Cinemark Holdings, Inc., a leading U.S. and international motion picture
exhibitor ("Cinemark") (NYSE:CNK) and D-BOX Technologies Inc.
(TSX:DBO) ("D-BOX"), a leader in innovative motion technology,
confirm today that Cinemark has committed to installing D-BOX motion systems in
at least 80 new screens in 40 theatres over the next 24 months.
The majority of
these screens will be installed in the United States and some will be deployed
in Latin America. Cinemark currently has 112 D-BOX screens installed or in
backlog in the United States and Latin America.
Terms of the agreement include a fee based
on the utilization of the systems. In addition, D-BOX is issuing 2,000,000
common share purchase warrants to Cinemark, with each warrant entitling the
holder thereof to acquire one Class A common share of D-BOX at a price
corresponding to the volume weighted average price of the Class A common shares
of D-BOX on the Toronto Stock Exchange for the five trading days prior to the
exercise date of the warrants. The warrants will vest at the same rate as the
D-BOX deployment and will be valid for a period of seven years ending on
December 22, 2022.
Commenting on the news, Claude Mc Master,
President and Chief Executive Officer of D-BOX, declared: "We are very
pleased to receive another strong endorsement from Cinemark, a leading
world-class exhibitor. They have been staunch supporters of ours and lead the
way for exhibitors looking to offer a unique and immersive experience that is
straightforward to deploy in any theatre around the world”.
"Based on the strong moviegoer
reaction and ticket sales generated, we are pleased to further expand our D-BOX
footprint,” stated Robert Copple, Cinemark’s President and Chief Operating
Officer. “We are proud to be the largest exhibitor in the world in terms of
D-BOX equipped venues and look forward to our continued partnership with D-BOX
as they continue to expand globally."