Integrated Russian film studios Kinopolis brand

History

2019: MTS purchased a film studio for 2 billion rubles

On August 28, 2019 it became known of sale of Kinopolis film industrial complex to the telecommunication operator of MTS. The last purchased a film studio from other "subsidiary" of AFK "Sistema" – Business-nedvizhimost company.

According to Vedomosti with reference to the semi-annual reporting of MTS, cost of the transaction made 2 billion rubles. The head of Business real estate Vyacheslav Khvan confirmed to the edition the fact of the conclusion of the transaction.

MTS purchased a film studio for 2 billion rubles

By the end of August, 2019 Kinopolis integrates six pavilions of 3700 sq.m, recording studios and computer graphics, production of scenery, rekvizitny workshops. He also leases the film-making equipment and vehicle fleet, is engaged in processing of a film, adding of special effects, installation, etc. At different times the studio rendered services by production of movies "Homeland", "Burnt by the Sun — 2", "Fir-trees", series for Channel One and Russia.

According to the representative of MTS Alexey Merkutov, after purchase of a film studio it will continue to work also with other customers, but MTS is going to load as much as possible its own projects. MTS will be able to offer not only channels of distribution of content, but also film studio power

Merkutov also added that MTS will increase base movies, series and self-produced programs with exclusive rights on their demonstration. Exact terms and plans in MTS did not begin to open.

Purchase of a film studio is economically justified taking into account the two-digit annual growth of the world and Russian market of production of video content, increase in number of online movie theaters and, as a result, growth of demand and asset cost which are used for creation of series and movies — reported in MTS.

Kinopolis will be transferred under management of structure "MTS of Media" which will integrate satellite, cable, mobile and Internet television of MTS.^[1]

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