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(Sharecast News) - Shares in Everyman Media Group dropped on Tuesday after the premium cinema chain said that a possible delisting of the stock from AIM is "likely" due to the support of the proposal from a portion of shareholders.
Three shareholders, Adam Kaye, Charles Dorfman and Michael Rosehill, who together own 45.6% of the company, have communicated to the company their support for the cancellation of trading in Everyman shares on AIM, the firm said in a statement.
There are an additional group shareholders, who together hold a further 11% stake, who Everyman believes would be supportive of the delisting.
"Based on the above the board believes it is therefore appropriate to discuss with all key stakeholders the appropriateness of a delisting," Everyman said.
"At this stage and based on the above shareholder views, the board believes it is likely that the company will proceed with proposing a delisting to all shareholders, noting it would be conditional on shareholder approval in accordance with the rules of AIM."
The company also gave an update on current trading, reporting strong growth over the first five months of the year. Admissions over the 21 weeks to 28 May totalled 2.2m, up 23.1% over last year, driving revenues 26.5% higher to 58.5m.
Adjusted EBITDA was up 45.2% at 9.4m, while net debt reduced to 24.4% to 17.6m.
However, the company said that there were "various projects" that might affect profitability in the second half, but expect the full-year performance to be "marginally ahead of 2025".
The stock was down 8.6% at 32p by 1116 BST.
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