AMC, +0.65% said the deal to buy Odeon & UCI would make it the world’s largest movie theater operator.
Advertisement
Odeon & UCI now has 242 theatres and 2,236 screens and is the number one theatre operator in Europe.
AMC, owned by Chinese investment group Dalian Wanda led by China’s richest man Wan Jianlin, put down £921m ($1.21bn) for the group.
AMC, based in Leawood, Kan., said it would assume 407 million pounds of net debt as part of the deal to buy the number 1 theater operator in Europe from private equity firm Terra Firma.
On Tuesday, AMC said that the Odeon & UCI transaction doesn’t impact its ability to close on the Carmike deal.
In a self-confessed “opportunistic transaction” AMC is taking advantage of the weak pound following Brexit and buying Odeon, Europe’s biggest cinema chain from Terra Firma.
The deal is subject to antitrust clearance by the European Commission and consultation with the European Works Council.
Odeon & UCI, which Hands has been seeking to sell for several years, will continue to be based in London and will operate as a subsidiary of AMC. Odeon & UCI is a great business with iconic brands, strong market presence and passionate teams, and their impressive recent transformation is just the beginning. AMC has 385 locations and 5,380 screens located primarily in the U.S.
The company is operating 243 cinemas with 2,238 screens across Austria, Germany, Ireland, Italy, Spain, Portugal, and the United Kingdom.
About Terra Firma Founded by Guy Hands in 1994, Terra Firma is one of Europe’s leading private equity firms.
Advertisement
The Leawood, KS-based cinema operator announced this morning that it would acquire the smaller chain for $1.21 billion.
