Register  |   Log In  |  
Sign up to our weekly newsletter    
Search   
Empire Magazine and iPad
Follow Me on Pinterest YouTube Tumblr
Empire
Trending On Empire
The Future Of Film
The 100 Greatest Video Games
Robin Williams: The Big Interview
Kevin Feige:
My Movie Life

The Marvel supremo's pick of the flicks
Subscribe: Get 6 Issues For £15
Get Empire magazine today and save money!
Movie News

LATEST HEADLINES
YESTERDAY
Tom Hiddleston's Off To Skull Island
Jordan Vogt-Roberts to direct the King Kong origin tale
Chris Hemsworth Says I'll Never Get Out Of This World Alive
Producing and starring in a film about Hank Williams' doctor
Jack Huston Is The New Ben-Hur
He'll join Morgan Freeman in the latest version of the epic
James D'Arcy Recruited for Agent Carter
He'll be Edwin Jarvis, Howard Stark's butler
Into The Woods Poster Stalks Online
Be careful what you wish for
Ben Kingsley Joins Brooklyn Bridge
Brie Larson is also on for new Daniel Radcliffe drama
Ciaran Hinds Will Bleed For This
He's joining Miles Teller in a boxing biopic
Margaret Qualley Finds The Nice Guys
Leftovers actress joins Ryan Gosling and Russell Crowe
Cara Delevingne Moves To Paper Towns
She'll star opposite Nat Wolff in the latest John Green adaptation
Gillian Jacobs Is Set For TV Show Love
Judd Apatow and Lesley Arfin create a Netflix comedy
Empire's Epic Interstellar Subscribers' Cover
The countdown begins to Christopher Nolan's sci-fi spectacular
Lee Child Talks The Next Reacher Movie
Exclusive - And he reveals the title of Reacher 20!
See The World Exclusive New Interstellar Poster
We unveil the US one-sheet for Christopher Nolan's latest
Matt Damon And Paul Greengrass Reportedly Back For More Bourne
Call it The Bourne Reunion, perhaps.
More Movie News

RELATED NEWS
31 March 2014
David Silverman Directing New Pink Panther Movie
The actual panther this time, not Inspector Clouseau
More Movie News

RELATED REVIEWS
The Hobbit: An Unexpected Journey (2012)
Empire Star Rating
The Pink Panther (1963)
Empire Star Rating
More new cinemas releases
DVD & Blu-ray releases

Time Warner Pulls Out Of MGM Deal
Way now clear for Sony to snap up ailing giant

14 September 2004  |  Written by   

submit to reddit

After months of negotiations both intense and quite frankly far too boring to discuss here previously, the future of MGM – one of the greatest studios in Hollywood history – looks to have been decided today, after Time Warner pulled out of the bidding, leaving the way clear for Sony to snap up the home of the world-famous lion logo.

Sony has now agreed a deal, in principle, to buy Metro-Goldwyn-Mayer for $2.94 billion in cash and $1.95 billion in assumed debt – a price that forced Warners to drop their bid, describing the final price as less than ‘prudent’.

Richard Parsons, Time Warner Chairman and Chief Executive Officer, said: "Although MGM is a valuable asset, we have decided to withdraw our bid. As we pledged to our shareholders, we approach every potential acquisition with strict financial discipline.”

But wait, there’s more. “Unfortunately, Time Warner could not reach agreement with MGM at a price that would have represented a prudent use of our growing financial capacity,” he continued. “We are confident that there are other capital allocation choices that will enable us to continue to build shareholder value."

Despite its reduced output of latter years, MGM is still a hot property due to the number of lucrative franchises in its stable (James Bond, The Pink Panther series, including the forthcoming remake and, erm, Legally Blonde) and its highly valuable DVD back catalogue, including the Rocky series. It also holds the rights to blockbuster-in-waiting The Hobbit, although that movie’s future is uncertain, particularly where Peter Jackson is concerned.

Sony’s offer amounts to $12 a share. Time Warner’s was a clean, all-cash $11 per share. The deal has still to be fully ratified, although Sony have already paid MGM a non-refundable deposit of $150 million, so it’s pretty certain that the I’s will be dotted and the T’s will be crossed. If the deal goes through, it’ll mark the third time that MGM’s billionaire owner, Kirk Kerkorian, has bought or sold the studio. Don’t be surprised if he tries to buy it back on eBay, then.

Have Your Say
To comment on this, and all articles, register for free or login now.

World Exclusive: The New Wall-E Trailer
This kicks shiny metal butt!
Heathers Director And Star Reunite
Ryder and Lehmann go again

SPECIAL FEATURE
The 301 Greatest Movies Of All Time EMPIRE READERS' POLL: THE 301 GREATEST MOVIES OF ALL TIME
You turned out in your hundreds and thousands, and here are the results... Browse the full list


CURRENT HIGHLIGHTS
The Future Of Film: There Will Be Another Indie Golden Age
Independent producers are growing from micro-budgets to something a lot bigger

Empire's Epic Interstellar Subscribers' Cover
The countdown begins to Christopher Nolan's sci-fi masterpiece

The Future Of Film: Your Favourite Movie WIll Be Crowdfunded
Click here to donate

The Empire Podcast #128: Interviews With Sir Roger Moore And George MacKay
Plus we say goodbye to Richard Kiel and the British Expendables are assembled...

Shut Up, World! Gary Busey Is Talking!
Strap yourselves in and meet a true Hollywood original.

Classic Feature: Gods Among Us - Paul Newman
A cat so cool he makes Steve McQueen look geeky.

The Boxtrolls Interviews: The Cast And Crew On Laika's Latest
Sir Ben Kingsley, Isaac Hempstead Wright, Elle Fanning and more talk stop-motion

Subscribe to Empire magazine
Get 6 Issues Of Empire For Only £15!

Get exclusive subscriber-only covers each month!

Subscribe today

Subscribe to Empire iPad edition
Get The Empire iPad Edition Today

Subscribe and save maney on annual digital subscription

Subscribe today
Buy single issues

Get 6 issues of Empire for just £15!
Get the world's greatest movie magazine delivered straight to your door! Subscribe today!
Empire's Film Studies 101 Series
Everything you ever wanted to know about filmmaking but were afraid to ask...
The Empire iPad Edition
With exclusive extras, interactive features, trailers and much more! Download now
Home  |  News  |  Blogs  |  Reviews  |  Future Films  |  Features  |  Interviews  |  Images  |  Competitions  |  Forum  |  iPad  |  Podcast  |  Magazine Contact Us  |  Empire FAQ  |  Subscribe To Empire  |  Register
© Bauer Consumer Media Ltd  |  Legal Info  |  Editorial Complaints  |  Privacy Policy  |  Bauer Entertainment Network
Bauer Consumer Media Ltd (company number 01176085 and registered address 1 Lincoln Court, Lincoln Road, Peterborough, England PE1 2RF)