Summit Closes $750M Refinancing Deal

“Twilight” studio gets $550 million loan and a $200 million line of credit

Last Updated: March 8, 2011 @ 7:27 PM

Summit has closed a deal that will give the "Twilight" studio $750 million refinancing deal. 

JP Morgan and UBS AG orchestrated the new round of funding. 

The $550 million loan over five years and $200 million revolving credit line will be used to pay down the studio's debt and fund its upcoming slate of films, including two sequels to its vampire romance franchise.

It will also be used to finance a dividend for the privately held studio's investors.

Terms of the deal began seeping out Monday, but Tuesday marked the official announcement. 

Summit has had enormous success with its "Twilight" films, which have grossed over $1.5 billion worldwide, but has struggled to find other movies that match the box office take of the fantasy film series. 

In January, Summit paved the way for this week's arrangement when it received two solid but cautious credit ratings. The studio received a B grade from Standard & Poors and a B1 grade from Moody’s Investor Service. 

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