Investor Group to Purchase Dick Clark Productions from RedZone Capital Management

Guggenheim Partners, Mandalay Entertainment, and Mosaic Media Investment Partners announced last week that they are purchasing Dick Clark Productions from RedZone Capital Management, the private equity firm controlled by Washington Redskins owner Dan Snyder. The terms of the transaction were not disclosed, though a report in the L.A. Times suggested its price tag was close to $400 million, and that Guggenheim Partners would be contributing the vast majority of the capital.

PRESS RELEASE:

Guggenheim Partners together with Mandalay Entertainment and Mosaic Media Investment Partners (“the investor group”) today announced a definitive agreement to purchase Dick Clark Productions (“dcp” or “the Company”) from RedZone Capital Management. The terms of the transaction were not disclosed.

Dick Clark Productions is the leading independent producer of television programming for broadcast networks, cable networks and other distributors. The Company’s world-renowned television programming includes the Golden Globe Awards; the American Music Awards; the Academy of Country Music Awards; New Year’s Rockin’ Eve; and So You Think You Can Dance.

The investor group is comprised of experienced, long-term investors with a deep understanding of the media and entertainment industry and a history of collaboration with each other. Guggenheim Partners, Mandalay Entertainment and Mosaic Media Investment Partners plan to continue dcp’s tradition of providing its network partners with devoted and growing audiences across dcp’s premier programming.

Todd Boehly, President of Guggenheim Partners, said, “We look forward to continuing dcp’s production of branded entertainment that has become a part of the American lexicon. We plan to work closely with the Hollywood Foreign Press Association, the Academy of Country Music and all of the network partners and sponsors to ensure dcp’s long-term growth and success.”

Peter Guber, Chairman and CEO of Mandalay Entertainment, said, “We are excited by the opportunity to use our resources to build upon dcp’s delivery of premier programming and events that address the surging demand for high-quality, branded event entertainment.”

Allen Shapiro, Managing Partner of Mosaic Media Investment Partners, said, “In this evolving world of content and distribution, dcp’s ‘tent-pole programming’ of well-known television events is increasingly sought after. We are committed to providing dcp with the resources to continue growing its business in a way that creates value for sponsors, networks and audiences, and we look forward to energizing fans in new and innovative ways.”
The transaction is subject to the satisfaction of customary closing conditions and regulatory approvals. It is anticipated that the transaction will be completed expeditiously.

Guggenheim Securities acted as exclusive financial advisor to the investor group on the transaction. The Raine Group acted as exclusive financial advisor to RedZone Capital Management and dcp. Legal advice was provided to Guggenheim Partners by Weil, Gotshal & Manges.

About Dick Clark Productions

Established in 1957, Dick Clark Productions is one of the world’s premier production companies, providing quality entertainment through a wide range of television shows and other assets. The Company produces some of the most widely viewed and recognizable television programming, including the Golden Globe Awards; the American Music Awards; the Academy of Country Music Awards; New Year’s Rockin’ Eve; and So You Think You Can Dance. Dick Clark Productions owns a valuable library of over 50 years of shows totaling more than 7,500 musical performances and 2,500 hours of television programming.

About the Investor Group

Guggenheim Partners, LLC is a privately held global financial services firm with more than $160 billion in assets under management. For more information about Guggenheim Partners, visit GUGGENHEIMPARTNERS.COM.

Mandalay Entertainment Group is a multimedia entertainment vehicle in motion pictures, television, professional sports teams and new media formed in 1995 and led by Peter Guber. For more information about Mandalay, visit WWW.MANDALAY.COM.

Mosaic Media Investment Partners LLC is a consortium of prominent investment partners who target media and entertainment assets to which the partners can add significant value, and is spearheaded by Allen Shapiro, the former Chief Executive Officer of Dick Clark Productions, Inc. and current Chairman of TV Guide Network andTVGUIDE.COM.

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