Multiplex operator PVR is evaluating acquisition opportunities of cinema exhibition chains and plans to raise funds to carry out the transaction through issuance of non convertible debentures (NCDs).
According to a PTI report: PVR, which acquired DT Cinemas in 2016, has sought shareholders’ nod for raising up to Rs 1,000 crore through issuance of NCDs.
“For organic growth, the company is adequately funded and intends to finance bulk of its growth from internal accruals and debts.
“However, in addition to organic growth, the company is evaluating opportunities for acquisition of various other national/regional level exhibition chains for which the company may need to raise funds for the same as well as refinancing of the existing debts,” PVR said in a BSE filing.
In a postal ballot notice to shareholders, PVR sought shareholders’ approval for authorising the board to raise up to Rs 1,000 crore via NCDs from domestic as well as overseas market.
In 2016, PVR had acquired 32 screens of DT cinemas from realty major DLF for Rs 433 crore. PVR operates over 600 screens in 51 cities in India.