Image, BTP merger delayed to Jan. 14

By Susanne Ault -- Video Business, 12/10/2007

DEC. 10 | Image Entertainment has further extended the deadline of its merger to Jan. 14, following a renewed commitment by BTP Acquisition Company that it does intend to purchase the indie DVD supplier.

Based upon previously agreed upon terms tied to the companies’ last deadline extension, BTP has given Image a $2 million deposit that will be held in a trust account and credited against the purchase price at closing.

At the same time, Image signed onto a multi-year feature film distribution deal with CT1 Holdings LLC, which is an affiliate of BTP owner David Bergstein. Title descriptions and delivery dates were not specified.

Image has delayed finalizing its acquisition by BTP several times. Originally the deal was expected to close by mid-November. Yet Image management continues to be confident that the transaction will be completed soon.

“All parties continue to work diligently to close this transaction,” said Image CEO Martin W. Greenwald. “We take comfort in BTP’s $2 million deposit and the execution of a multi-year distribution agreement with CT1 Holdings. Together they represent a significant commitment by BTP and CT1 and a very important step forward. The distribution in particular represents a large source of potential revenue for Image.”