XML 29 R18.htm IDEA: XBRL DOCUMENT v3.8.0.1
Related Party Transactions
9 Months Ended
Sep. 30, 2017
Related Party Transactions  
Related Party Transactions

Note 12. Related Party Transactions

 

Prior to the Company’s IPO, the Company paid a quarterly management fee of $0.4 million plus travel and miscellaneous expenses, if any, to Avista Capital Partners (“Avista”) and Crestview Advisors, LLC (“Crestview”), majority owners of the Company’s former Parent. In addition, pursuant to a consulting agreement dated as of December 18, 2015 by and among Parent, Avista and Crestview, Crestview is entitled to 50% of any management fee actually received by Avista. Such fee will no longer be paid in future periods. The management fee paid by the Company for the three months ended September 30, 2017 and 2016 amounted to nil and $0.4 million, respectively.  The management fee paid by the Company for the nine months ended September 30, 2017 and 2016 amounted to $1.0 million and $1.3 million, respectively.

 

On December 18, 2015, Crestview and the Company’s former Parent consummated a transaction whereby Crestview became the beneficial owner of approximately 35% of the Company’s former Parent. Under the terms of the agreement, Crestview’s funds purchased units held by Avista and other unit holders, and separately made a $125.0 million primary investment in newly-issued units.

 

On April 29, 2016, funds managed by Avista and Crestview made an additional $40.0 million investment in newly-issued membership units in the Company’s former Parent.

 

As of September 30, 2017, all the proceeds from the funds’ investments of  Avista and Crestview in the amount of $143.3 million, net of transaction costs have been contributed to the Company.

 

During the nine months ended September 30, 2017, the Company’s former Parent bought back vested Class A and Class B units from certain former employees of the Company. The former employees had the option to sell their units at a price set by the Company’s former Parent or decline such offer. The cash proceeds used to repurchase such units have been contributed down to the Company and reflected as such. The Company repurchased 415,494 of Class A units and 243,270 of Class B units for $8.8 million.

 

As a result of the Company’s IPO, the Class A and Class B shares were converted to common shares of the Company.

 

As of September 30, 2017 and December 31, 2016, the receivable balance from the former Parent and Members amounted to nil and $0.3 million, respectively.