China agrees Hollywood production deal

The production house behind hits like 'The Dark Knight', 'Inception' and the two 'Hangover' films has partnered with a leading Chinese studio as it deepens its reach in one of Hollywood’s increasingly lucrative markets.

Legendary Entertainment said in a statement today that it has set up a new unit that will co-produce films with Huayi Brothers Media Corporation.

Hong Kong-based Legendary East plans to make one or two “major, event-style films” a year starting in 2013.

The partnership allows Legendary Entertainment to bypass Chinese import restrictions that effectively limit the country to about 20 foreign blockbusters a year.