Digital Domain: Bankruptcy After the Tupac Projection

In April 2012, the visual effects studio co-founded by director James Cameron created the Tupac projection for Coachella. On September 12, 2012, media outlets reported that Digital Domain Media Group had filed for Chapter 11 bankruptcy protection.

The Stock Plunges from $9.20 to 55 Cents

Yet the initial public offering had taken place only ten months earlier. Following the Coachella performance, the stock had briefly climbed to $9.20, but most recently stood at 55 cents. In court filings, restructuring officer Michael Katzenstein stated that the company was running out of cash; in addition, it had violated terms set by its lenders.

CEO John Textor had resigned the previous week, and around 320 employees had lost their jobs. According to the AP, the investment firm Searchlight Capital Partners intended to acquire the core business for $15 million. Rolling Stone and Complex also reported on the story.

The Hologram Tour Becomes Unlikely

The performance brought the studio attention, but did not save it. Complex deemed the hologram tour unlikely as a result; see Dre’s denial.