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Unlock 5.0: Street cautious about prospects of multiplexes, hotels

Low occupancies, capacity restrictions and safety concerns could make it difficult to reach breakeven levels

cinema, theatre, multiplex
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Independent analyst Ambareesh Baliga believes that while the hotels and entertainment segment will benefit, occupancies may not move to pre-Covid-19 levels in the near term

Ram Prasad Sahu Mumbai
Multiplex operators and hotels were major gainers in trade on Thursday, following the Union Ministry of Home Affairs’ announcement of further relaxations.

The new guidelines (Unlock 5.0), which will be applicable from October 15, allow the opening up of cinemas, entertainment parks, and business-to-business exhibitions.

While the lockdown in containment zones has been extended till October 31, restrictions on social, sports, and entertainment gatherings outside these zones have been lifted. The Maharashtra government has also allowed hotels and restaurants to be opened with 50 per cent capacity.


Most analysts believe Unlock 5.0 benefits sectors such as multiplexes — which are opening after seven