Gawker Media Asks For $22 Million Bankruptcy Loan Approval
Gawker Media LLC asked a U.S. bankruptcy court judge on Monday for permission to borrow up to $22 million from an affiliate of buyout firm Cerberus Capital Management LP to help it through its sale process, according to a court filing.
The online publishing pioneer filed for bankruptcy last week after it failed to secure a postponement on paying $140 million to Hulk Hogan after it lost a lawsuit involving the publication of excerpts from a sex tape of the former pro wrestler.
Media company Ziff Davis LLC has entered into an agreement to buy Gawker for $90 million, setting the floor for an opening bid in a court-supervised auction expected to take place at the end of July.
The loan from Cerberus, which often invests in companies in financial distress, will help Gawker...