Alliance Entertainment Acquires Most of Diamond Comics Distributors' Assets
Alliance Entertainment is a global distributor of physical media (including home video, games, and music) and merchandise. One of its subsidiaries, Distribution Solutions, began handling distribution of Blu-ray Disc and home entertainment products from Sentai Filmworks and Section 23 in April 2023, after Crunchyroll acquired anime and otaku media retail site Right Stuf in August 2022.Diamond is one of the primary distributors of print comics in the United States, particularly to the "direct market" of comic specialty stores. Diamond Select Toys produces toys based on several brands including Godzilla, Mighty Morphin Power Rangers, and Transformers. Diamond announced on January 14 that it has filed a voluntary petition for relief under Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court in the District of Maryland. Companies who file under Chapter 11 are able to maintain business assets, which may or may not include licenses, in order to attempt to reorganize. Diamond cited that the decreased consumer activity, rising operating costs, and declining sales in the comic book industry post-COVID-19 led to its decision.Diamond continues to operate business during this time, with orders continuing to process as usual. The company plans to continue running Free Comic Book Day.Diamond's two largest unsecured creditors are Penguin Random House (a publishing company and distributor for other publishers, including manga ones such as Dark Horse) and Bandai. Diamond owes these two companies US$9,202,181 and US$4,348,743, respectively. Diamond also owes money to companies such as Viz Media, Square Enix, The Pokémon Company International, Hasbro, and more. Bankruptcy filings stated the company owed Udon Entertainment US$202,694.Source: Comics Beat (Heidi MacDonald)
