Media tycoon Sumner Redstone, who controlled 87-percent of Midway Games' stock, has sold all of his shares to a private investor. According to The Wall Street Journal, investor Mark Thomas, who has had no prior ties to Midway, has agreed to pay $100,000, or $0.0012 per share for stake in the Chicago-based company.
The Wall Street Journal reports that the transaction was made to ease Redstone's financial losses. By becoming the majority stockholder in Midway, Thomas will also assume the company's $70 million debt.
Due to ongoing financial losses, The New York Stock Exchange has recently warned Midway that it would de-list the company from the NYSE if its share prices continued to fall.
The sale of Redstone's Midway stock is an attempt to alleviate the $1.6 billion of debt that Redstone and his media and entertainment company National Amusements have accumulated. Reuters reports that Redstone is required to pay half of the outstanding debt by the year's end.
Midway Games, founded in 1988, is most known for its NBA Jam, NFL Blitz, and Mortal Kombat game series; its most notable, recent release was Mortal Kombat vs. DC Universe, which pitted the fighting series' unique cast of fighters against several beloved superheroes and villains from the DC comic books.
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Midway Games Sold for $100,000
