FilmNation has secured $50 million in new capital through a credit facility backed by Bank of America, Merrill Lynch and Union Bank, the company announced on Thursday. The sales, financing and production company will use the money to expand its film financing and production operations.
The company has secured the revolving, multi-bank credit facility on the eve of the Cannes Film Festival, where FilmNation will be shopping three titles — Alexander Payne's "Nebraska," Sofia Coppola's "The Bling Ring" and J.C. Chandor's "All Is Lost," starring Robert Redford.
FilmNation Entertainment CEO Glen Basner, a former Weinstein Co. and Good Machine executive, founded FilmNation in 2008 as a full-service firm for respected filmmakers. Basner, whose background is in business development and international sales, has overseen the sales and financing side of the business. Aaron Ryder, producer of "Memento," oversees production.
The company works with more films from a sales perspective, including recent hits like "Looper," "Magic Mike" and "21 and Over." However, it aims to produce a couple of films each year, its most recent release being Jeff Nichols' "Mud."
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This new money will be used to expand the company's efforts in both production and film financing, funding the mid-budget films that studios no longer make.
“As FilmNation evolves, we are committing a significant amount of our resources to content investment,” Basner said in a statement. “This facility will further enable FilmNation to help filmmakers move their films from script to screen."
FilmNation's COO Milan Popelka and Alison Cohen, its EVP of Business & Legal Affairs, negotiated the facility with the respective parties. The deal will close within the month.
Bryan LaCour, manager of Union Bank’s Entertainment Finance unit, praised FilmNation for its business plan.
“This financing will provide FilmNation with the necessary resources to continue its growth strategy and expand its already proven content creation platform,” he said.