Cirque du Soleil announces comprehensive plan to restart business
Cirque du Soleil announced today that it has filed for protection from creditors under the Companies' Creditors Arrangement Act ("CCAA") in order to restructure its capital structure. Its application under the CCAA will be heard tomorrow by the Superior Court of Québec.
"Under the terms of the proposed Purchase Agreement, the Shareholders will inject US$300 million of cash into the restructured business to support a successful restart, partially compensate affected employees and partners of Cirque du Soleil, and assume certain outstanding obligations of the Company, including to ticket holders affected by the cancellation of shows. Of this US$300 million, Investissement Québec will provide US$200 million in debt financing to support the proposed acquisition. »
We know, because of the proposal on the table, that the Cirque is saved," explained its President and CEO, Daniel Lamarre, during a telephone interview. I am assured that at the end of the process, which should culminate in mid-September, I will have an owner. "(Translated from the HuffPost Québec article)