Miramax has secured a $300 million multi-bank revolving credit facility that will fund film and TV productions for the next five years, the company announced Thursday.
The loan, led by Bank of America Merrill Lynch and MUFG Union Bank, should provide the studio with enough financing to produce four-to-six films a year and deficit finance two-to-three TV series.
The goal of the funding is to help provide Miramax with a strategy for growth while ramping up its film and TV slate.
Last year, Miramax tapped veteran film exec Bill Block as its new CEO after Stephen Schoch stepped down from the role.
“Bank of America Merrill Lynch is proud to support Miramax, a valued client and one of the most successful content companies in the entertainment business,” said Randy Hua, head of Bank of America’s L.A.-based tech, media and entertainment group, said in a statement. “This credit facility will allow Miramax the flexibility to continue to strategically grow their film and television capabilities with innovative and exciting content.”
The deal was secured ahead of the 2018 Cannes Film Festival, which Miramax is attending.
“Union Bank is excited to support Bill’s leadership of Miramax as it endeavors to bolster its premier library assets with an ambition for a robust film and television content creation slate” Bryan LaCour, head of Union Bank’s entertainment finance team, said in a statement.
Miramax underwent a restructuring last year where the studio laid off roughly 45 people last year across film, TV, sales and finance support staff.
At the time, Block said the cuts and reorganization were necessary to streamline the company and set it up for growth.
“We are thrilled to commence a valued partnership with Bank of America Merrill Lynch and MUFG Union Bank,” Block said in a statement. “The credit facility allows Miramax to efficiently finance its current and future production slate as we shift to increase our growth.”
Miramax’s upcoming projects include the Johnny Depp-Forest Whitaker police drama “LAbyrinth,” which Miramax will co-finance with Open Road Films. It also has the documentary “Whitney” about late singer Whitney Houston for U.S. distribution.
Disney, which had acquired Miramax from co-founders Bob and Harvey Weinstein in 1993, sold the indie unit to a group of investors for $660 million in 2010. BeIN Media Group, which is owned by Qatar’s Al Jazeera, then acquired the company in 2016.
Block and Miramax EVPs of Finance Dennis Hands, Jeremy Gross and David Cragnotti negotiated the deal on behalf of the studio. Hua handled the deal on behalf of Bank of America.