IMAX Shares Rise After It Agrees To Sell 20% Of IMAX China

By | Tuesday April 8, 2014 @ 6:20am PDT

IMAX-logo__120222154733-200x105__130708183958The stock is up 4.4% in pre-market trading, indicating that investors like the large screen theater company’s $80M transaction with Chinese investment fund CMC Capital Partners and private equity firm FountainVest Partners. The deal should expand IMAX‘s opportunities in one of the film world’s fastest growing markets. The company says it expects the transaction with CMC and FountainVest to lead to an IPO of IMAX China so it can raise funds to continue its growth there. And in a country where personal connections are critical, IMAX touts the opportunity to take advantage of CMC chief Ruigang Li’s “knowledge of the Chinese media and entertainment industry.” IMAX CEO Richard Gelfond says that it “makes sense to bring in Chinese investors to help us better address local market dynamics and further optimize our business in China, including both our core theatre business as well as new business initiatives such as the home theatre joint venture we announced last year with TCL.” IMAX China will pay IMAX a licensing/marketing fee to use the brand, potentially enabling IMAX to cut its capital spending outlays by $15M a year, Stifel analyst Benjamin Mogil estimates. He believes that could enable the company to return cash to shareholders, either through a dividend or by repurchasing shares, and “likely ensures that the company continues to receive favorable treatment regarding film quotas in the region.”

Here’s the release: Read More »

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‘The Monkey King’ Sets Opening-Day Record For IMAX China

By | Tuesday February 4, 2014 @ 1:35pm PST

ImaxIt was definitely a happy Chinese New Year for IMAX on Friday. The giant-screen exhibitor said local-language hit The Monkey King grossed $1.8M on January 31, breaking China‘s opening-day IMAX record of $1.5M set by Iron Man 3Read More »

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Global Showbiz Briefs: China, Dubai

By | Wednesday October 5, 2011 @ 3:00am PDT

Imax Expanding In China With Revenue-Sharing Deal
China will get 15 more Imax theaters under a revenue-sharing agreement between Imax and Korea’s CJ CGV Holdings. The first of the theaters will be installed this year, with the other 14 set for … Read More »

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Global Showbiz Briefs: UK, India, China

By | Friday September 9, 2011 @ 9:20pm PDT

Simon Cowell Tries To Deflect Flak From ‘Red Or Black?’
The music and TV mogul said today “human error” was to blame after a man who did time for domestic abuse, Nathan Hageman, won the £1M jackpot on the game show’s … Read More »

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