Australia-based theme park and cinema operator, Village Roadshow, has formed a AU$500m (US$392.3m, €359.3m, £262.7m) joint venture with China’s CITIC to invest in theme parks across the country.

Village Roadshow – which operates some of Australia’s most popular theme parks, including Warner Brothers Movie World, Wet’n’Wild Water World and SeaWorld Gold Coast – called the agreement a “major milestone” in its plan to expand the brand into South East Asia and China after more than two years of negotiations.

The new management firm will see CITIC take the controlling stake at 51 per cent, while Village Roadshow will take up the remaining 49 per cent. However, Village Roadshow will gain a considerably larger 60 per cent stake in the management company which designs, builds and operates the new theme park developments.

Both Village Roadshow and CITIC will invest up to AU$25m (US$19.6m, €18m, £13.1m) over the course of the next few years, with CITIC financing the rest of the AU$500m sum.

The CITIC Group – formerly the China International Trust and Investment Corporation – is a state-owned investment company of the People's Republic of China. Established in 1979, the Beijing-based company specialises in investment and is making its first foray into Australia’s theme park market.

Speaking to The Australian Business Review, Village Roadshow co-chair, Robert Kirby, said following the deal that the company is aiming to operate a multi-billion-dollar portfolio of theme parks and property in Southeast Asia by 2020.