Cinema rivals square up for a court blockbuster

BOSSES in the Covidcrunched cinema trade are ready to slip into their tuxedos for the crucial return of James Bond this month.

But before that, a blockbuster worthy of 007 – in legal circles at least – kicks off tomorrow in Ontario as Cineworld and Canada’s Cineplex arrive in court.

The showdown centres on the bitter fallout from the British operator’s decision last year to pull out of a £1.6 billion takeover that would have made it the largest operator in North America. Cineworld claims Cineplex breached the deal’s terms, while its rival argues Cineworld suffered ‘buyer’s remorse’ between agreeing the deal in December 2019 and pulling out in June 2020 as the pandemic raged.

Cineworld is labouring under £6 billion of debt and is weighing a float of its US arm to raise cash.

A legal payout could further dent the stock, which has halved in price since hitting a pandemic peak of £1.22 in March.

Pass the popcorn.

■ THE two US private equity bidders circling automation software specialist Blue Prism have until the end of the month to lodge a firm bid.

Rory Bateman, who runs Schroders British Opportunities Trust, reckons there’s a ‘deal there to be done’ for the £1billion firm.

Bateman holds the stock in the trust, which has seen nifty growth since last year’s launch through investments in National Express, Ascential and a string of private assets.

He adds: ‘Blue Prism is a high-quality business and the valuation is extremely attractive compared to US and Dutch competitors. Its shareholders are likely to be constructive around a deal. A new owner needs to make up for missed investment opportunities in their own technology.’