Bright Mountain Media, Inc. Amends Credit Agreement with Centre Lane Partners Resulting in Deferral of Certain 2024 Payments.

Rhea-AI Summary

Bright Mountain Media, Inc. (OTCQB: BMTM) has amended its credit agreement with Centre Lane Partners, resulting in the deferral of certain 2024 payments. Key changes include: extending the Nineteenth Amendment Term Loan maturity to December 31, 2024; adjusting repayment terms; and modifying Last Out Loans amortization. The amendment provides additional financial flexibility for the company's growth plans.

Additionally, Bright Mountain announced the retirement of W. Kip Speyer as Chairman of the Board and the resignation of director Harry Schulman. CEO Matt Drinkwater expressed gratitude for their contributions and optimism about the company's continued partnership with Centre Lane Partners.

Positive

• Extension of Nineteenth Amendment Term Loan maturity from June 30, 2024, to December 31, 2024
• Deferral of certain interest and amortization payments for fiscal year 2024
• Adjustment of Last Out Loans amortization, with increased payments starting March 31, 2025 instead of March 31, 2024
• Additional financial flexibility to execute growth plans

Negative

• Need for credit agreement amendment suggests potential financial challenges
• Retirement of Chairman and resignation of a director may indicate organizational instability

Boca Raton, FL, Aug. 08, 2024 (GLOBE NEWSWIRE) -- Bright Mountain Media, Inc. (OTCQB: BMTM) ("Bright Mountain" or the "Company"), a global marketing services platform with current investments in digital publishing, advertising technology, consumer insights, and creative and media services, announced via an 8-K¹ on July 5th, 2024 that they have amended their existing credit agreement with Centre Lane Partners, deferring certain interest and amortization payments for fiscal year 2024.

Bright Mountain and its subsidiaries are parties to an Amended and Restated Senior Secured Credit Agreement between themselves, the lenders party thereto, and Centre Lane Partners Master Credit Fund II, L.P. as administrative agent and collateral agent, dated June 5, 2020 (the "Credit Agreement"). Effective June 30th, 2024, the Credit Agreement was amended for a twentieth time. The principal changes to the Credit Agreement made in this amendment include: (i) Extending the maturity date of the Nineteenth Amendment Term Loan from June 30, 2024, to December 31, 2024; (ii) Changing the repayment of the Nineteenth Amendment Term Loan so that commencing September 30, 2024, the Company commences repayment by making four monthly payments of principal and interest with the balance payable on December 31, 2024; (iii) Adjusting the amortization of the Last Out Loans so that quarterly installments of $100,000 commence on September 30, 2024, with such quarterly payments increasing to 2.5% of the amount outstanding under such loans (including capitalized PIK Interest) commencing on March 31, 2025 (previously such increased payments started on March 31, 2024); and (iv) Making other fee and interest rate changes.

Additionally, Bright Mountain announced via an 8-K² on June 27th, 2024, the retirement of W. Kip Speyer from his position as Chairman of the Board of Directors and the resignation of Harry Schulman, a director of the Company.

Matt Drinkwater, CEO of Bright Mountain, said, "We are pleased to announce this amendment and proud of our continued partnership with Centre Lane Partners. This amendment provides the Company with additional flexibility to continue executing on our growth plans. We also want to thank Kip and Harry for their dedication, time, effort and generosity to Bright Mountain and wish them well in their future endeavors.”

About Bright Mountain Media, Inc.

Bright Mountain unites a diverse portfolio of companies to deliver a full spectrum of advertising, marketing, technology, and media services under one roof—fused together by data-driven insights. Bright Mountain's brands include Big Village, Deep Focus, Wild Sky Media, and BrightStream. For more information, please visit www.brightmountainmedia.com.

Forward-Looking Statements for Bright Mountain Media, Inc.

This press release contains certain forward-looking statements that are based on current expectations and involve certain risks and uncertainties. Such forward-looking statements can be identified by the use of words such as "should," "may," "intends," "anticipates," "believes," "estimates," "projects," "forecasts," "expects," "plans," and "proposes," and similar words. These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties, and other factors, some of which are beyond our control and difficult to predict and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements, including, without limitation, statements made with respect to expectations of our ability to successfully integrate acquisitions, and the realization of any expected benefits from such acquisitions. You are urged to carefully review and consider any cautionary statements and other disclosures, including the statements made under the heading "Risk Factors" in Bright Mountain’s Annual Report on Form 10-K for the year ended December 31, 2023 and our other filings with the SEC. Bright Mountain does not undertake any duty to update any forward-looking statements except as may be required by law.

Contact / Investor Relations:
Douglas Baker at corp@otcprgroup.com
561-807-6350
https://otcprgroup.com

¹ https://www.otcmarkets.com/filing/html?id=17668699&guid=UAO-kaYBuowfJth
² https://www.otcmarkets.com/filing/html?id=17649400&guid=UAO-kaYBuowfJth

FAQ

What changes were made to Bright Mountain Media's (BMTM) credit agreement with Centre Lane Partners?

The key changes include extending the Nineteenth Amendment Term Loan maturity to December 31, 2024, adjusting repayment terms, and modifying Last Out Loans amortization, with increased payments starting March 31, 2025 instead of March 31, 2024.

How does the credit agreement amendment affect Bright Mountain Media's (BMTM) 2024 payments?

The amendment defers certain interest and amortization payments for fiscal year 2024, providing Bright Mountain Media with additional financial flexibility to execute its growth plans.

What recent changes occurred in Bright Mountain Media's (BMTM) Board of Directors?

W. Kip Speyer retired from his position as Chairman of the Board of Directors, and Harry Schulman resigned as a director of the company.

When will Bright Mountain Media (BMTM) start repaying the Nineteenth Amendment Term Loan?

Bright Mountain Media will commence repayment of the Nineteenth Amendment Term Loan on September 30, 2024, making four monthly payments of principal and interest, with the balance payable on December 31, 2024.