(Reuters) – Sony (NYSE:) Pictures Entertainment (SPE) has acquired US movie theater chain Alamo Drafthouse Cinema, the companies announced Wednesday. The move will give the studio control over film distribution.
The theater chain will be operated by SPE’s newly created Sony Pictures Experiences division, led by Alamo Drafthouse’s Michael Kustermann. He will remain the company’s CEO.
The company did not disclose the financial terms of the deal.
Alamo, founded in 1997, will continue to operate all 35 of its movie theaters in 25 metropolitan areas under the Alamo Drafthouse brand, the companies said in a statement.
According to the companies, the network welcomes more than 10 million guests annually, and its core audience is 4 million loyal customers.
The studio behind such acclaimed franchises as “Resident Evil,” “Spider-Man” and “Bad Boys” has acquired Alamo Drafthouse in Austin, Texas, from owners Altamont Capital Partners, Fortress Investment Group and founder Tim League, the company added. .
“They (SPE) have a deep respect and understanding of the power of cinema to drive growth and make a lasting cultural impact, which aligns perfectly with everything that Alamo Drafthouse stands for,” said Tim League.
Alamo filed for Chapter 11 bankruptcy protection in March 2021 as the theater business was battered by the pandemic due to stay-at-home restrictions, and it emerged from bankruptcy less than four months later, Variety reported.
Sony Pictures Entertainment and private equity firm Apollo Global Management (NYSE:) previously expressed interest in acquiring Paramount Global.