Midway sold for $0.0012 per share

By Patrick Garratt, Monday, 1 December 2008 12:26 GMT

midwaylogo.jpg

According to this Reuters report, quoting the Wall Street Journal, Sumner Redstone has sold his 87 percent share in Midway to investor Mark Thomas for $100,000, or $0.0012 a share.

Thomas will assume $70 million of senior secured and unsecured debt.

The sale amounts to a significant loss on Redstone’s investment but secures a hefty tax benefit as he negotiates other asset sales, the paper said.

Redstone has made the move to ease debt on his firm, National Amusements, which has about $1.6 billion in debt outstanding. Half of that will need to be repaid by year-end.

Blimey. More through the link.

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Buyout

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Sumner Redstone

  • Midway Creditors sue Redstones, Mark Thomas over leaving Midway "insolvent"

    Creditors are suing several parties involved in the recent bankruptcy and original sale of Midway, including Mark Thomas, and Sumner Redstone along with his daughter Shari and his holding company, National Amusements. The lawsuit stems from what the creditors called a “breach of fiduciary duty, corporate waste and unjust enrichment” pertaining to the financial crisis […]

  • Court report shows Midway will be broke by June

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