EXHIBIT 99.1
[IMAX LOGO]
IMAX CORPORATION
2525 Speakman Drive
Mississauga, Ontario, Canada L5K 1B1
Tel: (905)403-6500 Fax: (905)403-6450
www.imax.com
IMAX CORPORATION ANNOUNCES TENDER OFFER
FOR ITS 7 7/8% SENIOR NOTES DUE 2005
TORONTO, CANADA - NOVEMBER 12, 2003 -- IMAX Corporation (Nasdaq:IMAX; TSX:IMX)
today announced that it has commenced an offer to purchase for cash all of its
outstanding $152.8 million principal amount of 7 7/8% Senior Notes due 2005.
IMAX Corporation is also soliciting consents from the holders of the Senior
Notes to approve certain amendments to the indenture under which the Senior
Notes were issued. The tender offer is subject to various conditions including
the receipt of consents necessary to approve the amendments to the indenture
governing the Senior Notes.
The tender offer will expire at 9:00 a.m., New York City time, on December 11,
2003, unless extended or earlier terminated by IMAX Corporation. The total
consideration to be paid to holders that tender their Senior Notes and deliver
their consents prior to 5:00 p.m., New York City time, on November 20, 2003,
will be equal to $1,019.69 per $1,000 principal amount of the Senior Notes,
which includes a consent payment of $2.50 per $1,000 principal amount of the
Senior Notes. Holders that tender their Senior Notes after 5:00 p.m. on November
20, 2003, and prior to the expiration of the tender offer will receive $1,017.19
per $1,000 principal amount of the Senior Notes. The consents being solicited
will eliminate substantially all of the covenants and certain events of default.
IMAX Corporation intends to redeem all Senior Notes not tendered and accepted
for payment shortly after the expiration or termination of the tender offer at a
redemption price of $1,019.69 for each $1,000 principal amount of the Senior
Notes, plus accrued and unpaid interest to, but not including, the redemption
date.
Information regarding the pricing, tender and delivery procedures and conditions
of the tender offer and consent solicitation is contained in the Offer to
Purchase and Consent Solicitation Statement dated November 12, 2003, and related
documents. Copies of these documents can be obtained by contacting MacKenzie
Partners, Inc., the information agent, at (800) 322-2885 (toll free) or (212)
929-5500 (collect). Credit Suisse First Boston is the exclusive dealer manager
and solicitation agent. Additional information concerning the terms and
conditions of the tender offer and consent solicitation may be obtained by
contacting Credit Suisse First Boston at (800) 820-1653 (toll free) or (212)
325-3175 (collect) or (416) 352-4506 (Canadian residents collect).
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IMAX Corporation also announced that it intends to sell, on a private placement
basis, in the United States pursuant to Rule 144A under the Securities Act of
1933, as amended (the "Securities Act") and in certain Canadian provinces, up to
$160.0 million aggregate principal amount of senior notes with a proposed
maturity of 2010. IMAX intends to use the proceeds of this offering to pay the
consideration under this tender offer and consent solicitation. The tender offer
is conditional on the completion of this offering. These notes have not been,
and will not be registered under the Securities Act or any state securities
laws, and may not be offered or sold in the United States absent registration or
an applicable exemption from the registration requirements.
This press release contains forward looking statements that are based on
management assumptions and existing information and involve certain risks and
uncertainties which could cause actual results to differ materially from future
results expressed or implied by such forward looking statements. Some of these
risks and uncertainties are discussed in the Company's Annual Report on Form
10-K for the year ended December 31, 2002 and in the subsequent reports filed by
the Company with the Securities and Exchange Commission.
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For additional information please contact:
MEDIA: ANALYSTS:
IMAX CORPORATION, New York IMAX CORPORATION, New York
Romi Schutzer Jennifer Gery
212-821-0144 212-821-0144
rschutzer@imax.com jgery@imax.com
ENTERTAINMENT MEDIA: BUSINESS MEDIA:
Newman & Company, Los Angeles Sloane & Company, New York
Al Newman Whit Clay
818-784-2130 212-446-1864
asn@newman-co.com wclay@sloanepr.com