Cinema operator set for growth following acquisition
Cinema and entertainment operator The Light is set for growth after being acquired by hospitality entrepreneur Luke Johnson and Risk Capital Partners.
The deal has been facilitated with a co-investment from Melcorpo and is supported by a new banking facility which will enable the business to invest over £15m into expansion.
The Light – which currently operates 13 venues – is planning to double its size over the next two years.
The operator provides a core cinema offering, alongside bowling, mini golf, interactive darts, climbing and karaoke.
Luke Johnson said: “I have spent 40 years building businesses in the leisure and hospitality sectors, ranging from Pizza Express to Gail’s. We think the combination of cinema together with competitive socialising is a compelling offer for both consumers and landlords and believe the disruption facing the cinema industry provides opportunities.
“The Light model offers a long-term, exciting solution to the challenges facing high street and existing cinema locations rather than short term fixes.
“Risk Capital Partners is thrilled to be part of the next phase of The Light’s journey, harnessing the power of cinema to bring their game-changing offer to more places across the UK.”
James Morris, chief executive at The Light, added: “Our unique offer, strong covenant and diversified model allows to re-purpose space and strengthens the commercial deals for cinemas. We expect to announce our largest project to date which will repurpose an old department store and deliver a strong cinema offer in the coming weeks.”
Bernard Dale, of Connection Capital, The Light’s previous backer, said: “The business has grown well during our period of investment, developing and launching the successful destination entertainment concept. Risk Capital’s investment will enable further UK sites to be opened and we are delighted to retain an interest in the business as this rolls-out.”