NEW YORK (AFX) - Viacom Inc's Paramount Pictures is in exclusive negotiations to sell the DreamWorks movie library to financier George Soros' private-equity fund, the Wall Street Journal reported, citing people familiar with the situation.
Paramount last month reached a deal to buy DreamWorks SKG and said it plans to recruit investors to put up money toward the acquisition. Paramount agreed to pay 774 mln usd, plus the assumption of about 840 mln usd of debt, for the studio.
Paramount has said it is looking to raise 850 mln to 1 bln usd for DreamWorks's 59-title library. However, it is unclear what price Soros' fund is offering and whether it would end up as the sole investor, the Journal said.
Paramount is eager to wrap up a deal to sell the library by the end of January, before parent company Viacom starts its investor road show, the paper cited a source as saying.
Other potential investors have approached Paramount, and some are also examining a deal, but Soros' private-equity team has exclusivity throughout that period, it said.
Still, the timetable is challenging and a deal with Soros' fund is not assured, the report added.
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Paramount last month reached a deal to buy DreamWorks SKG and said it plans to recruit investors to put up money toward the acquisition. Paramount agreed to pay 774 mln usd, plus the assumption of about 840 mln usd of debt, for the studio.
Paramount has said it is looking to raise 850 mln to 1 bln usd for DreamWorks's 59-title library. However, it is unclear what price Soros' fund is offering and whether it would end up as the sole investor, the Journal said.
Paramount is eager to wrap up a deal to sell the library by the end of January, before parent company Viacom starts its investor road show, the paper cited a source as saying.
Other potential investors have approached Paramount, and some are also examining a deal, but Soros' private-equity team has exclusivity throughout that period, it said.
Still, the timetable is challenging and a deal with Soros' fund is not assured, the report added.
rc/
For more information and to contact AFX: www.afxnews.com and www.afxpress.com
© 2006 AFX News
