Overview

• Village Roadshow Entertainment Group filed for Chapter 11 bankruptcy in Delaware, listing assets of $100-$500 million and liabilities of $500 million-$1 billion.
• The filing highlights a costly $18 million legal dispute with Warner Bros. over the simultaneous release of 'The Matrix Resurrections' on streaming and in theaters.
• The company claims the fallout from the arbitration irreparably damaged its lucrative partnership with Warner Bros., which accounted for the majority of its business success.
• Village Roadshow's financial troubles were compounded by industry-wide challenges, including pandemic-related production delays and the Hollywood writers' strike.
• The company has attracted a stalking horse bidder for its library assets at $365 million, with at least one other party expressing interest.