AOL Time Warner Opportunity Investment Fund Invests in Urban Entertainment.Business Editors NEW YORK New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of and LOS ANGELES--(BUSINESS WIRE)--Sept. 11, 2001 The AOL (A division of Time Warner, Inc., New York, NY, www.aol.com) The world's largest online information service with access to the Internet, e-mail, chat rooms and a variety of databases and services. Time Warner Opportunity Investment Fund announced today that it has invested in Urban Entertainment, a fast-growing online and offline film production and distribution company focused on African American African American Multiculture A person having origins in any of the black racial groups of Africa. See Race. and urban-themed entertainment content. AOL Time Warner and first-round investor Provender Capital Group committed to provide up to $5.5 million of equity capital, with AOL Time Warner's Opportunity Fund leading this second round of venture capital financing To start an own company or to bring a new product to the market, the venture may need to attract financial funding. There are several categories of financing possibilities. If it is a small venture, then perhaps the venture can rely on family funding, loans from friends for the company. Today's announcement marks the first investment of the AOL Time Warner Opportunity Investment Fund since its inception in July. The Opportunity Investment Fund, a unit of the AOL Time Warner Strategy and Investments group, enhances the growth opportunities of companies through a combination of investment capital and strategic partnerships with AOL Time Warner's businesses. The fund invests in businesses that have significant racial, gender or other diversity in their senior management or that target under-served markets; that have attractive financial return profiles; and whose operations have a strategic fit with AOL Time Warner's businesses. Urban Entertainment is an African American owned and managed business founded in 1999 that partners with top African American content creators See content provider. to produce original online urban-themed content including animated and live action short films that are then migrated to other platforms and offline distribution channels. For example, Urban Entertainment worked with writer John Ridley (Three Kings) to develop an online animated series called 'Undercover Brother,' which has subsequently been made into a full length, live action feature film that is targeted for release in 2002. Urban Entertainment also acquires exclusive television and Internet rights to independently produced black feature and short films, licenses features and shorts to offline mediums and streams short films on its Web site. The companies also announced that Urban Entertainment has entered into first-look agreements with New Line Cinema for feature films and Warner Bros BROS Brothers BROS Benefits and Retirement Operations Section (King County, Washington) BROS Barnes and Richmond Operatic Society (London, UK) . Online for online content. Rachel Lam, managing director of the AOL Time Warner Opportunity Investment Fund said, "We're delighted to announce Urban Entertainment as the Fund's first investment. In addition to meeting the criteria that we established for the fund, Urban Entertainment has a talented management team that has demonstrated early success in executing its sound business model. Urban Entertainment has a strong pipeline of projects and is one of the first companies to develop online content and sell it to offline platforms for meaningful revenues. Through the Opportunity Investment Fund we can offer companies more than financial investment, as highlighted through the combination of our capital investment and first look deals with New Line Cinema and Warner Bros. Online. We hope to both enhance Urban Entertainment's growth prospects and fulfill our mission of strengthening our businesses through investments in diverse and emerging business sectors." Michael Jenkinson, CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of Urban Entertainment said, "We're very pleased that AOL Time Warner has invested in Urban Entertainment. We believe that this capital infusion Capital infusion Often refers to the cross-subsidization of divisions within a firm. When one division is not doing well, it might benefit from an infusion of new funds from the more successful divisions. will take us to cash flow breakeven breakeven 1. The level of output or sales necessary to cover fixed expenses. Companies in industries that have high fixed costs and, consequently, high breakevens, such as automobile and steel manufacturing, are likely to exhibit large fluctuations , and moreover will enable us to continue to build upon the momentum that we've established through our depth of experience, our creative relationships and our adherence to solid business principles." About AOL Time Warner AOL Time Warner (NYSE NYSE See: New York Stock Exchange : AOL) is the world's first Internet-powered media and communications company Communications Company is a communications unit of the United States Marine Corps. They are part of Combat Logistics Regiment 37 , 3rd Marine Logistics Group (3MLG) and III Marine Expeditionary Force (III MEF). The unit is based out of the Marine Corps Base Camp Smedley D. , whose industry-leading businesses include interactive services, cable systems, publishing, music, networks and filmed entertainment. About Urban Entertainment Urban Entertainment is a production company that utilizes the Internet as an incubator for developing urban-themed film and television projects in partnership with top Hollywood talent. Urban Entertainment also acquires exclusive television and Internet rights to independently produced black feature and short films and licenses such films to exhibitors. |
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