Ryan Kavanaugh to Serve as Consultant to the New Relativity

Ryan Kavanaugh - H 2016
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Ryan Kavanaugh - H 2016

Having founded the company in 2004, Kavanaugh will now receive $10,000 per month for his non-exclusive services.

Ryan Kavanaugh, who founded Relativity Media in 2004 and served as its CEO only to see it file for Chapter 11 bankruptcy in 2015, has signed on to serve as a non-exclusive consultant to the business’ latest incarnation now that the bulk of its assets are being sold to UltraV Holdings.

According to a purchase agreement filed in U.S. Bankruptcy Court for the Southern District of New York over the weekend, Kavanaugh is to receive $10,000 per month, plus “reasonable business expenses,” for his “part-time consulting and advisory services.”

The services agreement runs through Dec. 31, 2019, with subsequent 12-month renewals after that. 

Kavanaugh will also receive a one-time payment of $5 million, if the fair market value of the company’s equity reaches $150 million, according to the letter of agreement.

Additionally, the agreement stipulates that if Kavanaugh moves forward with any projects that involved past Relativity properties but do not use IP from the current company, the new company can partner with him on a 50-50 basis.

UltraV Holdings is a joint venture of funds of asset management firm Sound Point Capital Management and RMRM Holdings. RMRM is led by David Robbins, former chairman of Bally Technologies; veteran media industry advisor Lex Miron; and media industry executive Larry Robbins.