Transaction will See SAW, LLC Become Part of 'Player One Amusement Group'
TORONTO, Nov. 10, 2016 /CNW/ - (TSX: CGX) - Cineplex Entertainment LP ("Cineplex") today announced that it is acquiring SAW, LLC ("SAW"). Expected to close in early December, the transaction will see Florida-based SAW become part of Player One Amusement Group, the new name for Cineplex Starburst Inc. a wholly- owned and operated subsidiary of Cineplex. The acquisition of SAW will be financed with cash-on-hand and existing credit facilities. Financial terms were not disclosed.
"We just finalized the acquisition of Tricorp Amusements Inc. last month and today's announcement is further evidence of our strategy to strengthen our operational infrastructure in the US," said Ellis Jacob, President and CEO of Cineplex. "SAW's expertise adds to our product and services offering and with its established client-base, we know this acquisition will open the door to opportunities for continued growth in the future."
Founded as Sunshine Companies in 1974, SAW is a leading provider of coin-operated rides, amusement and redemption games as well as bulk-vending equipment to hundreds of large-scale big box retailers, shopping centres and restaurant locations. Based in Pensacola, Florida, the company specializes in amusement sourcing, servicing and operations across 13 states in the southeastern United States.
"Cineplex is creating a new entertainment paradigm in North America. The addition of SAW to Player One Amusement Group is good for our industry, our people and our business," said Tres Sprinkle, shareholder and Chief Operating Officer of SAW. "The cross-utilization opportunities between our two companies are such that by working together, we become a stronger business that is better positioned for expansion across North America."
One of North America's leading providers of interactive video, redemption and amusement gaming equipment, Player One Amusement Group specializes in solution servicing and design for a wide range of customers in the theatrical exhibition vertical as well as community-based entertainment destinations such as bowling centres, restaurants, arcades, shopping centres and water parks. Cineplex Starburst Inc. (doing business as Player One Amusement Group) is headquartered in Toronto, Ontario, and employs over 450 people in 21 offices throughout Canada and the United States. More information is available at WinWithP1AG.com.
Forward Looking Statements
This press release contains "forward-looking statements" within the meaning of applicable securities laws, such as statements concerning anticipated future events, results, circumstances, performance or expectations that are not historical facts. These statements are not guarantees of future performance and are subject to numerous risks and uncertainties, including those described in the Cineplex Inc. Annual Information Form ("AIF"). Those risks and uncertainties include: adverse factors generally encountered in the film exhibition industry such as poor film product and unauthorized copying; risks associated with national and world events, including war, terrorism and international conflicts; natural disasters or extreme weather conditions; infectious diseases; changes in income tax legislation; and general economic conditions. In addition, these risks and uncertainties include: the ability to achieve the expected synergies and the timing of same; the effectiveness of integration efforts and risks related to the satisfaction of the conditions to closing the transaction; and the related financing arrangements, including future general economic and market conditions and the associated debt and equity capital markets. Many of these risks and uncertainties can affect our actual results and could cause our actual results to differ materially from those expressed or implied in any forward-looking statement made by us or on our behalf. All forward-looking statements in this press release are qualified by these cautionary statements. These statements are made as of the date of this press release and, except as required by applicable law, we undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. Additionally, we undertake no obligation to comment on analyses, expectations or statements made by third parties in respect of Cineplex, its financial or operating results or its securities. Additional information, including Cineplex's AIF, can be found on SEDAR at www.sedar.com.
Cineplex Inc. ("Cineplex") is one of Canada's leading entertainment companies and operates one of the most modern and fully digitized motion picture theatre circuits in the world. A top-tier Canadian brand, Cineplex operates numerous businesses including theatrical exhibition, food service, amusement gaming, alternative programming (Cineplex Events), Cineplex Media, Cineplex Digital Media, The Rec Room and the online sale of home entertainment content through CineplexStore.com and on apps embedded in various electronic devices. Cineplex is also a joint venture partner in SCENE – Canada's largest entertainment loyalty program.
Cineplex is headquartered in Toronto, Canada, and operates 165 theatres with 1,683 screens from coast to coast, serving approximately 77 million guests annually through the following theatre brands: Cineplex Cinemas, Cineplex Odeon, Cineplex VIP Cinemas, Galaxy Cinemas, SilverCity Cinemas, and Scotiabank Theatres. Cineplex also owns and operates the UltraAVX, Poptopia, and Outtakes brands. Cineplex trades on the Toronto Stock Exchange under the symbol CGX. More information is available at Cineplex.com.
For further information: Investor Relations contact: Pat Marshall, Vice President, Communications and Investor Relations, [email protected], 416-323-6648; Media Relations contact: Sarah Van Lange, Director, Communications, [email protected], 647-287-9582