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ProElite’s assets to be sold off through public auction on Nov. 17

Showtime Networks and parent company CBS Corporation filed paperwork with the Securities and Exchange Commission on Tuesday to announce that ProElite, Inc.’s assets would be made available to high bidders through public auction on Nov. 17.

“Showtime gave the Issuer a notice pursuant to the Security Agreement, as amended, that it intends to sell all of the Issuer’s personal property, whether tangible or intangible, to the highest bidder at a public sale,” states the filing. “Showtime reserves its rights under the Security Agreement, as amended, and applicable lawto adjourn or cancel the sale and thereafter dispose of such property in a public or private sale or in any other manner provided by applicable law.”

This latest development comes in light of recent news that ProElite responded to several managers and fighters that had cited material breaches in their contracts by signaling their intent to promote shows in 2009. Those claims were met with great skepticism by FiveOuncesOfPain.com founder and publisher Sam Caplan in an opinion-editorial column published yesterday titled “Even in death, ProElite and EliteXC finding ways to hurt the sport.”

Several industry insiders contacted Five Ounces of Pain to dispute the accuracy of the column, expressing that ProElite was indeed looking at ways to continue promoting shows as a restructured operation. However, in the end, it doesn’t appear that the final decision to continue was in ProElite’s hands after CBS and Showtime filed a notice of default last week pertaining to millions of dollars of that had been loaned to ProElite.

5 COMMENTS
  • gygax says:

    Any word on whether fighter contracts will be among the assets up for public sale?

  • Sergio Hernandez says:

    I call dibs on Carano’s contract!!

  • Joseph says:

    NOTICE OF PUBLIC SALE

    Notice is hereby given that the Collateral (as defined below) will be sold by Showtime Networks Inc. (“Showtime”) at a public sale on November 17, 2008 at 10:30 a.m. (Pacific Standard Time) at the offices of Hughes Hubbard & Reed LLP, 350 South Grand Avenue, Los Angeles, California 90071. The term “Collateral” means all of ProElite, Inc.’s (“ProElite”), Real Sport, Inc.’s (“Real Sport”), ProElite.com’s (“ProElite.com”), EliteXC Live’s (“EliteXC”) and King of the Cage, Inc.’s (“KOTC”; each of ProElite, Real Sport, ProElite.com, EliteXC and KOTC, a “Debtor” and collectively, the “Debtors”) right, title and interest in, to and under, whether now owned or hereafter acquired by such Debtor, all present and after acquired personal property of such Debtor, whether tangible or intangible, wherever located and of whatever nature. The Collateral includes all contracts between any Debtor and mixed martial arts fighters (including, but not limited to, Kevin Ferguson a.k.a. “Kimbo Slice”, Gina Carano, Jake Shields, Robbie Lawler, Frank Shamrock, Antonio Silva, Brett Rogers, Dave Herman, Scott Smith, Nick Diaz, Cristiane Venancio Justino a.k.a. “Chris Cyborg”, Eddie Alvarez, Yves Edwards and Wilson Reis) and all of each Debtor’s video library, still photographs and home videos (e.g., DVDs and VHS tapes). The Collateral will be sold to the highest qualified bidder in public on November 17, 2008 at 10:30 a.m. (Pacific Standard Time) at the offices of Hughes Hubbard & Reed LLP, 350 South Grand Avenue, Los Angeles, California 90071. The Collateral will be sold on an “as-is, where-is” basis, without recourse, warranty or guarantee of any kind, express or implied, including as to title, possession, enforceability, validity, merchantability or fitness for a particular purpose. Interested bidders who would like further information regarding the Collateral to be sold should contact Kent Sevener at (212) 708-3259. Showtime reserves its right to adjourn or cancel the sale at any time.

  • Davey D says:

    It will be interesting to see what happens after all this. A lot of things will become public knowledge for the most part. I think Zuffa should pick up Sheilds, Alvarez and Feljio.

  • Caidel says:

    I believe, that Alvarez is actually under contract to Cox’s Adrenaline MMA, not EliteXC – and he is a perfect example of a fighter, who is right now better outside of the UFC as he is big star in Japan. (and his possible matchups right now are Hansen and Diaz – and Diaz probably won’t end in UFC either)

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