Hollywood, CA — Picture Head Holdings LLC ("Picture Head" or the "Company") has been recapitalized by Trive Capital ("Trive") and Five Crowns Capital ("Five Crowns"). Picture Head is a facility-based, tech-enabled business services company that provides critical post-production content editing, finishing, and storage services for leading feature film, episodic TV, and other media studios. The platform operates through three divisions: Picture Head, Picture Shop, and Formosa Group. Legacy FocalPoint Securities, LLC, now B. Riley Securities ("B. Riley"), served as the exclusive financial advisor to the Company. Financial terms of the transaction were not disclosed.
Picture Head Partner, Michael Greenfeld, stated, "Picture Head's unique strategy and value proposition has yielded strong growth in recent years and we look forward to continuing this momentum with partners who can provide additional capital and resources. The Company's mission is to deliver superior services to our customers via best-in-class people and facilities, which we believe the partnership with Trive and Five Crowns will help augment. We chose both groups based on their collaborative approach, experience in the sector, and ability to support continued initiatives."
Bill Romeo, Partner and Head of the Picture Shop division, added, "My partners and I are thrilled with the results of this process. Our objective was to identify a capital partner that truly understood all three companies' growth strategies and could take us to the next level. Equally important was our desire for a result that was thoughtful about the needs of our customers and employees. [B. was vital in helping us realize these objectives while achieving a successful outcome for all parties involved."
"We are excited to partner with the Picture Head management team in supporting the next phase of the Company's innovation and expansion," commented David Stinnett, Partner at Trive Capital. "Picture Head has built a leading reputation and leading brands, and most importantly has assembled a talented team and culture capable of scaling to meet its customers' growing requirements. We believe the Company is well positioned within the broader media and entertainment industry to capitalize on the rapid increase in content creation from both traditional and streaming studio customers, coupled with limited supply and increased barriers within the post-production services niche."
Muizz Kheraj, Managing Director with B. Riley's Technology, Media and Entertainment practice, said, "We are pleased to announce this closing as it represents another successful transaction in our Tech-Enabled Business Services and Media verticals. Trive and Five Crowns distinguished themselves as the partners with the greatest understanding of Picture Head's potential and presented the best opportunity for the Company to generate future value. The Picture Head team has built an excellent business with a portfolio of industry-leading brands and tremendous opportunities for sustained growth."
Nishen Radia, Co-Head of M&A with B. Riley, said, "We are excited to have worked on the successful recapitalization of Picture Head. This deal represents another example of our ability to underwrite transactions in fast-evolving areas of the media and entertainment space. The demand for content continues to grow and there is an increased demand for the service and technology companies supporting this growth. Our dedicated Tech & Media team has established a leadership position in the space and we look forward to many future successful transactions."
About Picture Head Holdings
Headquartered in Los Angeles, Picture Head is a facility-based, tech-enabled business services firm that provides critical post-production services for leading feature film, episodic TV, and other media studios. The platform operates across three divisions with multiple locations in the Los Angeles area focused on complementary areas of the post-production services supply chain. The Company services a diverse set of studio relationships and related content by leveraging the unique capabilities of each division including finishing, sound design and editing, color editing, dailies, and visual effect services. To learn more, please visit: www.picturehead.com, www.formosagroup.com, or www.pictureshop.com.
About Trive Capital
Trive is a Texas-based private equity firm that manages over $2 billion in capital and focuses on providing equity and debt capital to strategically viable middle-market companies that exhibit transformational upside potential. The firm forms collaborative, long-term partnerships with exceptional management teams to identify and implement strategic initiatives that ultimately will lead to operational improvements and value creation. To learn more, please visit: www.trivecapital.com.
About Five Crowns Capital
Five Crowns Capital, LLC is a private investment firm that sponsors investments in small and middle-market companies. Based in Newport Beach, California, the firm looks to partner with management teams and owners in order to create catalysts for unlocking value. Our investments take the form of recapitalizations of private companies, corporate divestitures, structured bridge loans, and special situations. To learn more, please visit: www.fivecrownscapital.com.
B. Riley Securities is a leading investment bank that provides a full suite of investment banking, corporate finance, advisory, research, and sales and trading services. Investment banking services include initial, secondary, and follow-on offerings, institutional private placements, merger and acquisition (M&A) advisory, SPACs, corporate restructuring, and recapitalization. The firm is nationally recognized and highly ranked for its proprietary small-cap equity research. B. Riley Securities is a wholly owned subsidiary of B. Riley Financial. For more information, visit brileysecurities.com.
For more information about this transaction, please contact Nishen Radia, Co-Head of M&A, at (310) 405-7040, or Muizz Kheraj, Managing Director, at 310-405-7019, or Bryant Yu, Senior Vice President, at 310-405-7027.