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RGC - Regal Entertainment News Story

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Last Trade - 28/02/18

Sector
Consumer Cyclicals
Size
Micro Cap
Market Cap £n/a
Enterprise Value £n/a
Revenue £2.24bn
Position in Universe th / 6846

UK's Cineworld investors back Regal Entertainment deal

Fri 2nd February, 2018 12:07pm
Feb 2 (Reuters) - Britain's Cineworld  CINE.L  said a 
majority of its shareholders backed a $3.6 billion deal to buy 
U.S. cinema chain Regal Entertainment  RGC.N . 
    Shareholder advisory group Institutional Shareholder 
Services (ISS) had urged investors last week to oppose the deal, 
citing "significant financial and operation risks." 
    Other shareholder advisory firms, including PIRC, had 
recommended that investors back the takeover. 
    London-listed Cineworld agreed in December to buy Regal 
Entertainment through a reverse takeover funded with debt and a 
1.7 billion pound ($2.42 billion) share sale.  urn:newsml:reuters.com:*:nL8N1O5161 
    Cineworld said 87.34 percent of votes cast at a general 
meeting backed the acquisition, which will give the British 
company a presence in the U.S. market and transform it into the 
world's second-biggest cinema chain by number of screens, with 
more than 9,500.  urn:newsml:reuters.com:*:nL8N1PJ5OV 
    A majority of Cineworld shareholders also approved the share 
sale to fund the deal, the company said on Friday.  urn:newsml:reuters.com:*:nRSB7806Da  
    "As will be seen from the proxy votes, there was very strong 
support from shareholders for the acquisition," Cineworld's 
Chairman Anthony Bloom said in a statement. 
    The takeover would put the combined company in a better 
position to take on industry leader AMC Entertainment Holdings 
Inc  AMC.N , and give it more scale to fight growing competition 
from Netflix Inc  NFLX.O , Apple Inc  AAPL.O  and other digital 
outlets. 
    Cineworld expects to complete the transaction on or before 
March 2. 
 ($1 = 0.7033 pounds) 
 
 (Reporting by Rahul B in Bengaluru; Editing by Adrian Croft) 
 ((Rahul.B@thomsonreuters.com; UK: +44 20 7542 1810; Outside UK: 
+91 80 6749 6338; Reuters Messaging: 
rahul.b.thomsonreuters.com@reuters.net)) 
 
Keywords: REGAL ENTNMNT GP M&A/CINEWORLD GROUP
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