September 22, 2008
Media Rights Capital Announces New Three-Year $350 Million Revolving Credit Facility With JPMorgan Chase and Comerica Bank
Media Rights Capital, the leading independent film, television and digital studio has finalized a three-year, $350 million revolving credit facility that will position the company for continued growth, it was announced today by Media Rights Capital co-CEOs Asif Satchu and Modi Wiczyk. The financing was provided by the foremost entertainment lenders, led by JPMorgan Chase as administrative agent and issuing bank Comerica as collateral agent. The first closing was $295 million this past week with up to a year to close the remaining $55 million, which comes at the conclusion of the worst week in United States credit markets in more than 75 years. The new facility will be used to provide additional capital for expanded film, television and digital projects.
"This facility is a vote of confidence from the financial community that heralds the strength of MRC's balance sheet, management team, business model and talent and distribution partners," said Marni Wieshofer, MRC's SVP of Corporate Development and M&A. "In a credit climate that on its surface has completely shut down, this financing proves that there is money available to strong companies operating with sound business strategy and deliberation. The first close was oversubscribed as participating banks realized MRC's distinctive ability to create and monetize content."
"In less than a year, against a backdrop of debilating labor unrest in the entertainment industry and an economy that has been shaken from core capital providers to consumers, MRC has initiated production on 8 major movies, 10 television programs across the major network and cable outlets, 5 digital content campaigns, undertaken the CW Sunday night programming, and entered into a long-term international output alliance," commented Co-CEO's Satchu and Wiczyk. "We want to thank JP Morgan Chase, Comerica Bank, and our blue-ribbon syndicate for closing so quickly in the current economic environment and positioning MRC for an even brighter future."
Joining JP Morgan Chase and Comerica the syndicate includes Bank of America, Union Bank, Citibank, Royal Bank of Scotland, C.I.T., USBank, City National Bank and First California Bank. In addition to Wieshofer, the new facility was orchestrated for MRC by Scott Tenley, VP and Head of Legal Affairs and Jaime Rigal, VP Structured Finance and Operations. Michael Chapnick of Morgan, Lewis & Bockius served as outside counsel for JPMorgan Chase and Comerica and Steven Fayne of Akin Gump was outside counsel for MRC on the transaction.
About Media Rights Capital:
MRC is a leading independent film, television and digital studio. The company specializes in the creation of premium content, custom building distribution for each of its projects and partnering directly with leading creative talent. 2008 film projects include "Shorts," written and directed by Robert Rodriguez; "The Box," written and directed by Richard Kelly and starring Cameron Diaz; "Linha de Passe," written and directed by Walter Salles; "Foxcatcher," written and directed by Bennett Miller; "Alfred Hitchcock and the Making of Psycho" and new films by Sacha Baron Cohen and Todd Field. Upcoming television projects include the Sunday night CW programming block ("In Harm's Way,""Surviving Suburbia,""Valentine" and "Easy Money"); "The Goode Family" created by Mike Judge, John Altschuler and Dave Krinsky for ABC; "The Life and Times of Tim" created by Steve Dildarian, premiering in June on HBO; "Rita Rocks" for Lifetime Television; "Krod Mandoon" for Comedy Central; and a newly conceived "Name That Tune" in an unmatched cross-network arrangement between MTV, VH-1 and CMT. MRC is producing digital projects including Seth MacFarlane's Cavalcade of Cartoon Comedy.