Current:Home > reviewsRedbox owner Chicken Soup for the Soul files for Chapter 11 bankruptcy protection -Golden Horizon Investments
Redbox owner Chicken Soup for the Soul files for Chapter 11 bankruptcy protection
View
Date:2025-04-16 20:22:08
NEW YORK (AP) — Chicken Soup for the Soul Entertainment, the parent of DVD rental operator Redbox, has filed for Chapter 11 bankruptcy protection.
The bankruptcy filing comes after months of a series of financial struggles for the company and piling unpaid bills. Chicken Soup for the Soul has accumulated nearly $1 billion in debt, the Chapter 11 filing submitted Friday in Delaware bankruptcy court shows, after reporting loss after loss over recent quarters.
The filing also discloses that Chicken Soup for the Soul owes millions to over 500 creditors — which range from big names in the entertainment world like Sony Pictures and Warner Bros, to major retailers like Walgreens and Walmart.
As of March of this year, Friday’s filing shows, Chicken Soup for the Soul had about $414 million in assets and $970 million in debts. Shares for the public company have fallen more than 90% over the last year.
Connecticut-based Chicken Soup for the Soul declined to comment when reached by The Associated Press Monday. In court documents, the company said that its lenders were unwilling to cooperate with refinancing.
Chicken Soup for the Soul acquired Redbox in 2022. At the time, the company billed the merger as the start of an entertainment conglomerate set to reach consumers across mediums and boost revenue, but losses continued to pile up. The acquisition also included the assumption Redbox’s reported $325 million in debt.
Redbox, founded in 2002, is best known for red-colored, self-serve machines that sit outside of pharmacies or groceries stores to rent or sell DVDs. In Friday’s filing, Chicken Soup for the Soul noted that it currently operates about 27,000 kiosks across the U.S. — down from 36,000 at the Redbox acquisition was finalized in August 2022.
Chicken Soup for the Soul also operates ad-supported streaming and video on-demand offerings. That includes Redbox Live TV and Crackle, a streamer that Chicken Soup for the Soul acquired from Sony.
veryGood! (68)
Related
- From family road trips to travel woes: Americans are navigating skyrocketing holiday costs
- Multiple children killed in Tuesday night fire after Connecticut house 'engulfed in flames'
- 'RHOSLC' star Heather Gay reveals who gave her a black eye in explosive Season 4 finale
- Oregon kitten dyed pink by owner who wanted it 'clean' will be put up for adoption
- EU countries double down on a halt to Syrian asylum claims but will not yet send people back
- From Amazon to Facebook and Google, here's how platforms can 'decay'
- Penguins line up to be counted while tiger cub plays as London zookeepers perform annual census
- Prosecutors seek to drop three felony charges against the brother of Patrick Mahomes
- The city of Chicago is ordered to pay nearly $80M for a police chase that killed a 10
- California restaurant’s comeback shows how outdated, false Asian stereotype of dog-eating persists
Ranking
- Apple iOS 18.2: What to know about top features, including Genmoji, AI updates
- Curacao and St. Maarten to welcome new currency more than a decade after becoming autonomous
- Colorado voters seeking to keep Trump off ballot urge Supreme Court to decide his eligibility for office
- They're ready to shake paws: Meet the Lancashire heeler, American Kennel Club's newest dog breed
- Selena Gomez's "Weird Uncles" Steve Martin and Martin Short React to Her Engagement
- Uganda’s military says an attack helicopter crashed into a house, killing the crew and a civilian
- NFL stars sitting out Week 18: Patrick Mahomes, Christian McCaffrey among those resting
- Woman headed for girls trip struck, killed as she tries to get luggage off road
Recommendation
Trump issues order to ban transgender troops from serving openly in the military
Gypsy Rose Blanchard Defends Husband Ryan Anderson From “Jealous” Haters
Flood recovery, public safety, opioid crisis and housing are Vermont Legislature’s top priorities
Judge Orders Jail Time For Prominent Everglades Scientist
Don't let hackers fool you with a 'scam
A hiker is rescued after falling down an Adirondack mountain peak on a wet, wintry night
Michigan state lawmaker enters crowded U.S. House race as Democrats aim to defend open seat
New Mexico considers setback requirements for oil wells near schools and day care centers