Entertainment One has announced plans for a CDN$18.4 million share issue to help fund acquisitions.
The placement will see the Canadian producer issue up to eight million new shares at 145 pence each to institutional investors.
Entertainment One cautioned there was no guarantee potential acquisitions will be completed after the fund-raising exercise, but added it is eyeing “a range of small, earnings enhancing acquisition opportunities” to be paid for with a mix of cash and company stock.
Potential deal-making would mark a return to the acquisitions trail after Entertainment One in 2007 and 2008 started building a content distribution network initially in Canada, the U.S., the UK, and the Benelux with acquisitions like Contender Entertainment and Seville Pictures in Montreal, and got into TV production by acquiring Blueprint Entertainment and Barna Alper Productions.
The company’s current rights library has more than 20,000 film and TV titles and 45,000 music tracks.
(From Playback Daily)