pretty crazy this still trades at .65 granted its only 7.6m market cap .... 205m in debt, huge amount of leases. doubt 16 theaters with 123 screens fetches the at least 225m needed to even have a chance at recovery for equity but in this world who knows what could happen.
Past Movie M&A:
Starplex acquired for 172m had 33 theaters 343 screens
Marcus theaters buys movie tavern for 126m consideration, 22 locations 208 screens
Regal buys Hollywood Theaters, for 238m, 513 screens 43 theaters
Granted Ipic has nicer theaters but revenue is revenue IMO
Debtor received additional bids to stalking horse bid with the FTD Assets, Provide Commerce and Gourmet Foods.
Postponed auction 9 days ( for everyone to prepare?)
Industry player could pay a better multiple of revenue than PE shop can IMO
Who knows what the final number could be but a .2 instead of multiple of rev vs the current .1 would launch this into the money.
cue Renee, delisting happening.
Also confirming the obvious in the 8-k:
"It is unlikely that holders of the Company’s common stock will receive any recovery on account of such securities"
Parent company itself didn't file for bk, their sub did. Shareholders of the parent get to keep the cash there (which is not much but still), NOL's, and the nasdaq listing. Most importantly their intercompany loan claim with Aegion has been upheld which was 34m, and has been involved with the restructuring agreement giving shareholders about 8% of the new co, or 84% of the initial claim ie 30m.... Whitefort capital has been active in this name all along and has continued to buy post filing. trading at 15m now i only a little bit of it.
From the NT 10-K
"As previously reported in Part II, Item 9A, “Controls and Procedures” of the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2017, the Company has identified a material weakness in its internal control over financial reporting, which material weakness remains unremediated as of December 31, 2018. The Company is in the process of completing its evaluation of internal control over financial reporting and may have further deficiencies to report. In addition, the Company expects to continue to report that there is substantial doubt about its ability to continue as a going concern."
You guys have been warned by mgmt
According to the 1904321th amendment:
"“Maximum Outstanding Amount” means (i) as of the Fifteenth Amendment Effective Date, an amount equal to $236,809,000 and (ii) as of April 15, 2019, an amount equal to the lesser of (x) $135,809,000 or (y) $236,809,000 minus the Actual Reduction Amount"
They got at most 72m in proceeds to pay down this down from 236, which means the lesser will most likely be the 135m..... and that they need another 30m in 10 days