AceShowbiz - The Weinstein Company filed for bankruptcy on Monday, March 19. The company is seeking protection of bankruptcy court as it has suffered downfall following sexual harassment allegations against co-founder and former shareholder Harvey Weinstein. It has been struggling to find buyer.
TWC is looking to enter an organized sale process with a stalking horse bidder in Lantern Capital Partners. Other companies will be able to bid at an auction after a bankruptcy judge reviews the bidding procedure and any objections.
"The Board selected Lantern in part due to Lantern's commitment to maintain the assets and employees as a going concern," the company said in a statement. "The Company hopes that this orderly sale process under the supervision of the Bankruptcy Court will allow it to maximize the value of the Company's assets for the benefit of its creditors and other stakeholders."
Lantern co-founders Andy Mitchell and Milos Brajovic said, "We are honored to be selected as the bidder to acquire the company's businesses as an ongoing concern. In the last several months, Lantern has evaluated the company and is proud to provide a solution to the board."
In addition to bankruptcy sale, the company announced it would release its employees from their non-disclosure agreements, meaning that Harvey Weinstein's accusers would be free to testify against the disgraced movie mogul.
"No one should be afraid to speak out or coerced to stay quiet," the company said. "The Company thanks the courageous individuals who have already come forward. Your voices have inspired a movement for change across the country and around the world."
In other news, New York's governor Andrew Cuomo has ordered the state attorney general to review a 2015 decision by Manhattan prosecutors to not pursue a sex abuse case against Harvey Weinstein. Gov. Cuomo made the order hours after Time's Up movement requested the governor to investigate.
In a statement, the group suggested that the district attorney's office may have been improperly influenced by Weinstein and sought to intimidate an Italian model who accused the former movie producer of groping her.