The media banner of relativity can evoke memories of the Ryan Kavanaugh era. There was this data-oriented formula to “predict” the success of the box office and minimize the risks, the summits of successes as Minds of honor And Mamma Mia!The bottom of tastes BrainNine -digit financing rounds and ultimately bankrupt documents. (The quote from Kavanaugh “Am I sorry? Of course I'm”, once honored the cover of The Hollywood Reporter While the company collapsed ten years ago.)
Since the relativity media emerged from bankruptcy in 2018, he was led by the former chief of Bally Technologies Lex Miron and kept a profile lower than his peak. His ownership group is titled Ultrav Holdings LLC and includes the healing fund manager David Robbins, Miron and the funds managed by Sound Point capital of the CEO Stephen Ketchm.
Relativity began its last chapter with American rights on Angelina Jolie and David Oyelowo-Starrer Go away In 2020. It was the year covid of theaters in aspects, so he ended up tackling less than a million dollars in the United States. His recent outings include activating it John Cena from 2023 Freelance (5.3 million national dollars), Thriller Ben Affleck Hypnotic ($ 4.5 million) and Jessica Chastain-Peter Sarsgaard Drama Memory (less than $ 1 million).
But the relativity media based in Los Angeles are now looking to be a more active player in the space of domestic acquisition and development, and he obtained funding to do so, a few days before the start of the film market for Cannes buyers looking for offers from May 13 to 21 during the festival.
Debt Business Content Partners Capital, led by the Alphonse Lordo cinema's finance veteran, undertakes $ 100 million to deploy over the next five years on acquisitions and the development of relativity in the theatrical functionality space as well as for all of Paris to extend the business library of the company. And he described a plan to support 14 wide versions in theaters by 2027 as a domestic distributor.
Some history on the Lordo credit investment unit: it is a relatively new division of Content Partners LLC. It is the Hollywood investment company led by Steve Kram and Steven Blume which buys the participation of backend profits from companies and talents. He built great maintenance of some 600 films and 3,000 hours of television and also has Revolution Studios, which houses a library of tastes Black Hawk Down,, Hugo,, Black swan And wine diesel xxx Action series.
Intellectual property is part of the equation and, despite bankruptcies, relativity still holds certain rights on a tracing of its projects from the Kavanaugh era, in particular Bradley Cooper Starrer UnlimitedWinner The fighterNavy Seal Box Office Hit ValorMiles Teller Comedy 21 and more and Nicholas Sparks Adaptation The best of me. The owners of relativity also say that they retain prequel rights and immediately to almost all the titles of his library which he previously produced.
“There are simply not enough independent distribution platforms to acquire and publish new independent commercial dishes,” says Lordo The Hollywood ReporterReferring to a slimming landscape of independent distributors such as A24, neon, rue Bleecker and vertical entertainment. “I think you will see a re -emergence of the creation and distribution of independent content which can live alongside a streaming and major studio ecosystem.”
He added: “It's a bit of a bet here. We think it's potentially a market of several dollars.
Regarding this bet, why the relativity that this vehicle? “They have a large, very commercial library. They have a distribution team which is very good to monetize these assets, ”explains Lordo. “When they acquire films, they earn money to do it. They are very good at earning money. This kind of spawn tail in the capital thesis of content partners: we are here to invest in entertainment media industry companies – film, television, music, sport – and we are trying to find it on an active perspective.”
The thought is that these $ 100 million will provide a new track to the relativity media to make more bets in the acquisition and distribution space. “We are delighted with the strategic partnership with the capital of content partners, and believe that we can considerably increase our income and our BAIIA in the short term,” said Miron, CEO of Relativity Media. “We have a solid management team, a high quality library, a healthy pipeline of new projects and a robust capital structure. Our relationship with CPC will provide a key ingredient to accelerate the return of media relativity at the forefront of independent cinema studios. ”
The relativity agreement marks the second decision for Lordo – which previously worked at Truist Securities, Onewest Bank and Bank of the West – since the launch of Content Partners Capital last August with a debt agreement with the financial content Media Capital Technologies (which supported The best Christmas contest of all time in Lionsgate).
“The relativity media represent a rare combination of experienced inheritance, revitalized leadership and a prospective strategy that aligns itself where the cinema and television market is heading,” added Lordo in a press release. “Our investment supports their ambition to scale up high quality content while strengthening CPC's commitment to fuel the next generation of media companies through a tailor -made strategic capital.”
