Early yesterday morning, Sumner Redstone, the controlling owner of Midway Games Inc. with 87% of the shares, sold every last one of them. And cheap.A sole private investor known only as "Mark Thomas" purchased the shares of the company for a paltry $100,000. This equates to 12 cents a share, or a measely 0.3% of the morning's starting price at the already low 38 cents. For Redstone, this is a loss on top of a loss, as the 38 cents a share already showed a significant loss on his investment.
Mark Thomas doesn't just get the beleaguered company, however. According to the Wall Street Journal, he also assumes $70 million of "senior secured and unsecured debt." Some of that is backed by banks, some will be his personal debt to pay based on the future success or failure of the company.
Mark Thomas doesn't just get the beleaguered company, however. According to the Wall Street Journal, he also assumes $70 million of "senior secured and unsecured debt." Some of that is backed by banks, some will be his personal debt to pay based on the future success or failure of the company.
Hard to say what the next step is for the company, but it is sad. You may not have been aware but they produced some of the beloved video games of your youth and more recent hits. Yes, Robotron 2084 , Defender, Rampage , Galaga , Mortal Kombat , Tron , Gauntlet, Joust, Spy Hunter - all theirs.
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