Walt Disney Co. is done with the intricacies of the Weinsteins and their bid to buy back Miramax. The Wall Street Journal reports that the Mouse House has formally terminated negotiations with Harvey and Bob Weinstein, which could help another brotherly duo, Tom and Alec Gores, grab the studio.
As Alison wrote yesterday, there were struggles in the Weinstein/Ron Burkle camp. For his $300 million, Burkle wanted complete ownership of Miramax, making Harvey and Bob "asset managers." Deal-making was put on-hold so that the buyers could figure out the particulars, but WSJ sources say that "the complex structure of the acquisition was the primary reason why the talks collapsed." The Gores, meanwhile, are also hot on the trail of Overture Films, and as the report states, grabbing Overture "could provide distribution agreements that would be a powerful match with Miramax's iconic library."
Nevertheless, it's a big blow for the Weinsteins, who created the company back in 1979 and named it after their parents, Miriam and Max. In 1993, they'd sold the company to Disney for $80 million, but continued to operate the company until 2005, after feuds with Michael Eisner. Now, the company is going for hundreds of millions, and maybe the Weinsteins can work on strengthening the studio they already have -- The Weinstein Company.