TWC declares Lantern Capital as winner of its bankruptcy sale

Los Angeles, May 2 (PTI) Embattled production house The Weinstein Company has announced that private equity firm Lantern Capital has won the TWC bankruptcy sale.The studio, which suffered massive loss

Los Angeles, May 2 (PTI) Embattled production house The Weinstein Company has announced that private equity firm Lantern Capital has won the TWC bankruptcy sale.

The studio, which suffered massive losses ever since a sexual harassment scandal exposed its co-founder Harvey Weinstein, had earlier claimed a number of bidders were interested in the sale.

The company had filed for bankruptcy in March.

However, in the end, only three parties contended, which included Broadway producer Howard Kagan, Lantern Capital, and Sonar Entertainment.

“Lantern’s bid clearly achieves the highest and best value for the estate and its creditors. We look forward to working with Lantern to close the transaction and consummate the going concern sale,” Ivona Smith, an independent member of the Weinstein board said in a statement, obtained by Variety.

Kagan had offered a proposal of USD 315 million, which would have also included at least USD 25 million for Weinstein’s alleged victims. However, TWC claimed the bid came after the deadline lapsed.

The bankruptcy sale still needs an approval from by Mary Walrath, a Delaware bankruptcy judge.

The Lantern Capital offered USD 310 million to take over the movie studio, as well as the assumption of about USD 115 million in debt.

The company has no prior experience in the movie-making business and its portfolio boasts a zinc-recycling company and under-performing car dealerships, among other things.

This is published unedited from the PTI feed.