IMAX says offering overallotment option exercised

Large-screen movie systems maker IMAX Corp. said Thursday the underwriter of its recently completed public offering has exercised in full its option to purchase an additional 1.47 million shares at the public offering price of $7.15 per share.

Including the 9.8 million shares sold, as well as the overallotment option, the total number of common shares sold by IMAX in the offering was about 11.3 million.

Including proceeds from the exercise of the overallotment option, gross proceeds for the offering are expected to be roughly $80.6 million.

IMAX intends to use the net proceeds from the offering for the repayment of debt, including a portion of senior notes due December 2010, and for general corporate purposes.

Closing of the over-allotment option is expected to occur on or about June 26.

Roth Capital Partners LLC acted as the underwriter for the offering.

IMAX shared gained 67 cents, or 9.4 percent, at $7.81 in early afternoon trading.