Relativity on the Brink: Why Ryan Kavanaugh’s Big Hollywood Bet Has Failed

Relativity Media is poised to file for bankruptcy, a victim of its inability to deliver hit movies and its founder’s penchant for high risk

Ryan Kavanaugh Relativity
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He had money. He had charm. He had a helicopter, a Malibu mansion, movie star pals and friends at every studio.

For years, Hollywood insiders predicted the imminent demise of Ryan Kavanaugh. And yet every time financial ruin loomed, the young mogul emerged unscathed, with a new loan of $250 million, another equity partner willing to invest in his vision.

Until now.  Short of a last-minute miracle, Relativity Media is poised to file for bankruptcy, a victim of its own overblown ambitions, an inability to deliver hit movies and its founder’s penchant for high risk. Update: An individual with knowledge of the company’s plans said Chapter 11 filing would come on Thursday, and that mass layoffs would take place on Wednesday.

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