Disney sells Miramax to investor for $660 million
LOS ANGELES, CA
The entertainment company signed the agreement late Thursday
with Filmyard Holding, an investor group led by construction
magnate and Hollywood outsider Ronald Tutor. Other investors
include Colony Capital LLC, a real estate investment group, and its
CEO Tom Barrack.
Tutor and his partners put down a nonrefundable deposit of $40
million to Disney on Thursday. Disney said the deal could close as
soon as Sept. 10.
Disney had been looking to sell Miramax amid a studio overhaul
because it no longer resonated with its other family centric studio
units such as Pixar and Marvel.
"Although we are very proud of Miramax's many accomplishments,
our current strategy for Walt Disney Studios is to focus on the
development of great motion pictures under the Disney, Pixar and
Marvel brands," said Disney president and CEO Robert A. Iger said
in a statement. "We are delighted that we have found a home for
the Miramax brand and Miramax's very highly regarded motion picture
library."
Miramax's Oscar-laden film library has more than 700 titles,
including prestigious films such as "My Left Foot" (1989), "Pulp
Fiction" (1994) and "Good Will Hunting" (1997).
The label was founded in 1979 by Harvey and Bob Weinstein, who
named it after their parents, Miriam and Max. It was sold to Disney
for $80 million in 1993, and the brothers stayed on as managers.
The Weinstein's recent bid to buy Miramax with the financial
backing of supermarket magnate Ron Burkle was halted after Burkle
cut the offered price to about $565 million from $625 million.
Disney shares closed Thursday at $33.71.
