Blockbuster Hires Rothschild as Investment Banker2 Nov, 2010 By: Erik Gruenwedel
The bankruptcy court handling Blockbuster Inc.’s pre-packaged Chapter 11 filing Nov. 2 authorized the Dallas-based rental icon to retain the services of Rothschild Inc. as financial advisor and investment banker.
Blockbuster Sept. 23 field for bankruptcy protection citing liabilities of $1.4 billion. Under plans of the fiscal reorganization, Blockbuster would emerge with about $100 million in debt (from about $940 million), with the bulk of its remaining senior secured debt converted into equity in the new company.
The court recently approved the retention of a chief restructuring officer, and previously, funding for an executive search firm looking to fill the CEO position.