Live Entertainment Gives Restructuring Details
Live Entertainment Inc., an ailing Van Nuys-based video distributor, released more details of a financial restructuring proposed by Live and certain of its securities holders.
The plan, aimed at reducing Live’s debt burden, includes an exchange offer whereby holders of $131 million of Live debt and preferred stock would receive new securities.
The debt portion is $110 million of 14.5% “junk bonds” on which Live defaulted in June.
The plan also calls for a unit of Pioneer Electronics Corp. of Japan to invest $15 million in Live that would later convert to a significant equity stake in Live, although the stake’s exact size has not been determined.
Pioneer and French and Italian investors already own a combined 47% stake in Carolco Pictures Inc., a Los Angeles film production company that in turn owns 49.9% of Live. Live said it hopes to complete its restructuring by year’s end.
The biggest entertainment stories
Get our big stories about Hollywood, film, television, music, arts, culture and more right in your inbox as soon as they publish.
You may occasionally receive promotional content from the Los Angeles Times.
