The Weinstein Co., under pressure amid a sexual misconduct scandal surrounding its co-founder Harvey Weinstein, is in talks to be sold to Colony Capital, according to media reports.
The New York Times reports that Colony has already agreed to provide an immediate cash infusion to help the company get through its current crisis. The amount of the investment was not disclosed.
“The two sides will begin negotiations over selling some or all of the studio’s assets to Colony, which is led by Thomas J. Barrack Jr., a financier who is one of President Trump’s closest advisers,” The Times reports.
The report quotes a statement from Tarak Ben Ammar, a Weinstein Co. board member, in which he says: “We believe that Colony’s investment and sponsorship will help stabilize the company’s current operations, as well as provide comfort to our critical distribution, production and talent partners around the world.”
The company has faced a series of problems since reports surfaced in The New York Times and The New Yorker detailing decades of sexual harassment and rape allegations against Harvey Weinstein.
“Numerous content partners, from Apple to Disney to Amazon, have dropped projects that involved the Weinstein Company,” The Times reports. “Most of the studio’s board has resigned.”
Harvey Weinstein was fired last week by the company, which is also in the process of changing its name to avoid the association with Weinstein.