MUMBAI: It seems as if the financial woes of the Ryan Kavanaugh-led Relativity Media LLC might just be over. The company has claimed to have successfully completed new financing commitments in excess of $100 million, in anticipation of its emergence from chapter 11 in February.
The new financing includes more than $100 million in additional commitments from current investors including Macquarie Bank; Joseph Nicholas and Kavanaugh, Atorus Investment Management LLC chief investment officer Carey Metz and new investors such as TomorrowVentures and Carat Global as well as VII Peaks Capital.
The new financing is separate from the approximately $180 million in Relativity senior debt acquired by Kavanaugh and Nicholas during the course of the company’s chapter 11 process, however it is anticipated that this debt will be converted pursuant to the plan of re-organisation.
This financing is in addition to the post emergence ultimate facility, an asset backed facility being syndicated by GHL & Company and Aperture Media Partners.
In addition, since Carat Global has agreed to extend credit to Relativity for its P&A capital, Relativity’s debt need is much less than expected.
“With the total financing commitments now successfully in place, we remain focused on emerging from chapter 11 and moving forward with our robust slate of films and our continued evolution as a 360 degree content engine,” said Kavanaugh.
Kavanaugh and Nicholas, will be co-managers of Relativity’s parent company, Relativity Holdings, with a robust management and finance team to oversee the 360 vertical from film and television to branding, sports, digital and Relativity Education.
As was reported by Indiantelevision.com, earlier this month, Relativity acquired Kevin Spacey and Dana Brunetti’s entertainment production company Trigger Street Productions. At Relativity, Spacey will become chairman of RelativityStudios and Brunetti will become president of Relativity Studios where they will oversee all film and television operations.
