PVR in JV with Dubai's Al-Futtaim to develop cinema biz in MENA region
11 Jul 2018
Multiplex operator PVR has signed a joint venture agreement with Dubai-based diversified business conglomerate Al-Futtaim Group to explore opportunities for jointly developing cinema business in the MENA region.
The Ajay Bijli-promoted company plans to introduce a collection of unique experiential cinema formats to the region, including PVR Director’s Cut, as it looks to expand its cinema exhibition business in the Middle East and North Africa (MENA) region.
Al-Futtaim, which has real estate and retail businesses, will control 51 per cent in the joint venture, while PVR will bring the technical knowhow and operational management of the cinema exhibition business. PVR will have equal share in topline and bottomline from the business.
The Ajay Bijli-promoted company currently operates a cinema circuit comprising 630 screens at 135 properties in 52 cities (19 states and UTs), serving 76 million film buffs annually.
The joint venture will introduce a collection of unique experiential cinema formats to the region, including PVR Director’s Cut, a format that blends the best in high-end hospitality and entertainment.
“We see great potential in the cinema business in the region, and particularly in Saudi Arabia, following the government’s decision to reopen the cinema industry,” said Marwan Shehadeh, group director, Corporate Development, at Al-Futtaim.
“To begin with, we have already identified locations in Al-Futtaim real estate developments such as Dubai Festival City and Festival Plaza in Dubai and are in discussion with landlords to secure other locations in Dubai and the Kingdom of Saudi Arabia,” Shehadeh added.