Gawker Media was crushed by the $140 million legal judgment in Hulk Hogan's invasion-of-privacy lawsuit, which we now know was financed by a bitter and resentful Peter Thiel. Nick Denton's gossip news site Gawker.com published a sex tape featuring former wrestler Hulk Hogan, and the former wrestler (real name: Terry Bollea) sued with Thiel's help.
The publishing company is now putting itself up for sale, reports the New York Times, citing an anonymous source. Gawker Media Inc. filed for Chapter 11 bankruptcy on Friday "after a judge overseeing the suit against the company entered the full judgment and denied Gawker's request for a stay under terms the company could meet."
Terry Bollea, aka Hulk Hogan, sits in court during his trial against Gawker Media, in St Petersburg, Florida March 17, 2016. Reuters
Reports Sydney Ember at the New York Times:
The company is beginning an auction, said the person, who spoke on condition of anonymity because the auction has not been announced. ZiffDavis, a digital media company, has submitted an opening bid of $90 million to $100 million, the person said.
The person said Gawker has filed for bankruptcy to protect jobs and ensure continued operations. The company's decision to sell itself came just weeks after it was revealed that the Silicon Valley billionaire Peter Thiel financially supported Mr.Hogan's lawsuit. The company still plans to appeal the case.
As our own Rob Beschizza wrote earlier in the privacy case, Every tabloid wants to die for its virtues. Looks like Gawker gets its wish.
