Six-screen multiplex PVR Maison opens at Jio World Drive
Mumbai: Film exhibition company PVR Ltd, through its luxury arm The Luxury Collection announced the launch of a luxur
Mumbai: L Capital Eco Ltd, an international private equity fund, has agreed to invest a total of Rs 1.07 billion in PVR Ltd, a film exhibition and in-mall entertainment company.
The definitive agreement signed by the two companies envisages issue of 2,885,000 equity shares of PVR Ltd for Rs 577 million (at a price of Rs 200 per share) to L Capital Eco on a preferential basis.
The preferential allotment will give the private equity investor a 10 per cent stake in PVR. The approval of the shareholders of PVR will be obtained through a postal ballot. PVR operates 179 movie screens across 24 cities.
The price is at a 21 per cent premium to PVR?s closing price of Rs 165.95 on the National Stock Exchange on 31 July. PVR shares rose 11.33 per cent to close at Rs 184.75 on 1 August.
PVR and L Capital will also set up a new joint venture company called PVR Leisure Limited, in which in-mall entertainment, gaming, food and leisure businesses will be housed.
PVR will transfer its holding in PVR bluO Entertainment Ltd to PVR Leisure and L Capital will invest Rs 501 million in PVR Leisure for an unspecified equity stake. The new joint venture will be subject to approvals from Foreign Investment Promotion Board (FIPB).
L Capital Eco, a Mauritius-registered company, is a subsidiary of L Capital Asia LLC, the Asian private equity business sponsored by leading global luxury goods retailer LVMH.
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