×
You will be redirected back to your article in seconds

IMAX China Sets Cautious IPO Share Price

IMAX China has set the price of its IPO in Hong Kong at the lower to  middle of the indicated range.

The company said that its shares will be sold at HK$31 apiece and that it will sell 62 million shares, raising a guaranteed HK$1.922 billion (US$248 million). Those figures could increase if overallotment shares are also sold.

Last week the company said the offering would take place at HK$29.8-HK$34.5 per share. The cautious pricing likely reflects the recent turbulence in Chinese equity markets.

The company will receive US$58.2 million from the sale, with existing shareholders reducing their stakes taking the bulk of the proceeds.

The company say that it plans to use the majority of the net proceeds to expand the IMAX network of theatres in China, as well as to build up its inventory of IMAX theatre systems.

The sale process which straddles a public holiday will close by October 8, 2015 (Hong Kong time). The share are expected to be listed on the Hong Kong Stock Exchange on the same day.

A pre-listing filing recently showed that as of June 30 there were some 251 IMAX theaters in operation across Greater China, the area covered by China, Hong Kong, Macau and Taiwan. The company has a further 217 screens on order from major clients including Wanda Cinema Line, CJ-CGV and Shanghai United.

The same filing pointed to massive growth in the mainland Chinese theatrical business, and a forecast that China’s gross box office would overtake that of North America in 2017.

It also showed considerable change within IMAX China’s business. The company plans to cut the number of theaters that are sold outright and to press for more theaters to be installed that work on a revenue sharing basis. That means higher upfront costs for the company, but a larger share of gross box office revenues over many years.

 

More Biz

  • IWC Schaffhausen store opening, Rodeo Drive,

    8 Luxury Gifts That Industry Leaders Are Spending Their Paychecks On

    Whether you’re celebrating a new launch, a new business venture, or toasting to the end of another successful year, here are eight gift ideas to reward yourself — and to impress the company you keep. 1. Saint Laurent Perforated Leather Tote Bag If you work in the industry, you need a good bag, and you’ve [...]

  • best airlines ranked inflight entertainment

    Holiday Travel Survey Reveals Airlines With Best In-Flight Entertainment

    There are many ways to pass the time if you’re in the air, but for most people, settling in with a glass of wine and a movie is the preferred way to fly. But not all airlines share the same script when it comes to entertainment offerings. A new survey from the website, CableTV.com, ranked [...]

  • Ventana Sur Rocks with Sales, Mass

    Ventana Sur Rocks with Sales, Mass Attendance, Structural Growth

    BUENOS AIRES — Celebrating its 10th anniversary with a huge hike in attendance to over 4,000 accredited delegates, the 2018 Ventana Sur will go down in history on multiple counts: Sales and pick-ups on movies which combined social comment and entertainment value, increasingly the new foreign-language movie standard; new sections, led by a Proyecta co-production [...]

  • Jennifer Lawrence Harvey Weinstein

    Jennifer Lawrence Denies Harvey Weinstein's Claim in Latest Assault Lawsuit

    Harvey Weinstein was hit with a lawsuit Friday from an actress who claims he forcibly performed oral sex on her, repeatedly masturbated in front of her, and threatened to harm her career if she objected. The suit details that Weinstein claimed he was trying to help her and that he was the gateway to her dreams. [...]

  • Times Up Hollywood

    Time's Up Entertainment Announces New Industry Mentoring Initiative

    Time’s Up Entertainment, an affiliate of the Time’s Up coalition of women across industries working to improve workplace safety, has announced the “Who’s in the Room” industry mentoring initiative. The program’s goal is to increase the presence of people of color from diverse backgrounds in the entertainment industry’s executive ranks. Funded by a $500,000 grant from [...]

  • Tom Cruise as Ethan Hunt in

    Paramount Inks Deal for Theme Park in South Korea

    Paramount Pictures has announced a deal to install a studio-branded theme park in an entertainment resort being developed in South Korea. The agreement was struck between Paramount and Mohegan Gaming & Entertainment, which owns the Inspire Integrated Entertainment Resort in the South Korean city of Incheon. Mohegan has invested KRW 2.8 trillion ($2.4 billion) in [...]

  • Davan Maharaj Mel Gibson

    L.A. Times Publisher's Lawyer Was Accused of Extorting Mel Gibson

    The attorney who negotiated a $2.5 million exit package for L.A. Times publisher Davan Maharaj was previously accused of using secret recordings to extort actor Mel Gibson. Surreptitious recordings also figure in the Maharaj case. NPR reported on Wednesday that Maharaj taped Tronc chairman Michael Ferro. According to the report, Ferro was heard on the [...]

More From Our Brands

Access exclusive content