Onex Completes Secondary Offering of Trust Units of Cineplex Galaxy Income Fund

On April 21, 2009, Onex Corporation completed a bought deal offering of 12,956,885 trust units of Cineplex Galaxy Income Fund. The trust units were sold to a syndicate of underwriters at a price of $14.25 per trust unit, representing gross proceeds of approximately $184.6 million. The Fund did not receive any portion of the gross proceeds. Onex affiliates continue to control approximately 2 per cent of the outstanding units of the Fund (on a fully diluted basis).

The syndicate of underwriters was led by RBC Capital Markets, Scotia Capital Inc. and National Bank Financial Inc. and included Thomas Weisel Partners Canada Inc., GMP Securities L.P. and UBS Securities Canada Inc.

Cineplex Entertainment LP, headquartered in Toronto, is Canada's largest motion picture exhibitor and Onex is a major North American private equity firm that makes investments through Onex Partners and the ONCAP families of funds.

The Fund and Onex were represented by Goodmans LLP, under the direction of Anne Fitzgerald, senior vice-president and general counsel of Cineplex, and Andrea Daly, general counsel of Onex. The Goodmans team included Tim Heeney, Kevin Wilson and Chat Ortved (corporate); and Mitchell Sherman and Marisa Wyse (tax). The Fund and Onex were represented by Steven Canner (corporate) and Laurie Abramowitz (tax) of Kaye Scholer LLP in the US.

The syndicate of underwriters was represented in Canada and the United States by Torys LLP with a team that included John Emanoilidis, Matthew Cockburn, Andrew Beck, Danial Lam, Andrew Prodanyk, Mark Irving and Matthew Atkey (corporate/securities); and James Welkoff, Peter Keenan and Richard Johnson (tax).