29/06/2007

ITI, one of the leading media groups on the Polish market (transmission, TV production, new media, distribution, multiplexes), has announced the opening of five new multiplexes in Poland in 2007. Its subsidiary Multikino already has nine. The expansion is set to cost an estimated 120m zlotys (€31.6m).

Expected to be equally dynamic is the development of Multikino in the first half of 2008. The network is planning to build an additional five to eight multiplexes, which will cost 100-150m zlotys (€26-€39.5m). Funding is expected to be made possible thanks to the disclosure of capital, as Multikino is preparing for stock market entry towards the end of 2007/early 2008.

Recent years have seen a significant increase in the amount of multiplexes, which – according to statistics from the PISF (Polish Film Institute) – currently number 46 in Poland. Multikino’s main competitors are the Cinema City, Silver Screen, Kinepolis and Helios networks.
The increase in the number of multiplexes does not however translate into an increase in the total number of cinemas in Poland, which quantitatively speaking, has fallen (down from 568 in 2004 to 536 in 2006). What is on the rise on the other hand is the number of screens, as the closing down of some cinemas only concerns those that have one theatre.

Since the potential for consumption in Poland is marked by a general trend of considerable growth, new multiplex projects won’t raise any eyebrows, as long as demand remains at a satisfactory level: a record 33.4m filmgoers in 2004, compared to only 23.6m in 2005, but up again in 2006 with 32m admissions.

(Translated from French)