Barclays Doubles SVOD Fund

Barclays Corporate Banking has increased the size of its SVOD fund for British TV producers to £200 million ($256 million).

In March 2017, the financial institution set up a £100 million ($128 million) fund to assist producers working on SVOD commissions. Projects that have benefited from the funding include Drama Republic’s BBC/Netflix co-production Black Earth Rising and Lime Pictures’ Free Rein for Netflix.

The Barclays SVOD Financing fund allows companies to borrow over a longer period than conventional TV production loans, which are usually repaid as the content is delivered.

“We’re seeing more and more SVOD activity and an increasing need for tailored financing that meets the specific needs of both the production company and the subscription service,” said Lorraine Ruckstuhl, head of media at Barclays Corporate Banking. “With more SVOD platforms on the way and a growing focus on original content, demand is set to increase further and finance providers will have to keep innovating to meet changing funding requirements. We’re demonstrating our commitment to help the U.K.’s production companies make more world-class programming by doubling our SVOD fund and will also develop new financing options for the sector as the industry continues to evolve.”

Denis Wray, the financial controller at Drama Republic, which received £17.5 million in Barclays financing for Black Earth Rising, added, “Barclays understands the financial challenges associated with high-end drama production financed in large part by an SVOD license. For Black Earth Rising, the borrowing profile was steep and the repayment tail was longer than the U.K. industry was used to. As partners, Barclays are supportive of their producers, aware of the risks and challenges that we navigate on a daily basis, knowledgeable, ready to listen and available to help when required.”