Image Source: Pixabay

There have been rumors about Amazon (AMZN), and pretty much every other big tech firm, kicking the tires at MGM (MGM) for quite a while, but Variety is reporting that "Amazon’s interest in acquiring MGM has taken on a new tenor beyond the usual rumor mill. The deal is said to be being orchestrated by Mike Hopkins, senior VP of Amazon Studios and Prime Video, directly with MGM board chairman Kevin Ulrich, whose Anchorage Capital is a major MGM shareholder."

Apparently there's a $9 billion offer on the table. Like I always say, "Rich or poor, it's nice to have money."

This is not a surprise, but it did make me think back to Ted Turner's reasons for purchasing MGM. Back in 1985, $1.5 billion got him 2,200 movies to play on his superstation WTBS, including ''Gone With the Wind,'' ''The Wizard of Oz,'' and ''Singin' in the Rain.'' Things have progressed nicely since 1985, as the library now has more than 4,000 movies and more than 17,000 episodes of iconic television shows. For Amazon, $9 billion seems like a bargain.

Read more about this from Variety below:

Amazon is weeks into negotiations on a deal to acquire MGM for about $9 billion, industry sources tell Variety.

Chatter that Amazon (and other tech and media giants) have been sniffing around MGM has circulated for some time. But sources indicated that Amazon’s interest in acquiring the studio has taken on a new tenor beyond the usual rumor mill. The deal is said to be being orchestrated by Mike Hopkins, senior VP of Amazon Studios and Prime Video, directly with MGM board chairman Kevin Ulrich, whose Anchorage Capital is a major MGM shareholder.

Reps for Amazon and MGM declined to comment.

MGM had already effectively nailed up a “for sale” sign: Variety confirmed in December that the company was looking for a buyer.

News of Amazon’s talks with MGM began to swirl this weekend. The Information reported Monday that Amazon was in talks about a potential deal for MGM, which could run between $7 billion and $10 billion. Industry sources said MGM reps have been whispering to prospective buyers for months about a price tag of $9 billion while others see it as worth about $5 billion.

In a sign Amazon has upped its focus on entertainment, last week the company announced that it had tapped Jeff Blackburn, a former high-ranking executive who recently exited the ecommerce giant, to return to Amazon in a new role overseeing a consolidated global media and entertainment group.

Continue reading on Variety.