RLJ Acquisition, Inc. acquires Image Entertainment, Inc. and Acorn Media Group to Form RLJ Entertainment, Inc.
Shares of RLJ Entertainment common stock will be traded on the NASDAQ Capital Market under the stock ticker symbol RLJE.
RLJ Entertainment warrants will be traded on the Over-The-Counter Bulletin Board. The Company anticipates that payments to holders of its shares of common stock that redeemed their shares will be made promptly following the closing of the business combination.
In conjunction with and to provide funding for these acquisitions and RLJ Entertainment’s ongoing working capital needs, RLJ Entertainment entered into a US$70 million credit agreement with a group led by SunTrust, which includes a five-year US$15 million revolving credit facility and three tranches of term loans totaling US$55 million with final maturities ranging from five to five and one-half years, at interest rates ranging from prime rate plus 5 percent to 6.25 percent or LIBOR plus 6 percent to 7.25 percent plus an additional 3 percent per annum paid in kind on the last US$15 million of the facilities.
About RLJ Acquisition, Inc. (RLJAU; RLJA; RLJAW) is a special purpose acquisition company (SPAC), also known as a blank check company, that seeks to acquire one of more operating companies. RLJ Acquisition, Inc. intends to use the net proceeds from its initial public offering to acquire one or more operating businesses through a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination. For more information about RLJ Acquisition, Inc., please visit:http://www.rljcompanies.com/companies/rlj-acquisition-inc/
About Image Entertainment – Image Entertainment, Inc. is a leading independent licensee and distributor of entertainment programming in North America, with approximately 3,700 exclusive DVD titles and approximately 350 exclusive CD titles in domestic release and more than 450 programs internationally via sublicense agreements. For many of its titles, Image Entertainment has exclusive audio and broadcast rights, as well as digital download rights to approximately 2,200 video programs and approximately 500 audio titles containing more than 6,000 individual tracks. Image Entertainment is headquartered in Chatsworth, California. For more information about Image Entertainment, please go to http://www.image-entertainment.com.
About Acorn Media Group – Based in suburban Washington, D.C. and founded by Chairman Peter Edwards, Acorn Media Group has grown from a one-man basement documentary production and distribution operation in the mid-1980s into a leading independent media company operating on three continents. Acorn Media Group consists of four divisions. With its Acorn label, Acorn Media U.S. is the leading distributor of British television programming to consumers in North America. Its Acacia label offers a line of original health & wellness programming. Appealing to the growing lifelong learning audience, Acorn U.S. also offers acclaimed documentaries on the Athena label. Acorn Direct is a direct-to-consumer division offering DVDs, digital downloads, and other high quality products in North America through its Acorn and Acacia catalogs and e-commerce websites. Acorn Media U.K. and Acorn Media Australia distribute comparable lines of DVD titles to consumers in the U.K., Australia, and New Zealand. For more information about Acorn Media Group, please visit http://www.AcornMedia.com.
Source: The RLJ Companies
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