Vice Media files for US bankruptcy protection ahead of sale
Media company Vice has filed for bankruptcy protection in the US after bosses struggled to find a buyer for the innovative news firm.
The Chapter 11 filing at a court in New York is setting the stage for the company’s creditors to take control over the business.
It marks a fall from grace for the business, which shot to prominence in the 2010s with a form of journalism designed to attract younger audiences.
It comes just a month after BuzzFeed, another new media company which achieved great success about a decade ago, said it would close its news division and make extensive layoffs.
The Chapter 11 filing will allow Vice to continue operating as normal. Such filings are not uncommon among US companies, and in many circumstances the business can come out of bankruptcy and continue to build great success. These have included companies such as Marvel Entertainment and General Motors.
Vice said that it had an agreement with its lenders which will see them buy the company, unless a better bid comes along.
August Graham – Press Association