Good news for bankrupt VFX studio Rhythm and Hues, a South Korean media company has put in a bid for the studio along with a few other unnamed bidders. The media company, JS Communications Co, has bid around $17 million for the studio and will be paying $1 million in cash to help satisfy loans.
Rhythm and Hues have said that they need to be sold by the middle of this month or they will run out of money and have asked the bankruptcy court to speed up its auctioning process.
David Shim, managing partner of JS Communications Co, has said that they will not liquidate the company. In an interview with Variety Shim said:
“I have no intention to liquidate, Far from it. Rhythm & Hues should be taken care of. It’s in the common interest of the motion picture industry to support it for its skill set and what it can do for the industry going forward.“
It seems that the media company is the preferred bidder as Shim has made several trips to the studio over the last few weeks. The downside to this story will be the hundreds of employees the company had to let go who will be unable to recover money lost in wages and benefits.