A $1 billion deal announced last year for the sale of Dick Clark Productions (“DCP”) to Chinese billionaire Wang Jianlin‘s Dilian Wanda Group has been called off.
MusicRow received DCP owner Eldridge Industries’ official statement on March 10.
“Eldridge Industries announced today that one of its affiliates has terminated its agreement to sell Dick Clark Productions to the Dalian Wanda Group. Wanda had agreed to acquire Dick Clark Productions in November 2016. Eldridge’s affiliate terminated the agreement this week after Wanda failed to honor its contractual obligations. Eldridge’s affiliate also has filed with the Delaware Chancery Court to compel release of the balance of escrowed funds to which it is contractually entitled given Wanda’s failure to consummate the sale.”
Billboard reports the suit seeks to recover half of a $50 million “reverse termination fee” connected to the deal.
The Academy of Country Music Awards is a 50/50 partnership with Dick Clark Productions and the academy. Additional interests of DCP include 100 percent of TV rights of the Billboard Music Awards, American Music Awards, and the New Year’s countdown celebration in New York.
In 2015, Dick Clark Productions was sold by Guggenheim Partners—from a reported $370 million sale in 2012—to Todd Boehly, a executive at Guggenheim. Boehly formed Eldridge Industries whose assets, among others, also include The Hollywood Reporter and Billboard.
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