Australia's Village Roadshow plans to sell its 34.7% stake in Hong Kong movie company Golden Harvest Entertainment to Hong Kong-based Lai Sun Hotels International for $40m (HK$304.3m).
The deal is conditional on the consent of Golden Harvest founder and chairman Raymond Chow.
"Village Roadshow is now totally focused on its core business of exhibition, production, radio and theme parks and continuing to hold shares in Golden Harvest is not consistent with our plans," said Village managing director Graham Burke.
Village Roadshow bought into Golden Harvest in 1998 to boost its Asian distribution business. Golden Harvest's shares were suspended in early February when rumours of the sale emerged with The Media Corporation of Singapore tipped as a likely buyer (Screendaily March 8).