Seven Arts (NASDAQ: SAPX) announced today that it has entered into an agreement with GFM Films LLP for the formation of a joint venture. The Venture will seek to acquire, produce, license and distribute feature films. GFM was formed by Guy Collins, Michael Ryan and Fred Hedman, formerly key members of the management team at Handmade Films International. Both Seven Arts and GFM will contribute financially to the Venture which will provide Seven Arts with an experienced and dedicated distribution sales team, whilst providing savings to Seven Arts in its overhead and marketing costs. The Venture will formally launch at this year's Cannes Film Festival focusing its efforts on Seven Arts' upcoming titles including "The Winter Queen" to be directed by Fedor Bonderchuk and starring Milla Jovovich and "Neuromancer," the sci-fi epic based on the best selling novel by William Gibson which will be directed by Vincenzo Natali.