Saudi Entertainment Ventures (SEVEN), a wholly owned subsidiary of the Public Investment Fund (PIF), will acquire AMC’s equity stake in the cinema business in Saudi Arabia to gain 100% ownership.
SEVEN will also retain intellectual property (IP) rights and the AMC Cinemas brand name in the Saudi market. SEVEN is planning to develop 21 integrated entertainment destinations to fulfill the mandate of establishing the entertainment sector nationwide.
“Our partnership with AMC – the world’s largest cinema chain, was crucial in developing knowledge, 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,” Abdullah Al Dawood, Chairman of SEVEN, said.
Integrating the cinema business into SEVEN plays a key component in the entertainment offering in Saudi Arabia and enables the company to further consolidate its position. It further unlocks opportunities to develop talent, localize 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.
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