Former Obama Admin Official Offers To Buy Weinstein Co. For $275 Million

One former Obama administration official is trying to engineer a feminist takeover of Weinstein Co., the embattled “mini-major” Hollywood studio that has been spiraling toward bankruptcy since one of its founders, Harvey Weinstein, was exposed for a decades long history of sexual harassment and assault.

According to Reuters, Maria Contreras-Sweet, the former head of the Small Business Administration between 2014 and 2017, has offered to acquire Weinstein Co., a spokeswoman for the U.S. film and TV studio said on Sunday.

A consortium of investors assembled by Contreras-Sweet has put together an offer of $275 million to buy the embattled studio, which has seen revenues plunge since the name Weinstein became synonymous with Hollywood’s coercive, predatory culture. Presently, both the LAPD and NYPD have suggested that they’re nearly ready to indict Weinstein for a host of sex crimes, including at least two rapes.

Weinstein Co. has had difficulty securing short-term financing, which is one reason why its owners would probably be amenable to such a generous bid. Talks to secure a $35 million lifeline from Fortress Co. last month fell apart. And though the studio did secure a cash injection from Thomas Barrick Jr.’s Colony Capital, the firm ultimately backed away from a deal to purchase most of Weinstein Co.’s major assets.

Maria Contreras-Sweet

Contreras-Sweet’s bid comes after the movie studio secured a $20 million cash infusion from the sale of the children’s movie “Paddington 2” last week to Warner Brothers Pictures, a unit of Time Warner Inc. The Weinstein Co.’s co-chairman Harvey Weinstein stepped down last month following sexual assault allegations.

So far, at least 84 women have accused Weinstein of harassment, groping and assault, all of which took place over the last three decades. Worse still, a story published earlier in this month by the New Yorker delved into Weinstein’s practice of hiring private security contractors to intimidate his victims into remaining silent.

In a brilliant twist that would help ameliorate much of the stigma surrounding the studio and its legacy, Contreras-Sweet’s plan calls for installing a majority-female board at The Weinstein Co. Her offer includes an approximately $30 million fund for the alleged victims of Harvey Weinstein, the source added. The fund would be set up through a mediation process, according to the source.

The spokeswoman for the Weinstein Co. didn’t comment on the details of the offer it received. A spokesman for Contreras-Sweet declined to comment.

US President Barack Obama in 2014 selected Contreras-Sweet as the head of the SBA, which makes loans to small businesses and helps them get government contracts. She had previously founded ProAmerica Bank, a Latino-owned community bank in Los Angeles, which focuses on lending to small- and medium-sized Latino businesses.  The SBA is now run by Trump appointee Linda McMahon.

Contreras-Sweet’s offer is more than generous, especially considering that Goldman Sachs, which owned a small equity stake in the studio, recently marked its holdings down to zero, reflecting the view that the studio and its assets have become toxic in the wake of the Weinstein scandal.

The proceeds from the “Paddington 2” sale will enable the Weinstein Co to continue to operate until January, the source said. Investment firm Fortress Investment Group LLC was considering lending to the film and TV studio, but those talks ended without a deal earlier this month.

More than 20 other potential bidders are analyzing The Weinstein Co’s financial data, the source said. The studio has $375 million in debt, including a $45 million loan from AI International Holdings Limited, an affiliate of billionaire Len Blavatnik’s industrial group Access Industries, the person said. Much of the debt is backed by the company’s film and TV assets.

Comments

quadraspleen Tue, 11/21/2017 - 04:31 Permalink

perhaps they want to "wipe the slate clean" and lose any and all records pertaining to the years of abuse of power and connections to the deep state mob....think ONI office in the Pentagon

ItsAllBollocks Tue, 11/21/2017 - 04:49 Permalink

So now the truth begins to emerge. Don't you think it rather odd that the Jewish owned and controlled Hollywood would allow the Jewish owned and controlled media to throw one of their own under the bus? Money of cause. Pure greed. Don't you just love it....

gespiri Tue, 11/21/2017 - 05:01 Permalink

Block the sale until after the investigation so that they cannot hide incriminating evidence.......and find out who the real owners will be.

are we there yet Tue, 11/21/2017 - 05:08 Permalink

Transparently trying to rebrand the Weinstein brand as owned by feminists as a front for other purchasers. It's all smoke and mirrors. No group of feminists are eager to prop up the Weinstein sale price to help Harvey get more money.

gmak Tue, 11/21/2017 - 05:29 Permalink

Asthe Roy Moore story shows, this is all a bloodless coup.  Apologies to all those coments before me that may have the same conclusion. I'm in too much of a hurry to read them first.

truthalwayswinsout Tue, 11/21/2017 - 06:42 Permalink

The company will fail even when it is purchased and rebranded.They are all failing and they don't even understand the shithole they created for themselves.We deplorables are not coming back, not ever and we are just getting started. We now know what we have always suspected to be true but chose to ignore that they really hate us and have been screwing us royally for the past 30 years. We have just discovered that we are in a race war and now are starting to fight back.It is your patriotic duty to learn how to use a VPN and disconnect and never pay again.It is your patriotic duty to use Amazon as a sounding board on price and to buy elsewhere. (I just bought a circular saw and shopped for price on Amazon and bought from a third party on Sears.com)It is your patriotic duty that if you use Amazon to use a third party seller and then to make direct contact with them and buy without using Amazon but to make sure you are not buying from a shill who buys shit from China to resell in the US (this is determined usually by delivery time. If the delivery time is 2 weeks or more you can be guaranteed that the product is shipping from China.)It is your patriotic duty to never use Google, Twitter, or Facebook.It is your patriotic duty to stop letting MSM blow smoke up your ass and put two and two together. Example: Amazing how someone who is running for office and has been in public life and held extremely public positions most of his life all of a sudden has many claiming he is a serial pedophile of teenage girls and all of them accusing him are Hillary Supports and there is no proof and no reason why they should not have come forward 30 years ago. Not like the actress whores who kept quiet because they wanted to be stars.These are simple and easy things to do and there is no excuse. 

dlfield Tue, 11/21/2017 - 07:25 Permalink

ONLY $100m short of their debt...how will that work? Chapter 11 first to cram down, then a 2nd quick descent into worthlessness after?

williambanzai7 Tue, 11/21/2017 - 07:39 Permalink

The only intrinsic value in this shrivelled up dick of a business was Weinsteins ability to orchestrate, strong arm and deliver where the meek and demure would surely fail.

They must have some misplaced notion that everything could be achieved without his balcony slapping the Hollywood crowd.