Business

Cirque du Soleil emerges from bankruptcy protection with sale to creditors

Cirque du Soleil Entertainment Group says the sale of the company is complete and it has emerged from bankruptcy protection.

Global circus company will keep its headquarters in Montreal

The once high-flying Cirque du Soleil, which grew from a troupe of street performers in the 1980s to a company with global reach, has slashed about 95 per cent of its workforce and suspended shows due to the COVID-19 pandemic. (Submitted by Cirque du Soleil)

Cirque du Soleil Entertainment Group says it has completed the sale company to a group of its creditors led by Catalyst Capital Group.

The Montreal-based global circus company announced the closing of the transaction with its secured lenders and its emergence from court protection from creditors today.

Cirque was forced to cancel its shows earlier this year and cut nearly 3,500 employees due to the pandemic.

The group of creditors had bid to take control of the company in July, replacing a deal with Cirque shareholders that included debt financing from a Quebec government body.

As part of the transaction, former MGM Resorts International chief executive Jim Murren and Catalyst Capital managing director Gabriel de Alba were named as co-chairmen of the company's board of directors.

Daniel Lamarre will remain as president and chief executive, as well as continue to sit on the company's board.

The new owners have also agreed to keep the company's headquarters in Montreal.

With files from Reuters

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