IMAX - Leading Independent Proxy Advisory Firm Glass Lewis Recommends IMAX China Shareholders Vote FOR the Privatization Transaction with IMAX Corporation | Benzinga
Glass Lewis and ISS Now Both Recommend Support For the Privatization Transaction with IMAX
NEW YORK, Oct. 1, 2023 /PRNewswire/ -- IMAX Corporation (NYSE:IMAX) today announced that leading proxy advisory firm Glass, Lewis & Co. ("Glass Lewis") has recommended that shareholders of IMAX China (HKSE:1970), a Hong Kong-listed subsidiary established by IMAX Corporation to oversee its business in Greater China, vote "FOR" the Company's previously announced privatization transaction with IMAX. Previously, leading proxy advisory firm Institutional Shareholder Services Inc. ("ISS") also recommended in favor of the privatization transaction.
In making its recommendation, Glass Lewis stated in its September 22, 2023 report that1:
- "The board has presented a sufficient case to support its view that the scheme ultimately presents an opportunity for shareholders to realize their investments at attractive premiums."
- "The Advisor's fairness opinion relies on reasonable methodologies and assumptions and ultimately suggests that the value provided by the scheme is within a reasonable range."
- "At the same time, the offer represents what we consider to be substantial market premiums."
Rich Gelfond, CEO of IMAX Corporation, commented on the report saying, "Glass Lewis joining ISS in recommending in favor of our offer to take IMAX China private is further validation of the benefits of this transaction. We continue to encourage shareholders to approve this offer, which represents a substantial premium to current market price."
Earlier, ISS also encouraged IMAX China shareholders to vote "FOR" the Company's previously announced privatization transaction with IMAX2:
- "A vote FOR these resolutions is warranted given that the Scheme will assure value for the shareholders as well as allow them to leverage the value of their investments in the company at a reasonable premium to the historical price of the shares."
- "The Offer Price is deemed fair and reasonable. If the Scheme is not approved and the company's withdrawal of listing will not take place, the shareholders could face the risk of the company's share price ...