International distributor Target Entertainment is in sale talks less than 18 months after being acquired by UK film distributor Metrodome, TBI can exclusively reveal.
Metrodome acquired Target Entertainment for £800,000 (US$1.2 million) in August 2010.
“We are in talks with various parties about our future ownership and will make a formal announcement at the appropriate time,” Target Entertainment told TBIvision.
The company, which is now run by managing director Emanuelle Namiech who joined in October 2011 following the departure of founder Alison Rayson, has stopped paying its suppliers and is in the middle of completing the due diligence process.
This comes after a difficult 18 months for the company; Mark Webster, executive chairman of Metrodome Group told investors in December that it was having problems with Target.
Webster said: “Despite the difficult market conditions, we have been satisfied with the performance of Metrodome Distribution and Hollywood Classics which has integrated well into the Group since its acquisition in August. However, due to the fact that a majority of Target’s revenues are derived from international markets we have seen its performance materially affected by the adverse macro-economic conditions in Europe. Many of our customers are either not buying product at all or delaying decisions on any new purchases which has led to a worse than expected financial performance.”