US EditionCineplex Shares Jump as Activist Windward Presses for More Buybacks, Selling of Non-Core Assets
Windward Management proposes Cineplex repurchase 55% of its market cap and sell assets like its digital media and loyalty program, potentially raising $220 million to boost shareholder value.
- Windward Management's open letter to Cineplex's board urged share repurchases and asset sales to boost returns, expressing frustration over the company's 'absence of a sense of urgency.'
- Windward Management, which owns around 7 percent of Cineplex Inc., praised its navigation of recovery from the pandemic and 2023 Hollywood strikes and urged leveraging a Hollywood box office recovery heading into 2026 to generate significant cash for strategic moves.
- Among its recommendations, Windward noted Cineplex's prior monetizations of $60 million from one-third of the Scene+ loyalty program stake and $155 million from non-core asset sales.
- Market moves followed the letter, with Cineplex shares rising almost six percent to $11.33 in mid-morning trading, and Windward flagged Ellis Jacob, Cineplex CEO, is set to retire by the end of 2026 with possible takeover prospects.
- Looking toward 2026, Windward said Cineplex could reach about $30 per share with nearly 200 percent returns, citing Windward Management's activist track record including campaigns at Groupon and Netgear.
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Cineplex shareholder calls for share buyback, sale of non-core assets like Scene Plus
TORONTO — One of Cineplex Inc.'s shareholders is calling on the theatre operator to embark on a major share buyback program and sell what it considers to be non-core assets like its loyalty program to deliver more value to investors.
Windward Management Issues Letter to Cineplex's Board of Directors Encouraging Expedited Value Creation Strategy
MIAMI BEACH, Fla. -- Windward Management LP today issued the following open letter and presentation, Lights, Camera, Action, to the management team and board of directors of Cineplex Inc.
Activist Windward pushes Cineplex for buybacks, asset sales
Hedge fund Windward Management has launched an activist campaign at Canadian movie theatre chain Cineplex Inc, urging the company to pursue aggressive share buybacks, divest non-core assets, and prepare for a potential outright sale, according to a report by Bloomberg. Windward believes these moves could lift the company’s stock price by nearly 200%. In a letter to Cineplex’s board reviewed by Bloomberg, Marc Chalfin, founder and CIO of Windward…
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