Midway sold for pennies on the dollar
Another game developer/publisher hit the deck today as Reuters reported that Sumner Redstone sold his controlling share of the company for $100,000 to an investor named Mark Thomas.
The price nets Redstone $0.0012 per share, while Thomas will assume $70 million in debt. Why anyone would pay $100,000 for dubious assets and $70 million in debt is beyond me, but that’s why I’m writing about it while ballers like Redstone sleep on a pillow of money.
As for Redstone’s angle, it seems his company, National Amusements, shed Midway for tax and debt purposes.
In any event, I’m hoping this will put a stop to the endless string of bad Mortal Kombat sequels for the time being, and give the Midway team time to reflect on their past sins. Technicolor ninjas, indeed.
Read: Redstone sells Midway Games to ease debt: report
5. December 2008 at 4:21 pm :
[...] Sumner Redstone sold his 87% controlling stake in Chicago developer/publisher Midway for $100,000, things haven’t looked so good for the company that brought us Mortal Kombat. In fact, you [...]
16. January 2009 at 2:52 pm :
[...] The crisis occurred when Sumner Redstone sold his 87% controlling stake in the company for $100,000 to Mark Thomas. This triggered a provision allowing bondholders to request payment of all debts within 50 days. [...]
12. February 2009 at 2:15 pm :
[...] you recall, the bankruptcy countdown began when Sumner Redstone sold his controlling stake in the publisher for $100,000. That created a situation whereby bondholders could request repayment [...]