DLF, real estate major said Tuesday its subsidiary, DLF Utilities, has entered into definitive agreements to sell its cinema exhibition business operated under the brand name of 'DT Cinemas', to PVR, on a slump sale basis for an aggregate consideration of nearly Rs 5 billion.

DT Cinemas currently operates 29 screens with approximately 6,000 seats across 8 properties in the National Capital Region and Chandigarh. In the next 12 months, DT Cinemas proposes to add 10 new screens at two properties in the National Capital Region.

The proposed transaction will be subject to approval of applicable statutory and regulatory approvals and satisfaction of customary conditions precedent.

Commenting on the deal, Saurabh Chawla, executive director, DLF, said that “The deal is in line with our strategy to focus on our core business and divest non-core businesses or assets. It is also reflective of the value embedded in our core assets and demonstrates our commitment to increase shareholder value. It shall provide the management a more focused approach for enhancing value especially in our retail mall business."

"We are pleased to sell DT Cinemas to PVR which is a high quality provider of cinema experience. Combining our unrelenting focus on providing a wholesome experience at our malls with PVR's deep knowledge of the cinema business, we look forward to continue enhancing our best in class offerings for the customer," added Sriram Khattar, CEO, DLF.

Commenting on the deal, Ajay Bijli, chairman cum managing director, PVR said, "This acquisition is in pursuance of our core strategy to offer a world class cinema experience to the discerning Indian consumer."