Troy-based Emagine Entertainment Inc. is being sold to Belgian theater operator Kinepolis Group NV in a deal valued at $105 million, the companies said Tuesday.
The purchase price could increase by $15 million, to $120 million, depending on this year’s U.S. box office growth, according to a news release.
The deal is expected to close by the end of the year. It includes 14 theaters, 177 screens and 18,000 seats in Michigan, Illinois, Indiana and Wisconsin.
“Kinepolis has a reputation for operating exceptionally well-run cinemas both in Europe and in North America,” Paul Glantz, chairman and CEO of Emagine Entertainment, said in a statement Tuesday. “Their commitment to providing guests with an unforgettable movie experience makes them the ideal suitor to continue the stewardship of Emagine into the future.”
According to the company, Emagine Entertainment has 6 million visitors each year and generates nearly $129 million in revenue. Glantz founded the theater chain in 1997 with its first location, then known as Cinema Hollywood, in Birch Run.
“With the acquisition of Emagine Entertainment, we are back on track with the execution of our expansion strategy since the pandemic,” said Eddy Duquenne, CEO of Kinepolis Group, in a statement. “We do this with a high-quality asset in a market where we have had positive experiences with our Kinepolis concepts. The location and size of the cinemas make them a valuable addition to the Group’s portfolio, allowing us to expand our presence in the US market and strengthen our national structure. We are excited to welcome the new teams to the Kinepolis family.”
Kinepolis said it will continue to operate Emagine theatres under the existing brand name, prioritizing continuity for customers. Emagine theatres in Michigan included in the sale are in Birch Run, Canton Township, Hartland, Macomb Township, Novi, Rochester Hills, Royal Oak, Saginaw and Saline.
Not included in the sale are Emagine Woodhaven and The Riviera in Farmington Hills, as well as a chain of theaters Emagine supports in Minnesota and Colorado. These locations are ran by third parties that use the Emagine brand through licensing agreements, officials said.
@CWilliams_DN
‘ The preceding article may include information circulated by third parties ’
‘ Some details of this article were extracted from the following source www.detroitnews.com ’
