16th Sep 2015 07:06
LONDON (Alliance News) - Marwyn Value Investors Ltd on Wednesday said it has struck a deal with Canada Pension Plan Investment Board to sell its remaining stake in FTSE 250 media company Entertainment One Ltd.
Marwyn will sell its 17.9% stake in Entertainment One for GBP142.4 million via the Marwyn Value Investors LP fund, in a disposal that will raise GBP103.4 million for the investor. The 52.9 million shares were sold at 269.00 pence per share.
Entertainment One shares were up 3.4% at the open at 280.00 pence following the news, making it the best performer in the FTSE 250 in early trade. Meanwhile, Marwyn Value Investors shares were up 2.8% at 220p.
Marwyn will return GBP10.0 million to shareholders following the sale and will use the rest to back its existing investment portfolio and make further acquisitions.
Entertainment One, meanwhile, welcomed the deal and the addition of the Canada Pension Plan Investment Board to its shareholder base.
"We look forward to welcoming CPPIB as a significant shareholder of eOne. CPPIB has a strong track record of focusing on the long term success of the companies in which it invests and we are excited that it will play a part in the eOne story as we execute our strategy to double to size of the business over the next five years," said Chief Executive Darren Throop.
By Sam Unsted; [email protected]; @SamUAtAlliance
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