TORONTO — Cineworld Group PLC's chief executive was planning to sell off Cineplex Inc.'s RecRoom and signage business in a secret initiative he called "Project Jumanji."
The U.K. cinema chain's head Moshe "Mooky" Greidinger testified today at the Ontario Superior Court of Justice that his company was planning to find buyers for the businesses.
Greidinger was planning for the sale as he worked to close a $2.8-billion deal Cineworld signed in December 2019 to acquire Cineplex.
He says he wanted to rid Cineplex of the businesses because Cineworld's focus was primarily on theatres and it didn't have the expertise to keep other ventures open.
Greidinger and Cineworld worked to sell the businesses before June 2020, when they backed out of the takeover deal and blamed Cineplex for breaching its terms.
Cineplex has focused on arcade and dining venues called RecRoom as well as a digital sign business to offset swings in the box office and increased streaming options.
This report by The Canadian Press was first published Oct. 6, 2021.
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The Canadian Press