IMAX plans to acquire full ownership of Chinese subsidiaries to promote the application of new technologies in China

CTOnews.com, July 13 (Reuters)-International cinema operator IMAX announced yesterday that it plans to acquire full ownership of its Chinese subsidiary listed on the Hong Kong Stock Exchange, with a transaction value of about $124 million (CTOnews.com Note: currently about 889 million yuan).

▲ Tuyuan PexelsIMAX said that the acquisition of IMAX China will improve the company's operational flexibility and enable IMAX to apply its technology to the Chinese market.

IMAX offered to buy shares in its Chinese subsidiary at HK $10 a share (currently about Rmb9.17), a 49 per cent premium to its 30-day average closing price. The company said the deal would increase its earnings and cut costs by about $2 million (currently about 14.34 million yuan).

IMAX also confirmed that Daniel Manvalin (Daniel Manwaring) would continue as chief executive of IMAX China after the deal was completed and would oversee local business functions, including issuance, marketing and finance.

Founded in 2011, IMAX China is headquartered in Shanghai and has an office in Beijing.