MGM Gains Credit FacilityTuesday, February 7, 2012
Metro-Goldwyn-Mayer Inc. has closed a $500 million revolving credit facility with a syndicate of banks, the studio announced Monday.
MGM, which emerged from bankruptcy in December 2010, plans to use the credit facility to retire existing debt and develop TV shows and feature films. The Beverly Hills studio is partnering with Sony Pictures Entertainment to co-finance and distribute the next James Bond movie, “Skyfall,” which will be released in November.
The credit facility was led by JP Morgan Chase and Deutsche Bank and included Bank of America Merrill Lynch, SunTrust Bank, Wells Fargo, City National Bank and OneWest Bank.
Co-Chief Executives Gary Barber and Roger Birnbaum said the credit facility signals a vote of confidence from the banking industry.
“A year ago MGM was in bankruptcy and to receive this oversubscribed facility just one year later is proof positive that through careful and efficient business decisions, we have earned the faith of the financial community,” they said in a joint statement.