Cineworld CEO: Romania is set to become our third biggest market

British-Israeli cinema operator Cineworld Group plans to open five new multiplexes in Romania this year, after the recent inauguration in Mega Mall shopping center in Bucharest. Romania is thus set to become the group’s third largest market, in terms of number of cinemas and movie screens after the UK and Poland, according to Mooky Greidinger, the group’s CEO. Cineworld is by far the largest cinema operator in Romania, where it operates under the brand Cinema City. The group, which entered the market in 2007, currently has 18 multiplexes with a total of 168 movie screens and more than 32,000 seats. Three of the units are in Bucharest, including the newly opened one in Mega Mall shopping center, which features the first 4DX cinema in Romania. “In 2007 we estimated that the Romanian market had great potential for us,” said Mooky Greidinger in a press conference in Bucharest. “That year, when we entered the Romanian market with our first cinemas in Iasi and Timisoara, the whole market sold 2 million tickets. Last year, more than 10 million movie tickets sold in Romania. This proves that our strategy at Cinema City was right,” he added. The Cineworld CEO expects the Romanian market to continue the fast growth pace in the years to come. The group’s expansion plans are a reflection of that. “We plan to open five additional multiplexes to the one already opened in Mega Mall this year, including a new 4DX cinema in Constanta,” Greidinger said. “Once we open all we have planned for this year, Romania will become our third biggest market after UK and Poland,” he added. He estimates the total investments for this year at some EUR 27 million, including the EUR 7 million already invested in Mega Mall and EUR 20 million for the other openings. The operator shares these costs with the mall developers, according to Greidinger. Cineworld’s investment plans for the longer term are even more ambitious. The group plans to open 14 new multiplexes by 2018 with investments in excess of EUR 100 million, including this year’s openings. Romania’s cinema market has been the fastest growing in the EU over the past years, but this also reflects the low level of development in the market compared to other countries. Cineworld had revenues of GBP 23.1 million (more than EUR 28 million) in Romania, in 2014, according to the group’s annual report. The group’s total revenues were GBP 619 million (some EUR 770 million). Cineworld group has become the second largest cinema operator in Europe after Israeli group Cinema City merger with British group Cineworld, in 2014. Mooky Greidinger and his brother Israel Greidinger own 29% of the group, which is listed on the London Stock Exchange. The group has a market capitalization of GBP 1.33 billion (EUR 1.86 billion). Andrei Chirileasa, andrei@romania-insider.com