Weinstein Company says in talks to sell movie studio
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New York (AFP) –
The Weinstein Company announced Monday that Colony Capital had agreed to provide the scandal-plagued studio with financing and that the two parties were in talks on a potential sale.
The deal means an "immediate cash infusion" into the Weinstein Company and a "potential sale of all or a significant portion of the Company's assets," it said.
The company fired co-founder Harvey Weinstein earlier this month following numerous accusations of sexual harassment and sexual assault.
"On behalf of the board, we are pleased to announce this agreement and potential strategic partnership with Colony Capital," said Weinstein Company board member Tarak Ben Ammar.
"We believe that Colony's investment and sponsorship will help stabilize the Company's current operations, as well as provide comfort to our critical distribution, production and talent partners around the world."
Colony Capital is led by Thomas Barrack, a longtime friend of US President Donald Trump who informally advises the US president.
"We are pleased to invest in The Weinstein Company and to help it move forward," Barrack said.
"We believe the Company has substantial value and growth potential," he said.
"We will help return the Company to its rightful iconic position in the independent film and television industry."
The Weinstein company has been in free fall following revelations that he assaulted or harassed more than two dozen women in the movie industry, including major stars like Gwyneth Paltrow and Ashley Judd.
On Saturday, the Academy of Motion Picture Arts and Sciences expelled Weinstein. French President Emmanuel Macron has also asked officials to strip Weinstein of the prestigious Legion of Honor award.
© 2017 AFP