Vancouver, British Columbia–(Newsfile Corp. – August 30, 2024) – Amcomri Entertainment Inc. (Cboe CA: AMEN) (FSE: 25Y0) (OTC Pink: AMNNF) (“Amcomri” or the “Company”) is thrilled to announce the successful completion of two significant transactions:

Firstly, following up on its June 26, 2024 announcement, Amcomri, along with its wholly-owned subsidiaries Trinity Pictures Distribution Limited (“Trinity”) and Amcomri Productions Limited (“APL”), has finalized the sale of specific assets used for the distribution of television productions via TV, streaming, and other platforms (the “Television Sale Transaction”). Secondly, in line with its July 29, 2024 announcement, Trinity has also completed the sale of Amcomri’s film production and distribution business (the “Film Sale Transaction”). Together, these are referred to as the “Sale Transactions”. Shareholders approved both transactions at the annual general and special meeting on August 28, 2024.

Regarding the Television Sale Transaction, Amcomri received a total of C$18.3 million in cash. Additionally, certain production loans held by Abacus and APL were assumed, totaling approximately £1.67 million and US$3.21 million. From the cash proceeds, Amcomri allocated funds to fully repay long-term debts of Abacus and APL amounting to around C$4.26 million (converted from British pounds at an exchange rate of 1.7773), repay a film loan worth C$2.09 million (converted from US dollars at an exchange rate of 1.3471), and cover the Vendors’ share of representation and warranty insurance costs associated with the Television Sale Transaction, which amounted to roughly C$0.124 million. After these payments, Amcomri netted approximately C$11.83 million.

For the Film Sale Transaction, Amcomri received US$900,000 in cash. Furthermore, obligations and liabilities of 101 Films International Limited, APL, and Positivor Limited were assumed, totaling approximately C$4.03 million (based on a US dollar to Canadian dollar exchange rate of 1.3471).

Following the completion of these transactions, significant changes were made to Amcomri’s board of directors. Paul McGowan, Robert Price, Michael Walker, Martin Andy Lyon, and Janet Grove resigned from their positions. The current board now includes Michèle Maheux, Alexander Stojanovic, and Laurence Howard.

As a result of these transactions, Amcomri has ceased its active business operations and does not anticipate generating further financial returns beyond distributing the sale proceeds to shareholders after settling transaction costs and winding-up expenses. The exact amount and timing of any distributions to shareholders remain uncertain due to various unpredictable factors and known items that are difficult to quantify. The company commits to providing updates to shareholders based on the best available information at any given time. There is a risk that any unforeseen significant liabilities or costs during the windup process could materially reduce the distributions.

Additionally, Amcomri is evaluating the possibility of delisting its common shares from Cboe Canada Inc., either voluntarily or by Cboe Canada itself.

Further information regarding the timing and amount of any shareholder distributions and considerations about potential delisting can be found in the company’s management information circular dated July 28, 2024, available on SEDAR+ at www.sedarplus.com.

About Amcomri Entertainment Inc.

Amcomri Entertainment Inc. (Cboe CA: AMEN) (FSE: 25Y0) specializes in global distribution services for independent movie producers, documentary makers, and TV series creators. With extensive experience across all key media platforms, Amcomri is emerging as the preferred partner for independent producers seeking wide-reaching audiences. The Amcomri Entertainment group includes companies like 101 Films, 101 Films International, Hollywood Classics International, Amcomri Productions, Appreciated Media Global, Amcomri Productions, and Abacus Media Rights.

For more information about Amcomri Entertainment Inc., please visit its disclosure documents on SEDAR+ at www.sedarplus.com or the company’s website at https://amcomrientertainmentinc.com/.

Forward-Looking Statements

This press release contains “forward-looking information” and “forward-looking statements” under Canadian securities laws. Such information includes assumptions about future economic conditions and actions and is identified by words like “potential”, “propose”, “aim”, “depend”, “seeks”, “plans”, “expects”, “intends”, “anticipates”, or “believes”. Forward-looking statements include expectations regarding shareholder benefits from capital returns, planned windup and dissolution processes, and possible delisting from Cboe Canada. There is no guarantee that these actions will occur as planned or on the described terms.

Forward-looking information is based on estimates and assumptions that are subject to known and unknown risks, uncertainties, and other factors that may cause actual results to differ materially from those expressed or implied. These factors include but are not limited to expenses related to capital returns, windup processes, delisting potential, ability to pay liabilities, and general economic conditions.

Readers should not place undue reliance on forward-looking information. All such information is provided as of this date and is subject to change based on new information or future events. The Company disclaims any obligation to update this information unless required by law.

Investors should consider trading in Company securities highly speculative due to these uncertainties. For a more detailed discussion of risks and uncertainties, refer to the “Risk Factors” section in the Company’s annual information form dated June 2, 2024, available on SEDAR+ at http://www.sedarplus.com.

For further details on this press release’s source version, please visit https://www.newsfilecorp.com/release/221741