iPic Entertainment (IPIC) said Thursday it signed a memorandum of understanding to develop its theater-and-restaurant locations throughout the Kingdom of Saudi Arabia. Shares climbed more than 5.5% intraday.
The company said iPic has formed a partnership with BAS Global Investments Company, a well-known Saudi group, according to a statement. This relationship reflects the company’s strategy to pursue international asset-light licensed agreements.
With roughly two-thirds of the local population under 30 years of age, Saudi’s demographics play into iPic’s strength as a social entertainment destination “that is also an affordable luxury”. Through this partnership, the company believes there are significant expansion opportunities for the iPic brand over time.