National CineMedia has completed a $275 million acquisition of Captivate Holdings, expanding its cinema advertising business into offices, residential buildings, lobbies and lifts. The deal matters because it supports the company’s ambition to become a broader digital out-of-home advertising network after emerging from bankruptcy in 2023, following severe disruption to cinemas and theatre advertising during the pandemic.

Captivate’s network will increase National CineMedia’s reach to about 48,000 digital screens, compared with the 17,000 screens it operated across more than 1,300 cinemas. The purchase is funded through a $275 million senior secured first-lien term loan, adding debt as the company continues rebuilding after also acquiring Spotlight Cinema Network for $8.2 million last year. The restructured business no longer has ownership interests from AMC or Cinemark.