combine its entertainment business with Legendary; it had intended to take the new entity public in a deal worth some $5.6 billion. At the time, Wanda cited the condition of China's volatile stock market as the cause for postponement.

"We are thankful to Thomas for his founding vision of Legendary as well as his commitment, leadership and partnership this past year," said Wanda's Gao in a statement. "As we move forward, Wanda aims to transform Legendary into a next generation studio of the future with a far-reaching creative and global platform."

Tull, who has a net worth of $1 billion, now plans to focus on his Tull Investment Group which funds life science, media and technology companies such as Magic Leap, Oculus Rift, Pinterest, Heal and Zoox. He also holds a small ownership stake in the NFL's Pittsburgh Steelers.

"After a year of transition, I know that the company is stable with great leadership, so at this point I am able to leave and pursue the new interests and endeavors I have been planning," Tull concluded.