The Light, an innovative operator in the UK’s cinema and leisure space has announced that it has been acquired by renowned hospitality entrepreneur Luke Johnson and Risk Capital Partners along with a co-investment from Melcorpo, cinema and leisure investors. The deal, which fully recapitalises the business, is supported by a large new banking facility, enabling the business to invest over £15m over the next couple of years with the aim of doubling its size.
The Light has developed a unique entertainment model which includes bowling, mini golf, interactive darts, climbing and karaoke in addition to its core cinema offering. It offers landlords an attractive and sustainable alternative solution to under-performing locations rather than simply requiring rent reductions. The New Management team has already proved the model at a number of locations and are now looking to build on this success with the new investment.
Luke Johnson said: “I have spent 40 years building businesses in the leisure and hospitality sectors, ranging from Pizza Express to Gail’s. We think the combination of cinema together with competitive socialising is a compelling offer for both consumers and landlords and believe the disruption facing the cinema industry provides opportunities. The Light model offers a long-term, exciting solution to the challenges facing high street and existing cinema locations rather than short term fixes. Risk Capital Partners is thrilled to be part of the next phase of The Light’s journey, harnessing the power of cinema to bring their game-changing offer to more places across the UK”.
James Morris, CEO of The Light said: “I am delighted Luke and Brian have chosen to invest in The Light which allows us to release our exciting plans for the business. Our talented team have worked hard over the last few years to develop a commercially robust model which protects cinema, re-imagines entertainment and creates unique spaces. We strive to offer the best quality, value and experience, with each venue tailored to meet the needs of the local market. Our unique offer, strong covenant and diversified model allows to re-purpose space and strengthens the commercial deals for cinemas. We expect to announce our largest project to date which will re-purpose an old department store and deliver a strong cinema offer in the coming weeks.”
James Morris added: “Achieving ambitious growth cannot be achieved without great people and a positive culture, a founding principle at The Light. We have so many amazing people in our business who share our vision and values and exceptional, talented leaders, who I am so proud we have been able to attract. I would also like to say thank you to Keith and John, the founders of The Light, for their contribution as without their foresight, knowledge and support, none of this would be possible”.
The Light currently operates 13 cinema and leisure venues in local communities across the UK, bringing both state-of-the-art cinema and entertainment spaces, including bowling alleys, mini golf and climbing walls, alongside a high-quality food and drink offering. The Light chooses locations and creates an entertainment offering that reflects and serves the desires of the local demographics and audience needs.