An auction for the assets of bankrupt Alamo Drafthouse film chain was called off on Monday because bidders failed to materialize, a person close to the company confirmed.
The Austin, Texas-based movie theater chain filed a voluntary Chapter 11 application in Delaware Court in early March and agreed to sell essentially all of its assets to a group of investors including Altamont Capital Partners, Fortress Investment Group and the one of its founders Tim League. With no other buyers on the horizon, they will retain control and, hopefully the chain, provide the financing needed to stabilize the business.
The exhibitor, which sagged under the impact of Covid-19, closed three locations after the depot, the Ritz, Kansas City and New Braunfels. It has over 30 theaters, including locations in Los Angeles, Brooklyn, and northern Virginia. Among new upcoming locations, it’s working on opening, including its New York City location on Liberty Street.
Variety initially reported the abandoned auction.