(Yicai Global) Aug. 22 -- Chinese regulators have approved the initial public offering of nationwide theater chain HG Entertainment Co.

The firm plans to list on the Shanghai Stock Exchange, and will raise about USD450 million (CNY3 billion) for theater construction and other uses.

HG Entertainment proposes to issue up to 53 million new shares. Total proceeds will be CNY2.863 billion, of which CNY2.486 billion will go to build theater projects, while CNY500 million will supplement working capital.

The company runs more than 300 cinemas. Its operating income last year was CNY2.28 billion, with net profit of CNY305 million.