Everyman Media Group buys two cinemas from collapsed chain
- Everyman Media Group has acquired Tivoli cinemas in Bath and Cheltenham
- The two locations were previously owned and operated by Empire Cinemas
- Irish cinema operator Omniplex recently acquired five former Empire locations
Everyman Media Group has bought two picture houses in the west of England after the former owner went into administration.
The independent chain has acquired two Tivoli cinemas in Bath and Cheltenham, previously owned and operated by Empire Cinemas.
Empire collapsed in early July after struggling with visitor numbers as cost-of-living pressures squeezed demand.
Acquisition: Everyman Media Group has acquired two Tivoli cinemas in Bath and Cheltenham, previously owned and operated by Empire Cinemas
About 150 jobs were immediately lost and six of the group's cinemas were forced to close, while another eight were threatened with closure.
Last week, Ireland's largest cinema operator, Omniplex, took over five of Empire's remaining locations.
The deal will see Omniplex spend £22.5 million on the purchase and refurbishment of the cinemas over the next 18 months.
Alex Scrimgeour, CEO of Everyman, said: “We are delighted to announce the acquisition of these cinemas in the historic city of Bath and the vibrant city of Cheltenham.
“We pride ourselves on delivering a high-quality cinema experience, making these locations a great addition to the Everyman portfolio.
“We look forward to welcoming the local community to our newest locations in this exciting new chapter for the company.”
The purchase of Everyman comes at a challenging time for the UK cinema sector, which is still struggling to recover from the Covid-19 pandemic.
The “Barbenheimer” phenomenon provided a much-needed boost over the summer, as audiences flooded theaters to watch back-to-back Barbie and Oppenheimer films.
Everyman has more than doubled its monthly revenue and achieved a record week of attendance in July after the two films were released on the same date.
In the previous six months, the London-based company's turnover fell by £2.4 million year-on-year to £38.3 million, partly due to the lack of major blockbusters.
Over the same period, pre-tax revenue fell to £5.8m as the previous year's performance also benefited from a lower VAT rate.
Everyman predicts a much stronger result in the second half, supported by blockbusters such as the historical epic Napoleon, Martin Scorsese's Killers of the Flower Moon and the fantasy musical Wonka.
The company's turnover between January and the end of August was 13.3 percent higher than the same period last year, at £60.2 million.
Everyman Media Group shares were down 0.8 percent at 62 cents on Friday afternoon, meaning they have fallen by about two-thirds since the start of 2020.