Big Brother maker Endemol has been close to finanical ruin for some time now. It’s currently sitting on $4.1 billion in debt for which it does not have the cash flow to service. Lenders have been giving it extensions on loan payback with the hope that some deal between Endemol’s shareholders and Lenders could be made.
Finncial Times has reported that a deal has been made between a majority of the lenders and the shareholders to effectively reduce Endemol’s debt by 80%. Ultimately this means Endemols 3 main shareholders who own 1/3 of the company each will dilute their majority control to a sub 50% stake, this in turn temporarily saves the company.