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RGC - Regal Entertainment News Story

$22.99 0.0  0.1%

Last Trade - 28/02/18

Sector
Consumer Cyclicals
Size
Micro Cap
Market Cap £n/a
Enterprise Value £n/a
Revenue £2.28bn
Position in Universe th / 6846

UPDATE 1-UK's Cineworld on track to complete Regal deal in March

Fri 2nd February, 2018 6:42pm
(Recasts, adds backing from Regal shareholder) 
    Feb 2 (Reuters) - UK's Cineworld  CINE.L  said its $3.6 
billion deal to buy U.S. cinema chain Regal Entertainment 
 RGC.N  was on track to close in March after it secured support 
from a majority of its own shareholders and the largest investor 
in Regal on Friday. 
    Cineworld said 87.34 percent of votes cast at a general 
meeting in London on Friday were in favour of the deal. 
    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. 
    Late on Friday, Cineworld said in a market announcement that 
Denver-based The Anschutz Corporation - the largest shareholder 
in Regal Entertainment - has submitted its written consent to 
the deal. 
    Cineworld said all company and Regal shareholder approvals 
needed to go ahead with the deal have been received, adding that 
it expects to complete on or before March 2. 
    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 
    The acquisition 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. 
 ($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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