×
You will be redirected back to your article in seconds

Weinstein Co. Price Cut Approved, Closing Expected Friday

A bankruptcy judge on Wednesday approved a $21 million reduction in the sale price of the Weinstein Co., paving the way for Lantern Capital to close the deal on Friday.

Judge Christopher Sontchi overruled objections from celebrities including Quentin Tarantino and Bradley Cooper. Their attorneys had argued that the sale provisions put them at risk of not receiving profit participation payments from Weinstein Co. films, including “Django Unchained” and “Silver Linings Playbook.”

Lantern, a Dallas-based private equity firm, has agreed to buy the Weinstein Co. for $289 million. Lantern and the Weinstein Co. estate have fought over the last two months over who will be responsible for paying out participations to a long list of A-list actors and actresses.

That issue will now be deferred until after the closing. Lantern will have four months to determine which contracts it wants to assume, and has agreed to pay at least $8.75 million to assume those contracts. A hearing in Delaware bankruptcy court is set for July 18 on that matter, and another is set for July 30.

Attorneys for Cooper and Tarantino raised the concern that Lantern will be acquiring and profiting from Weinstein Co. titles, without a guarantee that profit participants in those films will be compensated. Sontchi noted that the participants’ rights have been preserved under the sale agreement, originally approved in May. As an aside, he also paid a compliment to Cooper.

“‘Silver Linings Playbook’ is one of the best movies I’ve ever seen,” the judge said. “Mr. Cooper was outstanding.”

Lantern had initially agreed to pay $310 million for the company, but later argued that it has been misled about the unresolved contracts. The conflict between Lantern and the Weinstein Co. nearly torpedoed the deal, until the parties reached an agreement to lower the price to $289 million.

More Biz

  • Andrea Bocelli

    Andrea Bocelli Calls Plácido Domingo Cancellations Due to Sexual Harassment Claims ‘Absurd’

    Italian singer Andrea Bocelli is defending embattled opera star Plácido Domingo, saying it is “absurd” that concerts have been canceled in the wake of multiple sexual-harassment allegations. “I am still appalled at what happened to this incredible artist,” Bocelli said, according to the Associated Press. “I don’t understand this. Tomorrow a lady can just come up [...]

  • Rudy Lopez Negrete Returns to CAA     

    Rudy Lopez Negrete Returns to CAA

    Rudy Lopez Negrete has rejoined CAA as an agent in the Music Touring department, specifically focused on leading brand partnerships for CAA’s Latin music clients. He will be based in the company’s Los Angeles office, where he will work with Latin artists including Enrique Iglesias, Ricky Martin, Jennifer Lopez, Becky G, Isabela Merced, Luis Fonsi, Mon [...]

  • Richard Plepler HBO

    Former HBO Chief Richard Plepler Close to Signing Apple TV Plus Production Pact

    Former HBO chief Richard Plepler is close to signing an exclusive production pact with Apple TV Plus. Apple declined to comment and Plepler could not immediately be reached for comment. It’s understood that Plepler plans to launch a boutique production company designed to focus on a handful of high-profile projects. Among his advisors in pulling [...]

  • Byron AllenVariety Inclusion Summit, Inside, Los

    Byron Allen, Comcast to Square Off in Supreme Court on Racial Discrimination Case

    Byron Allen’s racial discrimination case against Comcast Corp. on Wednesday heads to the Supreme Court, where justices will consider Comcast’s argument that the case should hinge on two words: “but for.” Allen filed a $20 billion lawsuit against Comcast in February 2015, arguing that the nation’s largest cable operator was discriminating against his company, Entertainment [...]

  • Gary Ehrlich Named President, General Manager

    Gary Ehrlich Named President, General Manager of Fox Studio Lot

    Gary Ehrlich was named to oversee operations at the Fox Studio Lot, a position of growing importance to Fox Corporation. Fox said Tuesday that it had named Ehrlich, a former executive vice president at Fox Sports, the new president and general manger of its Fox Studio lot in Century City. Fox retained its ownership to [...]

  • WGA Strike Labor Talks

    How the Streaming Revolution Is Making Guild Negotiations Even More Complicated

    It may not be a perfect storm yet, but ominous clouds are gathering. As the winter holidays approach, there’s growing agita across the industry about the potential for substantial labor strife next year. The WGA, DGA and SAG-AFTRA are gearing up for master film and TV contract negotiations with the major studios at a time [...]

  • Star Wars The Mandalorian

    Why Wall Street Is Feeling Bullish as Disney Plus Blasts Off

    Bob Iger has presided over many launches during his 14 years as Disney CEO: a theme park in Shanghai, state-of-the-art cruise ships, “Star Wars”- and “Avatar”-themed immersive attractions and even a cinematic universe requiring billions of dollars of investment in Marvel movies. But nothing in his tenure has drawn the level of scrutiny that has [...]

More From Our Brands

Access exclusive content