Activist Windward Urges Cineplex to Sell Assets, Do Buybacks (2)

One of the largest shareholders of Cineplex Inc. is pressing the Canadian theater chain to initiate measures to buy back shares, sell non-core assets and prepare for an outright sale, arguing the stock could nearly triple.

In a letter reviewed by Bloomberg News, Windward Management LP urged Cineplex’s board and management team to act with urgency, contending the company’s shares are deeply undervalued despite an improving industry backdrop and strong operational recovery.

“The movie theater business isn’t dying — it’s on the verge of a major resurgence, and Cineplex is perfectly positioned to ride that wave,” Windward founder and Chief ...