The Light: Leisure and cinema chain backed by Luke Johnson
Seasoned investor Luke Johnson has backed leisure and cinema company The Light in yet another sign that the competitive socialising sector is heating up.
Revolution Bars’ newly-appointed chair has acquired The Light – which operates an entertainment model including bowling alleys, mini golf and cinemas – along with a co-investment from cinema and leisure investors Melcorpo.
The deal, which fully recapitalises the business, is supported by a large new banking facility.
The facility will allow the business to invest over £15m “over the next couple of years” with the “aim of doubling its size”, the company said.
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.
He added that The Light offers “a long-term, exciting solution to the challenges facing high street and existing cinema locations rather than short term fixes”.
The experiential leisure industry in the UK has been rapidly growing and has withstood even dampened consumer backdrop, with a 455 per cent increase in ‘combo’ attractions over the past five years.
“The steady shift in consumers’ preferences towards spaces that are led by experiences and events is one of the most important on-premise dynamics of recent times,” client director at consumer intelligence firm CGA by NIQ Chris Sterling, said earlier this month.
“It’s turning a channel that was once considered a temporary niche into a powerful and permanent part of the market. People remain eager to eat and drink out, but they’re now demanding something more when they go out, with value for money and social currency among their top priorities,” Sterling added.
James Morris, CEO of The Light, added: “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.”