Vue Entertainment to postpone IPO after major Canadian shareholder considers selling stake
The UK's largest cinema chain, Vue Entertainment, may postpone its plans for a stock market float after news that one of its biggest shareholders is considering selling its stake in the company.
According to Sky News, which first reported the reshuffle, Canadian company Alberta Investment Management Corporation (Aimco) is seeking a buyer for its ts 37 per cent stake in the British cinema company.
Aimco’s decision to sell off its shares will likely mean that Vue’s plans for an initial public offering (IPO) may be delayed for at least a year.
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In a statement to Morning Wire, a spokesperson for Vue Entertainment said: “Shareholders will always consider timely opportunities to realise their successful investments a part of any natural investment strategy and cycle.
“Aimco have been working with us for nearly five years now, during this period the business has grown substantially internationally and out-performed in all areas, as it continues to do so, and we have had a very successful relationship.
“We are all very excited about the next stage of the company’s evolution”.
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Vue has had a strong financial performance of late, with its first quarter results announced in April, showing it had seen its highest UK admissions for five years, and its third highest group admissions ever.
The company also saw a 4.1 per cent increase in turnover driven by the UK and Poland.
Vue said that its strong UK admissions were due largely to the strength of the latest Star Wars instalment, Star Wars: The Last Jedi.
Other major shareholders in the company include Canadian pension fund Omers and founder Tim Richards who holds the remaining 26 per cent.
Speculation of Vue’s listing have been circling for a number of years.