Disney Sells Miramax for $660 Million
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Jul 30 2010, 9:07 AM
Late last night, Walt Disney Co. reached a deal to sell its Miramax Films unit to an investor group for $660 million.
According to the LA Times, Disney has sold Miramax to Filmyard Holding, an investor group led by construction mogul Ron Tutor. The deal, which ends Disney's long and arduous attempt to sell Miramax, is expected to close by December, after Tutor's group has secured its financing.
Disney shut down Miramax's operations earlier this year, ending their 17-year association and laying off 80 employees. Disney chief executive Bob Iger said that the company was moving its focus to films produced under the Disney, Pixar, and Marvel banners.
In May, Miramax founders Bob and Harvey Weinstein were expected to reclaim the company but lost out when they lowered their bid at the last minute. Disney began negotiations with Tutor's group shortly after.
Tutor plans to bring on a veteran film executive to run Miramax and hire a staff of 50 employees. The current plan for the company is to produce a few films each year to gradually bring up the value of Miramax's older movie library, which includes such Oscar winners as GOOD WILL HUNTING and SHAKESPEARE IN LOVE.
Under the terms of the agreement, Disney will manage Miramax's library of 700 films for one year. The deal also provides Tutor's group with the option of renewing the arrangement for another year.
Late last night, Walt Disney Co. reached a deal to sell its Miramax Films unit to an investor group for $660 million.
According to the LA Times, Disney has sold Miramax to Filmyard Holding, an investor group led by construction mogul Ron Tutor. The deal, which ends Disney's long and arduous attempt to sell Miramax, is expected to close by December, after Tutor's group has secured its financing.
Disney shut down Miramax's operations earlier this year, ending their 17-year association and laying off 80 employees. Disney chief executive Bob Iger said that the company was moving its focus to films produced under the Disney, Pixar, and Marvel banners.
In May, Miramax founders Bob and Harvey Weinstein were expected to reclaim the company but lost out when they lowered their bid at the last minute. Disney began negotiations with Tutor's group shortly after.
Tutor plans to bring on a veteran film executive to run Miramax and hire a staff of 50 employees. The current plan for the company is to produce a few films each year to gradually bring up the value of Miramax's older movie library, which includes such Oscar winners as GOOD WILL HUNTING and SHAKESPEARE IN LOVE.
Under the terms of the agreement, Disney will manage Miramax's library of 700 films for one year. The deal also provides Tutor's group with the option of renewing the arrangement for another year.
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