New Senior Secured Credit Facility fully funds
the repayment of WildBrain's outstanding convertible debentures and
extends its corporate debt maturities to 2029
TORONTO, July 23,
2024 /PRNewswire/ - WildBrain Ltd.
("WildBrain" or the "Company") (TSX: WILD), a global
leader in kids' and family entertainment, has entered into an
agreement with a group of private lenders, led by Sagard and Comvest Credit Partners, for a new
five-year US $415 million Senior
Secured Credit Facility consisting of a $375
million term loan and a $40
million revolving credit facility (the "New Facilities"),
bearing interest of SOFR plus a range of 5.5% to 6%, depending on
the Company's total leverage ratio. Proceeds from the New
Facilities will be used to fully repay the Company's existing Term
Loan, due March 2028, and Revolving
Facility, due July 2024. In addition,
proceeds from the New Facilities, along with working capital and
proceeds of CA $7,250,000 from the
exercise of outstanding warrants, have been deposited in escrow
with Computershare and will be used to fully repay the Company's
Convertible Unsecured Subordinated Debentures (the "Convertible
Debentures"), due September 2024.
Josh Scherba, WildBrain's
President and CEO, said: "This comprehensive plan to refinance our
debt and repay our debentures extends our debt maturity as we
continue to execute on a growth strategy focused on key franchises
and partnerships in the kids' and family entertainment space. More
than ever, major players such as Netflix, Apple TV+, Supercell,
SEGA and LEGO are turning to WildBrain for our 360-degree expertise
in Content Creation, Audience Engagement and Global Licensing.
Sagard is a leader in private
credit, and we are pleased that they recognize the value of our
business and the inherent opportunity for growth presented by our
offering."
Sagard Chief Investment
Officer, Adam Vigna, said: "We are
pleased to provide a tailored private credit solution which extends
WildBrain's maturity profile and which we believe will enable the
Company to execute on its strategic vision."
Sagard and Comvest Credit
Partners acted as Co-Lead Arrangers and Bookrunners on the
refinancing. Goodmans LLP and Bryan Cave Leighton Paisner LLP acted
as counsel to WildBrain and Kirkland & Ellis LLP acted as
lender counsel in the transaction. The credit agreement in respect
of the Senior Facility will be available on SEDAR+ at
sedarplus.ca.
For more information, please contact:
Investors: Kathleen Persaud – VP
Investor Relations, WildBrain
kathleen.persaud@wildbrain.com
+1 212-405-6089
Media: Shaun Smith – Sr.
Director, Global Communications & Public Relations,
WildBrain
shaun.smith@wildbrain.com
+1 416-977-7230
About WildBrain
At WildBrain we inspire imaginations through the wonder of
storytelling. As a leader in 360° franchise management, we are
experts in content creation, audience engagement and global
licensing, cultivating and growing love for our own and partner
brands with kids and families around the world. With approximately
13,000 half-hours of filmed entertainment in our library—one of the
world's most extensive—we are home to such treasured
franchises as Peanuts, Teletubbies, Strawberry Shortcake,
Yo Gabba Gabba!, Caillou, Inspector
Gadget and Degrassi. WildBrain's mission is to create exceptional
entertainment experiences that captivate and delight fans both
young and young at heart.
Our studios produce such award-winning series as The
Snoopy Show; Snoopy in Space; Strawberry Shortcake:
Berry in the Big City; Sonic Prime; Chip and
Potato; Teletubbies Let's Go! and many more.
Enjoyed in more than 150 countries on over 500 platforms, our
content is everywhere kids and families view entertainment,
including YouTube, where our network has garnered over 1
trillion minutes of watch time. Our television group owns and
operates some of Canada's
most-viewed family entertainment channels. WildBrain CPLG,
our leading consumer-products and location-based entertainment
agency, represents our owned and partner properties in every major
territory worldwide.
WildBrain is headquartered in Canada with offices worldwide and trades on
the Toronto Stock Exchange (TSX: WILD). Visit us at
wildbrain.com.
About Sagard
Sagard is a global
multi-strategy alternative asset management firm with more than US
$25B under management, 150+ portfolio
companies, and 300 professionals. Sagard invests in venture capital, private
equity, private credit, real estate, and royalties. With offices in
Canada, the United States, Europe and the Middle East, Sagard provides flexible capital, an
entrepreneurial culture, and a global network of investors,
commercial partners, advisors, and value-creation experts. For more
information, visit www.sagard.com.
About Comvest Credit Partners
Comvest Credit Partners, the direct lending platform of Comvest
Partners, focuses on providing flexible financing solutions to
middle-market companies. Comvest Credit Partners provides senior
secured, unitranche, and second lien capital to sponsored and
non-sponsored companies in support of growth, acquisitions,
buyouts, refinancings, and recapitalizations, with credit
facilities up to $250 million-plus.
For more information, please
visit comvest.com/direct-lending.
Forward-Looking Statements
This press release contains "forward-looking statements" under
applicable securities laws with respect to the Company. Although
the Company believes that the expectations reflected in such
forward-looking statements are reasonable, such statements involve
risks and uncertainties and are based on information currently
available to the Company. Actual results or events may differ
materially from those expressed or implied by such forward-looking
statements. Factors that could cause actual results or events to
differ materially from current expectations, among other things,
include the availability of and cost of financing, general economic
and market conditions and the impact of such conditions on the
industries in which WildBrain operates, competition and the
potential impact of industry mergers and acquisitions, market
factors, WildBrain's ability to identify and execute anticipated
production, distribution, licensing and other contracts,
contractual counterparty risk, the ability of WildBrain to realize
the expected value of its assets, supply chain and other related
disruptions, and risk factors discussed in materials filed with
applicable securities regulatory authorities from time to time
including matters discussed under "Risk Factors" in the Company's
most recent Annual Information Form and annual Management
Discussion and Analysis. These forward-looking statements are made
as of the date hereof, and the Company assumes no obligation to
update or revise them to reflect new events or circumstances,
except as required by law.
View original content to download
multimedia:https://www.prnewswire.com/news-releases/wildbrain-announces-new-us-415-million-senior-secured-credit-facility-302204567.html
SOURCE WildBrain Ltd.