MGM offered lifeline?
Just yesterday I was writing about MGM and this being the last month of freedom they have on their sixth extension on the debt forbearance agreement it has with its lenders, and with no Bond, no Hobbit, no RoboCop, there's not a saviour in sight.
Well perhaps there is as it emerges today that Spyglass Entertainment are in talks with MGM to try and save them.
I suspect that should be reworded, really they aren't trying to save them but get a piece of that back catalogue, the business and of course Bond and Hobbit. Still, if it means that we get to see these films made and that people don't lose their jobs, it doesn't matter the motivation does it?
The news comes from Variety this morning that Spyglass Entertainment's Gary Barber and Roger Birnbaum are in advanced talks to run MGM. This would take away the massive US $4 billion debt and give creditors a majority stake in the restructured company and Spyglass a four percent stake.
Spyglass Entertainment is a well established Hollywood production company that could work well with MGM, giving them a distribution division as well as giving them access to the Bond and Hobbit titles, and putting them in an excellent place to get them made.
This sounds like a good deal for MGM, the question will be if someone will pay over $1 billion for a $4 billion debt straight off, and of course the big name back catalogue and future titles.
What does that mean for us? Well it's a lifeline to see the Bond franchise continue and the Hobbit films made, although I think we'd see them eventually without this, perhaps Spyglass will see the quicker way to achieve box office returns is with a Bond film than two Hobbit films.