Sumner Redstone’s movie theater empire has been sold to a new buyer in a $30 million deal.
Harbor Lights Entertainment, the successor to National Amusements Inc., has sold its 13 movie theaters in the Northeast and Midwest to Kinepolis Group, the European theatrical projection company seeking to expand its presence in the United States.
Harbor Lights, which is controlled by the Ellison family and owns preferred voting shares in Paramount Skydance, was created after David Ellison acquired National Amusements from the Redstone family last year. RedBird Capital owns a minority stake in Harbor Lights.
The 13 theaters, operating under the Showcase Cinemas brand, are located in Rhode Island, New York, Ohio and Massachusetts, which is of course where Redstone first launched his media empire with his drive-in theater in Dedham. The deal significantly expands Kinpolis’ footprint in the United States, which had been focused on Michigan.
The company says Showcase Theaters generated more than $90 million in revenue and “achieved approximate theater-level cash flow” last year, and will continue to operate under that name.
“This acquisition allows us to expand our market position in the U.S. from Michigan to the East Coast with assets and a team that enables us to execute on the Kinepolis operating model and corporate strategy, ultimately enhancing the moviegoer experience in these markets,” Eddie Duquesne, Kinepolis Group CEO, said in a statement. “Furthermore, this acquisition provides a valuable real estate position, with future opportunities for further redevelopment and improvement being explored.”
LionTree Advisors is serving as financial advisor and Latham & Watkins LLP is serving as legal advisor to Harbor Lights Entertainment. EY-Parthenon served as financial advisor to Kinepolis Group, PwC as tax advisor, and Dentons as legal advisor.
