Posted in: Comics, Current News | Tagged: bankruptcy, diamond

Universal Distribution And Ad Populum Officially Buy Diamond Comics

Universal Distribution and Ad Populum officially buy Diamond Comic Distributors after Chapter 11 bankruptcy proceedings

It's official—well, as official as these things can be. But after this week's court hearings, Universal Distribution LLC and Ad Populum have officially completed the acquisition of Diamond Comic Distributors and their related assets, such as Alliance Gaming, Diamond Select Toys, Diamond Book Distributors, CGA, and more, after a controversial Chapter 11 bankruptcy process.

So, who gets what? As agreed, Canadian comics and games distributor Universal Distribution has acquired the assets of Alliance Game Distributors. While Ad Populum, owner of NECA, Kidrobot, WizKids, Chia Pet, Rubies, Smiffys, Enesco and Graceland, has now acquired the assets of Diamond Comic Distributors, Diamond Book Distributors, Diamond Select Toys & Collectables, Collectable Grading Authority, and other related assets. Diamond UK remains separate from this sale process, but it has agreed that it will be sold to Universal Distribution, separate from the Chapter 11 bankruptcy process, which will continue.

"We are pleased that this transaction has been completed and are confident that the publishers and retailers Diamond partnered with, our employees, and comic and games fans are in good hands with Universal and Ad Populum," said Diamond Chief Restructuring Officer Robert Gorin.

"We are thrilled to officially welcome Alliance into the Universal Distribution family. This acquisition marks a transformative step forward in our mission to deliver exceptional service and value to retailers and publishers across North America. By combining Alliance's respected legacy and expansive network with Universal's operational strengths and innovation-driven approach, we are poised to elevate the distribution experience across the industry. We look forward to building on the trusted relationships Alliance has cultivated and continuing to support the growth and vibrancy of the hobby gaming community," said Angelo Exarhakos, President and CEO of Universal Distribution.

You can use these Diamond and bankruptcy tags to keep up with the latest on Bleeding Cool. Here's a timeline if you want to catch up…

• On the announcement of Chapter 11 on the 14th of January, Diamond started a 13-week bankruptcy process run by financial firm Raymond James, got financing to operate, and announced an auction for its assets.
• Those assets included Diamond Comic Distribution, Alliance Gaming Distribution, Diamond Select Toys, CGA and Diamond UK
• Universal Distribution was named the Stalking Horse bidder for Alliance Games and Diamond UK, which required a purchase commitment of thirty-nine million dollars, but with certain discounts and privileges for taking that position.
• The auction took place, and it went late. There was food and breakfasts billed for.
• And Alliance Entertainment, or AENT, was named the top bidder for the assets of $72,245,000, though not for Diamond UK. This was widely announced, including by Diamond themselves.
• Then we learned that a joint bid by Universal Distribution and Ad Populum came second and was named the back-up bid, with a bid of $69,130,000. With Universal getting Alliance and Diamond UK, and Ad Populum getting Diamond Comics, Diamond Select Toys and everything else. Basic Fun was third with fifty million.
• A court hearing with the Honorable Judge Rice in Courtroom 9-D at the United States Bankruptcy Court for the District of Maryland at 10 am was intended to ensure the legality of the bid and the process.
• But instead, over that weekend, the debtors declared that they had chosen the back-up bid from Universal and Ad Populum instead of AENT, despite AENT having bid more. No reason was given.
• AENT filed a lawsuit regarding this decision.
• It took the bankruptcy court to reverse that decision and state that AENT with the higher bid had won, though they would have to withdraw their lawsuit.
• AENT has terminated their winning bid and purchase.
• Universal Distribution and Ad Populum were back in the running
• Diamond declared "business as usual" but the courts threatened Chapter 7 over late paperwork.
• AENT sued Diamond, claiming fraud
• Diamond says it's all in hand and went back to court, wanting to be owned by Universal and Ad Populum.
• Sale of Diamond to Universal and Ad Populum was approved by the courts.
• Though Ad Populum paid more than we thought.
• Podcast blamed/credited with the current state of affairs
• Diamond tells Skyrush to stop claiming they won CGA.
• As part of court filings, Diamond released details for every comic store on account.
• And here we are now… we have some finality,

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