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IMAX Expanding in Mexico

By Rich Smith - Apr 15, 2013 at 5:32PM

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As Cinemark exits, IMAX fills the gap.

As movie-theater operator Cinemark (CNK -1.24%) exits the Mexican market, another "gringo" is expanding to fill the gap -- from even farther north of the border.

On Monday, Mississauga, Ontario-based IMAX (IMAX -1.19%) announced that it has signed an agreement to install five IMAX theatres at existing Mexican multiplexes operated by Cinepolis. The agreement, once implemented, will give IMAX a total of 12 Cinepolis locations in Mexico, in addition to the one now operating in Brazil.

IMAX CEO Richard L. Gelfond explained the move thusly: "Mexico is a leading movie-going market we've only begun to penetrate, and today's agreement proves our momentum is building in Latin America-a key area of focus for IMAX." Through Cinepolis, IMAX says it now has locations in all four of Mexico's highest-grossing movie complexes.

Regardless, IMAX shares followed the rest of the market down today, dropping 1.4% to close at $27.17.

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Stocks Mentioned

IMAX Corporation Stock Quote
IMAX Corporation
IMAX
$15.75 (-1.19%) $0.19
Cinemark Holdings, Inc. Stock Quote
Cinemark Holdings, Inc.
CNK
$15.92 (-1.24%) $0.20

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