Media Company, Nickelodeon Partner Files For Bankruptcy, Will Liquidate Assets

Source: Shutterstock

Factory Transmedia, an Emmy-award winning media company and Nickelodeon partner, is reportedly shutting down after filing for bankruptcy. Multiple reports indicate that the company will also liquidate its assets as a result of its financial collapse.

Media Company Was ‘Placed Into A Creditor’s Voluntary Liquidation’

The media company was reported “placed into a creditor’s voluntary liquidation,” according to Cartoon Brew. As a result, the independent British animation studio is “insolvent and no longer has the funds to pay its liabilities.”

Source: Flickr

The dire situation shows that success is not always long-term – especially within the entertainment industry.

Factory Transmedia Won An Emmy The Same Year It Filed For Bankruptcy

The company reportedly won an Emmy award this year for the Nickelodeon Jr. show, “The Tiny Chef Show.” It also received an Emmy nomination for the preschool animated series “Slumberkins.”

Source: Facebook/Katherine Elyse Media

It will likely present a bittersweet memory for the media company since they earned the award in the same year that they filed for bankruptcy.

Company Cited ‘Challenging Market Conditions’ As Reason For Shutdown

The UK company cited “challenging market conditions” as the primary reason for the unexpected shutdown. In a released statement, the company indicated that the conditions were a “significant factor in the insolvency of the business.”

Source: Pixabay/Aymanejed

It also indicated that the history of greenlit projects over the past year by broadcasters worldwide were “severely cut.” The company stated that this was the result of the marked changes of “the global economy and audience behaviors.”

The Studio Had Numerous Series, Shows Over Its 24-Year Run

The studio, which ran for over 24 years, was firmly established within the UK for most of its run. However, it recently started to make its way into the North American scene with the success of The Tiny Chef Show.

Source: Facebook/Newzoids

Over the years, it produced quite a few different series – including a reboot of The Clangers and Scream Street. It was also known for Strange Hill High and Newzoids.

Company Expanded With Additional Studio Facility In 2017 In Response To Growth

The company reportedly expanded in recent years to accommodate its expanding production slate. One report claims that the studio established a secondary studio facility in 2017.

Source: Pixabay/Lalmch

At its peak, the company employed more than 100 people.

Factory Transmedia Spent $6.2 Million On Reimagining Of ‘The Clangers’

One of the biggest accomplishments of the media company was its reimagining of The Clangers. The remake of the 1969 children series officially launched back in 2015 on CBeebies within the UK.

Source: Facebook/Factory

It was also broadcast on the family-friendly network Sprout within the United States. The series won the 2015 BAFTA for “Best Preschool Animation Show.”

Audit and Advisory Firm Appointed As Liquidator Of Media Company

Earlier this month, an audit, tax, and advisory firm Mazars was chosen as the liquidator of the assets that belonged to Factory Transmedia. Mazars was apparently the company that posted the official statement of how the business became insolvent.

Source: Freepik

Mazars is a leading international firm that specializes in audit, tax and advisory services. According to the firm’s website, they operate as a united partnership. The firm states that their clients’ “long-term sustainable development and growth” is their “top priority.”

Remaining Assets Will Be Sold Off Via Online Auction, Including Puppets

JPS Chartered Surveyors was reportedly advised to sell off the remaining assets from Factory Transmedia through an online auction. The items that are being sold include the puppets that were used for Newzoids.

Source: Pixabay/Mediamodifier

Further reports have shown that the auctions will also include studio equipment that was owned by the media company.

No Update Yet On What Will Happen With Shows In Production

Many fans and critics are concerned about how the closure of Factory Transmedia will impact the shows and series that are currently in production. There has reportedly not been an update as of yet on what will happen to these shows.

Source: Pixabay/Robin Higgins

The media company did not just work with Nickelodeon as a partner. It also reportedly worked with CBBC and Disney as well.

Streaming Service Quibi Shut Down In 2020 Due To Financial Issues

The story of Factory Transmedia shutting down may remind some people about the shutdown of the streaming service Quibi. This revolutionary streaming service was officially launched in April 2020.

Source: Pixabay/Frank Reppold

The appeal of the streaming service was that its content was designed to be watched specifically on mobile devices. However, the company shut down later the same year in October 2020 due to financial issues and low subscriber growth.

Millennium Media Group, Known For America’s Store, Shut Down In 2007

The Millennium Media Group, which was also referred to as “MMG”, shut down its operations in 2007. The company was primarily known for featuring the America’s Store shopping channel.

Source: Pixabay/Elverc117

The shutdown occurred when the parent company IAC reviewed its overall performance. It decided to shut MMG down as a result of its financial underperformance.

Grant Tinker/Gannett Productions Permanently Closed In The 1990s

Grant Tinker/Gannett Productions was initially successful within the 1980s and the early part of the 1990s. However, that success did not last very long in retrospect before the company started experiencing major financial issues.

Source: Wikimedia Commons

The production studio shut down eventually after it was separated from the Gannett Company. It was officially closed down to being overwhelmed by financial pressure.

Home Video Company VidAmerica Shut Down In Early 1990s

VidAmerica was a US-based company that originally specialized in home videos. However, the company also focused on TV syndication over time.

Source: Pixabay/InspiredImages

VidAmerica experienced its own financial struggles in the early 1990s as technology started to advance and the Internet was introduced. Those struggles eventually led to its shutdown as well.

Warner Bros. Television Absorbed Lorimar Television In 1993

Warner Brothers absorbed Lorimar Television in 1993. Lorimar Television was once viewed as a prominent production company in the entertainment industry long before its absorption.

Source: Wikimedia Commons

The studio was primarily known for its lasting hits such as “Knots Landing” and “Dallas.” Its absorption essentially showed a major shift in the landscape of the entertainment industry as a whole.

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Sally Reed

Written by Sally Reed

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