Poly Pictures accelerates its industrial layout with 680 million yuan and acquires 21 theaters of Star Culture

Poly Culture announced on the evening of March 1999 that Poly Pictures, a wholly-owned subsidiary of the company, will spend RMB 680 million to acquire 100% of Xingxing Culture's equity interests from Xingxing Group and Xingxing Holdings.

Poly Culture (03636) announced that on March 7, 2017, Poly Pictures, a wholly-owned subsidiary of the company, will acquire 100% equity interests in Xingxing Culture from Xingxing Group and Xingxing Holdings for a total consideration of RMB 680 million.

It is reported that Xingxing Culture was established in December 2008. It is a professional organization under Xingxing Group responsible for investment, management and operation of the cultural and entertainment industry nationwide. The registered capital of Xingxing Culture is RMB 30 million, and its shareholder shareholding is 50% held by Xingxing Group and 50% held by Xingxing Holdings respectively.

After nearly eight years of development, as of the end of December 2016, Star Culture has 21 open studios (including 10 joint venture studios with South Korea's CJ CGV Co., Ltd.), 4 studios under construction, and 12 studios that have been contracted and not opened. Xingxing Culture has built a terminal cinema screening network across the country, with studios covering Guangdong, Guangxi, Hunan, Hubei, Jiangsu, Zhejiang and other provinces, and further extending to Beijing, Shanghai and Liaoning provinces.

The board of directors believes that mergers and acquisitions integration is an inevitable trend in the future development of the film screening industry. This transaction is an inevitable way for the company's cinema investment business to achieve the goals of the 13th Five-Year Plan and achieve stronger and bigger. It can quickly improve the company's cinema investment business. Industry ranking and brand influence are also of great significance for the company's future construction of the entire film business industry chain.

[Original Announcement]

Click to view → Poly Culture acquires 100% shares of Star Culture

Editor: vian