Viacom Blockbuster Split Up
By John M. Higgins published
Viacom will collect a $738 million payment from Blockbuster before sending the video retailer out the door.
The long-awaited spin-off will trigger a $5 per share tax-free dividend to Blockbuster shareholders. That totals $905 million and since Viacom owns 81% of Blockbuster’s stock it will pocket the bulk of that cash ($738 million by the company's estimate).
Viacom Chairman Sumner Redstone says the move allows the company to concentrate on its "content creation engines," of which it has many.
The smarter way to stay on top of broadcasting and cable industry. Sign up below.
Thank you for signing up to Broadcasting & Cable. You will receive a verification email shortly.
There was a problem. Please refresh the page and try again.