Member Info for cekim

Iparsnip,
Cineworld will not pay anything until after the appeal no matter what happens to Cineplex.

Happy New Year to everyone except JG who seems an absolute roaster. Good health and wealth to all except JG.

I think it's about time the great and powerful Mooky made a statement. Get your finger out and tell us what you plan to do. It's the shareholders money that is at risk here not just his own!!

Really Burmas got a better govt than Westminster

How can you issue an RNS like that and end up red . UNBELIEVABLE.
I really have lost all hope with this share.

If the selfish idiots who have not had any vaccines got a vaccine this would be a whole lot easier to manage. Hospitals will be full of non vaccinated in a few weeks if they're not full already. It is beyond belief the amount of non vaccinated idiots, no doubt they will be 1st to go to hospital if they get the slightest symptoms. Makes my blood boil.

Yes your right mountainous I'll get something written up and sent at the weekend.

I suggested on 24th November that there was a leak and got shot down. Wished i had gone with my gut feeling then and sold. It might have been a bit easier to sleep if i had, anyway just have to hold and hope things pick up.

cheers Kutzz all the best to you and your loved ones

part 2
Following Conway's decision, Cineplex's stock price increased by about 10 per cent to $13.02 in Toronto, while Cineworld's dropped by nearly 40 per cent to 28.44 pounds on the London Stock Exchange.

Cineworld felt it was free to walk away from the deal because it claimed Cineplex strayed from "ordinary course," when it deferred its accounts payable by at least 60 days, reduced spending to the "bare minimum" and stopped paying landlords, movie studios, film distributors and suppliers at the start of the pandemic.

"Ordinary course" is a legal clause frequently appearing in acquisition agreements because it helps companies terminate a deal and limit their risks, if other parties make dramatic moves that upend their operations.

Cineplex argued it followed an "ordinary course" for the industry during the pandemic. Deferred payments to landlords, film distributors and suppliers were the norm for the industry during COVID-19 and the delays did not hamper relationships with studio and real estate executives, Cineplex said.

It also pointed out the deal had a clause exempting outbreaks of illness or changes affecting the motion picture theatre industry from being considered "material adverse effects."

Conway agreed and said that Cineplex cannot be seen as defying ordinary course commitments because pandemic mandates issued by the government stymied its normal operations.

The economics of the deal did not change because of the deferrals and spending reductions, but because of the pandemic, she wrote.

"Because of the pandemic, Cineplex was no longer the attractive deal to Cineworld at $34 per share that it had been," she said.

"However, that was the systemic risk that Cineworld assumed when it agreed to exclude the pandemic from the definition of Company Material Adverse Effect."

This report by The Canadian Press was first published Dec. 15, 2021.

Companies in this story: (TSX:CGX)

Tara Deschamps, The Canadian Press

Heres a bit more detail.
TORONTO — The Ontario judge who ruled in Cineplex Inc.'s favour in a case against its former suitor Cineworld Group PLC found testimony from the U.K. theatre giant's executives was contradicted by their text messages and other internal documents.

Judge Barbara Conway said in a decision that Cineworld CEO Mooky Greidinger, his brother Israel Greidinger and chief financial officer Nisan Cohen testified that they had intended to close the $2.18-billion Cineplex deal up until they accused Cineplex of alleged breaches last summer.

However, Conway says their communication "paints a very different picture" of executives, who were considering calling off the deal as early as mid-March and by the third week of April had no intention of proceeding with paying $34 per share.

"By March, the pressure was on Cineworld to reconsider the transaction. Its share price was collapsing," Conway wrote in her judgment filed Tuesday.

"Investors sent panicked emails to Cineworld’s executives, urging Cineworld to reconsider and walk away from the Cineplex deal."

For example, Steven Levey of ION Asset Management, one of Cineworld’s largest shareholders, asked Cohen on March 2 whether his company was thinking of walking away from the deal or at least renegotiating.

"Based on where the market is now, there is clearly a case for paying a much lower price," Levey wrote.

"There is no way that you would pay that price today. NO WAY."

Coehn replied, "We understand and analyzing all options, step by step."

Cohen testified that Cineworld was not considering its options, but trying to placate Levey. Conway did not agree.

Furthermore, she found Cineworld was long considering dropping the deal because it was facing liquidity concerns and having trouble increasing a revolving credit facility by $110 million.

Israel Greidinger testified that many potential lenders for the facility didn't want to increase their exposure to Cineworld during the pandemic and several, including Citizen Bank, continued to seek confirmation that the deal would not proceed.

Cohen told the lenders he would explain the situation over the phone, but not in writing.

"Considering all of the evidence, I cannot accept the testimony of Messrs. Greidinger and Cohen that Cineworld remained intent on closing the transaction at $34 per share throughout the relevant period," Conway said.

The executives ended up in front of a court after Cineworld walked away from its planned takeover of Cineplex in June 2020, alleging Cineplex was responsible for "material adverse effects."

Cineplex called it a case of "buyer's remorse" and sued for more than $2.18 billion in damages. Cineworld filed a counter claim valued at about $54.8 million.

Conway found Cineplex was not guilty of the alleged breaches and awarded the company damages of $1.24 billion, though Cineworld has since vowed to appeal the decision.

Following Conway's decision, Cineplex's stock pr

people still buying and still it drops further.

We're all Doomed!!!
Lets wait and see it might not be too bad.
Merry F****** Xmas

Join the club mate. Is anyone in profit with this dog?

Surely not, another RNS and another drop.Who would have believed that.

This is getting very serious now. Something big is going on for this sustained drop to carry on.

i think there must be a leak of the court case outcome

God only knows with this share.

Hopefully the farmer leaves the gate open and they find their way here.

Where's the herd everyone was talking about.