(WJET) — The parent company of the well-known movie rental service, Redbox, has filed for Chapter 11 bankruptcy on Friday with the U.S. Bankruptcy Court in Delaware.
Chicken Soup for the Soul Television Group, this company is a subsidiary of Chicken Soup for the Soul, which publishes the famous book series and produces pet food for the brand. They are one of the largest ad-supported streaming services, running Redbox, Crackle as well as Chicken Soup for the Soul.
The court documents state that the company holds a total of $414 million in assets and $970 million in debts to over 200 creditors.
This comes after the company allegedly failed to pay their employees, and just a few weeks after the company made with the SEC which dissolved its board of directors. In this filing, they shared that their net losses had widened and that bankruptcy was possible if the company couldn’t secure funding.
