Sony Pictures Entertainment (SPE), a subsidiary of Tokyo-based Sony Group Corporation (NYSE:SONY), has announced its acquisition of the Alamo Drafthouse Cinema theater chain.
The financial aspects of the acquisition were not announced. Alamo Drafthouse will continue to operate all 35 of its cinemas across 25 metro areas under its brand. The Alamo Drafthouse-owned Fantastic Fest, a genre film festival, is included in the acquisition and will also continue to be operated by Alamo Drafthouse, and Michael Kusterman will remain as CEO of the Austin-headquartered exhibitor, reporting to SPE’s President and Chief Operating Officer Ravi Ahuja.
“We look forward to building upon the innovations that have made Alamo Drafthouse successful and will, of course, continue to welcome content from all studios and distributors,” said Ahuja.
Alamo Drafthouse was founded as a standalone theater in Austin in 1997 and began to expand into other markets during the early 2000s; it later widened its activities into streaming and film distribution. The company filed for Chapter 11 bankruptcy in March 2021 after the Covid-19 pandemic forced the shutdown of theaters. The company emerged from bankruptcy in June 2021, and last year it reported $134 million at the box office, a 25% increase from 2022.
Reports that Alamo Drafthouse was being shopped for sale began to appear in April. SPE acquired Alamo Drafthouse from owners Altamont Capital Partners, Fortress Investment Group and founder Tim League.
