Auckland animation company Anim Studio put into liquidation with $1.7m tax debt

Mukpuddy co-founder and Anim Studio director Ryan Cooper. Photo / Uptown Business Association

The Auckland animation studio behind dozens of Kiwi television titles, including Badjelly, has put one of its subsidiary film production businesses into liquidation.

Mukpuddy confirmed that its subsidiary company, Anim Studio Ltd, had been wound up through a voluntary liquidation.

In a statement, Mukpuddy said: “Anim Studios Limited was set up to service a range of animation projects.

“Unfortunately, due to cash flow issues related to the impact of Covid in 2020, market contraction, and other unforeseen issues, the directors of Mukpuddy Ltd have determined a voluntary liquidation is the best option for this subsidiary.”

Mukpuddy said no employees were impacted by the move and that there were no outstanding or affected projects related to Anim Studio.

It said large animation or film projects are typically structured into stand-alone companies. Anim Studio was responsible for Night Eyes series two, which will be released on TVNZ+ at the end of this month.

Mukpuddy said it “will continue as one of New Zealand’s leading producers of animated television via its other production subsidiaries.”

Renowned writer and director of more than 20 years, Ryan Cooper, was the sole director and shareholder of Anim Studio at the time of its liquidation, according to Companies Office records.

Cooper is also a co-founder of Mukpuddy, along with friends Tim Evans and Alex Leighton.

Cooper, Evans and Leighton started Mukpuddy out of a basement in 2002.

The company produces works including The Barefoot Bandits, The Adventures of TuMeke Space and Pipi Mā​.

Mukpuddy has received more than $5.9m in Government funding from NZ on Air.

Companies Office records show Evans and Leighton were removed as directors of Anim Studio on August 20, the same day Cooper was removed as a director of Mukpuddy Ltd.

Anim Studio Ltd also changed its incorporated name from Mukpuddy Animation Ltd on July 14.

Liquidators Steven Khov and Kieran Jones of Khov Jones Ltd were appointed to Anim Studio on October 6.

In their first report, released yesterday, Khov and Jones said Inland Revenue had commenced liquidation proceedings against Anim Studio.

The company owes Inland Revenue more than $1.7m in GST and employment activities, according to the liquidator’s report.

A further $104,932 in unsecured liabilities is owed to the tax department under the Small Business Cashflow Scheme (SBC), which was set up during Covid.

Anim Studio also owes $241,000 in related party loans to Mukpuddy Ltd.

However, the liquidators said the company only has an estimated $104,792 in assets.

In May, Inland Revenue said it was still chasing just over $161m in unpaid SBC loans.

More than 129,000 businesses were issued loans totalling $2.4 billion, with the average amount approved being $17,000.

Businesses had five years to pay off the loan up to June 2025, at which point Inland Revenue said it would charge default interest of 10.88% plus a standard interest rate of 3%.

Cameron Smith is an Auckland-based business reporter. He joined the Herald in 2015 and has covered business and sports. He reports on topics such as retail, small business, the workplace and macroeconomics.

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