The deal is valued at approximately $1.2 billion, including the assumption of Carmike net indebtedness. AMC is based in Leawood, Kansas.
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Carmike shareholders will get the choice of receiving either $33.06 in cash or 1.0819 shares of AMC’s Class A common stock, according to a statement Monday.
The deal is expected to close by the end of the year.
The Carmike board has unanimously approved the amended agreement, and recommended shareholders vote in favor. The companies agreed in March to a $30-a-share cash deal that would create the world’s largest cinema chain and extend Chinese influence in the movie industry.
Shares of Carmike rose 2.8% premarket to $32.
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President and CEO, Adam Aron, said, “We continue to believe that the proposed merger between AMC and Carmike is a compelling opportunity that offers significant value to both companies’ shareholders”. The revised offer represents an increase of 10.2% over AMC’s original cash offer of $30 per share. This is particularly true when also considering AMC’s announced acquisition of Odeon & UCI Cinemas in Europe.
