IMAX China Privatization Transaction Fails To Achieve Threshold Needed For EGM Approval

(RTTNews) - IMAX Corp. (IMAX) confirmed that the company's proposal to acquire IMAX China's outstanding 96.3 million shares will not proceed following a vote by IMAX China shareholders. IMAX said 70% of the shares voted were in favor of the proposed transaction; however, votes against exceeded the 10% threshold to defeat a privatization transaction.

IMAX China is a Hong Kong-listed subsidiary established by IMAX to oversee its business in Greater China.

IMAX said it will explore opportunities to deploy the incremental capital intended for the transaction through alternate means of creating shareholder value, such as share repurchases of IMAX Corporation stock.