Hollywood studio MGM or Metro-Goldwyn-Mayer said on Friday that it is exploring possibilities of a potential sale of the company. MGM is struggling to pay off its debts. MGM also said that it is considering its options to operate as a stand-alone and is looking at possible strategic partnerships.

MGM has a debt of $3.7 billion which stems from its 2005 buyout. It also faces payments on a $250 million revolving credit facility which is due on April next year.

According to a source, MGM will open its books to interested parties in the next few days. These “interested parties” or potential buyers are said to include Lions Gate Entertainment Corp, Time Warner Inc, and Viacom Inc.

MGM hired Investment bank Moelis & Co to help the studio refinance its debt as well as supervise a potential sale process.

However, despite these financial problems, movies currently under production as well as other projects will push through.

(via Reuters)