MGM Parent Company Filing For An IPO
Metro-Goldwyn-Mayer’s parent company is preparing to file for an IPO after hiring JPMorgan Chase & Co. and Goldman Sachs Group. The sale of the shares will be led by JPMorgan.
MGM submitted a draft statement for IPO registration with the U.S. SEC according to Bloomberg. The IPO would help MGM raise money to make more movies. The company filed for bankruptcy in 2010 and then came out of it two months after. MGM has the rights to the “The Hobbit” by JRR Tolkien and the James Bond franchise.
They are working with other studios to have these movies released. Warner Bros. is working with MGM on The Hobbit and the James Bond movies. MGM was able to get a $500 million revolving credit facility this past February to pay off debt and invest in their film/TV business.This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at +AmitChowdhry