Cineplex closes private placement of notes

On February 26, 2021, Cineplex Inc. ("Cineplex") announced the closing of a previously announced private placement of C$250 million aggregate principal amount of 7.5% senior secured second lien notes due February 26, 2026.

The notes were underwritten by BMO Capital Markets and Scotiabank, as joint bookrunning managers, and RBC Capital Markets, as co-lead manager, in a syndicate that included CIBC Capital Markets, National Bank Financial Markets and TD Securities.

Cineplex will use the net proceeds of the offering to repay indebtedness under its credit facilities, of which C$50 million will constitute a permanent repayment under the company's term facility and an additional C$50 million will constitute a permanent repayment under its revolving credit facility. The remaining C$144 million balance of the net proceeds will be used to pay down the revolving facility, however may be redrawn to fund the ongoing liquidity needs.

Further information can be found on Canada Newswire’s website.

Cineplex is a top-tier Canadian brand that operates in the Film Entertainment and Content, Amusement and Leisure, and Media sectors.