Approval Granted for Sale of Blockbuster

Approval has finally been granted for the sale of Blockbuster Inc. to Dish Network Corp. this week.

Although there were several bids for the sale, Dish's was the highest and most appealing offer. While the sale is scheduled to close on April 21, the judge overlooking the Chapter 11 bankruptcy case has given Dish additional time to decide which leases to keep. They have 1,500 from which they can choose to keep open or close. However, this will also give the company the chance to keep more jobs and leases open. Judge Burton Lifland added, "I find there is adequate consideration to support the amendment."

The deal was not favored by everyone involved, with concerns voiced by one group of senior secured noteholders. This group had financed Blockbuster during their initial bankruptcy proceedings; Lion Gate films also objected on the grounds of a revenue-sharing argument.

If you are considering Chapter 11 bankruptcy, contact us to work alongside a San Antonio bankruptcy attorney.