 When Seagram acquired PolyGram in 1998, the latter was merged and folded into Universal; as a result, it reacquired Gramercy as it controlled Universal.In turn, Seagram sold the bulk of the PolyGram film library titles released up until March 31, 1996 to Metro-Goldwyn-Mayer in 1999, and later on, it sold Gramercy and another specialty division, October Films, to Barry Diller's USA Networks, which merged both companies into USA Films.USA Films was then merged with Universal's own art-house division, Universal Focus, and transformed into Focus Features in 2002 after Vivendi Universal acquired USA Networks from Diller.