Cinedigm Receives CFIUS Approval for Bison Capital Strategic Investment
November 21 2017 - 9:00AM
Business Wire
Cinedigm Corp. (NASDAQ: CIDM) (the “Company” or “Cinedigm”)
today announced that on November 20, 2017, Cinedigm received
written notification from the Committee on Foreign Investment in
the United States (“CFIUS”) that it will not take action to
prevent, unwind, or require any modifications to, the transactions
contemplated by the Stock Purchase Agreement dated as of June 29,
2017 by and between the Company and Bison Entertainment Investment
Limited (the “Agreement”). CFIUS approval was a condition to
closing the transactions under the Agreement, but the condition was
waived and the transactions were consummated on November 1, 2017.
The review by CFIUS is now concluded.
Bison Capital now beneficially owns a majority of Cinedigm’s
outstanding Class A Common Stock and Mr. Peixin Xu and Mr. Peng
Jin, both Directors of Bison Capital, have joined the Company’s
Board of Directors.
Bison Capital is a Hong Kong-based investment company with a
focus on the media and entertainment, healthcare and financial
service industries. Founded by Mr. Peixin Xu in 2014, Bison Capital
has made multiple investments in film and TV production, film
distribution and entertainment-related mobile Internet services,
including Bona Film, Xunlei and Weiying Technologies.
“We are very pleased to have received CFIUS approval, as we
expected,” said Chris McGurk, Cinedigm Chairman and CEO. “The Bison
transaction has strengthened our balance sheet and provided a
strong partner with which to build our content distribution and OTT
channel businesses in China, the world’s fastest growing major
entertainment market, while further expanding those businesses in
North America, the world’s largest entertainment market.”
About Cinedigm
Cinedigm powers custom content solutions to the world’s largest
retail, media and technology companies. We provide premium feature
films and series to digital platforms including iTunes, Netflix,
and Amazon, cable and satellite providers including Comcast, Dish
Network and DirecTV, and major retailers including Walmart and
Target. Leveraging Cinedigm’s unique capabilities, content and
technology, the Company has emerged as a leader in the fast-growing
over-the-top channel business, with four channels under management
that reach hundreds of millions of devices while also providing
premium content and service expertise to the entire OTT ecosystem.
Learn more about Cinedigm at www.cinedigm.com.
Cinedigm™ and Cinedigm Digital Cinema Corp™ are trademarks of
Cinedigm Corp. www.cinedigm.com. [CIDM-E]
Safe Harbor Statement
Investors and readers are cautioned that certain statements
contained in this document are "forward-looking" statements within
the meaning of the Private Securities Litigation Reform Act of 1995
(the "Act"). Forward-looking statements include statements that are
predictive in nature, which depend upon or refer to future events
or conditions, which include words such as "expects,"
"anticipates," "intends," "plans," "could," "might," "believes,"
"seeks," "estimates" or similar expressions. In addition, any
statements concerning completion of the transactions described in
this document, future financial performance (including future
revenues, earnings or growth rates), ongoing business strategies or
prospects, and possible future actions, which may be provided by
Cinedigm's management, are also forward-looking statements as
defined by the Act. Forward-looking statements are based on current
expectations and projections about future events and are subject to
various risks, uncertainties and assumptions about Cinedigm, its
technology, economic and market factors and the industries in which
Cinedigm does business, among other things. These statements are
not guarantees of future performance and Cinedigm undertakes no
specific obligation or intention to update these statements after
the date of this release.
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version on businesswire.com: http://www.businesswire.com/news/home/20171121005314/en/
CinedigmJill Newhouse Calcaterra,
310-466-5135jcalcaterra@cinedigm.com
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