Vice Media Group applies for Chapter 11 protection to boost sales

Vice Media Group, a company widely known for websites like Vice and Motherboard, announced Monday that it has applied for Chapter 11 protection to expedite the sale.

The company said in court filings that it listed both assets and liabilities in the range of $500 million to $1 billion.

Vice also said the group has agreed to the terms of an asset purchase agreement with a consortium of lenders including Fortress Investment Group, Soros Fund Management and Monroe Capital.

In addition to assuming material liabilities at closing, the consortium has agreed to provide substantially all of the company’s assets in the form of a credit tender, totaling approximately $225 million, according to a statement. .

The bankruptcy filing comes at a difficult time for some tech and media companies, as economic turmoil and a downturn in the advertising market have forced them to scale back in recent months.

Vice has also received commitments from lenders to lend to their debtors and agreements to use more than $20 million in cash collateral.