At the end of 2007 the Eurasia Cinemas B.V holding was created currently being the controlling owner of Kronverk Cinema. At the time Kronverk Cinema was the largest cinema chain in Russia's north-west region. By 31 December 2011 it included 19 movie theatres (17 in Russia and 2 in Ukraine) in which there were about 130 cinema halls.
In December 2012 the А1 investment company announced the merging of Kronverk Cinema (100% owned by А1) and the Formula Kino cinema chains (55.66% of shares were acquired by А1 in January 2012). The share of А1 in the merged holding company standing at 75%. The merger of the movie theatre chains was endorsed and approved by the Federal Antimonopoly Service of the Russian Federation.
The new-merged cinema chain is the leader in terms of viewer audiences on the most profitable markets of Moscow and St. Petersburg. According to the results of 2012 the chain holds the 2nd place in Russia both by box-office earnings (8.4 %), and by number of movie theatres (237 screens in Russia and 17 screens in Ukraine). Considering the opening of new movie theatres, by the end of 2013 the total number of the merged chain screens will make 282. Formula Kino was chosen to be the single brand for the further development and functioning of the merged chain, one of the industry leaders by popularity and recognition among target audiences.
Project Investment Concept
In regard to the future development of film presentation on the Russian market, the plans of А1 provide for the creation of a leading company, complying with the highest international standards of corporate governance, as well as with the modern requirements for film presentation technologies and audience-attracting services.