|Bid||0.0000 x 800|
|Ask||0.0000 x 900|
|Day's Range||0.5500 - 0.8100|
|52 Week Range||0.4600 - 10.4500|
|Beta (3Y Monthly)||N/A|
|PE Ratio (TTM)||N/A|
|Earnings Date||May 20, 2019 - May 20, 2019|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||5.00|
(Bloomberg Opinion) -- To some, David Bronner may be the most powerful man in Alabama. He has managed the Retirement Systems of Alabama since 1973, when George Wallace was in his second stint as governor. As chief executive officer, Bronner is in charge of about $44 billion of assets used to pay the state’s retired judges, teachers and other public employees.A 2016 profile in Governing focused on Bronner’s decision to use that pool of money to improve one of the poorest U.S. states. “We’ve got to invest in ourselves,” he said at the time. “We are the only player in town. There isn’t anyone else.” Indeed, Bronner bought several office buildings, hotels and golf courses within Alabama’s borders and effectively built Montgomery from the ground up.But to suggest he confines himself only to in-state investments would be selling him short. The Alabama pensions, for example, own 55 Water Street in New York’s Financial District, the largest office building in Manhattan and home to tenants including S&P Global Ratings. On its website, 55 Water is described as the “debt-free, flagship investment of the Retirement Systems of Alabama.” More recently, the funds became the sole owner of CNHI LLC, one of the biggest U.S. local newspaper chains. All that serves as background to the news this week that the Alabama retirement system is a crucial party in the bankruptcy of luxury movie and dining chain iPic Entertainment Inc. of Boca Raton, Florida. The company, which happens to have a theater less than half a mile from 55 Water, sought Chapter 11 bankruptcy protection and is looking to sell itself not even two years after its initial public offering.Bronner’s funds, it turns out, have poured money into iPic. They own almost 40% of iPic’s Class A shares, according to data compiled by Bloomberg.(1) As the shares fell and financial difficulties intensified, iPic failed to pay $10.1 million in interest to the retirement system and still owes $204 million on a credit facility. “We do not have adequate cash on hand or other available assets to repay our outstanding indebtedness and RSA could foreclose upon the property that is pledged to secure the credit facility, which property includes substantially all of our assets,” iPic said in a filing.To help keep the theaters running, the teachers’ and employees’ retirement systems agreed to provide a $16 million debtor-in-possession loan to iPic at an interest rate of 10.5%. About $12 million is immediately available, and in exchange, they get a “superpriority” lien above about all of iPic’s other pre- and post-bankruptcy debts.According to Bloomberg data, the Alabama pensions acquired their position in iPic in the third quarter of 2018, when the stock was trading above $6 a share. The price has since tumbled to 56 cents as the company’s 16 theaters faced increased competition from other chains that upgraded their seating to offer similarly comfortable viewing. “Our brand is thriving and leads the industry in popularity, but our balance sheet needs to course correct,” CEO Hamid Hashemi said in a statement.Neither Bronner nor the communications department returned emails requesting comment on the investment in iPic. Bloomberg Law’s Daniel Gill also didn’t hear back from attorneys for the Alabama teachers’ pension fund. Hunter Harrell, director of private placements for the retirement systems, told the Wall Street Journal that iPic is relatively small compared with the size of the funds overall, that it’s “a good business that is having issues now,” and that “hopefully we get it worked out.”That doesn’t provide much insight into what they saw in iPic in the first place. Perhaps it was as simple as it looked cheap. Around the time of the pensions’ purchase, shares were trading at less than half the IPO price when the S&P 500 Index was setting new highs. The premise of the theaters makes sense, as Harrell said, given customers now expect a moviegoing experience to offer more than they could get at home watching Netflix or another streaming service. In bankruptcy documents, iPic describes itself as offering “high-quality, chef driven culinary and mixology.” The move speaks to the lengths to which defined-benefit pension funds have to go to hit their targets in an era of ultra-low interest rates. As I wrote recently for Bloomberg Businessweek, without the option to pad returns with mid- to high-single-digit yields on top-rated bonds, managers have had little choice but to branch out. It’s not as if Alabama is alone in this regard. The largest U.S. public pension, the California Public Employees’ Retirement System, made headlines earlier this year because a helicopter crashed into the roof of a midtown Manhattan office building that it bought for $1.9 billion in 2016.Under Bronner’s direction, Alabama’s pensions have been steady if unspectacular. They had a 70.9% funded ratio as of 2017, about average compared with other U.S. states. Alabama is doing better than neighboring Mississippi, which is only 61.6% funded, but trails Georgia at 79.2% and Tennessee at 96.5%. One lingering issue: According to data from the Pew Charitable Trusts, the funds’ assumed rate of return (a weighted average across plans) is 7.75%, one of the five highest in the country. They’ve met the mark over the past decade, but any cut to that expectation would make the pensions look worse.Some state officials have complained about the performance. “We haven’t shortchanged ourselves like Illinois and other states ... so why are we in this predicament?” Arthur Orr, a Republican state senator, asked in the 2016 Governing article. He set out to form a pension committee that sought outside advice from places including Pew.Bronner didn’t seem to take that well. He wrote newsletter articles that urged retirees to “speak up and let Sen. Orr and Rep. Greer hear your concerns” about measures he said “will hurt the safety and stability of your retirement.” He penned a headline that read: “Pew Got $9.7 Million, Judas Got 30 Pieces of Silver.” An article included from a weekly newspaper fawned that “the two men who’ve done the most to promote and advance the Alabama name, the Alabama brand are Bronner and Nick Saban.”All this is to say that Bronner seems protective of his domain. That might explain why the retirement system has its own director of private placements, rather than outsourcing that investing. They appear ready to circle the wagons.How they decided to go all-in on iPic is still a mystery, though. It’d be more understandable if the company had a theater in Montgomery or Mobile, but it doesn’t — and appeared closer to opening in Saudi Arabia than Alabama. For better or worse, their fates are now intertwined. (1) As of June 30. Also see page 20 of this filing.To contact the author of this story: Brian Chappatta at firstname.lastname@example.orgTo contact the editor responsible for this story: Daniel Niemi at email@example.comThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Brian Chappatta is a Bloomberg Opinion columnist covering debt markets. He previously covered bonds for Bloomberg News. He is also a CFA charterholder.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
The Nasdaq Stock Market alerted iPic Entertainment Inc. that its stock has been delisted, according to a report filed Thursday with the Securities and Exchange Commission (SEC). The Boca Raton-based luxury theater company will not appeal the delisting, according to the document. This is just the latest domino to fall for iPic (Nasdaq: IPIC), which filed for Chapter 11 bankruptcy protection Monday.
iPic Entertainment Inc. shares slid 59% in premarket trade Monday, after the company said it has filed for chapter 11 bankruptcy to allow it time to restructure its debt.
(Bloomberg) -- Luxury movie and dining chain iPic Entertainment Inc. filed for bankruptcy in Delaware and may sell itself less than two years after its initial public offering.The Boca Raton, Florida-based chain owes about $205 million under a secured credit line and as much as $15 million to various vendors, suppliers and other unsecured creditors, proposed financial adviser David M. Baker of Aurora Management Partners said in a Chapter 11 declaration. The company lost about $57 million in 2018, filings show.The company’s stock lost most of the little value that remained, with the Class A shares down $1.02 to 65 cents a share as of 9:40 a.m. in New York. The shares debuted in February 2018 at $18.50.IPic’s 16 upscale theaters allow customers to dine while watching movies and offer table service at some premium seats. Competition, rising construction costs and a weak initial public offering last year all contributed to the bankruptcy, Baker said. Rival movie theaters offering reclining seats at lower prices have particularly hurt iPic.The company is trying to sell itself, court papers show. IPic negotiated prior to bankruptcy with its creditors, which include The Employees’ Retirement System of Alabama and Teachers’ Retirement System of Alabama. Lenders have agreed to a 90-day window for iPic to be either sold or recapitalized.The Teachers’ Retirement System of Alabama has agreed to provide a $16 million bankruptcy loan, court papers show.Pachulski Stang Ziehl & Jones LLP is proposed legal counsel for iPic and PJ Solomon is its proposed investment banker.The case is IPic-Gold Class Entertainment LLC, 19-11739, U.S. Bankruptcy Court for the District of Delaware.(Updates with share price in the third paragraph)To contact the reporter on this story: Jeremy Hill in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: Rick Green at email@example.com, Christopher DeRezaFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Ipic Entertainment Inc. shares slid 40% in premarket trade Monday, after the company said it has filed for chapter 11 bankruptcy and is in talks with numerous parties on restructuring its debt. The luxury cinema chain operator said it will use the bankruptcy filing to either sell itself or reorganize to emerge with a healthy balance sheet and new capital structure. "The financial restructuring will allow the Company to further improve and enhance its theaters and dining experiences, continue to provide an unparalleled guest experience that is evidenced by the over 2 million IPIC ACCESS loyalty members, and continue with its expansion plans," the company said in a statement. In late July, the company said it had missed an interest payment on a loan and cautioned investors that it may have to file for bankruptcy. The company has $204 million of debt in form of a loan from the Teachers' Retirement System of Alabama (RSA), the pension fund for teachers in that state. It was unable to make a $10 million interest payment on that borrowing due July 1. The company has a debtor-in-possession loan to fund operations during the bankruptcy proceedings provided by the RSA. It expects the restructuring process to last 90 to 120 days. Shares slid 29% premarket and are down 47% in 2019, while the S&P 500 has gained 17%.
BOCA RATON, Fla., Aug. 5, 2019 /PRNewswire/ -- IPIC® Entertainment ("IPIC" or the "Company") (IPIC), creators of America's coveted IPIC® luxury theater-and-restaurant destinations, announced today that it is in negotiations with numerous parties to complete a comprehensive financial restructuring. To consummate the restructuring the Company has initiated proceedings under Chapter 11 of the United States Bankruptcy Code in the District of Delaware ("Court") where it will seek approval of either a sale or a reorganization plan and emerge with a healthy balance sheet and new capital structure. The financial restructuring will allow the Company to further improve and enhance its theaters and dining experiences, continue to provide an unparalleled guest experience that is evidenced by the over 2 million IPIC ACCESS loyalty members, and continue with its expansion plans.
Shares continue to fall for Boca Raton-based iPic Entertainment, which runs 16 movie theater locations in the U.S. The company's stock plummeted over 40% following the news that it couldn't make an interest payment of $10 million towards a $204 million debt it owes to the Teachers' Retirement System of Alabama (TRSA) and the Employees' Retirement System of Alabama (ERSA). In a letter to investors, iPic (Nasdaq: IPIC) revealed it has just over $2 million on-hand. As of Wednesday afternoon, the company's shares were down more than 50% after the company said it may reorganize through Chapter 11 bankruptcy.
Shares of upscale cinema chain operator iPic Entertainment Inc. tanked on Monday, after the company said it missed an interest payment on a loan and that it may have to file for bankruptcy.
The company notified investors that it was unable to make a $10 million interest payment earlier this month.
Shares of iPic Entertainment Inc. slid 42% Monday in heavy volume, after the operator of restaurants and connected theaters said it missed an interest payment owed to a pension fund and may file for chapter 11 bankruptcy. Alliance Global Partners downgraded the stock to neutral from buy on the news and said it would be worthless if the company does go bankrupt. Volume of 75,000 shares traded was more than 14 times the stock's 65-day average of just 5,200. iPic, which has casual restaurants, farm-to-glass full-service bars, and theater auditoriums with in-theater dining at 123 screens in 16 theaters in 9 states, said it has $204 million of debt under a credit facility extended by the Teachers' Retirement System of Alabama (RSA). The company missed a $10.1 million interest payment that was due on July 1. "We expect IPIC will need to raise capital at unfavorable terms and as a result, we downgrade IPIC to NEUTRAL (from BUY) and remove our target until its capital structure becomes more stable," said analyst Brian Kinstlinger. "Additionally, we are reviewing our estimates given the expected dilution, increased interest expense and potential disruption." The stock has fallen 55% in 2019, while the S&P 500 has gained 20%.
Suite of New Programming Aims to Deliver an Engaging Branded Entertainment Program for IPIC Members, Luxury Advertisers & Moviegoers NEW YORK , July 17, 2019 /PRNewswire/ -- IPIC® Entertainment Inc., ("IPIC" ...
BOCA RATON, Fla., May 20, 2019 -- IPIC® Entertainment Inc. (“IPIC” or the “Company”) (NASDAQ: IPIC), creators of America’s coveted IPIC® luxury theater-and-restaurant.
BOCA RATON, Fla., May 17, 2019 (GLOBE NEWSWIRE) -- iPic® Entertainment Inc. (“iPic” or the “Company”) (IPIC) creators of America’s coveted IPIC® luxury theater-and-restaurant destinations, today announced that it will report its First Quarter 2019 financial results after the close of the financial markets on Monday, May 20, 2019. An archive of the webcast will be available at the same location on the corporate website shortly after the call has concluded. Established in 2010 and headquartered in Boca Raton, FL, IPIC® Entertainment is America’s premier luxury restaurant-and-theater brand.
IPIC® Entertainment Inc. (“IPIC” or the “Company”) (IPIC), creators of America’s coveted IPIC® luxury theater-and-restaurant destinations, today announces the appointment of Jason Daniel as Senior Vice President, Operations. Daniel brings a significant amount of hospitality and leadership experience from three decades to IPIC, having worked in Operations Leadership roles for brands including Bennigan’s, Boston Market, Macaroni Grill, Metromedia Tavern and most recently, Cheddar’s Scratch Kitchen. Daniel joins the team as three-time James Beard Award Winning Chef and Chief Operating Officer Sherry Yard pursues other business opportunities in the culinary world, including her ongoing participation in the Great British Baking Show.
Change Reflects Market Leadership, Membership Growth, Unification of Brand Collective BOCA RATON, Fla. , April 2, 2019 /PRNewswire/ -- IPIC ® Entertainment Inc., ("IPIC" or the "Company") ...
IPic Entertainment Inc is engaged in operating theaters in United States. Warning! GuruFocus has detected 6 Warning Signs with BAM. For the last quarter IPic Entertainment Inc reported a revenue of $37.8 million, compared with the revenue of $37.45 million during the same period a year ago.
Reiterates Full Year 2019 Outlook; Updates Four Key Strategic Initiatives 2018 Revenue of $148.3 million, up 2.8%2018 Comparable-store sales growth of 1.4%2018 Store-level.
BOCA RATON, Fla., March 06, 2019 -- iPic® Entertainment Inc. (“iPic” or the “Company”) (NASDAQ: IPIC) creators of America’s coveted IPIC® luxury theater-and-restaurant.
Former Zimmerman Ad Executive Brings Digital Expertise & Growth Strategies to IPIC® BOCA RATON, Fla. , Feb. 19, 2019 /PRNewswire/ -- IPIC® Entertainment ("IPIC" or the "Company") (NASDAQ: ...
In an interview with Real Vision, IPO Edge Editor-in-Chief John Jannarone lays out several 2019 catalysts for luxury-theater operator iPic and clears up confusion created by uniformed short sellers. Chief among the positive events on the horizon is formal approval to open a theater in Saudi Arabia, which alone may be worth $8 a share. The […]
BOCA RATON, Fla., Jan. 14, 2019 (GLOBE NEWSWIRE) -- iPic® Entertainment Inc. (“iPic” or the “Company”) (IPIC), creators of America’s coveted iPic® luxury theater-and-restaurant destinations, today reported preliminary sales results for the fourth quarter and full year ended December 31, 2018 that are above the Company’s previous guidance ranges. Hamid Hashemi, Founder & Chief Executive Officer of iPic® Entertainment, commented, “Our fourth quarter was truly an exceptional period of top-line growth at iPic and we are pleased that our preliminary 2018 revenue and comparable-store sales results exceeded our own projections despite a weaker slate of movie titles compared to the prior year.
On The Go Seasoning Collection Available For a Limited Time at iPic® Theaters Nationwide BOCA RATON, Fla. , Jan. 10, 2019 /PRNewswire/ -- This January, iPic® members and moviegoers can look forward to ...
His attorney says discussions with creditors are ongoing and "substantive." In testimony, the developer named iPic Entertainment and Anthropologie as some of the interested tenants.