Imax up on Chinese deal announcement
IMAX Corp. (Nasdaq: IMAX) shares are up after the entertainment technology company announced before the opening that it has signed a deal with Wanda Cinema Line Corp. to install the 10 new theaters in China, with the first two installations scheduled for December. The new theaters are expected to be open by 2010, which will bring the total number of Chinese IMAX theaters to 39.
"IMAX is a world-class brand that has been received exceptionally well across Asia and we are very excited to include the IMAX theatre business as an integral part of our present and future growth," Bao Jiazhong, Wanda Cinema Line’s general manager, said in a statement.
All 10 new installations are scheduled to be installed as part of new multiplex constructions, Canada-based IMAX said. The first two installations will be in the cities of Changsha and Changchun.
Wanda Cinema Line operates 15 multiplexes in China. The deal will make Wanda Cinema the biggest IMAX exhibitor outside North America.
In pre-market trading, IMAX shares are up 7.49%, or $0.31, at $4.45. Over the last 52 weeks, shares have ranged from $3.32 to $5.68.
