Reliance MediaWorks Divests Malaysia Cinema Business
NEW DELHI - Reliance MediaWorks has divested its 100 percent stake in its Malaysian theatrical circuit to private equity fund Navis as part of efforts to focus on the group's Indian business.
”As part of the ongoing strategic reorganization and to bring greater focus to high growth potential exhibition business in India, RMW has divested its 100 per cent stake of Big Cinemas' exhibition circuit in Malaysia to MGO NAF VI Cinematic Holdings Ltd (Navis),” RMW said in a filing to the Bombay Stock Exchange.
RMW owns India's largest cinema chain, Big Cinemas, which runs a 260 screen network nationwide in 80 cities. In Malaysia the Big Cinemas network included 72 screens while in the U.S., the company runs a 205 screen network across 24 cities.
RMW did not provide any financial details of the transaction but added that the circuit has been consistently profitable and contributes a market share of 8 percent of the box office in Malaysia, with strong parameters in admissions, revenue per customer and experience.
“Navis recently acquired MBO Cinemas in Malaysia and the Big Cinemas' portfolio complements the MBO circuit well in terms of location and coverage,” RMW said in its statement.
As part of a $30.2 million joint bid with China-based Galloping Horse America, RMW recently acquired a minority stake in James Cameron's Digital Domain Productions.