Post: #51

Post: #52

(06-11-2016 05:57 PM)Andreas Wrote:  I hope this encourages more people to successful sue big corrupted media like Gawker.

Well, it depends.
If you can count on some vengeful, filthy rich billionaire to have your back when it comes to paying the astronomically high legal and process costs, sure, why not.

Post: #53

(06-11-2016 01:47 PM)General Stalin Wrote:  

(06-11-2016 12:53 PM)EvanWilson Wrote:  snip

If all these terms are accurate, I don't see who in their right mind would even want to consider buying a company with such a debt load. The new would-be owner of GMG would have to cough up an extra $73mio (plus interest) to clear the company out of debt, and it would take years and years to make that money back. That is assuming the business is even profitable after the acquisition and continues to be profitable enough to turn an ROI.

The one thing I left out, and forgot to make clear; once the assets are used to pay off the liabilities in order of the priority, the old liabilities no longer exist, having been exchanged for their share of the assets.

In the example scenario presented, the $22 million DIP gets paid off, and then everyone else gets 48% on the dollar. The new owner now owns Gawker with no liabilities.

If you were to prepare a balance sheet for the new entity after the reorg was completed, it would have assets of $90 million that was the web site, and equity of $90 million which was the purchase price, with zero liabilities.

Post: #54

that is true, gawker will survive. but the new company who 'saves' them will lay off many of their workers anyways and install their own management. At least a good chunk of gawker employees will get fucked.

Post: #55

(06-12-2016 02:03 PM)Disco_Volante Wrote:  that is true, gawker will survive. but the new company who 'saves' them will lay off many of their workers anyways and install their own management. At least a good chunk of gawker employees will get fucked.

Exactly. It will be streamlined and stripped down as much as possible so the new owners get a better ROI. Replace management, get rid of expensive office leases, I would even bet there is a high likelihood that there will be salary reductions as well.

Post: #56

Cerberus Business Finance lending Gawker $22mio to keep them afloat pending auction.

http://www.wsj.com/articles/cerberus-to-...1465852104

Quote:Gawker, which filed for bankruptcy protection Friday, said Cerberus Business Finance, the private-equity firm’s lending arm, has agreed to provide it with $14 million on an interim basis plus another $8 million following final bankruptcy court approval.

Absent the cash, Gawker restructuring chief William Holden said Monday, the company would be unable to pay its employees or vendors and be forced to liquidate.

The bulk of the Cerberus loan, $12.3 million, will pay off Gawker’s lender Silicon Valley Bank, according to the filing in U.S. Bankruptcy Court in New York.

Assuming SVB is whop they owe that DIP liability to?

Also looks like they are running for the hills trying to protect the personal assets of their executive staff.

Quote:The company plans to sell its assets in bankruptcy court and has received an opening bid of $90 million from the digital-media company and magazine publisher Ziff Davis LLC. That offer is subject to higher bids at a bankruptcy auction.

Ziff Davis, Gawker’s so-called stalking horse bidder, will receive a $2.475 million breakup fee if bested at auction. Bankruptcy courts routinely approve such fees to encourage potential buyers to come forward and set a floor price for a bankrupt company’s assets.

Gawker on Monday also laid out a proposed timeline for the sale of its business. Bids are due July 27 and an auction, if necessary, will be held on July 29 at the offices of Ropes & Gray, Gawker’s bankruptcy lawyers, in New York. A hearing to approve the sale is slated for Aug. 3.

Proceeds from a sale will be funneled to a trust to finance further litigation or cover whatever damages may ultimately be leveled following appeals, which could take years to resolve. Gawker has said that it expects to ultimately prevail.

Whatever money is left at the end of the legal process will go to Gawker Founder and Chief Executive Nick Denton, who owns most of the company, and other shareholders. Earlier this year, Columbus Nova Technology Partners -- the U.S. investment arm of the Renova Group, a conglomerate owned by Russian billionaire Viktor Vekselberg—took an undisclosed minority stake in the media company as it shored up its books for the trial. Gawker owes the company $15 million, according to court filings.

Gawker is scheduled to make its debut appearance in bankruptcy court on Wednesday. In addition to seeking approval of its routine bankruptcy requests, the company is set to ask Judge Stuart Bernstein to rule that the bankruptcy code’s automatic stay provision covers Mr. Denton as well as Gawker, even though the media company founder hasn’t personally filed for bankruptcy protection.

The automatic stay, a cornerstone of U.S. bankruptcy law, puts the brakes on lawsuits when a company filed for chapter 11. Bankruptcy judges are often reticent to extend chapter 11 protections to individuals not in bankruptcy.

If approved, the injunction would prevent Mr. Bollea and a number of other former subjects of Gawker articles who have sued the company---including blogger Charles C. Johnson, journalist Ashley Terrill and tech entrepreneur Shiva Ayyadurai—from attempting to seize Mr. Denton’s personal assets.

Gawker is trying to shield not only Mr. Denton but also Executive Editor John Cook, former Gawker.com editor in chief A.J. Daulerio and several current and former writers, all of whom are subjects of pending litigation related to Gawker articles.

These shitbags seem to be no strangers to being in hot water for their illegal and slanderous tabloid reporting practices. This time it finally came to really bite them in the ass.

Post: #57

I'll give them $100 for the jezabel.com URL. I'm going to turn it into an Old Testament themed porn site.

Post: #58

BREAKING: Gawker's Nick Denton To File For Personal Bankruptcy

Post: #59

The judge found that Denton had "misrepresented" his company's financial status, and ruled that Hogan could go ahead and collect his damage award. No surprise, Denton immediately filed for personal bankruptcy.

Post: #60

Any of those involved in the legal profession care to shed some light on what's likely to happen?

What portion of the debt will he legally be liable for? Are court judgements of this type secured or unsecured debt? I imagine unsecured which likely means Hogan/Thiel won't see much of it.

Post: #61

^ I'm not a lawyer but I do own a business. If I had to take a guess I bet that Nick Denton signed a personal guarantee either on some loans, real estate leases, equipment leases, or something similar. Now that the company is pretty much worthless then those things he personally guaranteed can now come to him personally and demand payment.

Post: #62

Univision to buy Gawker for $135 mil.
http://arstechnica.com/business/2016/08/...5-million/

Not much else to say but...









Meanwhile, I must not have been paying attention because the article mentions in addition to Hulk Hogan's lawsuit, Gawker is facing a $35 mil libel suit over a piece about a man who claims to be the sole inventor of email.

Post: #63

(08-16-2016 08:18 PM)NilNisiOptimum Wrote:  Univision to buy Gawker for $135 mil.
http://arstechnica.com/business/2016/08/...5-million/

....

Meanwhile, I must not have been paying attention because the article mentions in addition to Hulk Hogan's lawsuit, Gawker is facing a $35 mil libel suit over a piece about a man who claims to be the sole inventor of email.

Will Univision overpay on Gawkers liabilities as well? There was even a bidding war with Ziff Davis. This is as shitty as Al Jazeera buying Current TV and making Al Gore even more rich.

Post: #64

Now it'll be even more propagandized.
Great.

Post: #65

Maybe now it will all be in mexican. jexhebel.

Post: #66

Post: #67

Gawker site to close:
http://www.zerohedge.com/news/2016-08-18...-next-week

http://gawker.com/gawker-com-to-end-oper...1785455712
After nearly fourteen years of operation, Gawker.com will be shutting down next week. The decision to close Gawker comes days after Univision successfully bid $135 million for Gawker Media’s six other websites,


. . . . AAAAND ITSSSS GONE!!!!

Post: #68

Univision is very far from feminist. They are just too Mexican to stop having sexy women flaunting on their shows. I bet they want the technical layouts of the site to serve their own content. They might be tempted to reopen some like Jalopnik, but that is anyone's guess.

It is possible they reopen it all back up (they will stick their own in management of course) and let it continue as it was for the most part and use it to generate ad revenue and it has nothing to do with the main brands they have. That would be a departure from what they have been doing for a long time. Appealing to Mexican and other Central Americans as a base is how they have gotten so wealthy to begin with.

Post: #69

(08-18-2016 03:50 PM)TravelerKai Wrote:  Univision is very far from feminist. They are just too Mexican to stop having sexy women flaunting on their shows.

Just the excuse I have been waiting for to post some .gifs of Sofia Vergara in her Univision days:

Post: #70

I don't know if this has ever been more appropriate.

Post: #71

Goodbye Gawker. Your shitty websites won't be missed.

Post: #72

Unfortunately it is looking like only Gawker itself is going down, not the other sites.

Post: #73

In other news, Jezebel.com to become a website to stream telenovelas. Ay, Papi!

Post: #74

(08-18-2016 08:21 PM)Private Man Wrote:  In other news, Jezebel.com to become a website to stream telenovelas. Ay, Papi!

Jezebel needs to go too.

Post: #75

Thank you Peter.

With Gawker.com shutting down it takes the 2nd biggest site out of their network.



It will be interesting to see how Univision handles things. Their Fusion launch has been a huge flop.

Quote:Last summer, Univision acknowledged that Fusion and another start-up TV channel, El Rey, lost $85.2 million in 2014, according to regulatory filings.