This opportunity entails building and operating approximately 2,000 cinema screens, covering all 13 regions in Saudi Arabia. The breakdown of cinemas per location and number of screens is estimated as follows:
Riyadh: 490 screens, Makkah: 500 screens, Eastern Province: 300 screens, Madinah: 130 screens, Tabuk: 60 screens, Al-Qassim: 90 screens, Hail: 45 screens, Najran: 40 screens, Aseer: 140 screens, Northern Borders: 25 screens, Al-Jouf: 30 screens, Jazan: 100 screens, Al-Bahah: 30 screens.
The required investment is SAR 20M to SAR 25M per screen, assuming a pure private sector investment model.
Recreation and entertainment are key pillars of Vision 2030, with the government aiming to increase spend on recreation from 2.9% to 6% of total spend by 2030. To support the development of the Entertainment industry, the General Commission for Audiovisual Media has licensed cinemas after being banned for 35 years.
The serious government commitment, coupled with the fact that cinemas are one of the major entertainment options for Saudis, create an attractive opportunity to establish cinemas in the Kingdom.