mm2 Asia to buy 50% stake in movie theatre operator Golden Village for $184.3m

Waving colour-changing light sticks to heart-thumping beats, fans sang along to the catchy tunes of Taiwanese rock band Mayday during a gig screened at Golden Village Plaza Singapura on Sept 13, 2013.
Waving colour-changing light sticks to heart-thumping beats, fans sang along to the catchy tunes of Taiwanese rock band Mayday during a gig screened at Golden Village Plaza Singapura on Sept 13, 2013.PHOTO: MY PAPER

SINGAPORE - Catalist-listed film and TV content producer mm2 Asia is buying Village Cinemas Australia's 50 per cent stake in Dartina Development, a company incorporated in Hong Kong which holds the Golden Village Cinema business in Singapore.

The deal is worth $184.3 million, mm2 Asia said in an exchange filing on Tuesday (June 13).

Village Cinemas is a wholly-owned unit of Village Roadshow, a company listed on the Australian Securities Exchange.

Movie theatre operator Golden Village runs 11 multiplexes housing 92 screens in Singapore. It is a joint venture between Hong Kong-based film production, exhibition and distribution company Orange Sky Golden Harvest and Village Roadshow.

The acquisition is a "strategic investment" in line with mm2 Asia's aim to strengthen its presence in the downstream value chain of film distribution, the company said in its exchange filing.

It believes the acquisition will "complement its current cinema operations in Malaysia and provide a source of recurring income to the group".