Entertainment company CBS plans to bid against private equity firms and American Idol host Ryan Seacrest for his former mentor Dick Clark’s production company, it is understood.
Colony Capital, Core Media Group and Guggenheim Partners have been linked with bids for Dick Clark Productions, which is currently controlled by Red Zone Capital, the private equity firm of Washington Redskins owner Daniel Snyder, according to Reuters.
The interest from Seacrest, pictured, follows global private equity firms Thomas H Lee Partners and Bain Capital agreeing to invest up to $300m in his production company in a bid to target new opportunities in the US media space.
The firms backed Ryan SeaCrest Productions in February to identify, acquire and develop innovative media companies, media content and other media properties that can be leveraged to support a range of media businesses.
Seacrest, who co-hosted New Year’s Rockin’ Eve with Clark in recent years, described him as “one of the greatest influences of my life” following Clark’s death in April.
Between four and six companies are thought to have made it to the second round of bidding.
The report added that seventeen potential bidders had received deal books with the company’s financial information from The Raine Group, a boutique investment bank running the process.
It is believed the company could sell for $300m to $350m.
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