Reliance-ADAG in race to acquire MGM: report

Reliance Anil Dhirubhai Ambani Group (Reliance-ADAG) is one of the bidders seeking to buy out iconic Hollywood studio Metro-Goldwyn-Mayer Inc (MGM), media reports said today.

Others in the race include Time Warner Inc, Lions Gate Entertainment, Summit Entertainment, Liberty Media Corp and News Corp, owner of the Wall Street Journal.

US media reports said there were around 10 bidders for acquiring the privately-held motion picture, television, home video, and theatrical production and distribution company, quoting from $1.5 billion to $2.5 billion.

The reports come even as the bankrupt Hollywood studio is seeking a two-month extension of a moratorium on interest due on its $3.7 billion term loan, reports quoting sources said.

The Los Angeles-based film studio wants a streamlined "prepackaged" bankruptcy as part of the auction, and has sought time till 31 March 2010 for interest payment.

Private investment firms, including Elliott Management and Access Industries, the investment arm of Russian-born industrialist Len Blavatnik, are also reported to be interested in buying out MGM.