MUMBAI: Pyramid Saimira Theatre has formed a Special Purpose Vehicle (SPV) along with Shriram Mall Infrastructure Pvt Ltd to build 100 malls-cum-multiplexes across south India. The total amount of investment for the same will be Rs 50 billion (Rs 5000 crores).
The multiplexes will be spread over an estimated 20 million square feet, and will come up in the next 36 months, says a company release. Shriram will hold 70 per cent of the equity of this SPV, the rest will be owned by Pyramid Saimira.
The strategy, says the release, is to convert the first mover advantage Pyramid Saimira has in south India and to acquire old theatres and convert them into modern multiplexes and retail spaces.
Shriram Properties managing director M Murali said, â€œWe are pleased to announce this joint venture, through which we intend to reach out to a large number of Tier-II cities. Our strategy would be to acquire these old theaters and convert them into modern multiplexes and retail spaces. Each of this redevelopment would also have a fair amount of retail space available. We are talking to a large retailer to partner by putting in their super market chain.â€Ã‚Â
Pyramid Saimira Theatre Limited managing director P S Saminathan added, â€œPyramid Saimira has always been the first mover in what ever market it operates. This joint venture will provide an ideal platform to be a dominant force in all Tier II locations, which will make Pyramid Saimira the only entertainment brand with an irreplaceable presence across all locations in South India.â€Ã‚Â
Shriram Mall Infrastructure Pvt. Ltd CEO Hemanth Vengali said, â€œThis is a unique opportunity for us to enter into new growth area of Tier-II towns and cities. Through this project we will develop more than 20 million sq.ft of retail and entertainment space, in commercially viable areas.â€Ã‚Â
Shiram Properties Ltd, part of the Shriram Group has a dominant presence in south India with delivered built up space of over 4.5 million square feet and has under implementation about 19 million square feet and another 65 million on the anvil, including over 5.30 million square feet in association with Sun Apollo at Chennai and 25 million square feet at Kolkata, the release adds.