GIC has agreed to partner an Indonesian cinema operator by investing 3.5 trillion rupiah (S$370 million) to help expand the theatre chain across the country.
Nusantara Sejahtera Raya, which operates the Cinema 21, Cinema XXI and The Premiere brands in Indonesia, has entered into a strategic partnership with Singapore's wealth fund, the companies said in a joint statement issued yesterday.
Nusantara Sejahtera Raya operates 157 cinemas across 36 cities in Indonesia, it said in the statement.
This is GIC's latest investment in Indonesia, after it said in October that it would team up with an Indonesian warehouse provider - Mega Manunggal Property - to invest in warehouses in the South- east Asian country.
"The investment... reflects our confidence in Indonesia's long- term growth potential," GIC said in a statement, adding that Nusantara Sejahtera Raya stands to benefit from "the rapidly expanding consumer class and economic development in Indonesia".
The movie market, one of dozens of industries that Indonesia liberalised in February, is increasingly whetting the appetite of overseas companies.
GIC has been seeking to boost returns after warning that record- low interest rates and subdued global growth will weigh on investment performance in the coming decade.
The fund in July said a key measure of returns fell to 4 per cent in the 20-year period to March 31 this year, from 4.9 per cent in the period ended March 31 last year, as global stock markets posted lacklustre performance and bond returns tumbled.