Fortress Seals Deal to Acquire Vice Media Out of Bankruptcy (Report)
thewrap.comThe New York Times reported Thursday, citing three people familiar with the matter.The report said multiple bidders had offered to acquire Vice, but only Fortress was deemed “qualified,” “meaning the others did not meet the bar Vice had set for buyers,” citing one of the sources.
A bankruptcy judge must approve any deal before it goes forward. The Times report said a bankruptcy auction scheduled for Thursday will be canceled in light of the agreement.
Details on the Fortress deal were not revealed, but speculation at the time of the Chapter 11 bakrupticy protection filing on May 15 put the price tag around $225 million.Fortress is a longtime Vice backer, most recently dropping a $30 million infusion in February.
It lent the company $250 million in 2019, along with investors Soros Fund Management, 23 Capital and Monroe Capital. The bankruptcy filing said that Vice Media has estimated liabilities between $500 million and $1 billion, including owing Fortress $475 million.
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