Sony Pictures Acquires Alamo Drafthouse Cinema

CULVER CITY (CNS) - Sony Pictures Entertainment Wednesday announced it has acquired Alamo Drafthouse Cinema, becoming the first major Hollywood studio in 75 years to own a movie theater chain.

From 1948 until four years ago, film distributors were prohibited by federal regulators from owning a cinema chain. The rules were abolished in 2020, and Sony is now the first studio in seven decades to invest in a movie exhibition company.

Alamo Drafthouse is billed as North America's seventh-largest theater chain, with 35 locations across the country, including Los Angeles, Chicago, Boston and New York. The chain is known for serving food and craft beer at its theaters, and boasts a strict no-texting policy.

Alamo Drafthouse's Michael Kustermann will remain chief executive of the so-called dine-in movie theater chain, which is based in Austin, Texas.

"We are excited to make history with Sony Pictures Entertainment and have found the right home and partner for Alamo Drafthouse Cinema," Kustermann said in a statement.

"We were created by film lovers for film lovers. We know how important this is to Sony, and it serves as further evidence of their commitment to the theatrical experience. Together we will continue to innovate and bring exciting new opportunities for our teammates and moviegoers alike."