Image Source : PTI (FILE) India’s largest multiplex chains PVR, INOX Leisure announce merger Highlights India’s two largest multiplex chains, PVR and Inox Leisure announced a merger. Rise of OTT streaming platforms had a major role in consolidation, said the two companies. PVR operates in 871 screens in India, and Inox holds 675; after merger, they will have 1500 screens. India’s two largest multiplex chains, PVR and Inox Leisure on Sunday announced a merger. A joint statement released by the two chains indicated that the rise of over-the-top (OTT) streaming platforms had a major role in the consolidation. “While strongly countering the adversities posed by the advent of various OTT platforms and the after-effects of the pandemic, the combined entity would also work towards taking world-class cinema experience closer to the consumers in tier 2 and 3 markets,” read the joint statement states. The statement also stated that PVR currently holds 871 screens in the country, and Inox holds 675, making them the top two players in the multiplex market in the country. Together, the companies will operate in over 1500 screens. New cinemas opened post the merger would be called PVR INOX, the companies added in the statement. “The combined entity will be named as PVR INOX Limited with branding of existing screens to continue as INOX and PVR respectively. New cinemas opened post the merger will be branded as PVR INOX,” the companies stated. After the merger, Ajay Bijli would be appointed Managing Director and Sanjeev Kumar would be appointed Executive Director. Pavan Kumar Jain would be appointed as the Non-Executive Chairman of the Board. “The amalgamation is subject to approval of the shareholders of INOX and PVR respectively, stock exchanges, SEBI and such other regulatory approvals as may be required. Upon obtaining all approvals, when the merger becomes effective, INOX will merge with PVR. Shareholders of INOX will receive shares of PVR in exchange of shares in INOX at the approved share exchange (“swap”) ratio,” the statement read. The companies said further, “The combination would augur well for the growth of the Indian cinema exhibition industry, besides ensuring tremendous value creation for all stakeholders, including customers, real estate developers, content producers, technology service providers, the state exchequer and above all, the employees.” Also Read | PVR Cinemas reopen theatres in Maharashtra Also Read | Srinagar: First-ever open-air theatre inaugurated over Dal Lake Latest Business News
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