Report: Weinstein Co. could sell for less than $500 million
The Weinstein Co. film studio, founded by disgraced Hollywood producer Harvey Weinstein, is close to a sale for less than $500 million, The Wall Street Journal reports. Shareholders may lose all of their equity, sources tell The Journal. Roughly half of the acquisition would be debt. Operating expenses and legal bills would likely strip the current owners from receiving any cash from a sale at that price, sources added.
Why it matters: Movie releases and corporate logistics have been in limbo since Weinstein was ousted from the company after dozens of high-profile accusations of sexual assault. A sale would be a refresh for the company, its investors (WPP Group, Goldman Sachs, Softbank) and its Hollywood contractors.