Wanda Cinema Line, a unit of China's leading property developer Dalian Wanda Group, plans to acquire the entire stake in Hoyts Group, a leading chain cinema operator in Australia, via a wholly-owned subsidiary.
Hoyts Group is reportedly the second largest cinema chain operator in Australia. The group currently has over 400 screens in 44 cinemas across Australia and New Zealand, serving two million people on an annual basis.
Wanda Cinema Line said that the company and related parties are actively promoting the acquisition. They have hired intermediary organizations to implement due diligence, audits, and valuations. The company's board of directors will hold a meeting after the completion of those tasks and review related proposals of this major asset reorganization.
The cinema industry has become an important part for the transformation of Wanda Group. Wang Jianlin, chairman of Wanda Group, said on various occasions that Wanda's commercial real estate business needs to transform from a heavy asset to light asset model. The group aims to transform into a business investment service enterprise in five years.
Prior to this, Wanda Group acquired AMC Entertainment, a North American cinema chain, in 2012.