Register, or Login to view the article
September 6, 2018 – Open Road Films, LLC (f/k/a REGAMC Releasing, LLC) and five affiliated Debtors filed for Chapter 11 protection with the U.S. Bankruptcy Court in the District of Delaware, lead case number 18-12012. The Company, an independent distributor of motion pictures in the United States, is represented by Michael R. Nestor of Young Conaway Stargatt & Taylor. Further board-authorized engagements include Klee, Tuchin, Bogdanoff & Stem LLP, as counsel, and FTI Consulting’s Amir Agam as Chief Restructuring Officer. The Company, launched in October 2017, is partly owned by former Bear Stearns banker Donald Tang through his Tang Media Partners. The Company has struggled both at the box office, releasing several underperforming films (including “Hotel Artemis,” which only brought in $6.7 million in the U.S., and Reese Witherspoon’s “Home Again,” which disappointed with $27 million), and in its capital raising efforts, Court documents noting that it had recently failed to complete its “Round D Financing and the Global Road Restructure.” In a list of its 40 largest unsecured creditors, the Company lists Israel’s Bank Leumi as its largest creditor with a disputed claim of $10.8 million; followed by undisputed claims of trade creditors Viacom ($7.1 million), Disney ($5.1 million) NBCUniversal ($4.4 million) and Turner Broadcasting System ($3.5 million). The Company’s petition notes between 1,000 and 5,000 creditors; estimated assets between $100 million and $500 million; and estimated liabilities between $100 million and $500 million.</div>
Read more bankruptcy news.