Relativity, a Beverly Hills-based entertainment company, has offered to pay $525 million in cash and stock for the Culver City digital media company, plus as much as $500 million more depending on the financial performance of the company, according to a person familiar with the deal.
Relativity has also offered a bonus pool worth $75 million for "key talent and executives," this person said.
This comes as privately held Maker's shareholders prepare to vote on a agreement to be bought by Disney in a deal worth up to $950 million.
Relativity confirmed in a statement that it has sent an offer letter to Maker, saying it believes that its proposal is superior to Disney's.
"Relativity and Maker Studios are natural partners," Relativity said in its statement. "We both share a commitment to challenging the status quo, breaking down old models that don't work and inventing new ones that do."