AfterDawn: Tech news

Investor group led by Sony to buy MGM

Written by James Delahunty @ 26 Sep 2004 8:16

Investor group led by Sony to buy MGM A group of investors including Sony Corp have agreed on a deal to buy Metro-Goldwyn-Mayer Inc for US$12 a share (about US$2.9 billion). The deal would give the investors control of one of the world's largest film libraries. US$1.6 billion in equity financing was committed by the group to buy the Los Angeles based company and will assume about US$2 billion in debt. Providence Equity Partners invested US$525 million, Texas Pacific Group contributed US$350 million, Sony and Comcast each invested US$300 million, while Credit Suisse Group's DLJ Merchant Banking put in US$125 million.
Sony bought Columbia TriStar Motion Pictures about 15 years ago and this deal to buy MGM would expand their film library to 8,000 titles. Sony is currently seeking to capture more home based video business. "With all these parties involved, I don't see how Sony could not turn this into a profitable project," said John Yang, an equity analyst at Standard and Poor's. The purchase will not be complete until the middle of 2005. MGM will continue to operate under the same name but as a Los Angeles based private company.



Sources:
Xinhuanet
eTaiwan News
MENAFN
Lakeland Ledger

Previous Next  
Comments have been disabled for this article.

Latest news

Roomba Combo j7+ review - Clever trick allows robot vacuum finally to tackle home with rugs and carpets Roomba Combo j7+ review - Clever trick allows robot vacuum finally to tackle home with rugs and carpets (06 Jun 2023 9:19)
Roomba Combo j7+ is the very first Roomba model to combine robot vacuum with mopping features. And Roomba Combo j7+ does all that with a very clever trick, which tackles the problem with mopping and carpets. But is it any good? We found out.
Neato, the robot vacuum company, ends its operations Neato, the robot vacuum company, ends its operations (02 May 2023 3:38)
Neato Robotics has ceased its operations. American robot vacuum pioneer founded in 2005 has finally called it quits and company will cease its operations and sales. Only a skeleton crew will remain who will keep the servers running until 2028.
5 user comments
How to Send Messages to Yourself on WhatsApp How to Send Messages to Yourself on WhatsApp (20 Mar 2023 1:25)
The world's most popular messaging platform, Meta-owned WhatsApp has enabled sending messages to yourself. While at first, this might seem like an odd feature, it can be very useful in a lot of situations. ....
18 user comments
How to Enable Bluetooth on Stadia Controller How to Enable Bluetooth on Stadia Controller (11 Feb 2023 1:04)
Google shut down its streaming game service Stadia late last month and this means that some people have Stadia controllers lying around that seem to be of no use. That is fortunately not the ....
2 user comments
Guide: How to Kick Unwanted Guests from Your Netflix Account Guide: How to Kick Unwanted Guests from Your Netflix Account (26 Jan 2023 2:14)
Sharing a Netflix account with a person in a different location is possible and indeed very common, although the company doesn't necessarily enjoy this behavior from their customers. However, ....

News archive