Cineplex (CGX) ran 6% on the back of rumours it’s testing the waters with potential buyers like Cineworld and Cinemark, who trades at a higher multiple…
… but suffers from a similar post-pandemic lull in theatre patronage, making consolidation a potential path to margin preservation. A deal would follow the $70M sale of CGX’s place-based media business…
… which didn’t have the value unlocking effect investors had hoped for.
