Walt Disney Co. is writing down its funding in Vice Media for the second time in lower than a 12 months. In its in any other case upbeat second-quarter earnings report, the corporate mentioned it was taking an impairment of $353 million for Vice.
This follows the $157 million write-down Disney disclosed throughout its fourth-quarter earnings report in November. Vice Media was valued at about $5.7 billion post-money in June 2017 and raised a complete of $1.four billion in funding, together with $500 million from Disney in 2015. Final week, nonetheless, the Wall Avenue Journal reported that the media firm had taken $250 million in debt financing from buyers led by George Soros because it tries to discover a strategy to reverse its slowed development and stalling site visitors.
Disney owns 21% of Vice, along with smaller stakes by way of 21st Century Fox, which it acquired in March, and A&E Networks, a three way partnership between Coronary heart Company and Disney-ABC Tv, considered one of its subsidiaries.
The Vice write-down was a low level in an in any other case sturdy quarter for Disney. The corporate reported a 3% improve in income to $14.9 billion and earnings per share of $1.61, beating analysts’ expectations. It additionally introduced three new “Star Wars” movies can be launched beginning in December 2022, together with a roster of different upcoming titles that features “Cruella” and the “Avatar” sequels.
TechCrunch has contacted Vice Media for remark.
In a assertion to Enterprise Insider, a Vice spokesperson mentioned it’s “on track to fulfill, if it not exceed, its monetary targets for the third straight quarter,” including that “our new government group’s strategic plan is effectively underway and with the latest capital rise, we’ll proceed investing within the long-term development of our 5 international companies—tv, studio, digital, information and our promoting company, Advantage.”