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| Gawker Files For Bankruptcy |
| 2016-06-10 |
| Couldn't happen to 'nicer' people... Gawker filed for bankruptcy Friday in New York federal court shortly after a lawyer for the gossip website told a Florida judge that it couldn’t afford to pay a $140 million jury award to wrestling legend Hulk Hogan for posting his sex tape online. The Chapter 11 bankruptcy filing says that Gawker has between 200 and 1,000 creditors, between $50 million and $100 million in assets and $100 million to $500 million in liabilities. The company says that it will use two loans, one $15 million one made by Menlo Park, Calif. venture capital firm US VC Partners, and another $7.6 million one made by Silicon Valley Bank, to stay afloat during the proceeding. |
| Posted by:Raj |
| #3 Nick Denton still owes $10M on his own. *SMACK* |
| Posted by: Frank G 2016-06-10 21:44 |
| #2 To anyone thinking that Gawker is going away -- sorry. This is a Chapter 11 reorganization, not a Chapter 7 liquidation. And the VC loans clinch it. They'll come in and add "new value". Debts will go away and life will continue as before, but with a modified cap table. |
| Posted by: Iblis 2016-06-10 16:12 |
| #1 Couldn't happen to 'nicer' people... Just what I was thinking even before I opened this article. |
| Posted by: CrazyFool 2016-06-10 14:28 |