Disney’s Miramax Deal Gets Rocky
This story just seems to be dragging on and on and on! After months taking bids, turning down bids, and finally securing a buyer for boutique film studio Miramax, the deal seems to be on thin ice again.
Disney announced on July 30th that a group of investors led by Colony Capital partners, including Ron Tutor, had won the bidding war for Miramax at a price of $660 million. The acquisition was set to close between September 10th and year end, but things aren’t as easy as they’d seemed. Apparently, the sale was announced without financing being finalized.
While the funds were to be pieced together from Colony partners and other high-level investors along with banks Comerica and Union. It has been revealed, however, that James Robinson, founder of Morgan Creek, and philanthropist Jerome Swartz have backed out of the deal. Bank financing has not yet been nailed down.
The studio was created by the Weinstein brothers and named for their parents. If the floor falls out from under the Tutor purchase, it’s unclear whether the Weinstein’s bid of $565 million will be considered viable again.