Stalking

... always stalking.

A federal bankruptcy court today approved JS Communications’ stalking horse bid for the financially troubled Rhythm & Hues. With the South Korean media company now firmly in place to bid on the company, the auction process out of Chap 11 will begin. If no other bidders put their name in the hat, the VFX house will belong to JS Communications by the end of the month. However, court documents show that several other parties have in fact expressed interest in Rhythm & Hues but JS is the only one to have their name made pubic. The court also ordered Friday that utilities cannot be turned off at R&H’s HQ and that the company can pay pre-bankruptcy wages due to executives Prashant Buyyala, Keith Goldfarb and John Hughes if it chooses ...

We heard from sources inside that Chris Meladandri's Illumination Entertainment might be one of the companies in the running to pick up the R & H pieces. Time will tell.

(And we can totally understand why JS Commnications would be the only entity who desired to go pubic. Terrifying.)

Roh roh ...

... [T]he Committee of Unsecured Creditors questions whether the plans in place are really better than just "closing the Debtor's doors and conducting an orderly liquidation of the Debtor's assets."

Such a move would no doubt be a huge blow for Universal and Fox, as well as Legendary Pictures, all of which hope to have R&H still working on their big-budget films. The bankrupt VFX house is said to have drawn the interest of South Korea's JS Communications, which reportedly has signed a letter of intent to acquire the company. ...