The Walt Disney Co. has finally closed the book on a colorful chapter in its history.
The media giant said yesterday that it sold Miramax Films to Filmyard Holdings — a group that includes California construction magnate Ron Tutor and Tom Barrack, CEO of Colony Capital.
The deal, which includes the rights to more than 700 films, was for “over $660 million,” Disney said in a statement, “subject to certain adjustments.”
The statement said nothing, however, of possible other partners in the venture including actor Rob Lowe or entrepreneur David Bergstein, both of whom were mentioned during the long wind-up to the deal. The statement also didn’t mention other sources of funding for the Miramax purchase.
The deal with Filmyard will no doubt be a disappointment to the Weinstein Co., which has a strong emotional attachment to the property. Brothers Harvey and Bob Weinstein founded the studio in 1979. Lionsgate and Summit Entertainment had also shown interest.
The process hasn’t been simple for Tutor and Colony, either. Acquiring sufficient funds to cover the entire deal has been tricky in an environment where credit conditions are tight and movie libraries are seen as risky business given the overall decline in DVD sales.
Liberty Media just shut down its own Overture studio, and MGM is still fighting for its life.
The release announcing the sale said the deal is expected to close in the fourth quarter.
The investors plan to seek more film assets once the Miramax deal is closed, a person with knowledge of the plans said. Future deals are also likely to focus on libraries of older films.