Thug Life, the much-anticipated film that marked the reunion of cinematic legends Kamal Haasan and Mani Ratnam after 37 years, has struggled to make an impact at the box office despite its star-studded cast and high expectations. The film’s underwhelming performance has not only surprised industry observers but has also triggered potential financial repercussions for its producers and distributors.
This marks one of the rare instances in recent years where a Mani Ratnam directorial has faced such poor reception from both audiences and critics. Within just a week of its theatrical release, several cinema halls across Tamil Nadu have reportedly ceased screening the film due to declining audience turnout.
Adding to the film’s woes, reports suggest that theatre owners in Tamil Nadu are preparing to demand compensation for their financial losses. The producers, Kamal Haasan’s Raaj Kamal Films International and Mani Ratnam’s Madras Talkies along with distributor Red Giant Movies, may soon be approached for reimbursement.
While Thug Life had earlier secured its OTT rights in a major deal with Netflix reportedly valued at ₹130 crore, industry sources indicate that the agreement is now under review. It is believed that the value of the deal may be revised downward by as much as 25 percent due to the film’s lacklustre theatrical performance.
In cases of commercial failure, it is typically the producers who absorb the bulk of the losses. However, distributors and theatre owners who share revenue based on agreed terms also experience financial strain. Historically, some prominent actors have stepped in to compensate theatre owners when their films have failed to perform as expected.
Whether a similar resolution will be reached for Thug Life remains to be seen, but the situation underscores the high stakes involved in large-scale cinematic ventures.
Source / Image Credit : english.mathrubhumi, Saregama Tamil
Revathi
Tue Jun 17 2025

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