European support for financing to cultural and creative sectors in Denmark
The European Investment Fund (EIF) has signed a guarantee agreement with Danish alternative finance provider REinvent Finance. Part of creative hub REinvent Group, the alternative investment fund manager will provide new financing to operators in the Nordic film and TV series industry to improve access to finance for a category under pressure due to COVID-19. The guarantee agreement is backed by the European Commission under the Cultural and Creative Sectors Guarantee Facility (CCS GF) and the European Fund for Strategic Investments (EFSI).
Thanks to CCS GF, REinvent Finance will increase its debt financing products to creative companies throughout the Nordic countries, including Denmark, Sweden, Norway, Finland and Iceland. A total guarantee amount of up to €26 million is expected to support 60 transactions in the film and TV series production sector, supporting Nordic creative content to go worldwide. The financing will become available through bridge financing loans, minimum guarantees (gap financing), as well as content development loans through REinvent Finance.
Thierry Breton, European Commissioner for Internal Market: “I welcome this new agreement under the Cultural and Creative Sectors Guarantee Facility, which will enable easier access to financing for Nordic film and TV production companies. The culture and creative sectors are facing unprecedented difficulties as a result of the economic shock brought by the coronavirus pandemic. As such, this support will ensure continuation of their vibrant and unique contribution to Europe's audiovisual landscape.”
Alain Godard, CEO, EIF: “The Nordic countries have a very vibrant cultural and creative scene. This support of the CCS Guarantee Facility enables the European Investment Fund and REinvent to improve access to finance for companies active in these sectors that often face significant difficulty in obtaining loans, and it is very important that we are able to support this important sector in tough times like these.”
Rikke Ennis, CEO, REinvent Finance: “We are immensely proud and glad that the European Investment Fund has granted us the means to help us expand the slate of Nordic content to be presented to the global market. In REinvent we have seen a healthy appetite in the market for quality content from the Nordics and it is a pleasure to be able to enforce the effort to continue to target the international buyers and support producers in their financing of projects.”