Relativity drama picks up steam as Ryan Kavanaugh makes bid for his bankrupt company TheWrap

0

Relativity Media CEO and Chairman Ryan Kavanaugh is back in the race for his bankrupt studio, a person with knowledge of the procedure told TheWrap.

Kavanaugh has made a bid for all of the assets in the company’s Chapter 11 filing – minus Relativity TV, a strong division of the company led by Thomas Forman – which are auctioned Thursday in New York.

The amount of the bid and the potential financiers supporting it are currently unknown.

Relativity Media declined to comment on the matter.

The plot of assets Kavanuagh is looking for includes Relativity Studios, which has films like Nicholas Hoult’s “Collide” as hostages in the bankruptcy process as well as development projects like the reboot of “The Crow.” It would also include the company’s minority stakes in a sports management group, the for-profit association Relativity Education and a joint film marketing and distribution entity with EuropaCorp.

While several other offers have reportedly been received to buy Relativity TV exclusively, it is not clear whether any of them combined with Kavanaugh’s offer would exceed a group of horses’ $ 250 million offer. hunting led by major lenders Anchorage Capital, Falcon Investments and Luxor Capital.

Kavanaugh, the face of Relativity since its inception 11 years ago, has long struggled with the company’s debt structure. Efforts in late May to refinance the mini-major’s debt and inject liquidity into it failed, resulting in the filing of Chapter 11 on July 30.

As TheWrap reported on Thursday, the stalking group – is confident it will prevail in the auction process and find favor at a sale hearing on Monday, where U.S. judge Michael Wiles is expected to approve a winner .

“They are optimistic,” someone close to the group told TheWrap. “Confidence in this offer is obvious, it remained throughout the process. “


Source link

Share.

Leave A Reply