mm2 Completed Acquisition of 13 Lotus Fivestar Cinemas
mm2 Asia owns and operates 133 screens through cinema business,
becoming the 4th largest cinema operator in Malaysia;
mm2 Asia Ltd. (“mm2 Asia”, “mm2 全亚影视娱乐有限公司” or collectively with its subsidiaries, the “Group”), completed the acquisition of 13 Lotus Fivestar Cinemas on 15 September 2017, bringing the total number of owned screens from 43 to 133 after completion of the deal.
The Group, through its cinema business- mm2 Screen Management Sdn. Bhd. and under the name mmCineplexes, is now the 4th largest cinema operator in Malaysia, owning a total of 18 cinemas with a market share of about 14% in terms of number of screens. Cinema revenue increased 2.6 times, from S$4.9 million to S$12.6 million between FY2016 and FY2017.
CEO of mm2 Screen Management Sdn Bhd, Mr. Hock Ong said: “We are determined to scale the Group’s cinema business and strengthen our competitive positioning. With the completion of this acquisition, mmCineplexes will be able to expand our footprint across East and West Malaysia, enabling us to reach, and better serve a wider audience base.”
The Group will be making a payment of RM98 million (S$37.8 million) to Lotus Fivestar Cinemas (M) Sdn Bhd at completion. The remaining payment of RM20 million will be subject to profit targets, and would be made in the next two years. - End of Press Release - Note to media: Please read this press release in conjunction with the Company’s announcement released on SGXnet on the same date.
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Note to media: Please read this press release in conjunction with the Company’s announcement released on SGXnet on the same date, which can be found here.
