Multiplex chain operator PVR said on Thursday it has received a letter from competition watchdog CCI, asking it to publish details of its proposed Rs 500-crore acquisition of DT Cinemas within 10 days.
The company has received letter dated December 1, 2015 under Section 29 (2) of the Competition Act, 2002 from the CCI, directing the company to publish the details of the proposed combination in the prescribed format within 10 working days from the date of the said letter of the CCI, PVR said in a BSE filing.
Under the section, if the fair trade regulator is prima facie of the opinion that the combination has, or is likely to have, an appreciable adverse effect on competition, then it can direct the parties to publish details of the combination within ten working days.
In June, PVR announced plans to acquire real estate major DLF’s cinema exhibition business, DT Cinemas, for Rs 500 crore. After the proposed acquisition, PVR would have presence in 44 cities with 115 multiplexes and over 500 screens.
At the time of striking the deal, DT Cinemas had 29 screens with approximately 6,000 seats at eight locations in National Capital Region (NCR) and Chandigarh, while PVR operated a network of 477 screens spread over 107 properties in 44 cities.