SEVEN Acquires AMC's Stake In Saudi Arabia Retains AMC Ci...| MENAFN.COM

Friday, 24 March 2023 01:32 GMT

SEVEN Acquires AMC's Stake In Saudi Arabia Retains AMC Cinemas Brand Name In The Kingdom - Mid-East.Info

(MENAFN- Mid-East.Info)

RIYADH, Saudi Arabia: In line with its goal of redefining the future of entertainment in
Saudi Arabia, Saudi Entertainment Ventures (SEVEN), a wholly-owned subsidiary of the Public Investment Fund (PIF), is entering a new phase of growth as it restructures its joint venture partnership with US-headquartered AMC Entertainment Holdings (AMC), the world's largest movie exhibition company.

Under the new agreement, SEVEN, Saudi Arabia's leading national investor, developer, and operator of its diverse entertainment ecosystem will acquire AMC's equity stake in the cinema business in KSA to gain 100 percent ownership. SEVEN will also retain intellectual property (IP) rights and the AMC Cinemas brand name in the Saudi market. The acquisition comes at a critical time as SEVEN prepares itself for the massive operations of developing 21 integrated entertainment destinations to fulfill the mandate of establishing the entertainment sector nationwide.

Integrating the cinema business into SEVEN plays a key component in the entertainment offering in Saudi and enables the company to further consolidate its position in the Kingdom. It further unlocks opportunities to develop Saudi talent, localise expertise, and create a sustainable entertainment sector in accordance with the highest international standards.

SEVEN will continue to partner with AMC through a franchise agreement, enabling it to keep the brand name of AMC Cinemas which, in 2018, became the first cinema operator in the Kingdom. Under the SEVEN-AMC partnership, AMC Cinemas currently operates 85 screens across the Kingdom.

Abdullah Al Dawood, Chairman of SEVEN, said:“Our partnership with AMC – the world's largest cinema chain, was crucial in developing knowledge, and technical expertise and equipping us with the know-how to build up institutional capacities and support growth in Saudi Arabia's entertainment industry. The acquisition of AMC's stake in Saudi Arabia reflects SEVEN's long-term strategy of bringing unparalleled experiences to the people and visitors of the Kingdom and contribute to the Saudi Vision 2030 goals.”

Adam Aron, Chairman and CEO of AMC, said:“After more than 5 years since our first trip to Saudi Arabia and nearly five years since we opened first theatre there, we believe this announcement and agreement is the natural next step in the process as we achieved our objectives of the joint venture.”

SEVEN aims to strengthen its offerings in the Saudi entertainment market, which is growing at an annual rate of 47.65 percent and is expected to touch SAR 4.4 billion by the end of 2030 1. As part of its plans to boost the country's burgeoning entertainment sector, SEVEN had announced plans in November 2022 to invest SAR 50 billion to develop 21 integrated entertainment destinations with over 150 innovative attractions, in partnership with prominent international brands, across 14 cities in Saudi Arabia.

About SEVEN:
Saudi Entertainment Ventures (SEVEN) was established by the Public Investment Fund (PIF) to serve as the investment and development arm for the entertainment sector – a key pillar of the ambitious social and economic plans undertaken in the Kingdom.

SEVEN is enhancing the quality of life for millions of people in Saudi Arabia by improving the choice and quality of entertainment offerings within the Kingdom and developing local talent and capabilities in the entertainment industry.

SEVEN partners with some of the world's most recognisable brands to build world-class entertainment infrastructure in Saudi Arabia.

The new entertainment eco-system developed by SEVEN will include 21 entertainment destinations located across 14 cities, supporting PIF's strategy to develop the local entertainment and tourism sectors.


Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.