The Harmon brothers, who co-founded Sound of Freedom distributor Angel Studios, realized a long-held dream Thursday by taking their “values-based” company public.
In a conference room inside the New York Stock Exchange, however, no champagne corks were popping and the mood was decidedly subdued despite the pomp of ringing of the closing bell. Not only was it September 11, with the exchange mere steps from where the Twin Towers fell, but the shooting death of Charlie Kirk just 24 hours earlier had dealt a blow to the family and the company.
The conservative activist was killed at Utah Valley University, whose campus is just five minutes’ drive from Angel’s corporate headquarters in Provo, UT. CEO Neal Harmon‘s daughter attended UVU and the company also had ties to Kirk. “He loved Angel,” Harmon said in an interview. “I was going to be on his show next week,” added Jeff Harmon, the company’s Chief Content Officer.
Despite the shadows falling over the IPO, Neal Harmon said there was no alternative to moving forward. “We just got up today and we just said, ‘You know what? We’re here. Let’s get through it,’” he said. “Angel’s mission is to tell stories that amplify light or are values-driven. That was the reason we started the company, was for our children and grandchildren so that they would have better stories for a better world. And so here we go. This is the starting line.”
The IPO followed Wednesday’s close of a SPAC merger creating a bulked-up company worth about $1.6 billion. The Harmons insisted during an interview with Deadline they were not tracking the cost of the new shares. “I was meeting with the engineering team a couple days ago and I told them all just to delete their stock apps,” company president Jordan Harmon said. The stock ended the trading day at $13, up 8% from its opening level but well below its intraday high north of $20.
As far as how Wall Street and investors should think of the company, the brothers said it should not be seen as dependent on any particular property or franchise, despite the breakthrough of Sound of Freedom in 2023. The fact-based thriller starring Jim Caviezel grossed more than $250 million worldwide, but results don’t have to be in that range, the brothers said, especially given the modest budgets of most titles.
“People shouldn’t be watching the box office for Angel’s success,” Neah Harmon said. “We try to keep those as close to break-even as possible, but they are support to the movement and, you know, where we’re trading six months from today just doesn’t matter as much as what we’re after – timeless values, timeless storytelling, and solving this problem in a unique way where we’re flipping the model upside down.”
Jeff Harmon said the company is “a base-hits box office model,” as opposed to the home runs prized by most studios. “We’re not swinging for the fences at every single one.” Along with feature films, the company also does episodic series, most notably the Bible-based show The Chosen.
The company has one unique asset along with its growing library: the Angel Guild, which has grown more than fivefold over the past couple of years to 1.5 million paying members. In exchange for their monthly dues of between $12 and $20, Guild members gain access to the full content machine, reviewing projects in development and occasionally being able to screen rough cuts. Their verdict, not the judgment of the company’s management team, prevails, the brothers insisted.
“We believe that the Guild is going to discover the 21st century version of The Sound of track, or Casablanca, or Twelve Angry Men, with classic values and rich, timeless stories,” Neal Harmon said.
About the Author
