Vice Media Group reportedly filed for bankruptcy on Monday after years of monetary difficulties and hopes to sell off its assets to Soros Fund Management as well as other organizations.
Once estimated to be worth around $5.7 billion, Vice has been slashing jobs all over its global news business in recent months, according to CNBC. A $225 million credit bid for Vice Media’s assets has already been set, per a company announcement on Monday.
Earlier this month, The Guardian reported that the company’s debt holder, Fortress Investment Group stretched out a $30m funding line in February to help Vice cancel out bills it owed to numerous vendors.
“Vice Media Group has been engaged in a comprehensive evaluation of strategic alternatives and planning,” the company previously said in a statement. “The company, its board and stakeholders continue to be focused on finding the best pathway for the company.”
Breitbart News reported that the process will probably last around two to three months, with a promise of $20 million in cash to fund company functions during the sale.
American journalist Tim Pool, who formerly worked with Vice Media, claimed on a Monday broadcast of his show, “Timcast” that the Soros group that will likely acquire the media company is paying precisely nothing for the purchase, as Vice Media Group is overdue on loans it received from the organization several years prior.
.@timcast and crew discuss Vice Media filing for bankruptcy: "It's a garbage property now." pic.twitter.com/QYIj2jNN2g
— The Post Millennial (@TPostMillennial) May 16, 2023
Vice Co-CEOs Bruce Dixon and Hozefa Lokhandwala reportedly stated that the acquisition process will “strengthen the Company and position VICE for long-term growth.”
Dixon and Lokhandwala added, “We will have new ownership, a simplified capital structure, and the ability to operate without the legacy liabilities that have been burdening our business.”
All of the company’s brands, including Vice, Vice News, Vice TV, Vice Studios, Pulse Films, Virtue, Refinery29, and i-D are set to continue functioning as normal, according to Fox News.
Other reported recent media shakeups in recent times include MTV News shutting down on Wednesday following 36 years of operation and a recorded net loss of $1.1 billion in the first 2.5 months of 2023. Buzzfeed also revealed massive cuts to its news section last month, nixing approximately 15% of its roles.