Sale of Cinram to Najafi Companies Receives U.S. Court Approval
TORONTO, July 25, 2012 /PRNewswire/ - Cinram International Income Fund (TSX: CRW.UN) (together with its subsidiaries, "Cinram" or the "Fund") announced today that the proposed sale of substantially all of Cinram's assets and businesses in the United States, Canada, the United Kingdom, France and Germany (the "Sale Transaction") to newly formed subsidiaries of Najafi Companies has received U.S. court approval.
Under the Sale Transaction announced on June 25, 2012, Najafi will purchase substantially all of the assets used in Cinram's core businesses for the manufacture of pre-recorded multimedia products and the provision of related logistics services, digital media solutions and outsourced vendor management inventory services in North America and substantially all of the European business.
The Sale Transaction is expected to close in August 2012, subject to satisfaction of closing conditions, although the transfer of portions of the business may occur later in the year.
Cinram International Inc., an indirect, wholly-owned subsidiary of the Fund, is one of the world's largest providers of pre-recorded multimedia products and related distribution and logistics services. With facilities in North America and Europe, Cinram International Inc. manufactures and distributes pre-recorded DVDs, Blu-ray discs, audio CDs, and CD-ROMs for motion picture studios, music labels, publishers and computer software companies around the world. The Fund's units are listed on the Toronto Stock Exchange under the symbol CRW.UN. For more information, visit our website at www.cinram.com.
Certain statements included in this release constitute "forward-looking statements" within the meaning of applicable securities laws. Such forward-looking statements include statements concerning the possible effects of the transactions described herein, and the likelihood of their successful completion. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Fund to be materially different from any future results, performance or achievements expressed or implied by such forward looking statements. These risks may affect the achievement of the expected results of the transactions described herein. The transactions are subject to conditions, and there can be no assurance that the said transactions will be successfully completed or that, if completed, the expected consequences will result in whole or in part, and the deviations from such expectations may be material.
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