Corus Entertainment announced at close of business Thursday that it has completed its recapitalization transaction and is now a wholly-owned subsidiary of Corus Entertainment Holdings.
The CRTC gave its stamp of approval to the debt-for-equity recapitalization plan last month, which sees 99% ownership of the company transferred to its lenders to avert further financial pressure, cutting its third-party debt by over $500 million.
“We are very pleased to complete this Recapitalization Transaction. Our new capital structure provides a platform that positions Corus for new opportunities and future growth,” said Corus CEO John Gossling, in a statement. “As Canada’s largest independent broadcaster, we will continue to create and deliver premium content that Canadians want, and we will continue to invest in national and local news that Canadians depend on.”
The company has also appointed a new Board of Directors chaired by media executive Maryann Turcke, who most recently served as Chief Operating Officer of the National Football League (NFL), and formerly was president of Bell Media from 2014-17.
Stuart Garvie has been appointed as a director and Chair of the Operating Committee. Garvie is the former CEO of GroupM (now WPP) Canada, and served as president of Bell Media Sales from 2015-17.
Former federal Conservative leader Erin O’Toole has been appointed as a director and Chair of the Human Resources and Governance Committee. Currently President and Managing Director of ADIT North America, he also currently serves as a member of the Prime Minister’s Advisory Council on Canada-U.S. Economic Relations.
Jeremy Walker, former Deputy Chair and Global Head, TD Securities, joins as a director and Chair of the Audit Committee.
In addition to continuing to serve as CEO and Interim CFO, Gossling also takes a seat on the board.
“The new directors and I are excited to join Corus at this important time for the Company and for our industry,” said Turke. “Our priority is to continue to strengthen Corus’ leadership position in Canada by delivering news that Canadians trust and entertainment that Canadians love. We want to build a business that is resilient and will grow into the future, and look forward to working with all of our stakeholders to build a world class, sustainable, and independent media and broadcast industry in Canada, with Corus as a strong and successful player.”
“As Canada’s largest independent broadcaster, Corus plays a vital role not just in the media industry but also in the fabric of Canadian culture and democracy,” added O’Toole. “Corus creates and delivers independent, high-quality journalism and Canadian programming to millions across the country. I look forward to advancing work to modernize an investment and regulatory ecosystem that truly benefits independent media in Canada.”
Corus Class B Non-Voting Shares are expected to be delisted from the Toronto Stock Exchange at the close of trading on Oct. 9, as the new Corus Common Voting Shares and Variable Voting Shares begin trading at market open on Oct. 13 under the stock ticker “CORS.”
