New Delhi, March 28 (BNA): India’s two largest multicast companies said Sunday that they will merge to create a giant cinema operator with more than 1,500 screens in 109 cities as the entertainment industry recovers from the COVID-19 pandemic.
PVR (PVRL.NS) and INOX Leisure (INOL.NS) said the merger, which is subject to regulatory approval, will help the two companies improve efficiency, access new markets and optimize costs, Reuters reported.
“The film exhibition sector has been one of the worst affected by the pandemic, and creating scope for efficiencies is critical to the long-term survival of the business and fighting the onslaught of digital OTT platforms,” said PVR Chairman Ajay Bigley in a press release.
On top, or OTT, platforms like Netflix (NFLX.O), Amazon’s Prime Video (AMZN.O) and Disney (DIS.N) have made headway in India, where the pandemic has devastated a movie industry known for its song-and-dance-shows watched by millions.
PVR is India’s largest multiplex chain with over 850 screens, followed by INOX Leisure with around 650 screens.
The merger comes after a two-year period when most theaters were closed due to COVID-19 restrictions.
FA