Sony Taking on Partners to Acquire MGM

Apr 26, 2004  •  Post A Comment

Sony has teamed with a pair of private-equity firms in an effort to acquire venerable film studio Metro-Goldwyn-Mayer for $5 billion, according to sources familiar with the situation. Terms of the deal floated last week involved Sony and buyout firms Texas Pacific Group and Providence Equity Partners splitting a $1.5 billion cash payment, with the consortium borrowing the rest. If successful, Sony would merge MGM into Sony Pictures Entertainment. Officials from Sony declined to comment, and spokespeople for Texas Pacific and Providence could not be reached.