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The Korean Cinema Chain CGV Enters Russia

South Korea's largest chain will be the first foreign cinema operator in the country.
Korean network of cinemas CJ CGV, the fifth largest player in the international market, will appear in Russia. Partner of the company for development in the Russian Federation will be ADG Group. The joint venture created by the Korean and Russian sides will receive 33 cinemas in Moscow.

The Korean Cinema Chain CGV Enters Russia

In the created JV 70% will belong to CJ CGV, 30% - to ADG. The authorized capital of the joint venture is 30 million dollars. In total, the company will receive about 160 screens in 33 theaters by renting premises for fifteen years. All the multiplexes will work under the brand CGV. The opening of the project should take place no later than 2020.

Russia has the world's 14th largest cinema market taking up 1.9 percent of the world box office in 2016.

"This is an important step in expanding the territory of CJ CGV as Russia is a major base to enter Europe in the long term," said Seo Jung, chief executive officer of CJ CGV. "We'll make efforts to spread Korea's advanced multiplex theaters and increase the world's awareness of the superiority of Korean movies and culture."

CGV will be the first international network to operate in Russia. To date, the company operates more than 3 thousand rooms. Russia will become the seventh country of presence for CGV, for now, it's cover China, the United States, Vietnam, Indonesia, Myanmar, and Turkey. The company actively invests in international markets; it plans to grow to 10 thousand screens by 2020.

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