New Delhi, June 9 (IANS): Film and retail entertainment company PVR Limited on Tuesday announced that it has entered into definitive agreements to acquire the cinema exhibition business of DLF Utilities Limited, which is operated under the brand name of DT Cinemas.

The company has got into the agreement on a slump sale basis for an aggregate consideration of approximately Rs.500 crore, a statement said.

Ajay Bijli, chairman and managing director of PVR, noted that the deal will add to the cinema-going experience.

"It has been our strategy to expand our film exhibition business both organically and inorganically over the years. This acquisition is in pursuance of our core strategy to offer a world class cinema experience to the discerning Indian consumer," Bijli said.

DT Cinemas currently operates 29 screens with approximately 6,000 seats across eight properties in the National Capital Region (NCR) and Chandigarh.

In the next 12 months, DT proposes to add ten new screens at two properties in the NCR. Currently, PVR has 467 screens across 105 locations in 43 cities. As a result of the proposed acquisition, PVR will have a presence in 44 cities with 115 multiplexes and 506 screens.

Sriram Khattar, CEO of DLF Rental Business said: "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 customers."

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