Cinema City International NV, central Europe's largest multiplex cinema operator, will open new movie theaters in three Romanian cities as part of a strategy to expand in the region.
The company will lease the cinemas for 10 years with options to extend the duration of the contracts for as much as 15 years, it said in a statement to the Warsaw Stock Exchange today. Cinema City International NV didn't specify the value of the agreements. „The agreements evidence the fact of the implementation of the company's strategy of growth and entering the central European markets in which it wasn't present to take a leading position there,” the company said in the statement.
The company, which is also the largest cinema operator in Israel, has theaters in Bulgaria, the Czech Republic and Hungary. It plans to invest €88 million ($114 million) over the next two years to expand. The new cinemas will be opened in the Romanian cities of Lasi, Timisoara and Cluj, the company said in the statement. Cinema City shares fell 0.2% to 26.65 zloty at 10:15 a.m. in Warsaw. The WIG index gained 0.3%. (Bloomberg)