Imagi Announces Updated Terms for its Financing Agreement
Hong Kong (October 2, 2008) – IMAGI International Holdings, Limited (HKSE Stock Code: 0585) today announced agreement on updated terms for its financing arrangement with MCI-IMAGI LLC.
Under the new agreement, announced to the stock exchange today, MCI-IMAGI will invest approximately US $23.5 million for approximately 378 million new shares priced at HK$0.485 per share. The subscription shares will represent an approximate 18% ownership stake in Imagi International Holdings Limited, as enlarged by the placing shares. Delaware (USA) based MCI-IMAGI LLC is the successor investment vehicle to Mehta-IMAGI LLC, and has identical beneficial ownership.
The investment will require shareholder ratification and is expected to be completed by mid- November.
Last month, IMAGI announced a separate financing agreement with a wholly-owned subsidiary of Shui On Holdings Limited, which is to invest approximately US$10 million into IMAGI. The combined amount of the two financing agreements will raise approximately US $33.5 million working capital for IMAGI.
“IMAGI is pleased to have obtained these two important investment commitments, particularly given the turbulent market conditions. The two financings substantially strengthen the company's balance sheet” said Douglas Glen, CEO of IMAGI.
Last week, IMAGI announced that Summit Entertainment will release Astro Boy in North America on Friday, October 23, 2009. Summit Entertainment will distribute Astro Boy worldwide, except for IMAGI's reserved territories of Japan, Hong Kong and China.
Imagi International Holdings Limited (“IMAGI”) is listed on the main board of the Hong Kong Stock Exchange (Stock Code: 0585). IMAGI's principal business is the development and production of computer graphics animated theatrical feature films. IMAGI's first theatrical movie TMNT was released in March 2007, opening number one in U.S. box office revenue, only the third time in history that an Asian-made film has achieved that honour. IMAGI has development operations in Los Angeles, California, and CG production studios at its Chai Wan (Hong Kong) headquarters.