Sumner Redstone’s company divests Russian theater chain to raise cash, pay off debt
By APThursday, January 7, 2010
Redstone sells Russian theaters to daughter, group
LOS ANGELES — Sumner Redstone’s holding company, National Amusements Inc., is selling its Russian theater chain to Redstone’s daughter and other investors in a further move to pay down its debts.
The media mogul has been selling off theaters and stock in media giants CBS Corp. and Viacom Inc. to fend off creditors.
His company ran into problems last year with some $1.46 billion in debt it owed as stocks tumbled and credit markets seized. It outlined a comprehensive asset-sales plan in October to emerge from the crisis with Redstone’s control of CBS and Viacom intact.
On Thursday, daughter Shari Redstone said she is buying Rising Star Media from National Amusements with the help of UFG Private Equity of Russia. Terms of the deal were not disclosed.
