Mumbai: India’s largest multiplex operator by screens PVR Ltd is buying back the entire investment in equity and preference shares of L Capital Asia, the third party private equity fund of LVMH Group, for an undisclosed amount, it said in a statement to the stock exchange.

In August 2012, L Capital had invested through its wholly owned subsidiary L Capital Eco Ltd in PVR Leisure Ltd. PVR Leisure focuses on in-mall entertainment, gaming, food and leisure business.

PVR had then said that the fund will invest 50.1 crore to set up a joint venture with PVR, PVR Leisure. L Capital’s holding in the venture was around 44%, with PVR taking 51% and the remaining going towards management stock options.

PVR’s investment in the bowling-alley business PVR BluO Entertainment Ltd, a joint venture established in 2009 with Thailand-based Major Cineplex, was to be held through this subsidiary.

Indian multiplex business has been consolidating, with the top four companies acquiring newer assets. L Capital Asia still holds its 15.09% investment in PVR, in which it had invested in 2012 to back the latter’s acquisition of Cinemax India.

As on date, PVR owns 462 screens at 104 locations across 44 cities.

This is L Capital’s first exit from the Indian market where it invested in Fabindia Overseas Pvt. Ltd in January 2012 and Genesis Luxury Fashion Pvt. Ltd in July 2011.

Close