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Netflix Inc. NFLX -2.89% said it was acquiring Scanline VFX, a Canadian special-effects company that has worked on several shows including “Stranger Things” and “Blood Red Sky.”

In a blog post announcing the purchase, Netflix’s vice president of studio operations, Amy Reinhardt, said the company would invest in Scanline’s infrastructure and workforce—particularly in virtual production—”to push the limits of what’s possible. “


Terms of the deal were not released. Netflix said it expects sales to kick off in the first quarter of 2022.

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Other Netflix shows Scanline has worked on include the new program “Cowboy Bebop” and the upcoming movies “The Gray Man,” starring Ryan Gosling, and “Don’t Look Up” starring Leonardo DiCaprio and Jennifer Lawrence.

In addition to her work on Netflix shows, Scanline has also been involved in theatrical films including HBO’s “Game of Thrones” as well as “Justice League.”

Ms Reinhardt said Scanline will continue to operate as a standalone business after the deal closes, and will work with a variety of clients. Netflix will also work with other special-effects firms “so that we can continue to ensure that our creators have access to the world’s most innovative technology, and continue to tell the most compelling and cutting-edge storytelling for our members,” he said.

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The deal is the latest in a series of acquisitions by Netflix, with it facing increased competition from The Walt Disney Co.’s 0.10% Disney+, AT&T Inc.’s 2.36% HBO Max and other streaming services. Membership growth has also slowed For Netflix in a few key markets, including North America.

in September, bought netflix Roald Dahl Story Company and a collection of children’s stories, including “Charlie and the Chocolate Factory” and “Matilda”. Children’s programming is a priority for Netflix, especially given the early success Disney+ has attracted to kids and families.

Netflix is ​​also making a push into videogames, and acquired Night School Studios, a game developer whose products include “Oxenfree.”