Vice Is Said to Be Headed for Bankruptcy

[underpants]

The company, which was once valued at $5.7 billion, has been struggling to find a buyer this year.

https://www.nytimes.com/2023/05/01/business/media/vice-bankruptcy.html

Vice, the brash digital-media disrupter that charmed giants like Disney and Fox into investing before a stunning crash-landing, is preparing to file for bankruptcy, according to two people with knowledge of its operations.

The filing could come in the coming weeks, according to three people familiar with the matter who weren’t authorized to discuss the potential bankruptcy on the record.

In the event of a bankruptcy, Vice’s largest debtholder, Fortress Investment Group, could end up controlling the company, said one of people. Vice would continue operating normally and run an auction to sell the company over a 45-day period, with Fortress in pole position as the most likely acquirer.

Unlike Vice’s other investors, which have included Disney and Fox, Fortress holds senior debt, which means it gets paid out first in the event of a sale. Disney and Fox, which have already written down their investments, are not getting a return, the person said.

[NotVeryImportant]

1. All kinds of media is taking it in the keister this year.

[Jedi Guy]

2. That's too bad. I've watched some of the stuff on their Youtube channel, and it was quite good.

I don't think I've watched much of anything of theirs in a few years, so I can't comment on anything recent, but mid 2010s Vice did some interesting stuff. They had a series where one of their crews went to North Korea, I remember that one was good.

[underpants]

4. I'm mostly a fan of their articles

Thoughtful and well researched.

[NullTuples]

3. They started taking private equity money in 2017; employee reductions started the next year.

[highplainsdem]

5. Deadline story 4 days ago, when they announced "Vice News Tonight" would end:

https://deadline.com/2023/04/vice-news-tonight-canceled-layoffs-1235339323/

Dozens of staffers are affected by the cutbacks, according to a source familiar with the plans. Among those affected were Vice News editor-in-chief Michael Learmonth, chief political correspondent Elizabeth Landers, senior political reporter Cameron Joseph, senior editor Christina Sterbenz, national security reporter Ben Makuch, as well as audio journalist Sam Eagan. Also laid off was Brendan Kennedy, vice president of development and documentary acquisitions for Vice News.

Vice News is scaling back its audio team, although podcasts will continue to be produced, and Vice World News short-form video will be ended. Subrata De, executive vice president of Vice News, wrote in a memo that the Vice World News team, which will impacted by the cuts, “have created some of our most talked about and textured work. But as we reduce the scale of digital video series, we are forced to slow and eventually end production at this time.”

Vice’s digital news team also will be folded into the publishing division, under the consolidated banner of Vice News. Katie Drummond will continue to oversee the Vice Digital brands across news and entertainment, and will report to Cory Haik, COO of Vice Media. A meeting to outline the changes is planned for next week.

The Vice News Tonight newscast has been on the air for nearly seven years, with more than 1,000 episodes produced. It was originally broadcast on HBO, but then relaunched on Vice TV, the joint venture with A+E Networks. The newscast won a Peabody for its 2017 coverage of the Charlottesville riots. It also was the most Emmy nominated newscast from 2018 to 2022.

[underpants]

6. Lots of good content.

Thanks for the deadline story.