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EU: AMC to buy Europe’s Odeon deal helped by weaker pound

 |  July 12, 2016

AMC Entertainment Holdings said Tuesday that it would acquire European movie theater operator Odeon & UCI Cinemas Group for about £500 millionin a deal helped by the weaker British pound following the UK’s vote to leave the European Union.

AMC said while there are “some uncertainties” related to the Brexit vote, the decades-low exchange rate between the US dollar and British pound made the deal highly favorable to AMC.

The move comes as the US theater chain works to close its delayed deal for Carmike Cinemas Inc. AMC warned that its $1.1 billion dealto buy Carmike remains at “considerable risk” because some shareholders have an “unrealistic view” of Carmike’s value to AMC.

AMC said the deal to buy Odeon & UCI would make it the world’s largest movie theater operator. Odeon & UCI operates 2,236 screens in 242 theaters across seven European countries, including in the UK, Spain and Italy. AMC has 385 locations and 5,380 screens located primarily in the US.

Full Content: The Wall Street Journal

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