It has been reported that a Chinese company is set to be the world’s largest cinema chain, conglomerate Wanda Group based in Beijing , has agreed to buy US exhibitor AMC for an estimated £1.6bn.
In a move which is set to give the company ownership of more than 5,000+ screens at 346 multiplexes (that’s nearly one cinema for each day of the year folks). This latest transaction highlights the growing markets of Chinese cinema today, in somewhat stark contrast to their U.S counterparts. Box office figures are growing rapidly in China but in America cinema outlets are experiencing a harsh time which is denting their revenue stream. AMC lost a reported $73m in the fourth quarter of 2011.
Wanda has pledged to invest $500m and keep all the 18,500 staff around the country, the chairman, Wang Jianlin has stated that he wants to see AMC grow in both the U.S and abroad. Hollywood has recently been casting their glances east, with a recent relaxation of the quotas on foreign films allowed into China. Encouraged by this new development studios are shooting in China, indeed Iron Man 3 is due to be shot there in an agreement with Marvel Studios and DMG entertainment. International blockbusters such as Kung Fu Panda 2 which is China based but American made has also assisted in this area. Interesting times ahead it seems with more studios looking to break new ground, DreamWorks Animations is due to release their first films from their Shanghai-based studio in 2016.
Via The Guardian
