When Jay Cohen sought funding for a new independent film company, Wing and a Prayer Pictures, he had bankers falling over themselves to finance it.
'We had seven banks call and offer us lines of credit', says Cohen, head of film financing and distribution at Gersh Agency in Beverly Hills, California, and an executive producer of the 1994 comedy Swimming With Sharks. 'They had never met anyone involved in the company', he says.
Bloomberg News reports that from big banks like JPMorgan to billionaires like John Paulson, investors are putting their money into movies again after pulling back during the financial crisis, Bloomberg Businessweek reports in its June 23 edition. Filmmakers are able to borrow at the lowest rates since 2008, bankers say.
'There is a lot more activity than I have seen in a long time', says David Shaheen, head of JPMorgan’s entertainment industries group in Los Angeles. 'There is increased comfort in the future of the business relative to a few years ago'.
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