Giancarlo Parretti sank another $50 million into MGM/UA Communications Co. on Tuesday, clearing one more hurdle in his $1.3-billion bid for the film company.
The payment raised Parretti's non-refundable deposit to $303 million, not counting about $75 million in securities that he has pledged in connection with the deal. Parretti, co-founder of Pathe Communications Corp., has about two more months to raise the remaining $1 billion.
Several news reports have had the Italian financier trotting the globe in search of the needed funds. Pathe spokesman Craig Parsons declined comment on the nature of the fund-raising effort but confirmed that Parretti has yet to secure the full financing.
The $50 million is the next-to-last deposit owed to MGM/UA. The last $50 million is due Sept. 20, with the full balance to be paid by Oct. 23. Neither Pathe nor MGM/UA would disclose the source of the latest payment.
Financial analysts are also at a loss to explain the source. "I presume they are going to go through with (the deal) if they possibly can," said David J. Londoner of Wertheim Schroder. "It looks like a tough case to me, but stranger things have happened."