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Report: Salon Media Group up for grabs at the fire sale price of $5 million

It’s not quite as bad as Newsweek selling for $1, but the owners of Salon Media Group seem anxious to unload their property and have lowered the asking price to what The New York Post calls “a fire sale price of $5 million.”

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Keith J. Kelly reports:

Salon Media Group, a one-time digital darling, has fallen on hard times. It lost its CEO of the past three years last week and appears to be on the brink of a deal to sell itself for a fire sale price of $5 million.

The struggling company said in a Securities and Exchange Commission filing on May 8 that it reached a deal to sell itself to a company called Salon.com LLC.

The filing contained no further info on the mystery buyer or buyers but said the deal would only require a $550,000 payment at closing. It said $100,000 would go to an escrow account and $500,000 was already paid as a deposit.

The remaining $3.85 million would be a promissory note payable in two installments over two years.

Even with those favorable terms, Salon issued a dire warning in the filing: “There can be no guarantee that the asset sale will be completed and, if not completed, we may have to file for bankruptcy and liquidation.”

Better keep the “learn to code” jokes out of your tweets for a little while so as not to be banned for targeted harassment.

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