Bankrupt Hollywood special-effects company Digital Domain Media Group Inc. said that its lenders have agreed to provide about $11.8 million of debtor-in-possession financing, Reuters reported yesterday. Private equity firm Searchlight Capital, which has agreed to buy most of Digital Domain, reaffirmed its decision, the company said. Searchlight had earlier proposed kicking off the auction with an initial bid of $15 million. "Combined with our cash from ongoing operations, this funding supports Digital Media in paying normal operating expenses, such as employee wages and benefits, payments to vendors and suppliers, and other obligations," said Michael Katzenstein, chief restructuring officer.
