Relativity Bankruptcy: Ryan Kavanaugh-Led Group to Acquire All Non-TV Assets
"My passion for Relativity is the same today as it was on the day I founded it," Kavanaugh said.
Relativity Media LLC's assets, except for its TV business, are set to be acquired by an investor group led by chairman and CEO Ryan Kavanaugh, the company stated Sunday.
The plan allows Relativity to emerge from bankruptcy with $30 million in debt. Kavanaugh will retain his titles.
"My passion for Relativity is the same today as it was on the day I founded it," Kavanaugh said in a statement. "I want to thank our employees for their continued focus and dedication throughout the Chapter 11 process."
"I look forward to working with my partners and with Relativity’s executive team to build and take the company to the next level, continuing its 360 degree content engine approach at a time when content has never before been more valuable," he continued.
Relativity films such as Masterminds, The Crow, Before I Wake and Kidnap had their release dates postponed amid the bankruptcy proceedings, and the company expects to announce releases for them soon.
The bankruptcy hearing is scheduled for Oct. 5, with the transaction's closing date set for Oct. 20.
Relativity plans to sell its television division for $125 million to a group of financial firms acting as the stalking horse bidder. The TV properties, including MTV's Catfish and CBS' Limitless, are seen as the company's most lucrative assets.