Eastman Kodak Co. is reportedly shopping its online photo-sharing business as the company scrambles to raise cash to fund its restructuring.
Rochester, N.Y.-based Kodak, according to a Wall Street Journal report, has approached photo-sharing rivals, private equity firms and retailers about buying its Kodak Gallery business.
The company, according to the report, is seeking hundreds of millions of dollars for the business, which allows its 75 million users to upload, share and print their photos.
Rivals in the business include publicly traded Shutterfly Inc., as well as Google Inc.-owned Picasa and Flickr, owned by Yahoo! Inc.
The potential sale appears to be part of the once-iconic camera maker's attempted transformation as consumers have all but abandoned traditional photography as they've moved toward digital imaging.
Kodak in July hired Lazard to help it explore options, including potential asset and patent sales, and in late September reportedly brought in Jones Day and FTI Consulting Inc. to help advise it in a potential restructuring.
The embattled company last week announced it had sold its image sensor business, including related facilities, to private equity firm Platinum Equity LLC for an undisclosed amount.
Reports surfaced earlier this week that holders of Kodak debt have retained Blackstone Group LP and Akin Gump Strauss Hauer & Feld LLP to help influence how the company handles its restructuring.
The debtholders were not named, but Avenue Capital Group, Solus Alternative Asset Management LP, D.E. Shaw & Co. LP and P. Schoenfeld Asset Management LP have all been mentioned in recent months as major holders of Kodak bonds.
Kodak has drawn down its revolving credit facility and has warned investors it might need to issue new debt in the months to come to sustain operations. But debt investors are urging Kodak to instead pursue asset sales.