MGM invites bidders to second round

Identities of candidates remain anonymous as studio forges ahead

MGM has invited a half dozen bidders to continue participating in the studio’s process of working out a sale or restructuring.

The studio indicated that it’s nowhere near concluding those efforts, which include allowing qualified bidders the opportunity to go over MGM’s internal financials. A spokeswoman said the second round should take several more weeks for due diligence.

MGM had no comment about the offers or the identity of bidders. People with knowedge of the situation said bidders include Time Warner and Lionsgate, but added that News Corp. is not participating yet in the second round after making a first-round offer involving a restructuring of the Lion’s $3.7 billion debt.

With $5 billion in cash remaining from the sale of its cable systems, Time Warner’s been viewed as a likely bidder since MGM put itself up for sale in November.

MGM received two more months of exemption from debt payments on Jan. 29 as lenders agreed to extend the “forbearance” period on interest payments on its debts until March 31.

The studio released a single film, a remake of “Fame,” in the past year. Its next film, “Hot Tub Time Machine,” opens March 26.

MGM is facing repayment of its $250 million revolving credit line in early April and a $1 billion payment on its $3.7 billion debt in July 2011. Studio was taken private five years ago by a consortium that included Sony, Providence Equity, TPG Capital, Comcast, DLJ Merchant and Quadrangle.

More Film

  • The Indoraptor prepares to strike in

    Box Office: 'Jurassic World: Fallen Kingdom' Stomps to $15.3 Million on Thursday Night

    MGM has invited a half dozen bidders to continue participating in the studio’s process of working out a sale or restructuring. The studio indicated that it’s nowhere near concluding those efforts, which include allowing qualified bidders the opportunity to go over MGM’s internal financials. A spokeswoman said the second round should take several more weeks […]

  • Sinemia Introduces Family Plans, Challenging MoviePass

    Movie Ticketing Service Sinemia Introduces Family Plans

    MGM has invited a half dozen bidders to continue participating in the studio’s process of working out a sale or restructuring. The studio indicated that it’s nowhere near concluding those efforts, which include allowing qualified bidders the opportunity to go over MGM’s internal financials. A spokeswoman said the second round should take several more weeks […]

  • Longtime Disney Executive Mark Endemano Steps

    Longtime Disney Executive Mark Endemano Steps Down

    MGM has invited a half dozen bidders to continue participating in the studio’s process of working out a sale or restructuring. The studio indicated that it’s nowhere near concluding those efforts, which include allowing qualified bidders the opportunity to go over MGM’s internal financials. A spokeswoman said the second round should take several more weeks […]

  • Mariette Rissenbeek and Carlo ChatrianNew Berlinale

    Mariette Rissenbeek, Carlo Chatrian to Become Co-Chiefs of Berlin Film Festival

    MGM has invited a half dozen bidders to continue participating in the studio’s process of working out a sale or restructuring. The studio indicated that it’s nowhere near concluding those efforts, which include allowing qualified bidders the opportunity to go over MGM’s internal financials. A spokeswoman said the second round should take several more weeks […]

  • Benicio Del Toro and Josh Brolin

    'Sicario: Day of the Soldado' to Be First U.S. Indie Title Released in Saudi Arabia

    MGM has invited a half dozen bidders to continue participating in the studio’s process of working out a sale or restructuring. The studio indicated that it’s nowhere near concluding those efforts, which include allowing qualified bidders the opportunity to go over MGM’s internal financials. A spokeswoman said the second round should take several more weeks […]

  • 'Incident in a Ghostland' Review

    Film Review: 'Incident in a Ghostland'

    MGM has invited a half dozen bidders to continue participating in the studio’s process of working out a sale or restructuring. The studio indicated that it’s nowhere near concluding those efforts, which include allowing qualified bidders the opportunity to go over MGM’s internal financials. A spokeswoman said the second round should take several more weeks […]

  • Scoot McNairy'Batman v Superman: Dawn of

    Film News Roundup: Scoot McNairy Joins Quentin Tarantino's 'Once Upon a Time in Hollywood'

    MGM has invited a half dozen bidders to continue participating in the studio’s process of working out a sale or restructuring. The studio indicated that it’s nowhere near concluding those efforts, which include allowing qualified bidders the opportunity to go over MGM’s internal financials. A spokeswoman said the second round should take several more weeks […]

More From Our Brands

Access exclusive content