The board of directors for the Weinstein Company has announced that the company will seek bankruptcy protection says CNBC. Talks to try to sell the company fell through, and that has left the board with few options other than to go with bankruptcy.
The company has been marred in scandal as the founder Harvey Weinstein was accused by approximately seventy different women of inappropriate sexual conduct towards them. Those allegations brought the one time Hollywood star down. His image and that of his company have not been the same since.
According to The Verge, a sale was proposed and discussed with other companies such as the San Francisco Chronicle and the Los Angeles Times. However, both companies walked away from the deal without agreeing to make the purchase. That means that the Weinstein Company had few alternatives but to declare bankruptcy.
The board insists that this is the only way to maximize what value does remain within the company. That value may be severely limited at this point, but that does not mean that it is not still there. Bankruptcy is the last ditch hope to try to save some of it.
The Harvey Weinstein situation really kicked off a series of campaigns, including the #MeToo campaign that was so popular on social media. It has helped to shine a spotlight on the issue of sexual harassment. In particular it has helped us take a look at the actions of those who are in power and how their misconduct impacts their victims.
More than a few famous people throughout Hollywood, the government, business, and beyond have now had to face up to some of the things that they have been involved in. It has not been a pretty sight, but there has at least been some change for the better.
Those who have been found out have sometimes paid a hefty price for what they have done. Of course, there has been controversy on both sides as some simply refuse to believe that people that they like would have done something like this. Still, there is ample evidence that many of these claims are in fact true. Thus, it is hard to continue to deny the reality of the situation.
For the moment, we know that the Weinstein Company is seeking bankruptcy protection. We do not know much more about it, but we do know that they will likely try to use this to maximize whatever value they can preserve for the company.