- Film content distributor Cinedigm (NASDAQ:CIDM), up 1.1% after hours, has settled a dispute with activist investors by co-opting one of them as a strategic adviser and agreeing to four additional board members.
- The move expands the board to 12 members from eight. Investor Ronald Chez will officially advise the company as a result of Cinedigm's action.
- Chez and Zvi Rhine have pressed Cinedigm to take drastic measures to turn around its fortunes, as it risks delisting from Nasdaq. The company has a market cap of $47M, lost $11M in its most recent quarter, and closed today at $0.632/share.
- Chez and Rhine asked to join the board, with Chez as chairman; of the two, however, only Rhine is joining the board, along with Blair Westlake, Andy Schuon and Patrick O'Brien.
- Cinedigm is evaluating candidates to become an independent chairman, replacing current chairman and CEO Chris McGurk.