Singapore – Following its declaration of bankruptcy earlier this year, VICE Media Group is set to be acquired by three investment companies for US$350m. The companies set to acquire the digital media group include Fortress Investment Group, Soros Fund Management and Monroe Capital.
The acquisition has been approved by the U.S. Bankruptcy Court for the Southern District of New York, with the total purchase to be in the form of a credit bid for substantially all of the company’s assets, in addition to the assumption of significant liabilities upon closing. Some of these assets include its main news arm VICE News, entertainment website Refinery29, creative agency VIRTUE, film production house Pulse Films as well as its VICE Studios and VICE Distribution subsidiaries.
Bruce Dixon and Hozefa Lokhandwala, VICE’s Co-Chief Executive Officers, said, “Following a robust court-supervised process, we are pleased to receive Court approval for this transaction, which we believe represents the best path forward for VICE. The relationships we have built with our audience, creators, distribution partners, brand and agency constituents are foundational to VICE, and we look forward to strengthening those relationships as we continue to deliver the award-winning storytelling and journalism that VICE is known for.”
Meanwhile, Brian Stewart, managing director at Fortress Investment Group, commented, “VICE produces incredibly compelling and distinctive content that reaches global audiences every single day. As VICE moves into its next chapter, we look forward to working closely with the Company’s leadership team to execute on its strategy. We have confidence in the management team and believe that the Company is now well-positioned to build on its strong legacy to create significant value for all its stakeholders.”
VICE Media Group applied for Chapter 11 bankruptcy in May this year, causing a wave of global layoffs across its team, which included axing the entire VICE World News‘ APAC newsroom team. It also follows a recent wave of media-related layoffs globally, including from BuzzFeed News, sports news network ESPN, business media company Insider, and mass media group Vox Media.
