TV Loonland goes bust
Kids producer and distributor TV Loonland has entered administration after it was unable to raise cash to pay its debt.
The company has been forced to go into administration after ordered by an insolvency court in Munich. The German-listed firm had failed to get shareholder approval for its recapitalisation plan.
Dr Michael Briem has been appointed as chief executive to lead work with the administrators to sell off the company's assets, which include series including Little Princess and Pat & Stan.
"Due to the fact that the company's shareholders repeatedly refused approval of a share consolidation on 19th November and 26th November 2009, TV Loonland was not able to raise cash through an equity injection. Therefore the company cannot clear all debts on the respective due dates," it noted in a statement.
In 2008 the company shed assets including its share holding in Metrodome and the Hasbro Classic Library, which it is now distributing on Hasbro's behalf. The proceeds of those sales were used to pay down debt. Loonland also slashed the headcount at its German office by half last year.