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As Chinese cinema spotlight fades, investors see value in Imax China as privatization play

The big-screen cinema operator reported a slight profit decline in the first half of the year as China’s box office stalls after an initially strong post-pandemic performance

This article only represents the author's own views.

It once wowed investors with a story of riches from the potent combination of its big-screen technology and a booming Chinese box office with potential to become the world’s largest. But these days Imax China Holding Inc. (1970.HK) looks far less promising, as its technology that once looked so hot has failed to catch on and growth at China’s box office also slows.

The China unit of Canada’s Imax Corp. (IMAX.US) has also been far from a crowd pleaser among investors, with its shares now trading 72% below what they fetched when the company made a Hong Kong IPO in 2015.

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