Entertainment One starts credit facility
Revolving credit line replaces existing debt facilitiesTORONTO -- Despite a worsening credit market, Canadian distributor Entertainment One unveiled a new four-year $150 million credit facility with its major banks Wednesday.
The new revolving credit line replaces existing debt facilities, and comes from a consortium led by JPMorgan and including Bank of America, Barclays and the Toronto Dominion Bank.
The debt refinancing follows a third-party valuation of the company's content library, which comprises about 3,700 film titles and 15,000 music tracks, at about $175 million.
Entertainment One CEO Darren Throop said that the new credit facility will finance his company's day-to-day operations, possible bolt-on acquisitions, but no big-ticket purchases.
In July, E1 acquired four Canadian companies -- Blueprint Entertainment, Barna-Alper Prods., Maximum Films and Oasis Pictures. Before that, it acquired British distributor Contender and RCV in Holland and Belgium.