The entertainment rental brand, Blockbuster, has been sold for $320.6 million to DISH Network after an auction at the U.S. Bankruptcy Court for the Southern District of New York.
The Blockbuster estate is to receive approximately $227 million in cash distributions after the Court approved the sale. The transaction is expected to close on April 25th.
Tom Cullen, executive vice president of Sales, Marketing and Programming for DISH Network said:
“With its more than 1,700 store locations, a highly recognizable brand and multiple methods of delivery, Blockbuster will complement our existing video offerings while presenting cross-marketing and service extension opportunities for DISH Network. While Blockbuster’s business faces significant challenges, we look forward to working with its employees to re-establish Blockbuster’s brand as a leader in video entertainment.”
Parts of the Blockbuster business filed for bankruptcy on September 23, 2010.