MGM studios will be offered $1.5 billion by Time Warner Inc. for an acquisition, according to a report published by the Financial Times. MGM, which is the owner of James Bond Franchise, will be paid in cash by Time Warner.

Time Warner already controls Hollywood's 4,100-film library and has a co-production deal with Warner Bros. for movies based on J. R. R. Tolkien's novel "The Hobbit ". So, this deal is going to add a lot of synergy value to it.

Last year, since MGM failed to make interest payments on $3.7 billion of debt accumulated from 2005 buyout, it has gathered interest from Liberty Media, News Corporation and AT&T.

MGM had been looking for a buyer. The studio also shared that it has received a lot of bids, which will be reviewed in a few days.

Though the studio was wishing to attract bids exceeding $2 billion, it received offers between $1.2 billion and $1.5 billion. The studio's lenders may push for insolvency, instead of selling it below their expectations.