DLF to sell DT Cinemas to PVR for Rs 500 crore!

Crisis ridden realty major DLF will sell its cinema exhibition business, DT Cinemas, through its subsidiary DLF Utilities, to PVR Limited on a slump sale basis for an aggregate consideration of around Rs 500 crore.

“The deal is in line with our strategy to focus on our core business and divest non-core businesses or assets. It is also reflective of the value embedded in our core assets and demonstrates our commitment to increase shareholder value. It shall provide the management a more focussed approach for enhancing value especially in our retail mall business," said Saurabh Chawla, senior executive director, DLF.

Sharing a similar sentiment, Ajay Bijli, chairman and managing director of PVR noted that the acquisition is in sync with the company’s core strategy to offer the best cinema experience to Indian consumer.

It should be noted that EY India and Luthra & Luthra were the financial and legal advisors respectively to DLF and Shardul Amarchand Mangaldas & Co was the legal advisor to PVR on the transaction.

Currently, DT Cinemas runs 29 screens with an estimated 6,000 seats across eight properties in the National Capital Region and Chandigarh.

Representational Image: Indiatimes.com