Glen Basner’s FilmNation Entertainment is headed to Cannes next week with three films in official selection: Alexander Payne’s Nebraska, Sofia Coppola’s The Bling Ring and J.C. Chandor’s All Is Lost. It’s also hitting the Croisette with an infusion of $50M. Here’s the release:
NEW YORK – Tuesday, May 7, 2013 – Following an exponential level of growth since its inception less than five years ago, punctuated by last year’s more than $420 million in international box office, New York-based FilmNation Entertainment announced today they have successfully negotiated $50 million in additional capital with an equity-backed, revolving multi-bank credit facility with Bank Of America Merrill Lynch and Union Bank. The unique structure of the arrangement was made possible in part due to FilmNation’s outstanding track record and their strong relationships with the financial community. It was also facilitated by the longstanding relationship between FilmNation and Bank of America’s Brian Stearns, Daniel Timmons and Sharad Bhatt as well as Union Bank’s Bryan LaCour, Anthony Beaudoin and Jason Feuerstein, each of whom have overseen many single picture deals between the company and Union Bank.
Supporting FilmNation’s long-term growth strategy, proceeds from the revolving line of credit will significantly contribute to the company’s goal of financing an increasing number of films. The longtime faith and support from investors Steve Samuels, Anthoni Visconsi and Dominic Visconsi played a role in securing the credit facility and continue to grant the company even greater resources. Most recently, FilmNation acquired the majority of worldwide rights to David Michôd’s THE ROVER, starring Guy Pearce and Robert Pattinson, and are co-financing Nic Mathieu’s STORY OF YOUR LIFE with Lava Bear Films. The revolving credit will also allow President of Production Aaron Ryder and his team the ability to finance, produce and acquire a greater number of films and higher budget projects for the company’s slate.
As studios scale back their slates and focus on tent-pole fare, this financing structure gives FilmNation the ability to fill the void in the marketplace for mid-size budgeted films, grow their asset base, and solidify their position as a one-stop destination for filmmakers.
“As FilmNation evolves, we are committing a significant amount of our resources to content investment, and Bank of America and Union Bank’s support allows us to do that in an even greater way,” said FilmNation Entertainment CEO Glen Basner. “This facility will further enable FilmNation to help filmmakers move their films from script to screen. While we are thrilled with the expeditious growth we have had in our short history, this facility and the investments we will make utilizing it are all about building a company for the long term.”
“FilmNation represents the next generation of top content creators,” said Brian Stearns, co-head of Bank of America Merrill Lynch’s Entertainment Industries Group based in Los Angeles. “We are pleased to have had the opportunity to arrange this innovative financing and look forward to doing even more with FilmNation.”
“Union Bank is proud to have supported FilmNation over the past four years and watched Glen and his team successfully implement the business plan,” said Bryan LaCour, manager of Union Bank’s Entertainment Finance unit. “This financing will provide FilmNation with the necessary resources to continue its growth strategy and expand its already proven content creation platform.”
“FilmNation’s performance over the past five years has been exemplary, and we look forward to the new financing enabling us to continue to grow this platform in many ways including additional film production,” said FilmNation partner Steve Samuels.
The revolving facility was negotiated by FilmNation Entertainment’s COO Milan Popelka and EVP of Business & Legal Affairs Alison Cohen. The deal is planned to officially close within the next 30 days.