Filing Flows › Imax (IMAX) › Takeover & LBO
Is Imax (IMAX) a takeover target?
A leveraged buyout at today's price plus 30% ($65.68 a share) would return about 3% a year to a private-equity buyer over 5 years; no price, however low, gets a buyer to 20%. Historically 3.9% of companies with its figures were bought within a year (0.78× the average).
The buyout, step by step
| Entry | Amount | How |
|---|---|---|
| Offer price a share | $65.68 | today's $50.52 plus 30% |
| × shares | 56.6 million | |
| = Equity value | $3.7B | |
| + Debt refinanced | $2.5M | |
| − Cash | $160M | |
| = Enterprise value | $3.6B | 24.3× EBITDA of $146M |
| Fees | $71.2M | 2% of the price |
| New debt | $805M | 5.5× EBITDA at 7.65% a year; the limit that binds: 5.5× EBITDA |
| Buyer's own money | $2.8B | 78% of the cost |
5 years under the buyer
| Year | Revenue | EBITDA | Interest | Free cash flow | Debt left |
|---|---|---|---|---|---|
| Year 1 | $449M | $158M | $61.6M | $78.1M | $727M |
| Year 2 | $480M | $169M | $55.6M | $91.2M | $636M |
| Year 3 | $506M | $178M | $48.7M | $104M | $532M |
| Year 4 | $528M | $186M | $40.7M | $116M | $416M |
| Year 5 | $543M | $191M | $31.8M | $127M | $289M |
The exit and the buyer's return
| Exit | Amount | |
|---|---|---|
| Exit multiple | 18.4× EBITDA | today's trading multiple, before any premium |
| Enterprise value at exit | $3.5B | |
| − Debt left | $289M | |
| = Buyer's equity | $3.2B | |
| Money multiple | 1.15× | on $2.8B put in |
| Buyer's yearly return (IRR) | 2.8% |
Price against return
What the buyer makes at other premiums over today's $50.52.
| Premium | Price a share | Buyer's IRR |
|---|---|---|
| 10% | $55.57 | 7.6% |
| 20% | $60.62 | 5.0% |
| 30% | $65.68 | 2.8% |
| 40% | $70.73 | 0.8% |
| 50% | $75.78 | −1.0% |
The figures used
| Figure | Amount | |
|---|---|---|
| Revenue, last 12 months | $416M | |
| EBITDA, last 12 months | $146M | 35.2% of revenue |
| Depreciation and amortization | $62.5M | |
| Capital spending | $6.3M | |
| Debt | $2.5M | |
| Cash | $160M | |
| Share price | $50.52 | on Oct 28, 2026 |
Fixed rules, the same as the interactive view's starting point: the shares are bought at today's price plus 30%, the company's debt is refinanced and fees take 2%. New debt is the least of 5.5× EBITDA, 65% of the price and the amount whose interest EBITDA covers 2 times, at 7.65% a year (SOFR 3.89% plus the high-yield B spread 3.26% plus 0.5%, rates of Oct 15, 2026). Revenue grows 8.0% in the first year — the company's own rate, held between −3% and +8% — fading to 3% by year 5; the EBITDA margin, depreciation and capital spending stay at today's share of revenue; working capital takes 10% of each year's added revenue; tax is 29% of profit after interest. Every dollar of free cash flow repays debt. After 5 years the buyer sells at today's multiple of EBITDA.
What a takeover could cost
Takeovers in its sector paid a median premium of 40% over the share price before the deal (the middle half 14.7% to 60.2%), according to the 20 merger proxies and tender-offer responses on EDGAR that state a premium. At the median, Imax would cost about $70.73 a share, $4.0B for all its shares.
| Premium | % | Price a share | All shares |
|---|---|---|---|
| Low end (a quarter of deals paid less) | 14.7% | $57.95 | $3.3B |
| Median | 40% | $70.73 | $4.0B |
| High end (a quarter paid more) | 60.2% | $80.93 | $4.6B |
The odds, from history
Historically 3.9% of companies with its figures were bought within a year (0.78× the average). Its figures put it in decile 4 of 10 (10 = the most likely to be bought). The odds come from a model of every merger proxy, tender-offer response and going-private statement filed on EDGAR since 2011, set against each company's size, margins, debt, cash flow and growth the year before.
Imax's latest quarter
Imax, Q3 2026: revenue $175M (+64% year over year), operating margin 42.9%, net earnings $114M, operating cash flow $86.1M. The chart follows the revenue to costs, profit and cash.
Questions
Is Imax being acquired?
No headline, 8-K or 13D about a sale is on file in the last year.
Could private equity buy Imax?
A leveraged buyout at today's price plus 30% ($65.68 a share) would return about 3% a year to a private-equity buyer over 5 years; no price, however low, gets a buyer to 20%.
What would a takeover of Imax cost?
Takeovers in its sector paid a median premium of 40% over the share price before the deal (the middle half 14.7% to 60.2%), according to the 20 merger proxies and tender-offer responses on EDGAR that state a premium. At the median, Imax would cost about $70.73 a share, $4.0B for all its shares.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.