Reuters
Cineworld shares tumble after damages over scrapped Cineplex deal
(Reuters) -Cineworld shares plunged by 40% on Wednesday after the British cinema operator was ordered to pay C$1.23 billion ($957 million) in damages to rival Cineplex for abandoning a planned takeover, a decision it said it would appeal. Cineworld, the world’s second largest cinema operator, said https://refini.tv/3oUR9Ck it disagrees with the Ontario Superior Court’s judgement and does not expect damages to be payable to the Canadian company while any appeal is pending. The Canadian court ruling denied Cineworld’s counter-claim and included C$5.5 million for lost transaction costs. Cineworld might win the appeal, negotiate a resolution with Cineplex, or be obliged to raise more capital on unfavourable terms, Peel Hunt analyst Ivor Jones wrote in a note.
