Tom Barrack Says Weinstein Co. Deal Decision by Colony Will Happen "Soon"
"Nobody is interested in salvaging a company which would benefit Harvey," the executive added.
Thomas Barrack says he'll know "soon" if his investment firm, Colony Capital, will purchase all or part of The Weinstein Co., which has been in turmoil since allegations surfaced that co-founder Harvey Weinstein has sexually abused women in the TV and movie business over the course of decades.
"If the Weinstein element could be removed, if the toxicity of the liabilities that surround the content of the company could continue on in a normal way, there's some value," Barrack said.
Barrack's comments came Tuesday during a four-minute interview with Bloomberg TV while he was in Riyadh, Saudi Arabia.
Colony Capital is a unit of Colony NorthStar, an investment firm Barrack founded in 1991. In 2010, Colony purchased Miramax, founded by Harvey and Bob Weinstein, and during his Bloomberg TV interview Barrack called that "a great acquisition from Disney."
He called Harvey Weinstein's behavior "reprehensible" and added: "Nobody is interested in salvaging a company which would benefit Harvey."
He is, however, interested in the other 115 employees and the assets at TWC, and he said he has sympathy for Bob Weinstein, though he said "the counterparts are going to want the Weinsteins gone."
Speculation is that Dimension Films, the unit of TWC that is run by Bob Weinstein, could be spun out, and Barrack hinted at that possibility.
"Bob has been very capable at his own business, which is Dimension," he said, adding cryptically that "ring-fencing the Weinsteins in whatever manner needs to be done" is crucial to the process.
Barrack refused to say what the asking price for TWC might be, but the amount of risk involved must be taken into account, which of course includes the current and future liabilities related to Harvey Weinstein's behavior.
"Which of those liabilities are attributable to the company on an ongoing basis and which aren't is a Rubik's Cube," he said.