14th Feb 2014 11:21
LONDON (Alliance News) - Cineworld Group PLC Friday said it completed the rights issue that will partly fund the acquisition of Cinema City.
In a statement, the company said it got valid acceptances for about 95.67% of the shares on offer under the 8 for 25 Rights Issue, and the rest were then placed by the banks running the offer.
Cineworld had announced the acquisition of Poland-based Cinema City last month, a deal that will create the second-largest cinema business in Europe.
It is paying GBP272 million in cash and will issue Cinema City parent Cinema City International NV with a 24.9% stake in Cineworld. It said would part fund the cash element of the consideration by raising GBP110 million through a 8 for 25 rights issue of up to nearly 48 million new shares at 230 pence each.
Cineworld shares last traded at 110 pence.
By Steve McGrath; [email protected]; @SteveMcGrath1
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