Corporación Interamericana de Entretenimiento (Grupo CIE) showed recovery indicators after its collapse with the Covid-19 pandemic.
As of December 31, 2020, the company lost more than two thirds of its capital stock and legally this is cause for dissolution; however, the Extraordinary General Shareholders’ Meeting is the only body that can dissolve the company for this reason.
In order to invalidate the assumption, at the meeting held on April 30, 2021, the shareholders resolved to absorb 100% of the accumulated losses against the company’s capital stock, keeping all shareholders the same amount of shares and rights.
Starting in the second half of 2021, CIE gradually resumed its normal operations, holding live events, highlighting the Formula 1 Grand Prix of Mexico City, as well as the implementation of Temporary Medical Units in various cities of Mexico.
Thus, the company reached sales from continuing operations of 4,528 million pesos during the year 2021, compared to sales from continuing operations of 1,514 million pesos registered the previous year.
For 2021, operating income from continuing operations was 322 million pesos compared to an operating loss from continuing operations of 1,002 million pesos in 2020.
As a result of the actions that were taken, the recovery of the company’s business activities and the closing of the strategic alliance with Live Nation, as of December 31, 2021, the financial position was strengthened, registering a balance of cash and equivalents of cash for 2,550 million pesos of liabilities for bank loans and stock certificates for 860 million pesos and stockholders’ equity of 6,489 million pesos.
With its origins in 1990, CIE is a leading player in the out-of-home entertainment industry in Latin America and promotes and markets the Formula 1 Grand Prix of Mexico City, produces events for the public sector and operates the amusement park El Magic Saltpeter in Colombia.
Through its strategic association with Live Nation Entertainment in OCESA, it produces and promotes concerts, music festivals, Broadway-type theatrical productions and urban content, sporting, family and corporate events.
It represents artistic talent, commercializes advertising rights and sponsorships; it operates entertainment properties, the Citibanamex exhibition, congress and convention center; sells tickets through its Ticketmaster and Eticket platforms, and offers digital marketing and advertising services.