Imax's (IMAX) China unit and film exhibitor Wanda Cinemas said Monday that they have signed an agreement to add up to 27 new IMAX screens in China by the end of 2029.

The companies said Wanda will convert as many as 27 "special effects halls" into IMAX theaters.

The deal comes a year after the companies announced a partnership that aims to upgrade 61 IMAX theaters, renew the contract for up to 37 others, and add up to 25 IMAX screens within four years according to a joint statement.

Shares of Imax were up more than 2% in recent premarket activity.