Wanda Cinema To Acquire 100% Of Hoyts Group

Shenzhen-listed Wanda Cinema Line Co., Ltd. has agreed to acquire 100% of Australia’s second largest cinema chain, the Hoyts Group, for an undisclosed amount, according to a regulatory filing published today.

Beijing-based Wanda Cinema Line, a subsidiary of Dalian Wanda Group Co., Ltd., did not say from whom it is to purchase the Hoyts Group.

In December 2014, it was reported that an investment vehicle owned by Chinese billionaire Sun Xishuang, a shareholder of Dalian Wanda Group and a close ally of Wanda’s chairman Wang Jianlin, was planning to acquire the Hoyts Group from Australian private equity firm Pacific Equity Partners.

But the news was not confirmed, and it remains unclear if that transaction reached closing.

Wanda Cinema Line’s board has approved the deal, and will hire companies to conduct due diligence and other necessary procedures, says the filing.

Trading for Wanda Cinema Line’s shares has been suspended, pending further development of the proposed acquisition.

Dalian Wanda already own AMC Entertainment Holdings, the second largest U.S. cinema chain.

Hoyts operates around 450 cinema screens in Australia, while Wanda Cinema Line operates over 150 move theaters in more than 80 Chinese cities.

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Nina Xiang is the co-founder and managing editor overseeing editorial content and product development at CMN. Before founding CMN in 2011, Nina worked at BusinessWeek magazine in Beijing and Institutional Investor magazine in New York, writing about business and financial services. While in New York, she also served as part-time correspondent for Shanghai's financial television channel, China Business Network, as well as China Radio International, China's national English-language radio network.