Creative Artists Agency, one in every of Hollywood’s prime expertise companies, is wanting elevate a bit of over $1 billion it might use to refinance a few of its debt and purchase again worker shares, sources with information of the scenario instructed TheWrap.
The deal, which CAA hopes will come collectively within the subsequent few weeks, would permit the corporate to refinance $757 million in debt it at the moment holds. Essentially, as a substitute of paying again $757 million, CAA would have extra favorable phrases below which to pay again the $1.15 billion it’s trying to elevate.
Representatives for CAA declined to remark.
CAA would use the rest of the $1.15 billion it’s utilizing to refinance — some $393 million — to purchase again minority stakes of worker shares. Sources instructed TheWrap CAA would solely provide to purchase again worker shares, which they’re not obligated to promote, and never shares held by institutional buyers.
Also Read: CAA Promotes 10 Employees to Agent Status
CAA is probably going profiting from market that in the mean time permits firms to borrow cash simpler and below extra favorable phrases. Typically, shopping for again shares is a present of well being of the corporate and a option to reward the corporate’s prime earners.
Current CAA stakeholder TPG is arranging the financing deal for the company, together with Bank of America, Credit Suisse, UBS and others.
CAA’s Bryan Lourd, Richard Lovett and Kevin Huvane may have the chance to promote a minority of their shares. The majority of CAA’s 2,000 and a few workers, nonetheless, would not have fairness stakes within the company.
Hollywood’s Top 10 Art Collectors, From Leonardo DiCaprio to David Geffen (Photos)
Wealth-X has ranked the worth of the artwork collections of a few of showbiz world’s greatest collectors, click on by to see the highest 10 in reverse order.
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10. Leonardo DiCaprio Estimated worth of artwork assortment: $10 million The Oscar winner has picked up works by the likes of Jean-Michel Basquiat and Takashi Murakami.
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9. Michael Ovitz Estimated worth of artwork assortment: $12 million The former agent (and MoMA board member) constructed a villa in Benedict Canyon to deal with his acquisitions, which embody works by Pablo Picasso, Jasper Johns and Mark Rothko.
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8. Jacob Bloom Estimated worth of artwork assortment: $14 million The longtime Hollywood lawyer and his spouse, Ruth, have assembled a exceptional assortment that features works by Chinese artist Ai Weiwei, Jeff Koons, John Baldessari and Matthew Barney.
7. Brad Pitt Estimated worth of artwork assortment: $25 million The actor spent a reported $1 million on a portray of an auto racetrack by German artist Neo Rauch in 2009.
6. Steve Tisch Estimated worth of artwork assortment: $50 million The movie producer and chairman of the New York Giants serves a trustee of LACMA, who donated Christian Marclay’s “The Clock” to the museum.
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5. Jack Nicholson Estimated worth of artwork assortment: $150 million The Oscar-winning actor has compiled a group that features works by Picasso, Matisse, Modigliani, Magritte and Botero.
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4. Steven Spielberg Estimated worth of artwork assortment: $240 million The director and producer has quietly amassed a group crammed with a lot of Norman Rockwell in addition to Edward Hopper and plenty of Impressionists.